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BSBSUS501 Assessment

Assessment 1: Short Answer Questions


Question 1
What is an industry code of practice and what are the aims of such codes?

Question 2
Why is it important to have a good understanding of environmental legislation that affects your
business or the industry within which you work?

Question 3
What is a formal organisational environmental policy? What might be covered by or included
in an organisation’s environmental policies and procedures?

Question 4
What is an environmental management system (EMS)?

Question 5
What are the benefits of using procedures? How can staff find information about procedures
and how should procedures be taught?

Question 6
Outline at least 2 typical barriers. What strategies can address resistance or barriers when
implementing policies and procedures in an organisation?

Assessment 2: Case Study

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You have just been employed as a sustainability manager in ABC Company. As an organisation,
ABC Company has embedded sustainability into its charter as is indicated by company mission
statement and sustainability policy. The company business plan also mentioned sustainability
policy, but neither it nor the current operational plan contain any detail for implementation of
the sustainability initiatives in the policy.
Your CEO developed your position description with an emphasis on transforming the mission
statement and sustainability policy into a plan for implementation. You need to complete the
tasks below.
1. Access the ABC vision, mission and values statement and sustainability environmental
policy. Examine the scope of these documents and review them against the criteria
listed below:
 Minimising resource use
 Increasing resource efficiency
 Reducing toxic material and hazardous chemical use
 Employing life cycle management approaches
 Continuous improvement
In examining the scope of these documents, you will also need to review the continuous
improvement procedures, supplier policy, purchasing resource acquisition policy,
purchasing resources acquisition procedures, risk management policy and risk
management procedures. As an outcome of this examination, prepare a table that
outlines how the scope of the ABC sustainability policy may need to change. Include a
brief supporting justification.

Ans.

Sustainability is about cherishing biodiversity and human wellness, equity, and freedom.
It means maintaining economics security without contaminating the water, soil, and air.
It requires creating economics and social systems that concurrently meet human
physical needs.Sustainability is achieved when we understand the economic,
environmental, and social consequences of our actions and make deliberate choices that
allow all people to lead healthy, productive and enjoyable lives.

Sustainability is not something that just happens, it is something that should be planned,
communicated and integrated into an organisation’s culture from the very top of the
structure, down through all the layers. Sustainable workplace policies build on an
organisation’s commitment to sustainability through developing the capacity of staff
members to become active contributors to local workplace solutions to the pressing
global environmental problems, such as climate change, environmental pollution and
the degradation of natural resources

The environment you work in can have an impact on how well you do your job and
how well you feel. Working in a safe, comfortable environment helps to keep you
focused on what is important: doing your job. But if your work environment causes
stress or makes you feel ill, you are likely to focus more on what is causing the
discomfort than working.

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• Stress
A high-stress work environment can lead to health problems and work errors. These
issues are compounded if employees feel pressured into skipping vacations or working
through illnesses rather than taking sick days. Fatigue and frustration can set in,
reducing the quality of work getting done. Safety can also be affected when mistakes
become accidents. It is not just the employees who suffer from high-stress environments.
Their employers are also impacted. Companies in which stress-related problems are a
cultural norm could suffer financially from poor-quality work and high rates of
employee turnover.

• Air quality
Poor air quality isn’t just a problem in manufacturing or heavy-duty work sites than
emit pollutants. Office buildings that are sealed up tight and rely on air circulation
systems can end up circulating viruses, molds, allergens and even gases or residue from
toxic cleaning chemicals. Environments with low humidity levels contribute to sinus
and dry eye issues, while high humidity introduces biological pollutants. As with a
high-stress environment, a work environment with poor air quality can affect the health
of employees and, subsequently, their quality of work.

• Noise
A noisy work environment can cause headaches in the short term. Repeated exposure
over a long period of time can lead to hearing loss and heart disease. As with a high-
stress environment, employees can find it hard to concentrate when noise levels reach
the point where normal conversation becomes difficult, and the quality of work being
done can suffer as a result.

• Ergonomics
Insufficient lighting and uncomfortable desk chairs are examples of workplace
ergonomics that can lead to health problems, fatigue and reduced productivity and work
quality. Poor lighting causes eye strain and can also affect employee decision making.
If an employee must visually inspect products, poor lighting can lead to judging a bad
product good or a good product bad. Uncomfortable desk chairs can lead to poor posture
and the development of musculoskeletal disorders, which could increase health care
costs and employee absenteeism

2. Review the ABC sustainability policy against federal and state/ territory environmental
and sustainability legislation to ensure that the scope of the policy is adequate to
accommodate legislative requirements.

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a) Make a table of relevant federal and state/ territory legislation that should be
considered and the key aspects of each law that should be built into the
sustainability policy.
b) Prepare a further table that outlines how the scope of the sustainability policy
may need to change in order to reflect the legislative requirements that you have
determined are relevant. Include a brief supporting justification.

Developing strategies and practices to manage the huge quantities of waste generated globally
is a key environmental challenge. Population growth, patterns of increased consumption, and
industrialisation of developing nations are placing additional pressures on systems that manage
waste.
Traditional approaches to waste management rely on the natural environment to absorb and
assimilate unwanted by-products. Environmental impacts associated with waste disposal
include land contamination, methane emissions, leachate discharges, odour, flammability,
toxicity, and consumption of productive land resources

Legislative and policy authority


This section outlines government legislation and policies that are relevant for waste
management and resource recovery. These are:
 Environment Protection and Biodiversity Conservation Act 1999 (Cth)
 Product Stewardship Act 2011 (Cth)
 Hazardous Waste (Regulations of Exports and Imports) Act 1989 (Cth) as a national
response to the Basel Convention on Transboundry Movement of Hazardous Waste
 National Waste Policy: less waste, more resources
 Australian Packaging Covenant – Action Plan 2010-2015
 Australian Government ICT Sustainability Plan (ICTSP) 2010-2015
 State Government Environment Protection Legislation and Regulations, such as the
Protection of Environment Operations Act 1997 (NSW)
 Local Government Environmental Planning Policies (LEPPs)

Australian Government measures and targets


The Australian Government has set measures and targets for agencies to improve waste
management and resource recovery. These are:
Policy July July July
Authority 2011 2012 2015
e-waste reused or recycled ICTSP/APC 75%

ICT packaging recycled (target relates to


July 2010 but applicable to all forward ICTSP/APC 65%
years)

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Department officials – responsibilities and actions
This section outlines the required actions for department officials to comply with government
legislation and policy, as well as a pathway to avoid sending hazardous and toxic waste to
landfill, recovery and remanufacture waste resources into high-valued commodities, and seeks
to promote and improve eco-efficiency.

