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Motivations for Water Stewardship Strategy
GreenBiz16
PHOENIX, ARIZONA
February 24, 2016
Motivations for Water Stewardship Strategy
GreenBiz16
PHOENIX, ARIZONA
Introductions
Background
10 minutes
EcolabOlamGapFord25 minutes
Q&A20 minutes
Insights Discussions
Conclusion5 minutes
+ Opportunities
for service
providers
across the value
chain
+ Market
creation: Water
Risk Monetizer,
Alliance for
Water
Stewardship
Standard
​Emilio
​Tenuta
Ecolab
+ Translating
global
commitment to
local actions in
seventy
countries
+ Watershed
perspective:
Central Valley,
California
​Alejandra
​Sanchez
Olam International
+ Water in
apparel
sourcing
countries
+ Women and
water: Personal
Advancement
& Career
Enhancement
​Melissa
​Fifield
Gap, Inc.
+ CEO-level
commitment
+ Building on
success: from
operational
efficiency to
the six
elements of
corporate
stewardship
strategy
​Sue
​Rokosz
Ford Motor Co.
+ Corporate
Water
Stewardship
and Sustainable
Development
​Heather
​Rippman
Pacific Institute
Motivations for Water Stewardship Strategy
GreenBiz16
PHOENIX, ARIZONA
Water Stewardship and Sustainable Development
“…the use
of water that is
socially equitable,
environmentally
sustainable, and
economically
beneficial,
achieved through
a stakeholder-
inclusive process
that involves site-
and catchment-
based actions.”
COMPANY RISK
caused by inefficient,
polluting, and
inequitable operations,
products, or services
RIVER BASIN RISK
caused by changing
environmental
and social
conditions
PHYSICAL
not enough water,
too much water,
water unfit for use
REGULATORY
changing,
ineffective, and
poorly
implemented
public policy
REPUTATIONAL
perception that
the company does
business
irresponsibly or
unsustainably
Water Stewardship and Sustainable Development
Water Stewardship and Sustainable Development
COMMUNITY
ENGAGEMENT
COLLECTIVE
ACTION
DIRECT
OPERATIONS
SUPPLY CHAIN
AND WATERSHEDS
PUBLIC
POLICY
TRANSPARENCY
AND DISCLOSURE
Six Elements of the CEO Water Mandate
2030 Sustainable Development Goals
6.3
Water quality and pollution prevention
6.5
Integrated water resources management
6.4
Efficiency and sustainable withdrawals
6.6
Restored and protected ecosystems
6.1 and 6.2
WASH for work
6.1 and 6.2
Water access, sanitation & hygiene for communities
SDG6
global and
national
targets,
monitoring,
and
evaluation
systems
SDG 6: Sustainable Management of Water and Sanitation for All
The UN Global Compact
8,402 COMPANIES + 162 COUNTRIES
EVOLUTION OF A CORPORATE
WATER STRATEGY –
EXTENDING THE BENEFITS
TO THE SUPPLY CHAIN
Senior Environmental Engineer, Environmental Quality OfficeSUE ROKOSZ
In June 2000, Bill Ford attended
the opening of the Viva el Agua
exhibit at the Papalote Children’s
Museum in Mexico City, where he
announced a Global Water
Management Initiative focused on
water conservation, reuse and
water quality management.
EXTENDING THE STRATEGY TO
THE CORPORATION
DEVELOPING A MANUFACTURING
WATER STRATEGY
Ford achieved its global water target two years early, in 2013.
Strategy is
currently being
updated.
Ford committed
to a 3% year-
over-year
reduction in
water use per
vehicle produced
at its
manufacturing
facilities globally.
This commitment
resulted in a 42%
reduction in
water use per
vehicle, from
2000 to 2009.
This target was
achieved two
years early, in
2013.
In 2010, a formal
global
manufacturing
water strategy
was developed,
setting a target of
30% reduction in
water use per
vehicle from
2009 to 2015.
1 2 3 4 5
• Our corporate water strategy aligns
with the core elements of the UN
CEO Water Mandate.
