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International Green IT Awareness Week                                                                       21/05/2010




                               Sustainable Supply Chain:
                            From Green ICT to ICT for Green
                           From the supply chain sustainability of ICT products and
                         services to ICT tools that can help to measure, certify, lower
                              the impact of the supply chain for other products.
                                                     Donato Toppeta
                                          Senior Consultant - The Innovation Group
                                          Board of Directors: Sector ICT Acquisti & Sostenibilità
                                          Ambassador: International Green IT Awareness Week




                             Sustainability as a:
                     “Supply Chain across Generations”
                   Sustainable development is
                   defined as development that
                   "meets the needs of the
                                                                                      SOCIAL
                   present without                                                RESPONSIBILITY
                   compromising the ability of
                   future generations to meet
                                                                             SUSTAINABILITY
                   their own needs”                               ENVIRONMENTAL             ECONOMIC
                   - Brundtland Commission, 1987                   STEWARDSHIP             PROSPERITY
                   Driving sustainability                                      CULTURE
                                                                               RESPECT
                   improvements
                           “You can’t change what
                           you don’t measure…”
                                                               www.ICT4Green.eu                         2




www.ict4green.eu                                                                                                    1
International Green IT Awareness Week                                                                                                      21/05/2010




                                  Why a sustainable procurement…?
                                   Health and            Ethical                                           Business
                                                                         Legislation &
                                     Safety             Sourcing          Standards                       efficiencies

                              Employee                                                       Life Cycle           GHG,
                             expectations            Stakeholders                           Assessment          biodiversity
                                                     Expectations
                             Accountability                                                                    Citizenship,
                                                                                                                  Ethic
                              Pollution
                                                 Risk                    Sustainable                 NGO
                       Energy cost            management                Procurement                Pressure

                                Customer                                                                   Impact Reduction
                              requirements                                                                  (environmental)


                                            Total          License to                                Brand
                                            costs           operate              Reputation          Value


                                                                      www.ICT4Green.eu                                            3




                                  Nonprofits, Governments and Business Supporting
                                  Consumer’s Increasing Demand For Transparency
                               • Encourage or force disclosure of corporations’
                Nonprofits




                                 environmental commitments and performance
                                   – The Carbon Disclosure Project (CDP) about GHG
                                   – Greenpeace campaign on consumer electronics
                                   – Fair Trade campaigns, Local NGO
                               • Disclosure requirements, Cap & Trade
                Government




                                    – GHG emissions for large emitters
                               • Mandatory and opt-in environmental labeling
                                                                                                            European Union
                                    – EU mandatory labeling of energy-using /related                                         New Zealand

                                      products
                                    – Energy Star label in the U.S.
                                                                                                                   USA
                               • Voluntary disclosure of sustainability efforts
                                    – Wal-Mart launched the Sustainability Index:
                Business




                                    – Patagonia publishes the “Footprint Chronicles”
                                    – Financial sustainability Indexes: DJSI, FSTE4GOOD
                               • New services guiding consumers
                                    – Good Guide environmental, health and social index of over
                                      60K products
                                                                      www.ICT4Green.eu                                            4




www.ict4green.eu                                                                                                                                   2
International Green IT Awareness Week                                                                   21/05/2010




                     ICT can be an Ally or an Enemy for sustainability

                         In the fight against global climate change,
                           ICT is seen as both an ally and enemy…
                    As an ally:                             As an enemy:
                    “The real gains will come from          “Exposes the gap between
                    ICT as an enabler to improve            what the IT industry could do
                    energy efficiency across the            to fight climate change, and
                    economy.” – Jose Manuel                 what they're doing today.”
                    Barroso, President of the E.U.          Greenpeace Cool IT Challenge




                                                   www.ICT4Green.eu                               5




                        Green Regulatory Trends and Customer Awareness
                           Create Both Risks And Opportunities For ICT
                           Business risks                              Opportunities
                   Increase in cost of energy and           Demand for Green ICT products
                                                              • Power management capabilities,
                   availability of scarce resources             virtualization and smart
                    • Impact on data centers and                management, sustainable supply
                      communication and some HW                 chain
                   Lower market demand for                    • Saving in promotion
                   products without green and fair          Opportunity for new products and
                   trade certification                      services
                   Possible loss of government                • Smart energy grid and cities, ICT for
                                                                radical transparency, etc.
                   contracts for new procurement              • Innovation and coopetition
                   policies, shift to open software,          • Social networking and crowd
                   stretched ICT products life cycle            sourcing
                   NGO campaigns disrupting                 Growing role of Cloud Computing
                   market                                   (SAAS) from Green Data Centers
                                                   www.ICT4Green.eu                               6




www.ict4green.eu                                                                                                3
International Green IT Awareness Week                                                                                                                   21/05/2010




                      From Green ICT to ICT for Green
                    • Sustainability of ICT factories’ supply chain and
                      distribution (cradle to cradle):
                       – Ethical behavior and business conduct of ICT
                         regardless of jurisdiction or localizing factors (labor
                         rights in factories, diversity, inclusiveness, child labor
                         free, etc.), es. GlobalCompact
                       – Environmental protection and preservation of the
                         ICT factories and related production and processes.
                    • ICT tools and solutions for improving the supply
                      chain sustainability (i.e. Green Procurement,
                      Radical Transparency, EMS: Environmental
                      management Systems)

                                                      www.ICT4Green.eu                                                                       7