General office waste (inc. stationery, paper, commingled, cardboard, organic)

Department officials 1 Comply with the above legislation, regulations and


directly responsible for the policicies
management and disposal of
general office waste 2 Apply strategies and procedures to effectively manage
general office waste, including provisions contained
in the Australian Packaging Covenant – Action Plan
2010-2015 – aiming to recovery resources for high
valued commodity processing.

3 Ensure landfill waste facilities and receptacles are


established in all building sites at convenient and
accessible locations consistent with requirements as
outlined in the Design Manual for Office
Accommodation as well as, Design Guidelines –
Service Centres and Office Performance
Specifications – Service Centres – for Remote Area
Service Centres, Refurbishments and Call Centres.

4 Ensure recycling facilities and receptacles are


established and maintained in all building sites at
convenient and accessible locations where cost
effective and practical, including but not limited to:
 Commingled waste (council curb-side
recycling items)
 Paper waste (classified and non-classified) in
accordance with the Security Policy
 Cardboard waste
 Organic waste

5 Apply and promote procedures for the responsible


disposal of general office waste to suppliers,
contractors and other department officials involved in
general waste disposal.

6 Maintain accurate and complete records for reporting


purposes on the types of general office disposal

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infrastructure at each building site and the method of
disposal.

All department officials 7 Use the appropriate disposal infrastructure for landfill
and recyclable office waste.

8 Ensure surplus office supplies, such as stationery, are


reused where practical.

9 Ensure paper waste is appropriately disposed in


accordance with the department’s Security Policy.

10 Use “print preview” prior to printing (ie use the print


preview function).

11 Print paper double-sided or duplex for relevant


documents.
12 File documents using the Corporate Records
Management Branch procedures and use electronic
document records management systems wherever
possible.

ICT equipment and consumable waste

Department officials 1 Comply with the above legislation, regulations and


directly responsible for the policies
management and disposal of
electronic waste (or e- 2 Apply strategies and procedures to responsibly and
waste) effectively manage e-waste and ICT packaging waste as
required by the Australian Government ICT
Sustainability Plan 2010-2015, National Waste Policy,
Australian Packaging Covenant, and to meet the
Australian Government targets outlined in Section 5.3,
as well as aiming to recovery resources for high valued
commodity processing.

3 Recycle ICT waste, including but not limited to:


 e-waste;
 telecommunications equipment (inc. mobile
devices);
 cabling;
 toner cartridges; and
 packaging

4 Ensure surplus ICT equipment is reused where practical


and cost effective.

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5 Apply and promote procedures for the responsible
disposal of ICT and consumable waste to suppliers,
contractors and other department officials involved in
ICT and consumable waste disposal.

6 Maintain accurate and complete records for reporting


purposes on the types of disposal infrastructure at each
site, the types and units of ICT equipment being
disposed, and the method of disposal.

All department officials 7 Use the appropriate disposal infrastructure for ICT
waste (such as mobile phones) and related consumable
waste (such as toner cartridges)

Refurbishments and relocations waste

Department officials 1 Comply with the above legislation, regulations and


directly responsible for the policies
management and disposal of
building refurbishment and 2 Apply the environmental standards for waste
relocation waste management as outlined in the Design Manual for
Office Accommodation as well as, Design Guidelines –
Service Centres and Office Performance Specifications
– Service Centres – for Remote Area Service Centres,
Refurbishments and Call Centres. These include
provisions for NABERS waste and Green Star ratings,
as well as aiming to recover resources for high valued
commodity processing.

3 Reuse and/or recycle – where cost effective and


practical, including but not limited to:
 workstations, desks and cabinets;
 carpets and tiles;
 windows and doors;
 bulk heads;
 paints and solvents;
 packaging; and
 ad hoc materials including glasses, woods,
metals, ceramics and plastics

4 Apply and promote procedures for the responsible


disposal of building refurbishment and relocation waste
to suppliers, contractors and all department officials
involved in building refurbishment and relocation waste
disposal.

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5 Establish reuse and recycling disposal infrastructure for
large office relocations so as to optimise resource
recovery.

6 Maintain accurate and complete records for reporting


purposes on the types of disposal infrastructure (waste
stream type) at each site, the types and units (or volume)
of items being disposed, and the method of disposal.

All department officials 7 Use the appropriate disposal infrastructure for items
being discarded during office relocations.

Office equipment, appliances and consumables waste

Department officials 1 Comply with the above legislation, regulations and


directly responsible for the policies
management and disposal of
office equipment and 2 Apply strategies and procedures to effectively manage
appliance waste office equipment, appliances, and consumables waste –
aiming to reuse or recovery resources for high valued
commodity processing.

3 Reuse and/or recycle – where cost effective and


practical (ensuring OH&S issues are considered),
including but not limited to:
 white goods;
 kitchen appliances;
 miscellaneous equipment; and
 packaging

4 Maintain accurate and complete records for reporting


purposes on the types of disposal infrastructure (waste
stream type) at each site, the types and units (or volume)
of items being disposed, and the method of disposal.

5 Apply and promote procedures for responsible disposal


of office equipment, appliances, and consumables to
suppliers, contractors and other department officials
involved in office equipment and appliance waste
disposal.

All department officials 6 Use the appropriate disposal infrastructure for office
equipment, appliances and consumable waste, such as
toner cartridges.

Hazardous waste (batteries, fluorescent tubes, asbestos)

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Department officials 1 Comply with the above legislation, regulations and
directly responsible for the policies
management and disposal of
hazardous waste 2 Apply strategies and procedures to effectively manage
hazardous waste consistent with the requirements as
outlined in the Design Manual for Office
Accommodation as well as, Design Guidelines –
Service Centres and Office Performance
Specifications – Service Centres – for Remote Area
Service Centres, Refurbishments and Call Centres.
These include provisions for NABERS energy and
Green Star ratings, as well as aiming to recovery
resources for high valued commodity processing.

3 Ensure disposal infrastructure for hazardous waste is


established and maintained, where practical and cost
effective – including but not limited to:
 batteries;
 lead and lead based products;
 fluorescent tubes and compact fluorescent
globes; and
 asbestos (mandatory)

4 Maintain accurate and complete records for reporting


purposes on the types of disposal infrastructure (waste
stream type) at each site, the types of items being
disposed, and the method of disposal.

5 Apply and promote procedures for the responsible


disposal of hazardous waste through suppliers,
contractors and department officials involved in
hazardous waste disposal.

All department officials 6 Use the appropriate disposal infrastructure for


hazardous waste.

