Transportation-focused Environmental Impact Assessment of ... · Transportation-focused...

Gokhan Egilmez Asst. Prof. of Industrial and Manufacturing Engineering

North Dakota State University

IERC ’14, Montreal, Canada June 2nd, 2014

Transportation-focused Environmental Impact Assessment of U.S. Manufacturing: A Life Cycle Analysis

Co-authors: Murat Kucukvar, Postdoctoral Researcher, University of Central Florida

Yong Shin Park, Graduate Research Assistant, North Dakota State University

Manufacturing and Transportation Nexus

• Manufacturing Transportation Consumption

• The U.S., manufacturing accounts for 44.8% of the commodity flow in the U.S. (RITA - U.S. DOT, 2012).

• U.S. freight transportation is responsible for approximately 35% of the total GHG emissions in transportation activities (EPA, 2003; Horvath, 2006)

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Environmental impacts of U.S. manufacturing

• 20% of total GHG emissions in the U.S.

• The third largest industry after transportation and electric power industries (EPA, 2012)

GHG

• The third leading sector in energy usage with a share of 20% (with a usage of 20 quadrillion BTU) Energy

• Power Generation and Farming industries account for 41% of total water withdrawals in U.S (Blackhurst et al., 2010). Water

• Metal Mining, Food, Beverage, Tobacco, Primary Metals and Chemical Manufacturing sectors account for approximately 71% of all toxic releases (EPA, 2010)

Toxic Release

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Sustainable Manufacturing and Life Cycle Assessment

• “The creation of manufactured products that use processes that are non-polluting, conserve energy and natural resources, and are economically sound and safe for employees, communities and consumers” (Dept. of Commerce, 2012)

Sustainable Manufacturing

• A well-known and widely used approach to assessing the potential environmental impacts and resources used throughout a product’s life cycle, including raw material acquisition, production, distribution, use, and end-of-life phases (Finnveden et al., 2009)

Life Cycle Assessment

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Life Cycle Assessment

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Raw Material

Extraction Manufacturing Use Disposal

Toxics Carbon Solid Waste By Products

Re-use Recycling

Basic Life Cycle Assessment Methodology

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Goal & Scope Definition

Life Cycle Inventory

Impact Assessment

Interpretation & Policy Making

Life Cycle Assessment Models

*TBL-LCA

(UCF)

Eco-LCA

(OSU)

EIO-LCA

(CMU)

P-LCA

(U.S. EPA)

*Kucukvar, M., & Tatari, O. (2013). Towards a triple bottom-line sustainability assessment of the US construction industry. The International Journal of Life Cycle Assessment, 1-15. *Egilmez, G., Kucukvar, M., & Tatari, O. (2014).“Supply chain sustainability assessment of the U.S. food manufacturing sectors: A life cycle-based frontier approach”, Resources Conservation and Recycling, Elsevier, Volume 82, January 2014, 8–20 7

Need for a single eco-efficiency score

• Well known mantra in business world: “What get’s measured gets managed”

• Environmental pressures with different

– Units of measurement

– Scale

• Non-subjective benchmarking

– No subjective weight assignment

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Summary of Research Methodology

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• Transportation-focused Sustainability Assessment of U.S. Manufacturing Sectors: An Economic Input Output-based Frontier Approach

Focus

• Transportation-focused Sustainability assessment of nations manufacturing sectors with EIO-LCA EIO-LCA

• Deriving the transportation sustainability score for each sector with Data Envelopment Analysis (DEA)

Eco-efficiency

($/Environmental Impact)

Goal and Method

Goal

• To develop an analytical approach that can be used to analyze and compare the sustainability performance of 53 U.S. manufacturing sectors’ transportation impacts

Method

• The synergistic use of EIO-LCA and DEA would enhance the interpretation of LCA results

• by aggregating different environmental pressures and economic value added into a single sustainability performance score

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Economic Input Output Life Cycle Assessment (EIO-LCA)

Transportation Activities

All Other Sectors

Iron and Steel Mills

Motor Vehicle

Parts Mfg.

Automobile Mfg.

input economicUnit

output talenvironmenUnit Input $

output economicUnit

output talenvironmenUnit Output $

• Carbon Footprint • Energy Use • Water Footprint • Solid Waste • Toxic Releases • Land Use

Public Datasets

Economic Input-Output

Matrix

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Data Envelopment Analysis (DEA)

• Input-oriented DEA multiplier model proposed by Charnes et al. (1978):

• Notation

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Life Cycle Inventory

• Carbon emissions, energy and water consumption of each mfg. sector that is associated with transportation sectors (both truck, air, water and rail modes).