                                           From the SMART 2020 Report
                                 Enabling low carbon economy in the information age
                   –The Climate Group and the Global e-Sustainability Initiative (GeSI)
                   released in 2008 The Climate Group 2020 Report that analyzed the
                   Information and Communication Technology sector's impact on
                   world climate:
                       – ICT’s own sector footprint is currently 2% of global energy use and global
                         emissions are expected to almost double by 2020.
                       – ICT ’s unique ability to monitor and maximize energy efficiency both within
                         and outside could help cut CO2 emissions by up to five times this amount.
                         This represents a saving of 7.8 Giga-tons of carbon dioxide equivalent
                         (GtCO2e) by 2020 (> current annual emissions of either the US or China).
                                                                                                     Potential influence of ICT on CO2 emissions
                                                                                      10                                        4.73
                                                                Million tons of CO2




                                                                                       0
                                                                                      -10

                                                                                      -20

                                                                                      -30
                                                                                      -40          -48.37
                                                                                      -50
                                                                                            Possible CO2 savings      CO2 emissions caused by ICT

                                                             www.ICT4Green.eu                                                                       8




www.ict4green.eu                                                                                                                                                4
International Green IT Awareness Week                                                                        21/05/2010




                         ICT Companies are committing to
                        Reduce their Environmental Impact
                    • A growing number of companies, including many leading ICT
                      corporations have publicly pledged to reduce their greenhouse
                      gas emissions, some aiming for “carbon neutrality”
                        • HP was generally ranked the top Green IT Vendor in all categories: Best
                          at Green IT, Most Committed, and Best at Cutting Costs. Close runner ups
                          include: IBM, Dell, Microsoft and Apple.
                        • Many different listings with variable results
                    • New policies are being developed rapidly, such as:
                        • Green Purchasing Policies and Sustainable certified Supply Chain,
                          Environmental Sustainability Budgets and Campaigns, and Green
                          Champions / Departments (i.e. energy efficiency, LEED buildings, travel
                          replacement by Unified Communication, recycling, etc.)
                    • In Marketing & Public Relations there is a growing support for
                      Environmental Stewardship / Social Responsibility / Citizenship
                                                       www.ICT4Green.eu                                 9




                       Supply Chain Sustainability of ICT
                   • Ethical sustainability of labor (health, privacy, diversity, inclusion,
                     child labor prevention, work/life balance, workforce relocation),
                     Citizenship (i.e: job and skill development) also in countries with
                     factories or primary goods, Responsible Financial and Sourcing
                     (i.e.: near-shore, etc.)
                   • Environmental sustainability of the ICT factories and production
                     processes
                      – GHG (CO2 eq) and energy of ICT energy efficiency products & services (Data Center
                        with low PUE & renewable source) including embedded (i.e. production and
                        transportation)
                      – Design for waste reduction, biodegradability and recycling (including packaging)
                      – Need to reduce:
                          • Pollutants produced in the manufacturing of ICT products or toxic / harmful
                            substances (brominates flame retardants, beryllium, etc.) used
                          • Metals (i.e. 36% of world tin, 25% of cobalt, 15% of palladium, 9% of gold, 2%
                            of copper, and 1% of aluminum and rare ones like tantalum) and PVC
                                                       www.ICT4Green.eu                                10




www.ict4green.eu                                                                                                     5
International Green IT Awareness Week                                                               21/05/2010




                          Main regulations for Electric and
                              Electronic Supply Chain
                   • EU REACH: (Registration, Evaluation, Authorisation of Chemicals) 2006,
                     production and use of chemical substances and impacts on human health
                     and environment. It’s very complex, 150k substances (very high concern 26,
                     plan for 106 by 2012)
                       – Information stored in a central DB by European Chemicals Agency
                         (ECHA).
                       – Tools: IUCLID 5 (free SW from EU), REACH-IT (portal), CHESAR,
                         QuickReach, etc.
                       – EU CLP Regulation on Classification, Labelling and Packaging of chemical
                         substances and mixtures, based on the United Nations’ Globally
                         Harmonised System (UN GHS). In US: CPSIA (US Consumer Product Safety
                         Improv. Act)
                   • EU RoHS: (European Restriction of Hazardous Substances ) 2006, six
                     banned substances: lead, mercury, cadmium, hexavalent chromium and two
                     flame retardants: PBB,PBDE
                       – Other countries have similar rules: China RoHS, J-MOSS, EWRA.



                                                    www.ICT4Green.eu                          11




                          Main regulations for Electric and
                              Electronic Supply Chain
                   • EU WEEE: (Waste Electrical and Electronic Equipment
                     Directive) 2003: collection, recycling and recovery targets
                     (collection targets 65%) for electrical goods.
                       – Collection schemes where consumers return their used e-waste
                         free of charge.
                       – Directive 2006/66/EC on disposal of batteries and accumulators
                   • EuP 2005/32/CE Eco-design Directive for Energy-using
                     Products provides EU-wide rules for improving the
                     environmental performance of energy related products
                     (ERPs) through ecodesign, including stand-by and hard-off.
                       – Ecolabel: http://www.eco-label.com/ EU Energy Star: www.eu-
                         energystar.org



                                                    www.ICT4Green.eu                          12




www.ict4green.eu                                                                                            6
International Green IT Awareness Week                                                                                                      21/05/2010




                   Risks related to e-toxics found in OLD computers
                    Brominated Flame Retardants
                   • Brominated flame-retardants are a class of chemicals
                      that were commonly used in electronic products as a
                      means for reducing flammability.
                       – In computers and televisions, they were used mainly in printed
                         circuit boards, connectors, plastic covers and cables.
                   • Various scientific observations indicate that
                     Polybrominated Diphenylethers (PBDE) might act as
                     endocrine disrupters.
                       – It accumulates in the food chain and human tissues
                       – It affects brain development (reduces levels of the hormone
                         thyroxin).
                           • Research has revealed that levels of PBDEs in human breast milk are
                             doubling every five years , found in umbilical cord blood .