Infectious waste (sanitary, first aid)

Department officials 1 Comply with the above legislation, regulations and


directly responsible for the policies
management and disposal of
infectious waste 2 Apply strategies and procedures to effectively manage
infectious waste consistent with the requirements as
outlined in the Design Manual for Office
Accommodation as well as, Design Guidelines –
Service Centres and Office Performance

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Specifications – Service Centres – for Remote Area
Service Centres, Refurbishments and Call Centres.

3 Ensure disposal infrastructure for infectious waste is


established and maintained, where practical and cost
effective – including but not limited to:
 sharps bins
 sanitary; and
 first aid

4 Apply and promote procedures for the responsible


disposal of infectious waste to suppliers, contractors
and department officials involved in infectious waste
disposal.

5 Maintain accurate and complete records for reporting


purposes on the types of disposal infrastructure at each
site, the types of items being disposed, and method of
disposal.

All department officials 6 Use the appropriate disposal infrastructure for


infectious waste.

Organisations must meet the above regulations, but may also choose to include in their plan
voluntary environmental actions to reduce their environmental impact. For example,
companies may consider the impact of their environmental aspects on the surrounding
community.

Sustainability and ethics relate to people, the environment and legislative compliance. They
are directly linked to business operations. Business ethics or ethical business practice is
business practice which exploits neither people nor the environment.
Relevant laws and regulations can include international, Commonwealth, state/territory,
industry and organisational.

Stakeholders Organisational impact

People Educate internal people is the beginning. Makes an organisation be reliable.

Policies Are necessary to align the organisation and stakeholders in environment


objectives.

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Customers An organization not committed to the environment could lose customers.

Society A committed organization will be appreciated by society and is a way of


educating society.

Elements Taking care of the environment creates less pollution, that way the
organisation protect the elements.

Resources For example a recycling culture generates a decrease in the use of resources.

3. Access the organisation charts and examine them to determine the roles of managers in
the organisation. Using the current policies and procedures that you have reviewed,
prepare a series of questions for each manager that will assist you in determining the
current extent of implementation of sustainable practices at ABC. Present these
questions in table form with an adjacent column that provides a short explanation of
how each question will assist in planning and developing sustainability policy.
Ans.

Questions Explanation

What's our carbon footprint? Since carbon dioxide has become something
of a surrogate for environmental impact, this
is the question most executives are asking.
Do not be surprised if this question is
accompanied by another more academic one,
namely "what is a carbon footprint anyway?"
How "green" are our products? This question tends to follow very quickly
since products are the lifeblood of any
company. Again, the likely follow-on is
something like "exactly how do we
determine if our products are green?" As
Greenbiz has reported, the area of product
standards and ecolabels is rapidly changing
Where do we stand relative to our A frame of reference is always important and
competitors? most companies tend to look to competitors,
customers and similar companies (i.e. size,
revenue, location, industry) for benchmarks.
Thanks to the internet and the growing trend

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towards corporate reporting, this task of
benchmarking has become much easier
How do we become a greener company? This is the question you have been waiting
for because it is starting to look and feel like
a commitment to enhance sustainability is
being made. It is also the most complex in
many ways since the answer can literally
involve every part of an enterprise and its
supply chain. This is also a question that
involves both near-term tactics and project
management as well as longer-term program
development and strategy.
How educated and engaged are our This is another question that signals a
employees? sustainability journey is maturing since the
conversation is expanding beyond the small
knot of key managers and executives to the
entire workforce. Attaining some real
amount of cultural transformation is also
extraordinarily challenging in many
organizations, particularly larger ones. Your
answer to this query should definitely
include a recommendation of patience and
staying power.
Who are our "stakeholders" and what do they The notion that sustainability extends well
think of our performance? beyond the boundaries of the corporation and
that various groups and individuals care
about your performance is often difficult for
some executives to accept. On the other
hand, "feedback" is a key ingredient in
employee development and in customer
engagements, so that sort of context may aid
the conversation.
Which groups do we need to partner with This is another area where extensive
research, benchmarking and some pilot
projects is usually in order. Two very
effective organizations, say a corporation
and a nongovernmental organization, will
not necessarily find their collaboration
successful.
What are our key sustainability metrics? The old adage "what gets measured, gets
managed" is still a good start. However, be
prepared to educate your colleagues on this
subject as well, e.g. a facilities team
accustomed to managing its energy spending
has to be reoriented to manage kwH and
therms. There are also some emerging
metrics that bear consideration, e.g. the latest
metric in the sustainability field is return on
investment (ROI), how much have you saved
through sustainability investments.

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Calculating an aggregate ROI involves some
tracking many companies are not currently
doing.
How do we set improvement goals in this This somewhat innocuous question has many
area? implications and also requires a lot of data
collection, analysis and planning. What
levels can we achieve while growing our
business, what will the projects involved cost
us, how quickly can we achieve the goals
(subtext: if everything goes right) and how
will others perceive the goals. One other
related question that gets teed up is whether
the goal should be absolute or normalized;
you should note that U.S. EPA's Climate
Leaders recently announced that its partners
must set absolute goals.
How do we innovate and offer greener This again goes to the heart of an enterprise
products and services? and the answers are sometimes elusive, not
surprisingly since innovation is usually the
result of a process. Innovation can be
encouraged and nurtured, often without a
guarantee of success, but resources and a
commitment are a good starting point.

These questions reflect the several elements


that are essential to a sustainability program:
Data gathering, planning and analysis,
tactics, target setting, strategy, continuous
improvement, design for environment and
employee and external engagement. The
other lesson for managers in these questions
is that they are focused upon your business
and cannot be addressed with generalities.
That is one reason so many sustainability
managers will tell you the most important
tool in their toolbox is knowing their
companies -- who to call, where to look,
whom to engage. Undoubtedly some new
challenging questions will emerge in this
field, but the basics will have continued
vitality.

4. Given that ABC is a large manufacturing and retail business, prepare a table of external
information sources that could assist in planning and developing sustainability policy.
List at least 2 sources with an adjacent column that provides a short explanation of the
type of useful information that each source could provide.

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Ans.

A sustainable policy is in place to have a company to have and follow environmental


legislation. In the policy of sustainable there should be the purpose of the policy, the
scope, legislation and the responsibilities. A good policy should include some policy
underpinnings option to be successful. Here I will discuss three different options of
policy underpin. With the support of these factors, the policies can be implemented by
manager and everyone in the organisation will commit to it.

1) Consultation

To have your policy accepted by others and understand well by other, the management
should collect information and input from others. The consultation should be value and
should approach to all internal and external people in a business. You need to
communicate with all people that are affected to have their input and acceptance

2) Compliance

The sustainable policy should be created with the knowledge of relevant legislation that
is related to sustainability. Relevant policy legislation and acts for example to be
following are environmental protection act, clean energy legislation and also
environment protection and biodiversity conservation act. This legislation can help the
business to draft the sustainable policy with more knowledge on the best practice of the
industry to be sustainable.