• 276 sub-sectors

• 53 major mfg. sectors

ID Manufacturing Sector Carbon FP Energy FP Water FP

1 Food manufacturing 34,253,538.0 484,826.5 2,588,785.2

2 Beverage manufacturing 3,503,109.0 49,386.5 236,078.5

3 Tobacco manufacturing 711,638.2 9,967.6 44,949.1

4 Textile mills 2,076,271.3 29,152.2 120,119.7

5 Textile product mills 1,439,865.6 20,121.6 79,645.6

6 Apparel manufacturing 1,240,575.7 17,304.2 65,380.8

7 Leather and allied product

manufacturing 347,727.2 4,855.1 19,677.0

8 Wood product manufacturing 4,885,223.0 68,302.2 267,268.5

9 Pulp, paper, and paperboard

mills 2,645,146.3 37,445.8 167,973.2

10 Converted paper product

manufacturing 4,750,228.8 67,194.6 321,973.0

11 Printing and related support

activities 2,033,716.4 28,989.0 93,809.6

12 Petroleum and coal products

manufacturing 9,156,350.7 130,884.2 798,857.6

13 Basic chemical manufacturing 2,192,424.5 31,448.7 166,128.1

14 Resin, rubber, and artificial

fibers manufacturing 4,952,136.1 70,915.1 344,328.6

15 Agricultural chemical

manufacturing 1,423,408.6 19,818.1 88,739.1

16 Pharmaceutical and medicine

manufacturing 2,360,607.4 33,826.0 192,419.4

17 Paint, coating, and adhesive

manufacturing 1,436,880.8 20,407.1 99,596.1

18 Soap, cleaning compound, and

toiletry manufacturing 921,271.5 13,131.2 63,099.9

19 Other chemical product and

preparation manufacturing 1,614,892.6 23,243.1 121,915.0

20 Plastics and rubber products

manufacturing 7,225,530.9 102,821.2 423,948.4

21 Nonmetallic mineral product

manufacturing 6,395,383.1 89,806.2 383,534.2

22 Foundries 745,267.5 10,644.2 50,674.3

23 Forging and stamping 1,198,057.5 17,031.5 75,535.8

24 Cutlery and handtool

manufacturing 369,473.4 5,232.7 22,736.0

25 Architectural and structural

metals manufacturing 1,402,897.5 19,948.4 86,543.1

26 Boiler, tank, and shipping

container manufacturing 1,421,599.6 20,160.6 87,910.1

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Agriculture, construction, and

mining machinery

manufacturing

1,868,681.5 26,355.1 102,082.8

28 Industrial machinery

manufacturing 762,740.8 10,749.2 42,705.6

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Commercial and service

industry machinery

manufacturing

531,221.1 7,521.7 29,082.7

30

HVAC and commercial

refrigeration equipment

manufacturing

612,835.0 8,654.1 35,832.7

31 Metalworking machinery

manufacturing 1,290,599.2 18,208.4 74,812.9

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Engine, turbine, and power

transmission equipment

manufacturing

516,319.8 7,264.5 29,071.8

33 Other general purpose

machinery manufacturing 2,049,401.1 28,871.6 112,584.6

34 Computer and peripheral

equipment manufacturing 1,229,779.9 17,516.0 77,419.5

35

Semiconductor and other

electronic component

manufacturing

2,739,028.3 38,873.1 182,149.1

36 Electronic instrument

manufacturing 2,086,149.7 29,793.9 127,022.6

37

Manufacturing and

reproducing magnetic and

optical media

283,606.3 4,043.9 17,683.9

38 Electric lighting equipment

manufacturing 124,255.6 1,751.9 7,418.9

39 Household appliance

manufacturing 935,140.2 13,173.8 55,086.1

40 Electrical equipment

manufacturing 443,421.5 6,267.4 28,092.7

41 Other electrical equipment and

component manufacturing 1,886,795.3 26,682.8 123,271.2

42 Motor vehicle manufacturing 3,640,962.2 51,099.2 206,095.6

43 Aerospace product and parts

manufacturing 8,892,436.0 125,544.3 483,924.8

44 Furniture and related product

manufacturing 2,732,032.7 38,387.5 149,628.6

45 Medical equipment and

supplies manufacturing 1,498,320.2 21,051.9 77,605.9

46 Other miscellaneous

manufacturing 2,629,135.4 36,711.6 143,424.6

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Iron and steel mills and

manufacturing from purchased

steel

2,874,571.7 40,774.8 191,806.9

48 Nonferrous metal production

and processing 3,392,137.9 49,588.4 247,435.7

49 Ordnance and accessories

manufacturing 342,407.7 4,822.4 20,548.6

50 Other fabricated metal product

manufacturing 3,667,399.6 52,027.9 215,586.3

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Audio, video, and

communications equipment

manufacturing

1,698,673.7 24,234.7 101,142.1

52 Motor vehicle body, trailer, and

parts manufacturing 5,793,684.1 81,766.0 347,315.9

53 Other transportation

equipment manufacturing 1,543,484.8 21,386.1 90,090.2

Total Impact of U.S.