                                                             www.ICT4Green.eu                                                         13




                            Supply Network Complexity
                                                                                             Product usage
                         Consumer                                                             and disposal

                                                                               Distribution                       Retire / Repair /
                          Retailer                                             Supply chain                           Recycle

                       Manufacturers
                                                                Product                               Accessory            Service    T
                         Tier One                                                                                                     R
                         Assembly                                                                                                     A
                                                   Part A                      Part B        Part X               Part Y
                         Supplier                                                                                                     N
                                                                                                                                      S
                        Component          Comp.            Comp.              Comp.                                                  P
                                                                                                             Comp. M
                                             1                2                  N
                         Supplier                                                                                                     O
                       Raw Material                                                                                                   R
                                            M1                            Mx            My                                            T
                         Supplier



                                                             www.ICT4Green.eu                                                         14




www.ict4green.eu                                                                                                                                   7
International Green IT Awareness Week                                             21/05/2010




                    WEEE collection Rate, kg per capit
                                                           EU WEEE Directive
                                                           (2002/96/EC)
                                                           currently sets a
                                                           minimum
                                                           collection target of
                                                           4 kg per annum
                                                           per inhabitant.

                                                           Data on the chart
                                                           are referred to
                                                           2006 detailed
                                                           updated data are
                                                           available here




                                        www.ICT4Green.eu                   15




                                                Who gets the
                                               e-waste trash?




                                        www.ICT4Green.eu                   16




www.ict4green.eu                                                                          8
International Green IT Awareness Week                                                                             21/05/2010




                                           Apple Sustainability
                       • Apple requires suppliers to commit to a Supplier
                         Code of Conduct, then performs onsite audits,
                         approves corrective action plans, and verifies
                         implementation. Environmentally, includes
                         requirements for:
                          –   Hazardous Substance Management and Restrictions
                          –   Solid Waste Management
                          –   Wastewater and Stormwater Management
                          –   Air Emissions Management
                          –   Permits and Reporting
                          –   Pollution Prevention and Source Reduction

                                                          www.ICT4Green.eu                                   17




                       Dell’s Sustainability throughout
                       entire Supply Chain
                   •   Dell promise customers:
                        – Quality in Design & Production, Best cost possible, Supply when you need it
                        – CSR statement: Corporate Accountability, Environmental Responsibility,
                          Community Engagement: Committing to make Dell the greenest technology
                          company on the planet , Supporting HIV&AIDS campaign.
                   •   Dell’s Supply Chain Sustainability effort:
                        – A Dell team regularly goes on-site to audit the working conditions and
                          manufacturing processes of 1st, 2nd and 3rd tier suppliers. If ethical and legal
                          labor/environmental violated, Dell discontinue usage of the supplier.
                        – Supplier diversity is enforced.
                        – Dell claims that carbon intensity (CO2/revenue), is less than half that of their
                          closest competitor, pledging to make their operations carbon neutral
                        – Free Shipping for recycling / refurbishing old computers to Dell TechKnow
                          (Community education) or Reconnect (partnership with Goodwill & Microsoft)
                                                    “ “Dell's vision is to create a company culture where
                                                       environmental excellence is second nature because the
                                                       principles of environmentalism - efficiency eliminates
                                                       waste - align with the principles of our direct business
                                                       model - efficiency delivers customer value.”
                                                          www.ICT4Green.eu                                   18




www.ict4green.eu                                                                                                          9
International Green IT Awareness Week                                                                              21/05/2010




                         Electronic Product Environmental
                             Assessment Tool (EPEAT)
                    - A tool, an environmental standard, a rating system,
                      and a verification program
                       - helps purchasers evaluate, compare and select electronic
                         products based on their environmental attributes
                    - www.epeat.net
                   EPEAT Criteria are known as
                   IEEE 1680 American National
                   Standard for the                     Meets all 23     Meets all 23       Meets all 23
                                                         required           required           required
                   Environmental Assessment of            criteria      criteria plus at   criteria plus at
                                                                         least 50% of       least 75% of
                   Personal Computer Products                            the optional       the optional
                                                                             criteria           criteria

                                              www.ICT4Green.eu                                                19




                                                                       EPEAT tool




                                              www.ICT4Green.eu                                                20




www.ict4green.eu                                                                                                          10
International Green IT Awareness Week                                                                         21/05/2010




                                How Green is the Cloud?
                    • Do hosted services and Software as a Service
                      provide net environmental benefits?
                    • Potential benefits:
                       – Higher server utilization by virtualization and on demand
                         provisioning, tuning
                       – Data centers optimized for global energy efficiency (HVAC, free
                         cooling, monitoring) and renewable sources,
                       – Easier to recycle standardized hardware
                       – Promote remote work (might reduce commuting)
                       – Might reduce digital divide (ubiquitous computing)
                    • Experience is still limited
                       – some concern are related to privacy, trans-national
                         legislation, reduced ICT workforce.
                                                      www.ICT4Green.eu                                   21