3) Capacity

An overview of the requirements, terms and resources for the policy should be
conducted. The policy should have show the responsibilities, elements and resources
required. The outline of description on employee training should also outline if possible
for a clear overview.

An effective sustainability policy must be understood, agreed to and adhered to at all


levels of the organisation. Therefore, the policy must be communicated clearly to all
stakeholders, and opportunities must be provided for feedback and clarification.
Methods of achieving this include:
• Staff training on the policy and its set objectives, held as part of an induction,
or on specified training days.
• Checklists, such as resource usage audits and purchasing checklists
• Signs around workplace (eg ‘Switch off before you leave’)
• Using email to send sustainability messages from relevant people in the
organisation, such as the manager or Sustainability Officer.

Examples of external information sources are: Government, trade groupings,


commercially provided information, database and research. If a company uses external

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sources of information then they must be sure of the reliability of the data sources. Here
are some examples of how the company could use information supplies by external
sources.

Government: Information supplied by the government is definitely coming from a


reliable source as this is the governing body that they business operates within.
Companies need to use important legal information from the Government to help run
the business successfully and legally. For example if a company had over 1,000
employees that were being paid the minimum hourly rate as outlined by the
Government and the rate changes then the company needs to take this information on
board and increase the wages for the staff on this wage range. Another example would
be if the Government offered businesses grants for opening manufacturing plants in
areas of high unemployment a company might use this information to their advantage
to set up a new plant at a lower cost than in another area.

Databases & Research: Companies can research information that might help them
increase the sales and level of interest in their business. The key thing to researching
information that helps run your business to ensure it is accurate and reliable. Some
companies will pay to access commercially available databases that offer a range of
information directly based on their business sector. Many companies can make money
creating this information by analysing currently available sales stats in particular
business sectors. When using any external information source it is absolutely essential
to be sure about the reliability of the data sources and sometimes it is worth paying to
access relevant information.

5. Prepare a table of stakeholders, internal and external, who should be consulted in


planning and developing sustainability policy. List at least 2 stakeholders with an
adjacent column that provides a short explanation of what influence each may have in
planning and developing sustainability policy.

Ans.

Employees Consultation with employees and giving employees the opportunity to


participate in planning equals ownership, understanding of and support for
plans and initiatives. It motivates employees to improve and to contribute to
continuous improvement, because it shows that the organisation values
employee opinions, expertise and experience.

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Customers Competition for market share means that the public and customer approval
reflects greatly on the organisation’s ability to maintain current business
activities and generate future business opportunities.

The local Individuals and groups in society have become more assertive about
community challenging failures in duty of care and the ethical and environmental
interactions of corporations. They are willing to withdraw financial support,
in terms of stockholding, purchasing and boycotting unethical organisations.
For all organisations, whether they are industrial, commercial, private or
public sector, stakeholders, and in particular, customer needs and
expectations, are of paramount importance. These do not only relate to
product/service but also to perceptions of the organisation’s ethics and
sustainability activities.

Suppliers All organisations are part of a supply chain. A world-wide network of


business entities, suppliers, factories, warehouse, distribution centres, and
retailers through which raw materials are acquired, transformed, and
delivered to customers along the chain, until they reach the consumer or end-
user -customer. The resources that flow between these various entities, each
of which strives for profit maximisation, are materials and information.

Other Stakeholders or stockholders who are the beneficiaries or financial


stakeholders successes are, in many instances prepared to support sustainability, they can
sometimes have a different priorities from those of others stakeholders (our
banking systems are good example of the disparity between stockholders
and stakeholders).

6. The CEO has reviewed your scoping and consultation documents and provided
feedback. She noted that there is nothing to indicate the positive effects that sustainable
practices will have on the business such as cost savings, or increased sales or return on
investments. Prepare a short briefing paper that could be presented to senior
management, explaining how implementation of a sustainability policy could benefit
the organisation financially.

Ans.

Reduce Energy-Related Costs

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Energy and water costs are a prime concern for manufacturers. Focusing on
improvements can reduce these expenses. Often, these improvements are realized as
annual savings as opposed to quicker, short-term cost reductions.

Switching to energy-efficient lighting and adjusting lighting levels in accordance with


your production schedule will reduce your long-term electrical costs. Regular
equipment inspections will also prove beneficial. For example, air compressor leaks
can be a waste of energy and increase expenses. Changing how you package your
products and supplies can provide cost reductions and free up space at your facility.
Solar and wind energy, along with energy efficient equipment and machinery, will
greatly reduce monthly utility bills. Implementing strategies such as recycling and
going paperless will also save on supply costs. Sustainability can improve your bottom-
line.

Attract New Customers and Increase Sales


Green and sustainable practices can make your company more marketable. Consumers
are more conscious of the environment, and making improvements will strengthen your
reputation. Whether you’re an OEM or a supplier, highlighting your initiatives to the
public will help you attract a whole new base of customers, resulting in increased sales.
This is important to manufacturers seeking government contracts where green
manufacturing standards are often a factor.

Technology and social media have enabled buyers to easily (and publicly) promote or
criticize companies for their green practices, or lack thereof.

Tax Incentives
There are a variety of tax credits and rebates on both the federal and state level for
manufacturers who proactively implement more sustainable improvements. There may
be incentives available to your business.
Check out: Australian Department of Energy’s website Database of State Incentives for
Renewables & Efficiency

Boost Workforce Morale and Innovations

Sustainability improvements are a collaborative effort. When employees work together


to identify and implement green and sustainable initiatives, it fosters a culture of
teamwork and continuous improvement. Employees work harder when they are
engaged and have a sense of pride in their company. By internally communicating the
importance of changes and the impact they are having on the business and environment,
manufacturers will positively influence their corporate culture.

Sustainability can also ignite innovation. For example, if you challenge your engineers
and machinists to reduce material scraps or recycle more waste during the
manufacturing process, it often leads to additional ideas for operational improvements.

Societal Impact

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In addition to helping your company’s profitability, your actions can make a real
difference. By implementing changes, you will have a smaller carbon footprint and
reduce the number of toxins released into the atmosphere. Future generations ultimately
benefit from improved air and water quality, fewer landfills and more renewable energy
sources.