• Companies that support the CEO
Water Mandate commit to
implementing the framework’s six
core elements for water
management and pledge to publicly
report their progress annually.
• Ford endorsed the Water Mandate in
2014.
THE BEGINNING OF FORD’S
WATER JOURNEY
The success of the manufacturing water strategy led to receptivity to
the development of a corporate water strategy.
FORD’S CORPORATE
WATER STRATEGY
Ford’s corporate water strategy aligns with the elements of the
UN CEO Water Mandate.
DIRECT OPERATIONS ACTIONS -
MANUFACTURING
Ford has reduced global manufacturing water use by over
10 billion gallons since 2000.
Direct
Operations
We will reduce water impacts in our manufacturing plants by:
• ensuring all employees have access to potable water, sanitation, and hygiene
• seeking opportunities for continuous improvement using methodologies such as
water assessments
• evaluating and implementing technologies to reduce water use and increase water
recycling where feasible
• meeting local quality standards or Ford global standards for wastewater discharge
(whichever is more stringent)
SUPPLY CHAIN ACTIONS
We will work to reduce water impacts in our supply and
value chain by:
• working with suppliers to understand the water intensity of raw materials
• identifying and engaging suppliers in water-stressed regions where we operate
and supporting actions to implement water efficiency improvements
• In 2014, we launched a new supply chain sustainability initiative called the
Partnership for A Cleaner Environment (PACE) to share leading practices for
energy and water use reductions with suppliers.
Supply
Chain
Ford has asked suppliers with high water use or those who are in
water stressed regions to respond to CDP Water.
THE PACE PROCESS
Ford shares its leading practices with suppliers participating in
PACE.
1. Suppliers create roadmaps - multi-year plans for
increasing environmental performance through either
greenhouse gas (GHG) emission reductions or water use
reductions - and report progress.
2. Baseline environmental data is entered into the
roadmap.
3 and 4. As leading practices are implemented, the
reductions in GHG emissions or water use are
calculated, and progress toward goals is reported
against the baseline.
5. Leading practice lists are periodically updated to
include additional leading practices reported to us by
our suppliers or implemented in our own facilities.
PACE consists of a five-step iterative process:
Ford is a member of the US Water Partnership & Global Water
Challenge.
We will collaborate with others, both public and private, to address water
challenges by:
• striving to be recognized as an automotive industry leader within the core elements of the
United Nations CEO Water Mandate
• being actively involved in stakeholder efforts to address water challenges globally where we
operate
• mobilizing positive action on water issues through efforts directed at employees, public and
private stakeholders, and the supply chain
Collective
Action
Public Policy
COLLECTIVE ACTION
AND PUBLIC POLICY
COMMUNITY ENGAGEMENT
16.7% of the projects in the Global Caring Month of September
2015 were focused on water.
We will work within the communities to facilitate access to water, sanitation
and hygiene and promote sustainable water management by:
• using outreach opportunities such as the Global Caring Month and Ford Volunteer Corps’
seasonal initiatives to support water stewardship
• exploring innovative, market-based approaches to community water programs
• documenting our journey through our annual corporate sustainability report
Community
Engagement
TRANSPARENCY
Ford was an inaugural responder to CDP Water and was named to
the 2015 CDP Water “A” List of Leaders.
We will be transparent with key stakeholders, customers, and the public by:
• publishing and sharing our Company water strategy, targets, and results in relevant corporate
reports
• publishing and sharing our global water usage for direct operations on both an absolute and
per production unit basis
• being transparent in discussions with governments and other public authorities on water issues
Transparency
Melissa Fifield
GreenBiz Forum
February 2016
Supply chain water risk
Source: Conservation International analysis for Gap Inc., 2014
Women + Water
Gap Inc. is working to provide safe access to clean water for
women in communities where we do business
Product
WomenManufacturing
24
Growing Responsibly-
Global Strategy Driving Local Action
Alejandra Sanchez
Sustainability Manager
Click with the right mouse button on the graphic and
choose change picture
Edible Nuts, Spices & Vegetable Ingredients
Cashews | Peanuts | Almonds | Hazelnuts | Onion | Garlic | Spices | Tomatoes |Sesame
Confectionary & Beverage
Coffee | Cocoa | Shea | Specialty Fats
Food Staples & Packaged Foods
Sugar | Rice | Dairy | Grains | Palm | Packaged Food
Industrial Raw Materials
Cotton | Wool | Wood | Rubber | Fertilizers
Click with the right mouse button on the graphic and
choose change picture
25,000
Employees
31,000
Seasonal
Workers
70
Countries
4,000,000
Farmers
140
Processing
Sites
Olam Joins the UN CEO Water Mandate
27
“ Water security is critical to
global food security and the
resilience of Olam’s
international food supply chain.