                    Life Cycle Assessment a valuable
                    approach :
                                                       Increased                               Energy &
                                                       Revenues                                resources
                                                                                               Reduction
                                Increased               Satisfied          Waste
                                  Sales               Stakeholders       Reduction


                         Brand Image                   Corporate                       Efficiencies or
                                                         Value                        Cost Avoidance
                                            Deflect
                     Green                  Critism
                    Marketing                                            Select KPI

                                   Product
                                  Re-Design               LCA

                                                                                                         22
                     www.ICT4Green.eu




www.ict4green.eu                                                                                                     11
International Green IT Awareness Week                                                                  21/05/2010




                        Daniel Goleman : Ecological Intelligence
                       How Knowing the Hidden Impacts of What We Buy Can Change Everything

                   • Draws on cutting-edge research to reveal why too
                     often “Green is a Mirage"
                       – Illuminates inconsistencies in our response to the
                         ecological crisis and Greenwashing
                   • Introduces how ICT & LCA can help “Radical
                     Transparency”, allowing us to know the
                     environmental, health, and social consequences of
                     what we buy,
                       – potential to drive consumers to make smarter decisions
                         and companies to reform their business practices by
                         lifting the veil of secrecy about the ingredients and
                         sources of their products.
                   • Shows how new market forces can drive the
                     essential changes we all must make to save our               7: Ecological
                     planet, our health and happiness.                            Intelligence

                                                       www.ICT4Green.eu                           23




                    How Green Is My Bottle? By DANIEL GOLEMAN and GREGORY NORRIS
                    New York Times, April 19, 2009
                    • A practical example of LCA
                      outcome:
                     – if your stainless steel bottle
                       takes the place of 50 plastic
                       bottles, the climate is
                       better off,
                     – if it gets used 500 times, it
                       beats plastic in all the
                       environment-impact
                       categories studied in a life
                       cycle assessment.
                    ISO 14000 environmental management standards:
                    ISO 14040:2006 and 14044:2006 can be used for LCA
                                                                                                  24




www.ict4green.eu                                                                                              12
International Green IT Awareness Week                                                                                        21/05/2010




                         ICT tools and solutions for improving
                            the supply chain sustainability
                   ICT tools and solution can help Supply Chain Sustainability by:
                   •    Assessing the respect of ethical rules in provisioning:
                         – human & labor rights (e.g. minimum wage, no child or forced labor, respect of diversity &
                           inclusiveness, prevent abuses and corruption, etc.), minimize health hazardous.
                   •    Monitoring , Analyzing and Reporting by LCA the Supply Chain contribution
                        (embedded in raw materials, packaging and transportation) to:
                         – GHG (Greenhouse Gas) and pollutants, (Cap&Trade or precautionary principle)
                         – Indirect Energy (and non renewable% ).
                   •    Certifying the biological farming / kettling and/or fair trade food (es. by RFID).
                   •    Optimizing the efficiency and environmental responsibility of the supply chain
                         – lean manufacturing, policy enforcement & awareness, transparent reporting
                         – route optimization, optimized charge of vessels, proximity sourcing.
                         – search of optimal sourcing: recyclable/recycled or biodegradable goods and packaging
                   •    Replacing travels with A/V conference and application sharing in services
                   •    Radical Transparency of goods LCA to consumers, sustainability labeling
                                                              www.ICT4Green.eu                                     25




                        The role of ICT in the Supply Chain
                       • Information can be the driver that serves as the “glue” to create
                         a coordinated and effective supply chain. Therefore it must be:
                          – Accurate and up to date, Validated
                          – Accessible in a timely manner,
                          – Focused to the scope, Intelligently managed by Analytics
                       • ICT supports supply chain operational, responsible planning and
                         strategic management decisions by an holistic visibility on:
                          – Inventory (i.e. demand patterns, carrying costs, etc.)
                          – Transportation (i.e. customer locations, shipment sizes, etc.)
                          – Facility (i.e. location, capacity, smart grid, etc.)
                          – Use, design for Recycle & Reuse, limit waste and defects
                       • ICT (i.e. CRM, ERP, etc.) allows to optimize performance for the
                         entire supply chain to make it less burdensome
                                                              www.ICT4Green.eu                                          27




www.ict4green.eu                                                                                                                    13
International Green IT Awareness Week                                                                   21/05/2010




                     ICT for Sustainable Supply Chain: ERP
                   • ERP
                       – HR : Ethically Manage Workforce
                           • Recruit without discrimination, Retain during economic downturn,
                             Motivate by shared profit and transparent MBO, work-life balance,
                             education.
                       – Triple Bottom Line Project Management:
                           • includes balance of Intangible Values and Indirect Impacts on GHG,
                             water & air pollution, reduce safety hazard
                       – Responsible Financials:
                           • Fair Payment, Collect, Treasury Mgmt, Capital Assets, Cap & Trade
                             constraints / opportunities
                       – Product Design and Project Engineering for Sustainability, LCA
                           • Include Crowd sourcing, evaluate public domain model, reduce energy
                             and prefer renewable resources, capture emissions
                       – Sustainable Operations :
                           • LCA based Planning, Green Purchasing, Total Quality Assurance & Six
                             Sigma, Lean Manufacturing and GHG/energy optimized, Shipping and
                             Warehouse allocation, Load and docking optimization, pollution
                             reporting
                                                    www.ICT4Green.eu                               28