Manufacturing 156,768,442.8 2,219,985.9 10,330,548.2

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LCI by GHG Emissions (ton CO2-eqv.)

0.0% 5.0%10.0% 15.0% 20.0%

25.0%

Other fabricated metal product manufacturing

Converted paper product manufacturing

Wood product manufacturing

Resin, rubber, and artificial fibers manufacturing

Motor vehicle body, trailer, and parts manufacturing

Nonmetallic mineral product manufacturing

Plastics and rubber products manufacturing

Aerospace product and parts manufacturing

Petroleum and coal products manufacturing

Food manufacturing

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LCI by Energy Use (Tera-joules)










Food manufacturing

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LCI by Water Consumption (kgals)

Nonferrous metal production and processing









Food manufacturing

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Descriptives about Transportation / Supply Chain Impacts

Descriptives GHG

Emissions Energy Use

Water

Withdrawals

Mean %17.41 %16.53 %0.07

Min %4.85 %4.65 %0.01

Max %31.71 %29.73 %0.11

Std. Dev. %6.00 %5.55 %0.02

Median %17.39 %16.93 %0.07

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Eco-efficiency (EE) Results

• Avg. eco-efficiency ~ 0.5

• Tobacco Mfg. (1.00 ~ Max-EE)

• Iron and steel mills and mfg. from purchased still (0.22 ~ Min-EE)

0.22 0.25

0.29 0.30 0.31 0.31 0.32 0.32 0.34 0.35 0.37 0.37 0.37 0.37

0.43 0.44 0.44 0.45 0.45 0.45 0.46 0.47 0.49 0.50 0.52 0.52 0.53 0.53 0.53 0.54 0.55 0.55 0.58 0.59 0.60 0.62 0.63 0.63 0.64 0.66 0.68 0.69 0.70 0.70 0.72 0.73 0.75 0.77 0.78 0.78

0.86 0.94 0.97

1.00

0% 20% 40% 60% 80% 100%

Iron and steel mills and manufacturing from…

Food manufacturing

Paint, coating, and adhesive manufacturing


Agricultural chemical manufacturing


Pulp, paper, and paperboard mills

Forging and stamping



Other chemical product and preparation…

Architectural and structural metals manufacturing


Beverage manufacturing

Boiler, tank, and shipping container…

Textile product mills

Textile mills

Furniture and related product manufacturing


Foundries

Basic chemical manufacturing

Other miscellaneous manufacturing

Agriculture, construction, and mining…

U.S. Average

Household appliance manufacturing

Leather and allied product manufacturing


HVAC and commercial refrigeration equipment…

Motor vehicle manufacturing

Soap, cleaning compound, and toiletry…

Motor vehicle body, trailer, and parts…

Other electrical equipment and component…


Electrical equipment manufacturing

Cutlery and handtool manufacturing

Industrial machinery manufacturing

Other general purpose machinery manufacturing

Other transportation equipment manufacturing

Metalworking machinery manufacturing

Apparel manufacturing

Semiconductor and other electronic component…

Engine, turbine, and power transmission…

Audio, video, and communications equipment…


Manufacturing and reproducing magnetic and…

Commercial and service industry machinery…

Computer and peripheral equipment…

Electric lighting equipment manufacturing

Medical equipment and supplies manufacturing

Electronic instrument manufacturing

Printing and related support activities

Pharmaceutical and medicine manufacturing

Ordnance and accessories manufacturing

Tobacco manufacturing

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Comparison with Egilmez et al. (2013)

• Following sectors have significantly higher supply-chain linked eco-efficiency compared to transportation focused eco-efficiency

– Food mfg.

– Leather and allied mfg.

– Motor vehicle mfg.

– Petroleum and coal products mfg.