Continually improving water
management is therefore not
just a pressing environmental
and social concern but a
business imperative”
-Sunny Verghese,
Managing Director and
CEO
The California Business Environment
28
 50,000 contracted acres across the state
 11,000 acres of Almonds
 5 Processing Facilities
 SGWMA
 Over 400 Water Agencies
 Located in Severely Over drafted GW Basins
 Continuous cycle of droughts
 Aging Infrastructure
 Increased Stakeholders
 Complex Regulatory Environment
Environmental Risks Becoming Business Risks
29
Physical
ReputationalRegulatory
The Six Elements in a California Context
30
1. Sustainable Plant Initiative
2. WWF and the AWS Standard
3. CWAC
4. SGWMA
5. Creating Shared Value (60-inch program, drip irrigation,etc)
6. CDP and Grower Relations
COMMUNITY
ENGAGEMENT
COLLECTIVE
ACTION
DIRECT
OPERATIONS
SUPPLY CHAIN
AND WATERSHEDS
PUBLIC
POLICY
TRANSPARENCY
AND DISCLOSURE
Thank you
Emilio Tenuta
Vice President, Corporate Sustainability
Ecolab
HEALTHCARE /
INFECTION
PREVENTION
FOOD &
BEVERAGE
PROCESSING
LIGHT
INDUSTRY
HEAVY
INDUSTRY
FOODSERVICE &
LODGING
ENERGY
SERVICES
WORLD’S LEADER IN WATER, ENERGY &
HYGIENE TECHNOLOGIES AND SERVICES
ASSOCIATES
IN 171 COUNTRIES
47,000 1.3 MILLION
CUSTOMERS
(25,000 IN THE FIELD)
6,900
PATENTS
OUR WATER STEWARDSHIP JOURNEY
45% MORE ENERGY 50% MORE FOOD
30% MORE WATER
Enterprise
Footprint
Customer Impact
Beyond the
Fences
127B gallons
saved in 2015
LESSONS LEARNED: PRIORITIZE WATER
STRATEGY TO DRIVE GROWTH
Need/ability to meet increasing demand – enable long-term
operational sustainability
DECISION
MAKING UNDER
THE NEW
NORMAL
Water stewardship is important – the business and societal
risks of water scarcity and quality continue to increase
Making the business case is challenging but necessary –
need to quantify cost savings, productivity/efficiency, growth
potential and risk mitigation
Drive local action – a global commitment can help drive
action, but change primarily occurs at a local level
+ Opportunities
for service
providers
across the
value chain
+ Market
creation:
Water Risk
Monetizer,
Alliance for
Water
Stewardship
Standard
​Emilio
​Tenuta
Ecolab
+ Translating
global
commitment
to local
actions in
seventy
countries
+ Watershed
perspective:
Central
Valley,
California
​Alejandra
​Sanchez
Olam International
+ Water in
apparel
sourcing
countries
+ Women and
water:
Personal
Advancement
& Career
Enhancement
​Melissa
​Fifield
Gap, Inc.
+ CEO-level
commitment
+ Building on
success:
from
operational
efficiency to
the six
elements of
corporate
stewardship
strategy
​Sue
​Rokosz
Ford Motor Co.