                    ICT for Sustainable Supply Chain: CRM
                    • CRM
                       – Sales accounted for 3P impact
                           • Transparent Forecast, Manage Sales Force by 3P MBO, Generate
                             Sales with a Long term approach, Customer Intimacy and shared
                             values, Insure fair Sale, Process Orders with customer feedback
                             and satisfaction,
                       – Innovative, accountable Marketing
                           • Analyze Market and Planet status, Develop True Sustainable
                             Marketing Plan, Conduct Joint Campaigns with NGO
                       – Quality driven Service
                           • Plan Service as a core component of product Life Cycle, Fulfill
                             Service Contracts “Craddle to Craddle”, Handle Customer
                             Enquiries, Deliver Service building customer engagement


                                                    www.ICT4Green.eu                               29




www.ict4green.eu                                                                                               14
International Green IT Awareness Week                                                                      21/05/2010




                         “Radical Transparency" -- the virtuous circle
                   NGO can leverage LCA
                   in ad hoc campaigns
                   to increase awarness
                   in consumer of
                   seriuos business faults
                   or need of
                   government rules.
                                             IT: (Business Intelligence, WEB 2.0, Data
                                                 Interchange, Mobile, etc.) makes easyer to:
                                             •   Match LCA with each customer value ranking
                                                 and geo-location providing a concise score of
                                                 goods and eventually suggesting alternatives
                                             •   Publish and share LCA data

                    Companies can choose to:
                     Anticipate the shift by proactively addressing new customer needs and sharing
                    information with customers and supply chain
                     Wait (and hopefully monitor) for changes in buyers habits (that might occurs
                    very quickly) with dangerous effects www.ICT4Green.eu                             30




                              Tools for Radical Transparency
                    • Recent innovations in ICT make it possible to create databases
                      of LCA that display the ecological impacts of any product versus
                      its competitors.
                    • Example of tools referenced in the Goleman’s book:
                       – GoodGuide rates an item's product's environmental, health,
                          and social impacts on a ten-point scale based on more than
                          200 databases.
                       – Earthster, a supply-chain management system that takes
                          openly disclosed LCA data, helps companies spot where they
                          can make the biggest ecological improvements, and then
                          guides them in finding suppliers.
                       – SkinDeep, ranks personal care products like mascara by
                          matching each ingredient to findings of concern in medical
                          databases. The site has had more than 100 million searches
                          since launching in 2004.
                                                                                                      31




www.ict4green.eu                                                                                                  15
International Green IT Awareness Week                                                                        21/05/2010




                         GoodGuide Transparency Manifesto
                • Started as an UC Berkley project
                  from a simple premise:
                  People have the right to know
                  what they’re putting in, on, and
                  around their bodies.
                • There are three simple things
                  everyone should know about their
                  food but don’t:
                   – Where did it come from?
                   – How was it made?
                   – What’s in it?
                • Good Guide iPhone app "let us align our
                  dollars with our values easily”.
                                                                                                        32




                   Earthster.org (Sylvatica)
                • Is a web-based, open source, supply-
                  chain management system, based on
                  openly disclosed LCA data
                • It helps companies spot where they can
                  make the biggest ecological                            Build Your Process
                  improvements, and in finding suppliers
                  who can provide the needed upgrades.
                   – It might in turn feed precise metrics
                      to a consumer-facing rating system                   Contribution Analysis
                      like GoodGuide.
                      "When anyone in your supply chain makes a
                      smart move, it makes your product greener, too
                      — as well as the purchases of everyone who buys
                      your product. That ripple effect turns thousands     Comparison Analysis
                      of upstream suppliers into your allies, to the
                      extent any of them make improvements.“
                                                                           Publish Cradle-to-Gate Results
                                                                                                        33




www.ict4green.eu                                                                                                    16
International Green IT Awareness Week                                                                       21/05/2010




                                   Do we still have problems?

                       • Fragrance in perfume may be any of the 3,100 chemical
                         ingredients, the blend of which is almost always kept
                         hidden from the consumer.
                       Laboratory tests commissioned by the
                       Campaign for Safe Cosmetics and analyzed
                       by Environmental Working Group revealed
                       secret chemicals, in name brand fragrance
                       products, not listed on the label, including
                       sensitizers that can trigger allergic
                       reactions, different hormone-disrupting
                       chemicals; mostly are not assessed by
                       FDA for safety. Examples:
                        – diethyl phthalate, linked to sperm damage
                          in human epidemiological studies (Swan
                          2008), and musk ketone, a synthetic
                          fragrance ingredient that concentrates in
                          human fat tissue and breast milk (Hutter
                          2009; Reiner 2007).
                                                                                                     34




                         Will Radical Transparency Save the Earth?
                   •    “Achieving such an ecologically intelligent future will depend not on the actions
                        of politicians, but executives at the companies who take the lead in embracing
                        radical transparency as a core business strategy.” by D.Goleman
                   •    Unfortunately many customer behavior is still :
                         – "Yes, I'd happily pick the greener product -- IF it comes from a brand I
                           know and trust, IF I can buy it where I currently shop, IF it is at least as
                           good as the product I'm currently buying, IF it doesn't require me to
                           change habits, IF it doesn't cost more, and IF it is somehow better (it lasts
                           longer, performs more effectively, saves money, is healthier for my family,
                           or will be perceived as cool)”
                   •    “Unless companies make products perceived to be better and can make money
                        doing it, we won't see wholesale change at the scale required” Joel Makower, June
                        17, 2009 (greenBiz.com)
                   • Goleman’s answer to Joel:
                         – The information systems that will bring about radical transparency for
                           ecological impacts are disruptive innovations.
                         – GoodGuide can trigger an entirely novel green agenda with fresh rules
                         – I’m pointing to the tweet-and-text generation, (13 to 23 year olds) who are
                           growing up in constant digital touch with each other. For them individual
                           action merges into the collective, especially with digital data.