Sustainability and Green Manufacturing Success Stories


Australian manufacturers are achieving quantifiable results by working with their local
MEP Centers on sustainability and green initiatives. Some successes include:

E3 Review Strengthens Sydney Company's Environmental Commitment, Resulting in


Over $200,000 in Operational Cost Savings – read more.
Lean and Clean Programs Help Brisbane Manufacturer Realize $3 Million in New /
Retained Sales, 5 New Employees and $500,000 in Cost Savings – read more.
Profitable Sustainability Initiative (PSI) Helps Melbourne Company Reduce Fuel and
Emissions, Recognize $75,000 in Costs Related to Shipping – read more.
Energy Savings Project Leads Sydney Organization to more than $61,000 in Overall
Equipment Savings and $24,000 in Annual Energy Savings – read more.
Energy Efficiency Project Helps Canberra Manufacturer Reduce Energy Consumption
by 10% and Save $25,000 Annually – read more.

7. The current ABC sustainability policy has a number of sustainability initiatives. Prepare
a table that lists each of these initiatives and also includes at least 2 more initiatives that
you feel would be appropriate. For each of these initiatives, outline the steps or phases
that would be required to implement them, and prepare some performance indicators
that could be used to measure the ongoing outcomes of the initiatives.

Ans.

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LEVEL 1 Internal CSR:
Effective development & implementation of policy & practice, which assures social justice in
the workplace
LEVEL 2 KPIs
 Socially responsible employment and working conditions
 Socially responsible management policies and systems
 Socially responsible approach to personal development
 Socially responsible communication strategy and employee involvement

LEVEL 1 External CSR for Local Communities, NGOs and Shareholders:


Effective development & implementation of corporate governance structures, policies &
reporting mechanisms which contribute to more socially responsible external stakeholder
relations
LEVEL 2 KPIs
 Group policies with reference to internal & external CSR benchmarks & human
rights issues Sustained commitment to social performance evaluation &
reporting at local & corporate level
 Ongoing Group social audit
 Demonstrable tools throughout project life, including closure
 Sustained commitment to corporate social investment
LEVEL 1 External CSR regarding Government Relations:
Effective development & implementation of policy & practice, which assures socially
responsible engagement with government stakeholders pertaining to regulation, human rights
& corporate citizenship
LEVEL 2 KPIs
 Corporate compliance and accountability with respect to international, national and
regional regulations, restrictive measures and laws
 Commitment to strategy of corporate citizenship irrespective of laws in place and
government approach to enforcement
 Identification of human rights issues and commitment to their protection
 Proven commitment to government stakeholder dialogue and engagement as a
systematic principle of corporate policy from the outset to the end of a
project/investment
 Investigate more equitable ‘rent-sharing’ agreements
 Proven commitment to CSI as a mechanism for contributing to local and
regionaldevelopment plans in countries of operation

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Some of the management tools are listed below alongside brief explanations of their
purpose.
• Employee Survey
• Human Resource Managers Surveys at Group and Business School level
• Corporate Social Responsibility managers at Group and Business School level
• Audit and Verification/Evaluation Performance Criteria
• Guidelines for Ethical Supply Chain Management
• Guidelines for Managing Social Risk
• Guidelines for Community Compensation
• Considerations for Consultation with Local Communities
• Shareholder Questionnaire
• Guidelines on Community Investment

Key performance indicators


Key performance indicators must reflect the goals of the organisation and be quantifiable,
achievable and agreed on in advance of policy implementation. Ensure that employees
understand what they are expected to achieve, are capable of reaching the KPIs that
have been set and are in agreement with the expectation of their job description. Skill or
knowledge deficiencies will need to be addressed with training.
Example KPIs
• One hundred per cent compliance with sustainability policy
• Compliance with ISO 14001:2004 environmental management systems life cycle analyses
• Zero breaches of regulatory requirements
• A five per cent reduction per month for the next six months in solid waste generated
• A 25 per cent reduction in greenhouse gas emissions
• A monthly report on waste management
• One hundred per cent compliance with green purchasing guidelines
• Compliance with triple bottom line reporting
• 100 per cent safety record
• All staff have completed training in compliance requirements

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8. Revise the ABC sustainability policy based on the research and information collation
that you have undertaken. You also need to make sure there are appropriate strategies
at all stages of work for minimising resources use, reducing toxic material and
hazardous chemical use and employing life cycle management approaches.

Ans. Now that you have established the scope of the policy and gathered information from a
variety of internal and external sources, you can start constructing your policy. It is important
to include appropriate strategies in the policy at all stages of work for minimising resource use,
reducing toxic material and hazardous chemical use, and employing life cycle management
approaches.

An effective sustainability policy must be understood, agreed to and adhered to at all levels of
the organisation. Therefore, the policy must be communicated clearly to all stakeholders, and
opportunities must be provided for feedback and clarification. Methods of achieving this
include:

 Staff training on the policy and its set objectives, held as part of an induction, or on
specified training days.
 Checklists, such as resource usage audits and purchasing checklists
 Signs around workplace (eg ‘Switch off before you leave’)
 Using email to send sustainability messages from relevant people in the organisation,
such as the manager or Sustainability Officer.
Purchasing Procedures
Good purchasing procedures will identify and reduce potential waste before it enters your
business

 Material Review: Evaluate the materials used by your business, look for less- or
non-toxic substitutes, and purchase:
 The least toxic and least costly-to-handle products that work
 Higher-purity raw materials
 Noncorrosive raw materials
 Container Review: Consider your intended use and standard operating practices, and
purchase materials in the size and type of container which will minimize material
losses and costs:
 Buy in smaller containers if transfer from large to smaller containers is
generally required before use (There will be less potential for spills, material
evaporation, contamination from unused material returned to the original
container, and expiration of unused materials.)
 Buy in pre-weighed packages to reduce handling losses (if applicable)
 Buy materials used often in larger containers (Buying in bulk can reduce the
number of containers requiring disposal, especially if refillable containers are
used.)
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 Buy containers that are wider than tall (They have less "cling," resulting in
greater material use and less container residue.)
 Buy containers which minimize disposal problems (e.g. fillable pressurized
spray cans in place of single use aerosol spray cans)
 Chemical Samples: Establish a policy for accepting samples so they do not
accumulate and add to waste disposal load:
 Designate one person responsible for acceptance of chemical samples
 Test on a bench scale basis to reduce volume needing disposal
 Require that suppliers accept back the unused samples they provide
 Equipment Evaluation: Prior to purchase, ensure that new equipment:
 Is that which will generate the least amount of hazardous waste possible
 Can be easily maintained (Preventive maintenance can save 3-4 times the
equipment cost by reducing breakdowns and malfunctions.)
 Complies with applicable environmental and safety standards (Check with
regulating agencies. Use suppliers knowledgeable in these areas.)
 Centralized Purchasing: Channel material purchases through a central person or
department to:
 Eliminate unnecessary purchases
 Ensure that all waste reduction purchasing policies are followed
 MSDSs: Make certain that distributors supply you with Material Safety Data Sheets
for all purchased hazardous materials in order to:
 Know material hazards, proper safety precautions, and handling and
emergency response procedures
 Help you determine the nature of your wastes
 Evaluate Facility Design: Consider waste reduction when planning expansions, and
evaluate potential building purchases/leases to determine whether the building design
is amenable to waste reduction. Make sure that:
 Hazardous materials storage areas exist or can be easily installed
 Space and utilities are available for proper recycling and treatment needs, etc.