+ Corporate
Water
Stewardship
and
Sustainable
Development
​Heather
​Rippman
Pacific Institute
Motivations for Water Stewardship* Strategy
GreenBiz16
PHOENIX, ARIZONA
“…the use of water that is socially equitable, environmentally sustainable, and economically beneficial,
achieved through a stakeholder-inclusive process that involves site- and catchment-based actions.”*
+ Your insights
from this
session
+ Your unique
motivations
Workshop
Participants
GreenBiz16
Motivations for Water Stewardship Strategy
GreenBiz16
PHOENIX, ARIZONA

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Motivations for Water Stewardship Strategy at GreenBiz16 02-24-2015

  • 1. Motivations for Water Stewardship Strategy GreenBiz16 PHOENIX, ARIZONA February 24, 2016
  • 2. Motivations for Water Stewardship Strategy GreenBiz16 PHOENIX, ARIZONA Introductions Background 10 minutes EcolabOlamGapFord25 minutes Q&A20 minutes Insights Discussions Conclusion5 minutes
  • 3. + Opportunities for service providers across the value chain + Market creation: Water Risk Monetizer, Alliance for Water Stewardship Standard ​Emilio ​Tenuta Ecolab + Translating global commitment to local actions in seventy countries + Watershed perspective: Central Valley, California ​Alejandra ​Sanchez Olam International + Water in apparel sourcing countries + Women and water: Personal Advancement & Career Enhancement ​Melissa ​Fifield Gap, Inc. + CEO-level commitment + Building on success: from operational efficiency to the six elements of corporate stewardship strategy ​Sue ​Rokosz Ford Motor Co. + Corporate Water Stewardship and Sustainable Development ​Heather ​Rippman Pacific Institute Motivations for Water Stewardship Strategy GreenBiz16 PHOENIX, ARIZONA
  • 4. Water Stewardship and Sustainable Development “…the use of water that is socially equitable, environmentally sustainable, and economically beneficial, achieved through a stakeholder- inclusive process that involves site- and catchment- based actions.”
  • 5. COMPANY RISK caused by inefficient, polluting, and inequitable operations, products, or services RIVER BASIN RISK caused by changing environmental and social conditions PHYSICAL not enough water, too much water, water unfit for use REGULATORY changing, ineffective, and poorly implemented public policy REPUTATIONAL perception that the company does business irresponsibly or unsustainably Water Stewardship and Sustainable Development
  • 6. Water Stewardship and Sustainable Development COMMUNITY ENGAGEMENT COLLECTIVE ACTION DIRECT OPERATIONS SUPPLY CHAIN AND WATERSHEDS PUBLIC POLICY TRANSPARENCY AND DISCLOSURE Six Elements of the CEO Water Mandate 2030 Sustainable Development Goals 6.3 Water quality and pollution prevention 6.5 Integrated water resources management 6.4 Efficiency and sustainable withdrawals 6.6 Restored and protected ecosystems 6.1 and 6.2 WASH for work 6.1 and 6.2 Water access, sanitation & hygiene for communities SDG6 global and national targets, monitoring, and evaluation systems SDG 6: Sustainable Management of Water and Sanitation for All
  • 7. The UN Global Compact 8,402 COMPANIES + 162 COUNTRIES
  • 8. EVOLUTION OF A CORPORATE WATER STRATEGY – EXTENDING THE BENEFITS TO THE SUPPLY CHAIN Senior Environmental Engineer, Environmental Quality OfficeSUE ROKOSZ
  • 9. In June 2000, Bill Ford attended the opening of the Viva el Agua exhibit at the Papalote Children’s Museum in Mexico City, where he announced a Global Water Management Initiative focused on water conservation, reuse and water quality management. EXTENDING THE STRATEGY TO THE CORPORATION
  • 10. DEVELOPING A MANUFACTURING WATER STRATEGY Ford achieved its global water target two years early, in 2013. Strategy is currently being updated. Ford committed to a 3% year- over-year reduction in water use per vehicle produced at its manufacturing facilities globally. This commitment resulted in a 42% reduction in water use per vehicle, from 2000 to 2009. This target was achieved two years early, in 2013. In 2010, a formal global manufacturing water strategy was developed, setting a target of 30% reduction in water use per vehicle from 2009 to 2015. 1 2 3 4 5
  • 11. • Our corporate water strategy aligns with the core elements of the UN CEO Water Mandate. • Companies that support the CEO Water Mandate commit to implementing the framework’s six core elements for water management and pledge to publicly report their progress annually. • Ford endorsed the Water Mandate in 2014. THE BEGINNING OF FORD’S WATER JOURNEY The success of the manufacturing water strategy led to receptivity to the development of a corporate water strategy.