www.ict4green.eu                                                                                                   17
International Green IT Awareness Week                                                                     21/05/2010




                     Greening WalMart's Supply Chain
                   • Establish Walmart Sustainability Index – universal score
                     that measures product performance
                        1.   Top-tier suppliers in the U.S. were required to complete
                             Sustainability Assessment by October 1, 2009; more to follow
                             (ultimate goal: universal adoption = 100,000 suppliers)
                        2.   Provided initial funding for a Sustainability Consortium to develop a
                             Lifecycle Analysis database; inaugurated 3/17/09
                             (http://www.sustainabilityconsortium.org/)
                        3.   Will develop a simple customer tool for comparison and tracking
                             Auditable and verifiable; full transparency
                   • Phased launch:                                            -20 million Tonnes
                                                                                  CO2 by 2015

                     Launch                Branch                      Mature            Evolve
                       (2009)              (2009-10)                   (2010-14)          (2015 +)
                             Supplier Level                            Product Level
                                                                                                     36




                                Nike: from sweatshops to
                                 sustainability champion
                     • Nike has taken the leadership in its sector in finding ways
                       to ensure fair working conditions in response to the
                       Greenpeace revelations that their supply chain relied on
                       sweatshops.
                     • Nike’s ‘Considered Index’ tool now predicts product
                       environmental footprint in design phase
                         – Solvent use, waste, materials and innovation for footwear;
                           Waste, materials, garment treatments and innovation for
                           apparel; Energy and Water Intensity, GHG.
                         – Restricted Substance List (RSL) tool has 9 distinct lists,
                           including nanotechnology, packaging and toy-specific;
                           materials restricted by legislation plus additional “Chemicals of
                           Concern” Nike declares undesirable.
                              • Testing and data management system for supplier compliance.
                              • Chemical evaluation system for possible addition to RSL and/or need
                                for environmentally and preferred / safer substitutes
                                                    www.ICT4Green.eu                                37




www.ict4green.eu                                                                                                 18
International Green IT Awareness Week                                                        21/05/2010




                                   SC Johnson
                   Greenlist™
                    – 95% Raw materials rated on environmental and
                      human health impact: “A process, NOT a chemical list”
                    – Scores provided to company chemists alongside
                      performance and cost information.
                    • Incentives encourage safer materials selection
                    • Provides metrics for tracking corporate-wide progress toward
                      greening the portfolio of products (i.e. phase out Phthalates).

                       S.C. Johnson (and Clorox) have done what was
                       once unthinkable: whatsinsidescjohnson.com
                       revealed chemical ingredient information to
                       consumers.
                                                       www.ICT4Green.eu                 38




                    "As a family company, listening and responding to consumers is SC
                     Johnson's top priority. … It helps our consumers know they can
                            continue to trust our products.” CEO Fisk Johnson




                                                       www.ICT4Green.eu                 39




www.ict4green.eu                                                                                    19
International Green IT Awareness Week                                                       21/05/2010




                   Patagonia Supply Chain


                        Embedded
                         energy
                     Distance
                     traveled




                     Waste

                     http://www.patagonia.com/web/eu/footprint/index.jsp

                                                    www.ICT4Green.eu                  40




                   How the bluesign® standard drives
                   competitors to work together
                   • The bluesign® standard brings together the textile
                     manufacturing chain to jointly reduce the environmental
                     footprint of a responsible textile industry.
                   • The applications provide the Textile Value Chain with the
                     necessary know-how and support in EHS management.
                      – The bluesign® bluetool is a special web-based software tool to
                        guide chemical suppliers effortlessly through the homologation.
                      – The bluesign® bluefinder for textile manufacturers is an advanced
                        search engine containing bluesign® approved raw materials and
                        chemical components.
                      – The web-based bluesign® blueguide for brands and retailers is an
                        advanced database containing bluesign® approved fabrics.




                                                    www.ICT4Green.eu                  41




www.ict4green.eu                                                                                   20
International Green IT Awareness Week                                                                                            21/05/2010




                                                         Open LCA

                   • The openLCA project is creating a modular, open
                     source (free), software for life cycle analysis and
                     sustainability assessments.
                   • Initially it is providing:
                       – A basic framework for LCA: graphical modelling,
                         inventory, impact assessment, fast database,
                         client/server structure, help, user interface
                       – Two plugins: a format converter and an uncertainty
                         module.
                   • Documentation & Beta 1.1.1 released on
                     Sourceforge

                                                                                                                            42




                                 EPA Tools and Data Directory
                   EPA, DOE, USDA and other federal agencies provide many tools:
                   • General environmentally preferable purchasing tools :
                       – Database of Environmental Information for Products and Services by public and private
                         organizations, both domestically and internationally, including: Contract language, specifications,
                         and policies; Environmental standards and guidelines with lists of vendors
                       – Designated Green Products for Federal Procurement for which EPA, the Dep. of Energy, and Dep.
                         of Agriculture have provided environmental or energy attribute recommendations.
                       – EPP Assistant Purchasing prioritization tool that allows users to quantify and prioritize their green
                         purchasing efforts through LCA.
                   • Product-specific tools for:
                       – Buildings & Construction several tools to procuring green building
                         products and construction services such as BEES
                       – Cleaning : Green Cleaning Pollution Prevention Calculator
                       – Electronics: EPEAT, EEBC, Energy Star
                       – Fleets : FAST, FEET and other tools for HEV, alternative fuel stations, etc
                       – Paper Calculator : LCA tool for paper