Receiving Procedures

Good receiving procedures will prevent acceptance of shipments which are off-spec,
incorrect, or improperly packaged, and reduce unnecessary waste generation, returns, and
spills:

 Control all incoming materials by:


 Receiving them in a specific, designated area
 Designing the area to prevent and control release of materials
 Train receiving dock employees on proper handling of shipments to prevent property
losses, injuries, and costly waste disposal
 Inspect shipments prior to acceptance:
 Check for opened, damaged, or leaking containers
 Check expiration dates and ensure proper labelling
 Test for off-spec materials
 Obtain MSDS if product is new (Employers must maintain a MSDS for any
hazardous chemical stored or used in the work place.)
 Use quality suppliers (quality and reliability are as important as cost):
 Supplier should deliver goods intact and according to your specifications
 Check the track record of your supplier with other companies or references

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 Review or create purchase agreements:
 Specify terms and conditions for receiving material orders
 Include provisions which allow you to inspect materials prior to acceptance
 Address responsibility in the event of a release (Specify terms under which
each party is responsible for cleanup or other expenses incurred to control an
incident.)
 Document agreements to ensure that specified procedures are followed (Remember,
suppliers want your business and should be willing to ship on your terms. If not, try
to find another supplier or change products.)

Inventory Control Procedures

Inventory control procedures are important for reducing management costs and potential
hazards associated with excess, off-spec, and expired materials:

 Set Inventory Limits: Set according to emergency response capacity. (How large an
inventory can your spill/emergency response equipment and personnel handle? The
more inventory of hazardous materials, the greater the chance for overcrowding
storage areas and resulting safety problems such as spills, exposures and fires.)
 Minimize Inventory: Buy and stock only what you need (Costs associated with
hazard risks, hazardous materials fees, and disposal of excess or expired stock may
outweigh the costs of waiting for resupply shipments.):
 Carefully consider large purchases (especially if only to get a discount)
 Time deliveries to coincide with production needs ( "just-in-time" system)
 Track Materials: Effectively track the shelf-life of time-sensitive materials and use
the oldest stock first ("first-in, first-out"):
 Label, date, and inspect new materials as they are received
 Keep records of dates of receipt and usage to help reduce overstock and
material degradation
 Inventory raw materials at least once per year
 Consider computerizing your tracking system
 Storage Conditions: Maintain proper temperature, humidity, etc. to reduce material
degradation
 Reduce the Number of Similar Products (e.g. If you use several types of solvents,
could fewer do the job? Reducing the number of solvents would improve inventory
control and enhance recycling opportunities.)
 Look for substitutes with longer shelf lives
 Use waste exchanges for overstock, off-spec, or expired materials

Raw Material Use and Handling

More efficient utilization of raw materials will reduce losses and unnecessary waste generation:

 Ensure that employees:


 Use supplies only for their intended purpose
 Use only the amount necessary
 Keep frequently used hazardous materials near the site of use to minimize
spills/accidents

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 Provide transfer methods which prevent spills and quality problems:
 Pipelines for intermediate transfer
 Gravity spigot or pump to dispense bulk liquid materials
 A spout and funnel for transferring liquids to different containers
 Proper connection/disconnection of hoses and lines
 Control access to hazardous raw materials:
 Designate central personnel to distribute materials
 Limit access to employees trained in hazardous materials handling and who
understand the importance of first-in first-out policy
 Keep records of when and why larger spills occurred in order to identify spill
prevention opportunities and document related costs
 Work with vendors to accept back excess, off-spec, or expired materials

9. Prepare a briefing document for ABC senior management that informs them of the
reviewed policy and suggested sustainability initiatives. The briefing document should
also outline the responsibilities of each senior management in implementing the policy
and its initiatives.

Ans.

The responsibilities of senior management


include:
• raising awareness of the policy initiatives and encouraging environmental practices
• providing information about roles and responsibilities of employees, daily operational
requirements, reporting mechanisms and consequences of noncompliance
• preparing step-by-step procedures for carrying out specific tasks
• reporting progress regularly to staff and external stakeholders
• dealing with media enquiries and business partners
• implementing purchasing agreements
• ensuring compliance with legislative requirements
• organising sustainability audits and reviews
• managing and rectifying breaches
• approving budget expenditure to achieve targets; for example, approving a quote for
installation of skylights
• arranging training for staff as needed.

The following information provides an outline of some communication strategies.


Communication strategies
1 Induction sessions
Ensure that information about the policy is included in induction sessions for
new staff.
2 Information sessions and presentations
Arrange whole staff information sessions and presentations to discuss people’s
responsibilities and provide the opportunity for feedback, making sure part-time
employees are included.
3 Explanatory steps

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Explain the steps to be taken to minimise resource use, reduce toxic material
and hazardous chemical use, and employ life cycle management. Present
these steps using notices, posters, intranet articles, blogs, memos and flyers.
Use pictures, photographs and graphics to ensure everyone understands the
procedure.
4 Intranet
Place articles on the intranet.
5 Newsletters
Place articles in the company’s newsletter that is distributed to full-time and
casual staff, customers, contractors and suppliers, business associates and
shareholders.
6 Teleconferencing
Hold teleconferences to include those in remote locations.

10. Prepare a short flyer that promotes the benefits of the sustainability policy to all staff.
The flyer should list the policy, key initiatives and the people responsible for
implementing the policy.
Ans.
Power it down!
Wow! It’s amazing the amount of electrical products that can be left in a standby mode
every evening. Be sure that all electrical equipment is fully shut down at the end of the day,
all those little red lights left on for months and months all add up to your carbon footprint
and your bills! Use compact fluorescent bulbs instead of incandescent ones. Take advantage
of natural sunlight as much as possible.

Green Transport
Consider the Bike to Work scheme, provide a safe place to park bikes up etc. Encourage
and help organise car-pooling (and who knows maybe even a bit of car pool karaoke!)
Promote walking to work or taking public transport. Every car off the road makes a
difference to air pollution and to the traffic! Creating environmental awareness around the
use of transport is always a step in the right direction, so ensure that your policy on this is
included in your environmental awareness training.