  • 12. FORD’S CORPORATE WATER STRATEGY Ford’s corporate water strategy aligns with the elements of the UN CEO Water Mandate.
  • 13. DIRECT OPERATIONS ACTIONS - MANUFACTURING Ford has reduced global manufacturing water use by over 10 billion gallons since 2000. Direct Operations We will reduce water impacts in our manufacturing plants by: • ensuring all employees have access to potable water, sanitation, and hygiene • seeking opportunities for continuous improvement using methodologies such as water assessments • evaluating and implementing technologies to reduce water use and increase water recycling where feasible • meeting local quality standards or Ford global standards for wastewater discharge (whichever is more stringent)
  • 14. SUPPLY CHAIN ACTIONS We will work to reduce water impacts in our supply and value chain by: • working with suppliers to understand the water intensity of raw materials • identifying and engaging suppliers in water-stressed regions where we operate and supporting actions to implement water efficiency improvements • In 2014, we launched a new supply chain sustainability initiative called the Partnership for A Cleaner Environment (PACE) to share leading practices for energy and water use reductions with suppliers. Supply Chain Ford has asked suppliers with high water use or those who are in water stressed regions to respond to CDP Water.
  • 15. THE PACE PROCESS Ford shares its leading practices with suppliers participating in PACE. 1. Suppliers create roadmaps - multi-year plans for increasing environmental performance through either greenhouse gas (GHG) emission reductions or water use reductions - and report progress. 2. Baseline environmental data is entered into the roadmap. 3 and 4. As leading practices are implemented, the reductions in GHG emissions or water use are calculated, and progress toward goals is reported against the baseline. 5. Leading practice lists are periodically updated to include additional leading practices reported to us by our suppliers or implemented in our own facilities. PACE consists of a five-step iterative process:
  • 16. Ford is a member of the US Water Partnership & Global Water Challenge. We will collaborate with others, both public and private, to address water challenges by: • striving to be recognized as an automotive industry leader within the core elements of the United Nations CEO Water Mandate • being actively involved in stakeholder efforts to address water challenges globally where we operate • mobilizing positive action on water issues through efforts directed at employees, public and private stakeholders, and the supply chain Collective Action Public Policy COLLECTIVE ACTION AND PUBLIC POLICY
  • 17. COMMUNITY ENGAGEMENT 16.7% of the projects in the Global Caring Month of September 2015 were focused on water. We will work within the communities to facilitate access to water, sanitation and hygiene and promote sustainable water management by: • using outreach opportunities such as the Global Caring Month and Ford Volunteer Corps’ seasonal initiatives to support water stewardship • exploring innovative, market-based approaches to community water programs • documenting our journey through our annual corporate sustainability report Community Engagement
  • 18. TRANSPARENCY Ford was an inaugural responder to CDP Water and was named to the 2015 CDP Water “A” List of Leaders. We will be transparent with key stakeholders, customers, and the public by: • publishing and sharing our Company water strategy, targets, and results in relevant corporate reports • publishing and sharing our global water usage for direct operations on both an absolute and per production unit basis • being transparent in discussions with governments and other public authorities on water issues Transparency
  • 19.
  • 21. Supply chain water risk Source: Conservation International analysis for Gap Inc., 2014
  • 22. Women + Water Gap Inc. is working to provide safe access to clean water for women in communities where we do business Product WomenManufacturing
  • 23.
