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Sustainable Development
Only an expense for companies?




                                 1
Content


• The role of the engineer in companies
• Sustainability in the company
• Sustainable companies, examples




Fe...
Design of products, processes and
systems

• Traditional: 3 phases
   • Commissioning/assignment
   • Design
   • Implemen...
Traditional division of tasks of
engineering design:




                         Design requirements




                ...
Role engineer in the company: only
designer?

•    Engineers are not only responsible for the design job. They also
     a...
Sustainable Design


• Focus on functional requirements of user
   • Car --- need for mobility or need for access of
     ...
Is a company only about making as much
 money as possible?



license to operate: a company has to respect the margins
   ...
Time Horizon: should we optimize
money now, or in future

• If you have an apple tree, you might cut it for the
     wood,...
Principle of subsidiarity

Greedy management does not imply that all individuals in the
   company are, they have their ow...
Earning money by Green Products?


• Green electricity
• Gist-Brocades: solving effluent water problem created
  a new bus...
Sustainability in mission




February 21, 2007           11
Example: 3M – Pollution Prevention
Pays


•      Eliminate or reduce a pollutant.
•      reduced energy/materials use
•   ...
PPP Results at 3M, 1975-2002


• 4973 project
• prevented emissions of 857,282 tons of pollutants
• saved $894 million

• ...
Other examples


Unilever, water, Fisheries




Anglo American,

Johnson & Johnson
February 21, 2007            14
SD, value for the company


•      product performance and production costs
•      reputation and public image improvement...
=Forest stewardship council



 February 21, 2007            16
Many companies engage


• World Business Council for Sustainable Development
  (WBCSD)
• People Planet Profit
        190 ...
Nothing New?


• Robert Owen – New Lanark mills
• Jacob van Marken, Delft yeast plant
• Fourier




February 21, 2007     ...
Dow Jones Sustainability Index




February 21, 2007                19
Companies need new Managers:




    • Increasing Complexity of technology
    • Globalisation
    • Emancipation of citiz...
Company Technology Assessment?



In the longer run Chemical Industry cannot
afford to be in war with society,

Aernoud Lo...
SD : a better understanding of the
company’s self interest
    • because one needs the cooperation of
      stakeholders
 ...
In a modern civil society, authorities are
no longer commanders but process
organizers


    • Consensus based strategy
  ...
Sustainable Development for Engineers


Modern engineers must have a holistic approach, so they
  can not only use their e...
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21.02, Mulder — Sustainable entreprises

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SD Course in Kyiv Polytechnic Institute, 12-23 Febraury 2006

Published in: Business, Technology
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21.02, Mulder — Sustainable entreprises

  1. 1. Sustainable Development Only an expense for companies? 1
  2. 2. Content • The role of the engineer in companies • Sustainability in the company • Sustainable companies, examples February 21, 2007 2
  3. 3. Design of products, processes and systems • Traditional: 3 phases • Commissioning/assignment • Design • Implementation/Use • Similar division of responsibilities • Executives/managers • Engineer • Executives/user/government February 21, 2007 3
  4. 4. Traditional division of tasks of engineering design: Design requirements Quality check Commissioning Engineer, User authority designer Customer Conclusion: all moral/ethical decisions outside the realm of engineering design? February 21, 2007 4
  5. 5. Role engineer in the company: only designer? • Engineers are not only responsible for the design job. They also are involved in • Analysis • Suggestions • Feed back • Evaluation • SD is not an extra requirement in the program of requirements for the design because: • ???? February 21, 2007 5
  6. 6. Sustainable Design • Focus on functional requirements of user • Car --- need for mobility or need for access of services, green wheels • Packaging--- need for product protection • Clothes---Need for comfort/need for self expression • Paper--- Need for data storage and transmission • Interact, break the walls February 21, 2007 6
  7. 7. Is a company only about making as much money as possible? license to operate: a company has to respect the margins set by law and public opinion • A company might trigger new legislation • Consumers might take action: Brent Spar February 21, 2007 7
  8. 8. Time Horizon: should we optimize money now, or in future • If you have an apple tree, you might cut it for the wood, rent it to somebody by an annual auction, or pick apples yourself to sell on the market. The first activity will give you the quickest return. The last activity will probably yield the highest return in the long run as the harvester will probably take care that the tree will remain in good shape and no auctions have to be organized. Companies which never made any profit are sold for high prices February 21, 2007 8
  9. 9. Principle of subsidiarity Greedy management does not imply that all individuals in the company are, they have their own morals and interests Chance In innovation you are never sure what brings money February 21, 2007 9
  10. 10. Earning money by Green Products? • Green electricity • Gist-Brocades: solving effluent water problem created a new business • effectiveness of consumer protest: • conditions of chickens were improved, • seal hunting was curbed • Green wheels February 21, 2007 10
  11. 11. Sustainability in mission February 21, 2007 11
  12. 12. Example: 3M – Pollution Prevention Pays • Eliminate or reduce a pollutant. • reduced energy/materials use • avoidance of pollution control equipment February 21, 2007 12
  13. 13. PPP Results at 3M, 1975-2002 • 4973 project • prevented emissions of 857,282 tons of pollutants • saved $894 million • Prevented accidents? February 21, 2007 13
  14. 14. Other examples Unilever, water, Fisheries Anglo American, Johnson & Johnson February 21, 2007 14
  15. 15. SD, value for the company • product performance and production costs • reputation and public image improvements: motivation of personnel also • coherence of various parts of the company: increasing effectiveness and flexibility February 21, 2007 15
  16. 16. =Forest stewardship council February 21, 2007 16
  17. 17. Many companies engage • World Business Council for Sustainable Development (WBCSD) • People Planet Profit 190 international companies economic growth, ecologic balance Social progress • Corporate Social Responsibility February 21, 2007 17
  18. 18. Nothing New? • Robert Owen – New Lanark mills • Jacob van Marken, Delft yeast plant • Fourier February 21, 2007 18
  19. 19. Dow Jones Sustainability Index February 21, 2007 19
  20. 20. Companies need new Managers: • Increasing Complexity of technology • Globalisation • Emancipation of citizens February 21, 2007 20
  21. 21. Company Technology Assessment? In the longer run Chemical Industry cannot afford to be in war with society, Aernoud Loudon, CEO AKZO-Nobel, president CEFIC 21
  22. 22. SD : a better understanding of the company’s self interest • because one needs the cooperation of stakeholders • workers, • consumers, • stock owners • neighbors, media, local officials - because more Sustainable technologies might become the standard at the market February 21, 2007 22
  23. 23. In a modern civil society, authorities are no longer commanders but process organizers • Consensus based strategy • Coordination of various activities • Communication with stakeholders February 21, 2007 23
  24. 24. Sustainable Development for Engineers Modern engineers must have a holistic approach, so they can not only use their expertise in a scientific or technological context but are also sensitive to social, environmental and political needs. The best technical solution of a challenge is not always the one most acceptable to society. Therefore engineers must also be skilled communicators, able to translate challenges and possible solutions between society and science. Jeroen van der Veer Chief Executive Royal Dutch Shell February 21, 2007 24

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