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Transcript of Uni Lev Erlca
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Applying Life CycleThinking in Unilever
Dr Peter Shonfield
Overview
g Introduction to Unilever
g Life cycle assessment (LCA)
nwhat is LCA?n applying LCA to innovation
n integrating LCA into strategy
development
g Sustainability Initiatives
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Unilever... facts and figures
g 240 000 employees
g 2003 turnover ~ 43 billion
g 400 manufacturing sites reporting in
76 countries
g Develops, manufactures and sells
n foods and tea-based drinks
n home and personal care products
g Every day 150 million consumers buya Unilever product
Unilever: Foods
Our foods brands include:
g Knorr
g Bertolli
g PG Tips
g Magnum
g Liptons
g Hellmans
g Colemans
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Unilever: Home and
Personal Care
Our home and personal care brands include:
g Dove
g Cif
g Persil
g Domestos
g Sunsilk
g Comfort
gLux
What is Life Cycle Assessment?
LCA is a tool for evaluating the
environmental burdens associated with aproduct, process or activity over its entire
life cycle
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Scope of LCA
Environmental Impacts
Using renewable
materials?
Choice of technology
for extracting raw
material?
Polluting productionprocesses?
DisposalIngredients Manufacture Distribution Use
Environmental Impacts
How will product get to
customers?
How much energy will
the product use?
Environmental Impacts
What happens when the
product is finished with?
How will it be disposed
of?
Can it be
reused/recycled?
Cradle Grave
LCA Methodology
Raw
Material
Raw
MaterialUseUse End of LifeEnd of Life
Emissions to air, water and land
Manufacturing & DistributionManufacturing & Distribution
Raw material and energy consumption
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LCA Methodology
Define Scope &
Boundary
Model Processes
& Activities
Build ModelLife Cycle
InventoryInputs:
Raw
Materials, Energy
Carriers, Water
Outputs: Airborne
& Waterborne
Emissions, Solid
Waste
Life Cycle Impact
AssessmentGlobal Warming
Acidification
Resource Depletion
Eutrophication
Etc.
Output: Eco-profile
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Value and Benefit of LCA
g LCA is a holistic technique
g Helps avoid the problem of burden shifting
g Used to identify where impacts occur in the
supply chain and where major improvements
can be made
g LCA can assist with developing strategy to
reduce impacts
But there are drawbacks...
g Time consuming
g Requires large amounts of data
g Data quality is importantg Results are often dependent upon the
assumptions made
g Not suitable for assessing all environmental
impacts
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Applications of LCA
externalinternal
tactical
strategic
Industry
Benchmarking
Technology
Assessment
Sales
Support
GHG
Measurement
Performance
Improvement
Product Design
Sustainability
Review
Labelling
Environmental
Reporting
Marketing
Environmental
Reporting
Labelling
Performance
Improvement
Product Design
GHG
Measurement
Sales
Support
Sustainability
Review
Generic
Data Sets
LCA in the Innovation Process
g Product/process comparisons
nAssess product/process options and
improvements
n Explore design alternatives (e.g. materials,
recycling, in-use habits, disposal, etc.)
g Category Assessments
n Improve understanding of product
environmental performance
n Identify hot-spots
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Unilever LCA Studies
g HPC
n Laundry
n Dishwash
n Wipes
n Deodorants
n Toothpaste
n Shampoo
n Soap
n Showergel
g Foods
n Ice Cream
n Frozen Peas &
Spinach
n Tomato Sauces
n Margarine
n Tea
n Savoury
n Dressings
SURFACTANT BUILDER STAINREMOVERFOAM
CONTROL
AGENT
ANTI-
CORROSION
AGENT
SOIL
SUSPENDER
MINORS
MANUFACTURING
PLANT
FW POWDERPACKAGING
CARDBOARD
PLASTIC
ENERGY
GLUE
ENERGY
SCRAP
RECYCLE LANDFILL INCINERATE
SOLID
WASTE
FABRIC WASHING
PRODUCT
WASHING MACHINE
WATER-BORNE
EFFLUENT
SEWAGE WORKS
Discharge to Environment
Sludge
Solids
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Identifying Areas for
Improvement
0
10
20
30
40
50
60
70
80
%o
flifecycletotal
Ingredients Packaging Product ion Transport Use Disposal
Energy Global Warming
Fabric washing product
Identifying Areas for
Improvement
Fabric washing product
0
10
20
30
40
50
60
%o
flifecyc
letotal
Ingredients Packaging Product ion Transport Use Disposal
Solid Waste Eutrophication
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Actions taken
g Development of unit dose products such
as tablets and liquid capsules to prevent
over-dosing
g The Wash-Right campaign to reduce
impacts during the consumer use phase
n avoid under-filling the machine
n use lowest temperature
n use correct dose of detergent
n dispose of packaging properly
Brochures
see www.unilever.com under
Environmental Management/LCA
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Measure Environmental
Improvementsg Look at European washing powders 1976-1996
g Product changesn formulation
n packaging
n dose
n compacts
g Other changes
n wash temperature
n
water consumptionn electricity mix
n improved sewage treatment
Energy
GWP
Acidification
Phot Smog
Nutrification
Ecotoxicity
Solid waste
Chemical load
0
0.2
0.4
0.6
0.81
1.2
RelativeContributio
n
1996Compact
1996Conventional
1986Conventional
1976Conventional
Comparison at Recommended dose
LCA Profile of Fabric Washing
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Strategic Studies
g Overall Business Impact Assessment
(1997)
g Water Volume Imprint (2001)
g Greenhouse Gas Emissions Assessment
(2003)
Overall Business Impact
Assessment (OBIA)
g LCA of Unilevers annual global business
g Using generic product life cycles adjusted for
production tonnagegAims:
n to estimate the scale of Unilevers
environmental footprint vs. global impacts
n to identify key environmental issues
n to improve understanding of our business
and products
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Unilevers Water Volume Imprint
Ingredients Packaging Manufacture Use
% Water Use by Life Cycle Stage
Water Scarcity in Africa
UNEP Global Environmental
Outlook Report 2000
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Example of a Regional
Assessment
Country Unilever Unilever Annual Potential
Consumer Factory Resource Scarcity% Total % Total m3/capita
Cote d'Ivoire 0.69 5265
Ghana 0.47 1607
Kenya 0.78 696
Malawi 0.16 1690
Nigeria 0.17 1815
South Africa - 1011
Uganda 0.06 1829
Zaire - 19001
Zambia 0.63 9229
Zimbabwe 0.38 1182
Sustainable Development
Initiatives
g Unilever has committed to three
sustainable development themesnSustainable Fisheries
nSustainable Agriculture
nClean Water Stewardship
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LCA and the Sustainable
Agriculture Initiative (SAI)
Detailed LCAs have been conducted on each
sustainable agriculture pilot crop
nProvides understanding of environmental
impacts across agricultural supply chains
nPlaces agricultural stage in context with
rest of supply chain
nAids in the development of sustainability
indicators
Scope of SAI and LCA
Primary Raw Material Extraction
Production of Fertiliser/Pesticide/etc
Planting/Growing/Harvesting
Factory Processes
Retailer
Consumer Use
Disposal
Distribution
SAI
LCA
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Summary
g Environmental issues are becoming
increasingly importantg Failure to address these issues can damage
brand reputation
g LCA is a useful tool to measure, understand
and communicate environmental performance
n innovation process, product design
n communication with external stakeholders
n extend life cycle thinking into strategy
development