                                                                www.ICT4Green.eu                                           43




www.ict4green.eu                                                                                                                        21
International Green IT Awareness Week                                                   21/05/2010




                   Free MIT Green Alternatives Wizard
                   • Focus on common laboratory solvents and
                     associated process
                   GreenChemWiz5.html




                                              www.ICT4Green.eu                     44




                          ACS GreenChemEx tool
                   • Green chemistry is the design of chemical products and
                     processes that reduce or eliminate the use and
                     generation of hazardous substances.
                   • The American Chemical Society (ACS) Green Chemistry
                     Institute developed the Green Chemistry Resource
                     Exchange to facilitate exchange green chemistry
                     information resources to a broad audience .
                      – A business executive can find examples of companies that
                        specify financial benefits as well as fewer process steps,
                        less hazardous chemicals, less waste, and higher yield of
                        product by applying the principles of green chemistry.
                      – A researcher in the automotive industry can find examples
                        of greener plastics, paints, and carpeting that have reduced
                        VOCs, made from renewable resources, and/or are
                        recyclable

                                              www.ICT4Green.eu                     45




www.ict4green.eu                                                                               22
International Green IT Awareness Week                                              21/05/2010




                       Carnegie-Mellon Economic Input-Output
                              Life Cycle Analysis Tool (EIO-LCA)
                   www.eiolca.net

                   EIO-LCA: Free, Fast, Easy Life Cycle Assessment
                   • Estimates materials and energy resources
                     required for, and environmental impacts resulting
                     from, economic activities.
                   • Provides guidance on relative impacts of different
                     products, materials, services, or industries
                     through the supply chain, to estimate the total
                     emissions .
                   • Contains a limited number of environmental
                     effects.
                                             www.ICT4Green.eu                 46




                    Zerofootprint: Enterprise Software
                   • VELO – Enterprise Carbon Management software
                      – Web based (SAAS), automates gathering of carbon
                        data, ensures its integrity, calculates emissions
                      – displays results in a dashboards & flexible reports
                   • VELOlite entry level solution, scalable
                   • VELOmetrics compares like-minded peers to
                     provide benchmarking




                                             www.ICT4Green.eu                 47




www.ict4green.eu                                                                          23
International Green IT Awareness Week                                                     21/05/2010




                                  Energy and GHG monitoring tool
                                   for Public Local Administration
                   ECOSPEED: ECO2 Regio is a DB-aided
                   energy and CO2 monitoring and
                   scenario tool that enables
                   municipalities, cities and cantons to
                   assess final and forecasted energy
                   usage and CO2-emissions.




                                                          www.ICT4Green.eu           48




                              Example of other free Tools and DBs
                    • University of Bath Inventory of Carbon and Energy
                      (ICE) database, a free embodied energy and embodied
                      carbon database for building materials.
                    • GSA Carbon Footprint and Green Procurement Tool –
                      For management of Federal Agency data to track GHG
                      emissions inventory and soon will address also water
                      footprint, energy and waste.
                        – Note: access is constrained to Federal Agency personnel
                    • National Renewable Energy Laboratory Life Cycle
                      Inventory Database - material and energy flows for a
                      few unit ops (e.g., chemical or fabricated metal
                      products manufacturing) based on ISO 14048.


                                                          www.ICT4Green.eu          49




www.ict4green.eu                                                                                 24
International Green IT Awareness Week                                                                                     21/05/2010




                      Social Networking Role in promoting Prosumers
                   Sustainability Awareness and pressing for Transparency
                    •   ClimateCounts.org , GreenSeal, SkinDep, Greenpeace, website, hold
                        companies accountable for their footprints, scores them on their true
                        commitments, fight greenwashing.
                    •   Facebook and Twitter are used to alert a circle of friends about the ups or
                        downs of a brand. Many companies now monitor tweets to track the
                        murmurs that impact reputation. Customers share their grumbles about a
                        given company or product in sites like GetSatisfaction.com




                                                                                                                  51




                        Tools for evaluating personal footprint
                    •   There are many online free tools that help in evaluating & reducing the personal
                        footprint (GHG), take care that they might have different scope and detail:
                         – WWF: Footprint.wwf.org.uk food, travel, home, stuff
                           (data modelling by SEI that has an interactive
                           calculator for Sweden)



                         – Carbon Footprint www.carbonfootprint.com (Home & Business version) based on DEFRA, DOE, etc.