0.06

1.00

0.20

0.11

0.12

0.26

0.05

0.20

0.08

0.07

0.18

0.20

0.08

0.21

0.22

0.21

0.15

0.25

0.48

0.17

0.13

0.25

0.29

0.32

0.89

0.32

0.33

1.00

0.11

0.39

0.69

0.26

1.00

0.37

0.47

0.36

0.28

0.34

0.35

0.36

0.41

0.34

0.47

0.75

0.81

0.43

0.54

0.52

0.38

0.41

1.00

0.67

1.00

0.45

0.22

0.25

0.29

0.30

0.31

0.31

0.32

0.32

0.34

0.35

0.37

0.37

0.37

0.37

0.43

0.44

0.44

0.45

0.45

0.45

0.46

0.47

0.49

0.52

0.52

0.53

0.53

0.53

0.54

0.54

0.55

0.55

0.58

0.59

0.60

0.62

0.63

0.63

0.64

0.66

0.68

0.69

0.70

0.70

0.72

0.73

0.75

0.77

0.78

0.78

0.86

0.94

0.97

1.00

0.0 0.2 0.4 0.6 0.8 1.0

Iron and steel mills and manufacturing from purchased steel

Food manufacturing

Paint, coating, and adhesive manufacturing


Agricultural chemical manufacturing


Pulp, paper, and paperboard mills

Forging and stamping



Other chemical product and preparation manufacturing

Architectural and structural metals manufacturing


Beverage manufacturing

Boiler, tank, and shipping container manufacturing

Textile product mills

Textile mills

Furniture and related product manufacturing


Foundries

Basic chemical manufacturing

Other miscellaneous manufacturing

Agriculture, construction, and mining machinery manufacturing

Household appliance manufacturing

Leather and allied product manufacturing


HVAC and commercial refrigeration equipment manufacturing

Motor vehicle manufacturing

Soap, cleaning compound, and toiletry manufacturing

U.S. Average


Other electrical equipment and component manufacturing


Electrical equipment manufacturing

Cutlery and handtool manufacturing

Industrial machinery manufacturing

Other general purpose machinery manufacturing

Other transportation equipment manufacturing

Metalworking machinery manufacturing

Apparel manufacturing

Semiconductor and other electronic component manufacturing

Engine, turbine, and power transmission equipment manufacturing

Audio, video, and communications equipment manufacturing


Manufacturing and reproducing magnetic and optical media

Commercial and service industry machinery manufacturing

Computer and peripheral equipment manufacturing

Electric lighting equipment manufacturing

Medical equipment and supplies manufacturing

Electronic instrument manufacturing

Printing and related support activities

Pharmaceutical and medicine manufacturing

Ordnance and accessories manufacturing

Tobacco manufacturing

Transportation Impacts Focused Eco-efficiency Overall Supply Chain-linked Eco-Efficiency

Overall Eco-

efficiency (Egilmez

et al., 2013)

Transportation-

focused Eco-

efficiency

Eco-efficiency

Scores

(Egilmez et al., 2013

Pearson Correlation 1 .536**

Sig. (2-tailed) .000 N 53 53 Transportation

Focused Eco-

efficiency

Pearson Correlation .536** 1

Sig. (2-tailed) .000 N 53 53 **. Correlation is significant at the 0.01 level (2-tailed).

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Summary and Conclusion

• Transportation-focused life cycle inventory of U.S. manufacturing sectors is quantified for GHG emissions, energy and water use.

• Integrated EIO-LCA and DEA method is applied.

• Comparison with previous work (Egilmez et al., 2013) is provided.

• Results indicated that food manufacturing is a driver sector for transportation related impacts

– Food supply chain in the U.S. need to be shortened/optimized • Practical policies that force food industry to localize the production and discribution

– Options such as mode switch, environmentally friendly transportation can be implemented toward reducing the overall impact

– Food consumption and waste need to be re-visited and connected with current supply chain linked assessment works (e.g. Egilmez et al. , 2014)

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More (Future) Work?

• Mode specific assessments and optimal intermodal scenarios

– (truck, air, rail, water)

• Life cycle impact assessment – (e.g. ozon depletion, global warming potential, eco-toxicity,

euthrophication, etc. )

• Structural path analysis – Thru supply chain nodes

• Dynamic macro-level life cycle assessment – System dynamics plus EIO-LCA

– Agent-based models plus EIO-LCA

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Thank You!

QUESTIONS?

Gokhan Egilmez, PhD

E-mail: [email protected]

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Eco-efficient subsectors

• Eco-efficient subsectors

Tobacco product manufacturing

Ammunition manufacturing

Support activities for printing

Biological product (except diagnostic) manufacturing

Electricity and signal testing instruments manufacturing

Industrial process furnace and oven manufacturing

Carbon black manufacturing

Pharmaceutical preparation manufacturing

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References

• Egilmez, Gokhan, Kucukvar, M., & Tatari, O. (2013). Sustainability assessment of U.S. manufacturing sectors: an economic input output-based frontier approach. Journal of Cleaner Production. Retrieved from http://dx.doi.org/10.1016/j.jclepro.2013.03.037

• Egilmez, Gokhan, Kucukvar, M., Tatari, O., & Bhutta, M. K. S. (2014). Supply chain sustainability assessment of the U.S. food manufacturing sectors: A life cycle-based frontier approach. Resources, Conservation and Recycling, 82, 8–20.

• Research and Innovative Technology Administration (RITA) - U.S. Department of Transportation (US DOT). (2012). Shipment Characteristics by Industry for the United States: 2007 | Bureau of Transportation Statistics. 2007 Commodity Flow Survey United States. Retrieved from http://www.rita.dot.gov/bts/sites/rita.dot.gov.bts/files/publications/commodity_flow_survey/final_tables_december_2009/html/table_05.html

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