  • 24. 24 Growing Responsibly- Global Strategy Driving Local Action Alejandra Sanchez Sustainability Manager
  • 25. Click with the right mouse button on the graphic and choose change picture Edible Nuts, Spices & Vegetable Ingredients Cashews | Peanuts | Almonds | Hazelnuts | Onion | Garlic | Spices | Tomatoes |Sesame Confectionary & Beverage Coffee | Cocoa | Shea | Specialty Fats Food Staples & Packaged Foods Sugar | Rice | Dairy | Grains | Palm | Packaged Food Industrial Raw Materials Cotton | Wool | Wood | Rubber | Fertilizers
  • 26. Click with the right mouse button on the graphic and choose change picture 25,000 Employees 31,000 Seasonal Workers 70 Countries 4,000,000 Farmers 140 Processing Sites
  • 27. Olam Joins the UN CEO Water Mandate 27 “ Water security is critical to global food security and the resilience of Olam’s international food supply chain. Continually improving water management is therefore not just a pressing environmental and social concern but a business imperative” -Sunny Verghese, Managing Director and CEO
  • 28. The California Business Environment 28  50,000 contracted acres across the state  11,000 acres of Almonds  5 Processing Facilities  SGWMA  Over 400 Water Agencies  Located in Severely Over drafted GW Basins  Continuous cycle of droughts  Aging Infrastructure  Increased Stakeholders  Complex Regulatory Environment
  • 29. Environmental Risks Becoming Business Risks 29 Physical ReputationalRegulatory
  • 30. The Six Elements in a California Context 30 1. Sustainable Plant Initiative 2. WWF and the AWS Standard 3. CWAC 4. SGWMA 5. Creating Shared Value (60-inch program, drip irrigation,etc) 6. CDP and Grower Relations COMMUNITY ENGAGEMENT COLLECTIVE ACTION DIRECT OPERATIONS SUPPLY CHAIN AND WATERSHEDS PUBLIC POLICY TRANSPARENCY AND DISCLOSURE
  • 32. Emilio Tenuta Vice President, Corporate Sustainability Ecolab
  • 33. HEALTHCARE / INFECTION PREVENTION FOOD & BEVERAGE PROCESSING LIGHT INDUSTRY HEAVY INDUSTRY FOODSERVICE & LODGING ENERGY SERVICES WORLD’S LEADER IN WATER, ENERGY & HYGIENE TECHNOLOGIES AND SERVICES ASSOCIATES IN 171 COUNTRIES 47,000 1.3 MILLION CUSTOMERS (25,000 IN THE FIELD) 6,900 PATENTS
  • 34. OUR WATER STEWARDSHIP JOURNEY 45% MORE ENERGY 50% MORE FOOD 30% MORE WATER Enterprise Footprint Customer Impact Beyond the Fences 127B gallons saved in 2015
  • 35. LESSONS LEARNED: PRIORITIZE WATER STRATEGY TO DRIVE GROWTH Need/ability to meet increasing demand – enable long-term operational sustainability DECISION MAKING UNDER THE NEW NORMAL Water stewardship is important – the business and societal risks of water scarcity and quality continue to increase Making the business case is challenging but necessary – need to quantify cost savings, productivity/efficiency, growth potential and risk mitigation Drive local action – a global commitment can help drive action, but change primarily occurs at a local level
  • 36. + Opportunities for service providers across the value chain + Market creation: Water Risk Monetizer, Alliance for Water Stewardship Standard ​Emilio ​Tenuta Ecolab + Translating global commitment to local actions in seventy countries + Watershed perspective: Central Valley, California ​Alejandra ​Sanchez Olam International + Water in apparel sourcing countries + Women and water: Personal Advancement & Career Enhancement ​Melissa ​Fifield Gap, Inc. + CEO-level commitment + Building on success: from operational efficiency to the six elements of corporate stewardship strategy ​Sue ​Rokosz Ford Motor Co. + Corporate Water Stewardship and Sustainable Development ​Heather ​Rippman Pacific Institute Motivations for Water Stewardship* Strategy GreenBiz16 PHOENIX, ARIZONA “…the use of water that is socially equitable, environmentally sustainable, and economically beneficial, achieved through a stakeholder-inclusive process that involves site- and catchment-based actions.”* + Your insights from this session + Your unique motivations Workshop Participants GreenBiz16
  • 37. Motivations for Water Stewardship Strategy GreenBiz16 PHOENIX, ARIZONA