Go easy on the Paper!


It’s a habit we are all guilty of…….printing off documents when don’t really need them.
Make it a bit more inconvenient to print by setting your printer up with a password that
needs to be entered before printing, it might make you think again about printing that 100
page report (when you really only need to look at 10 pages of it!). Go digital on your
documents. The greenest paper is no paper at all, so keep things digital whenever possible.
The more you do online, the less you need paper.

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Get serious about your Waste Streams
We all know the three R’s at this stage, but do we really take them seriously? It’s very easy
to contaminate a whole bin of recyclable waste by placing the wrong item in the wrong bin.
Make it easy for employees, colour code bins, use pictograms for each waste stream and
most importantly ensure all employees complete environmental awareness training, which
should include the company’s policy on waste!

Use Green Materials


There is such a range of environmentally friendly products out there, you are sure to find
ones that suit your budget and your needs. On average, they only cost 5% more, which is a
small price to pay to reduce waste and pollution. Start small by swapping materials in the
office area; 100% recycled paper, refillable ink cartridges, non- toxic stationary items etc.
Encourage your cleaning company to swap over to environmentally friendly products.

Make Eco-Friendly Food Choices


Why not think about promoting the 100mile (or less!) diet – Local first; organic for high
consumption foods, not only is this friendly for the planet, but it’s also great for local
businesses. What about going Veggie for the next company lunch?! Cutting down on meat
can have a huge impact on the health of our planet. The more animals we eat the more land
we need to farm them and the more food we need to grow to feed them.
Water is Life!
Yes, water has had a lot of air time over the last two years in Ireland and unfortunately for
all the wrong reasons! Regardless of whether we live in country that is arid or wet, water
is a commodity that we should not take for granted. Every glass you pour has had to go
through some sort of process, which in turn is a use of energy and/or chemicals. So, be sure
to promote the conservation of water in your workplace, fix leaking pipes, install push taps,
encourage employees to take short showers (if you provide them) use water saving
appliances etc. For bigger companies, water conservation should be an area of priority, time
and investment must be given to ensure that it is in keeping with the company water policy.
Educate and Train!
Make sure all your employees are up to speed with your environmental policies. Get them
involved and ask their opinions on how you can all work greener. Get your company
involved with local environmental groups and encourage your employees to do so too.
Ensure you educate new employees in your environmental policies and procedures by
including them in your Environmental Awareness Training course
Do it yourself on paper sheet.

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11. Select 2 of the sustainability initiatives and develop procedures for their
implementation. The procedures should include:
 Agreed outcomes
 Performance indicators
 Activities to be undertaken
 Assigned responsibilities
 Record-keeping, review and improvement processes
Ans.
 Any sustainable business model is more valuable than short term focused ventures.
Value of any venture depends on expected returns and risk associated with returns.
Sustainable businesses have lesser risks associated with their future earnings. Triple
bottom line reduces uncertainty in availability of factors of production and also
accessibility to potential customers. Hence in long term, a sustainable business would
always comes out as a winner.

 One can argue that investors can move from one short term gain to another to
maximize their profit, but such an approach assumes that such investment options
would be available all the time. Market forces make sure that returns from any
investment are proportional to the risk it carries. Some investors may make quick
bucks in short-term focused business but there are always risks of losing such profits
if they do not exit at right time or if they put wrong bet in their next investment.

 For a collective good, we need to spread the awareness that sustainability is essential
for long term prosperity of the individuals. Some of us would continue to believe that
social benefits are different from individual benefits, but market would prove
otherwise. Good sustainability practices help companies gain a competitive edge.
Learn to tie sustainability to the core of your business.

 Continuous improvement is an ongoing cycle of review and evaluation of your


processes and procedures in your organisation. Having a continuous improvement
policy helps you to refine the way you do things to make it as effective and efficient
as possible.Having an improvement process means that all volunteers (and staff) can
contribute to the improvement of the way you work.

Having a continuous improvement process can also help to:

 Encourage participation from staff and volunteers


 Improve communication between volunteers, staff and management
 Reinforce your commitment to creating a positive work environment
 Provide an objective basis for decision making
 Create a proactive and planned approach to improving how things are done.

Stakeholder Promoting policy through

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Employees Meetings, email, training.

Suppliers Email

Other council agencies Video conference, email, phone

Local community Web site, local journal, promote on streets

Local businesses Website, email

12. The sustainability initiative to install a 150-megalitre rainwater tank needs to be


reviewed because of cost, logistics and outcomes. The following points need to be
considered in the review:
 There is a scale problem in the original policy initiatives as 1mega litre equals
1,000,000 litres
 ABC has 150 retail outlets and it is a better outcome to have rainwater collection
facilities at each location rather than 1 large tank at the head office
 The rainwater is intended for use in flushing toilets. Data indicates that the
average employee will use 30 litres of water per day in flushing toilets. The
typical ABC location has approximately 30 employees
 The cost of installing a rainwater tank is estimated to be $1,000 per 5,000 litres
 The amount of available space at each location to install a rainwater tank is 10
metres x 10 metres
 The average rainfall at each location is 700 millimetres per year
 The average roof collection area for rainwater at each location is 2000 square
metres
 Mains water is supplied to ABC facilities at an average cost of $2 per 1,000
litres
 Replacement of old toilets with new water-efficient models can reduce water
consumption by approximately 50 per cent
 Installation of new water-efficient toilets can be achieved for approximately
$15,000 at each ABC location
Prepare a revised water-saving strategy for inclusion in the ABC sustainability policy.
Justify the revised strategy based on calculations and consideration of other water
saving options.

Ans.
Steps to Establish a Water Conservation Program

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1. Audit current water use
1. Install water meters at strategic locations in the facility
2. Read/record water readings weekly and analyze the data. Look for high water
use areas, trends, and unusual occurrences Identify water conservation opportunities
2. Identify water conservation opportunities
0. Fix drips, leaks, and unnecessary flows
1. Implement changes to improve practices in cleaning, laundry and kitchens
2. List opportunities requiring engineering/equipment solutions (toilets, sterilizers,
boiler, chillers, etc.) Determine cost of opportunities and potential return on
investment
3. Determine cost of opportunities and potential return on investment
4. Prioritize water conservation opportunities
5. Develop a phased plan that fits your budget
6. Obtain funding (revise plan, if necessary)
7. Implement plan
8. Measure and document success
Where to look for Water Conservation Opportunities
Wherever water is used there is often an opportunity for conservation. Here are several
ideas for getting started on water conservation projects and programs.
Increase Awareness
 Increase employee awareness of water conservation (educate staff, seek suggestions,
assign responsibility, post signs, etc.)
 Increase patient and visitor awareness of water conservation (e.g., signs in patient
rooms and restrooms, publicize water conservation policy)
Pick the low hanging fruit
 Locate and correct drips, leaks, and unnecessary flows in bathrooms, laundry, kitchen,
labs, etc.
 Repair/adjust flush mechanisms on toilets so that they work as designed
 Irrigate grounds and wash vehicles less often
Reduce domestic water use
 Install toilet tank water displacement devices on older models or replace inefficient
toilets and urinals with low-flow models
 Retrofit flushometer toilets with water-saving diaphragms
 Before selecting new equipment (e.g., low flush, dual flush), check out third party tests
to determine actual effectiveness. Under third party maximum performance (MaP) tests,
toilets are tested to see how much waste they will flush away instead of their ability to
clear away a minimal amount of media.
 Install flow reducers (<2.5 gpm) and aerators on sinks and showers
 Install automatic shutoff valves or motion sensor-activated faucets
Processing Equipment
 As appliances and equipment wear out, replace with air-cooled or water-saving models
 Develop a steam trap inspection plan and replace faulty steam traps with effective, low-
maintenance units
 Install steam condensate temping systems on vacuum and gravity sterilizers (retrofit
kits are available)

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 Replace water-induced vacuum devices on sterilizers with electric pumps (retrofit kits
are available)
 Replace or retrofit continuous flow-through systems on film processors with flow
control equipment
 Recover condensate from refrigerators, freezers and icemakers for reuse
Water Reuse
 Water can be taken from the reject side of the radiation therapy linear accelerator
(creates high-energy radiation to treat cancers) heat exchangers and pumped to the
facility’s cooling towers and reused for evaporative cooling
 Reject water produced in the reverse osmosis process can be reclaimed for non-
miscellaneous potable water use or in the cooling towers
Water Supply/Systems
 Install pressure-reducing valves where system pressure is higher than 60 psi
 Reduce excessive blow down of cooling towers; operate cooling towers near
manufacturer recommended level of total dissolved solids (TDS)
 Consider using ozone as a cooling tower treatment to reduce water used for make-up
 Return steam condensate to boilers for reuse
 Minimize water use for irrigation (e.g., adjust or repair sprinklers, install wet weather
shutoff and/or soil moisture controllers)
 Investigate sources of used water
Kitchen and Laundry
 Wash only full loads in the dishwasher
 Turn off the continuous flow used to clean the drain trays of the coffee/soda beverage
island (only clean the trays as needed)
 Reprogram washing machines to eliminate additional rinse cycles, if possible and not
restricted by the health department
 Wash full loads only or reduce water levels to minimize water required per load of
washing

13. Review the supplier policy, purchasing policy and purchasing procedures again. Note
that these policies contain inconsistent information for evaluating suppliers on their
sustainability credentials, and that the purchasing procedures contain no checks that
link to sustainability policy. Prepare a revised version of the supplier policy, purchasing
policy and procedures that incorporates consideration of suppliers that use packaging
made from renewable resource rather than non-renewable resources.

Ans. Developing a sustainable purchasing policy for your organisation is the first step to
helping ensure that sustainability is embedded in the procurement process. So, if you don’t
already have a sustainable procurement / purchasing policy in place, then continue reading this
blog to find out what you need to consider.

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A sustainable procurement policy signals buy-in at highest level of the organisation and
communicates its ambition and intentions. It also provides a clear mandate for action by
budget holders. There are probably more benefits to developing a policy and procuring
sustainably than you think.

This includes:
 Long-term savings through whole life cycle costing.
 Improved risk management.
 Progress towards achieving organisational sustainability targets.
 Being better prepared for emerging legislation and policy.
 Improved supplier diversity, e.g. by using small and medium sized enterprises (SMEs) and
third sector organisations.
 Promotes co-operation and communication with stakeholders, clients and the supply chain.
 Influences the market to develop more sustainable products and services.
 Help to motivate staff and raise awareness.

Maximising the success of implementing any business process requires senior level
sponsorship and commitment and sustainable procurement is no different. By adopting a
strategic approach, your procurement department can help ensure that limited resources are
aligned to initiatives most likely to generate greatest return on investment – in this case,
delivering value for money and reducing sustainability impacts or risks.

5 things to consider for an effective policy


When developing the policy it’s important to address 5 main areas and undertake the
following activities:

1. Support and commitment


 Obtain senior-level commitment by involving them from the start.
 Ensure they review, approve and sign off the policy and other associated documents.

2. Responsibility
Identify individuals within the organisation to be accountable for embedding
sustainability within the organisation and procurement process. This should include:
 Designating someone or a team of people as sustainable procurement champion(s).
 Ensuring champions are allocated sufficient time and support to carry out their roles
effectively.
 Identifying internal sustainability / sustainable procurement training requirements to
enhance the capability of procurement staff.

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3. Analysis
 Ensure the policy reflects the organisation’s values and includes a commitment to continual
improvement.
 Ensure the policy operates effectively with, and does not contradict other, organisational
policies.
 Audit existing practices and tools to identify areas of good practice and areas for
improvement.
 Evaluate relationships with existing suppliers – i.e. what do they offer? How do they
respond to sustainable procurement questions?
 Determine the economic, social and environmental impacts of the products and services
purchased e.g. by carrying out a risk assessment looking at likelihood of impact, severity of
impact, value or spend and level of influence.
 Consider the strategic, reputational and operational implications to the organisation.

4. Objectives and KPIs


 Develop key performance indicators (KPIs) and objectives to measure the success of the
policy.

5. Communication and review


 Make sure the policy is practical and accessible to all staff.
 Ensure the policy provides a clear statement of intent regarding the organisation’s position
on procurement and sustainability.
 Communicate it widely, to all staff, key suppliers, and other key stakeholders in a consistent
and clear manner.
 Engage and work with the supply chain to adopt sustainable sourcing strategies – only by
doing this will the policy be effective and successful long-term.

Defining a policy in this way provides an organisation with a foundation on which to


progress the integration of sustainability in a prioritised and targeted way. However, a
sustainable procurement policy alone is unlikely to have the desired effect, so the next step is
to develop an action plan from the policy that will help drive implementation. When
developing the action plan, consider SMART objectives and targets, and ensure the following
areas are covered: leadership engagement, risk, process integration, talent/people,
communications, supplier engagement, and new technologies and innovation.

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14. Consult and communicate effectively with finance manager, business operations
manager, project managers, customer service manager and sales manager (your
classmates) and CEO (your assessor) to develop, implement, monitor and review the
new sustainability policy. You need to ensure your managers are clear about your new
policy and answer all their questions.

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