                         –   Act On CO2 Actonco2.direct.gov.uk
                         –   www.mycarbonfootprint.eu
                         –   www.ceroco2.org
                         –   www.climateneutralgroup.com
                         –   Lifegate Impatto Zero




                                                                 www.ICT4Green.eu                                52




www.ict4green.eu                                                                                                                 25
International Green IT Awareness Week                                                                      21/05/2010




                    How ICT can help in enabling a sustainable enterprise
                                  Measure Impact of                          Prevent magazine
                                   Supply Chain to                         obsolescence by Lean
                                  embedded energy,                           Manufacturing and
                                   water and GHG                            donation program to
                                                                                non-profits

                            Identify
                        environmental                                          Use LCA in designing
                    friendly and fair trade                                    sustainable products
                     sourcing options for                                         and processes
                         raw materials


                               Lower environmental                           Reduce waste,
                                impact of shipping,                        increase recycling
                               delivering and goods                          with take-back
                                    packaging                            service for end-of-life
                                                                                products

                                                      www.ICT4Green.eu                                53




                   Paul Hawken: University of Portland Speech
                   “…You are going to have to figure out what it means to
                   be a human being on earth at a time when every living
                   system is declining, and the rate of decline is
                   accelerating. […] .
                   Basically, the earth needs a new operating system, you
                   are the programmers, and we need it within a few
                   decades.
                   This planet came with a set of operating instructions,
                   but we seem to have misplaced them.
                   Important rules like don’t poison the water, soil, or air,
                   and don’t let the earth get overcrowded, and don’t
                   touch the thermostat have been broken.”
                          http://www.paulhawken.com/multimedia/UofP_Commencement.pdf




www.ict4green.eu                                                                                                  26
International Green IT Awareness Week                  21/05/2010




                   Please, use text chat
                   or e-mail for Q&A


                    Contacts




                           The Innovation Group
                         The Innovation Group
                   www.theinnovationgroup.it
                                                  55




www.ict4green.eu                                              27

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Green ICT Sustainable Supply Chain

  • 1. International Green IT Awareness Week 21/05/2010 Sustainable Supply Chain: From Green ICT to ICT for Green From the supply chain sustainability of ICT products and services to ICT tools that can help to measure, certify, lower the impact of the supply chain for other products. Donato Toppeta Senior Consultant - The Innovation Group Board of Directors: Sector ICT Acquisti & Sostenibilità Ambassador: International Green IT Awareness Week Sustainability as a: “Supply Chain across Generations” Sustainable development is defined as development that "meets the needs of the SOCIAL present without RESPONSIBILITY compromising the ability of future generations to meet SUSTAINABILITY their own needs” ENVIRONMENTAL ECONOMIC - Brundtland Commission, 1987 STEWARDSHIP PROSPERITY Driving sustainability CULTURE RESPECT improvements “You can’t change what you don’t measure…” www.ICT4Green.eu 2 www.ict4green.eu 1
  • 2. International Green IT Awareness Week 21/05/2010 Why a sustainable procurement…? Health and Ethical Business Legislation & Safety Sourcing Standards efficiencies Employee Life Cycle GHG, expectations Stakeholders Assessment biodiversity Expectations Accountability Citizenship, Ethic Pollution Risk Sustainable NGO Energy cost management Procurement Pressure Customer Impact Reduction requirements (environmental) Total License to Brand costs operate Reputation Value www.ICT4Green.eu 3 Nonprofits, Governments and Business Supporting Consumer’s Increasing Demand For Transparency • Encourage or force disclosure of corporations’ Nonprofits environmental commitments and performance – The Carbon Disclosure Project (CDP) about GHG – Greenpeace campaign on consumer electronics – Fair Trade campaigns, Local NGO • Disclosure requirements, Cap & Trade Government – GHG emissions for large emitters • Mandatory and opt-in environmental labeling European Union – EU mandatory labeling of energy-using /related New Zealand products – Energy Star label in the U.S. USA • Voluntary disclosure of sustainability efforts – Wal-Mart launched the Sustainability Index: Business – Patagonia publishes the “Footprint Chronicles” – Financial sustainability Indexes: DJSI, FSTE4GOOD • New services guiding consumers – Good Guide environmental, health and social index of over 60K products www.ICT4Green.eu 4 www.ict4green.eu 2
  • 3. International Green IT Awareness Week 21/05/2010 ICT can be an Ally or an Enemy for sustainability In the fight against global climate change, ICT is seen as both an ally and enemy… As an ally: As an enemy: “The real gains will come from “Exposes the gap between ICT as an enabler to improve what the IT industry could do energy efficiency across the to fight climate change, and economy.” – Jose Manuel what they're doing today.” Barroso, President of the E.U. Greenpeace Cool IT Challenge www.ICT4Green.eu 5 Green Regulatory Trends and Customer Awareness Create Both Risks And Opportunities For ICT Business risks Opportunities Increase in cost of energy and Demand for Green ICT products • Power management capabilities, availability of scarce resources virtualization and smart • Impact on data centers and management, sustainable supply communication and some HW chain Lower market demand for • Saving in promotion products without green and fair Opportunity for new products and trade certification services Possible loss of government • Smart energy grid and cities, ICT for radical transparency, etc. contracts for new procurement • Innovation and coopetition policies, shift to open software, • Social networking and crowd stretched ICT products life cycle sourcing NGO campaigns disrupting Growing role of Cloud Computing market (SAAS) from Green Data Centers www.ICT4Green.eu 6 www.ict4green.eu 3
  • 4. International Green IT Awareness Week 21/05/2010 From Green ICT to ICT for Green • Sustainability of ICT factories’ supply chain and distribution (cradle to cradle): – Ethical behavior and business conduct of ICT regardless of jurisdiction or localizing factors (labor rights in factories, diversity, inclusiveness, child labor free, etc.), es. GlobalCompact – Environmental protection and preservation of the ICT factories and related production and processes. • ICT tools and solutions for improving the supply chain sustainability (i.e. Green Procurement, Radical Transparency, EMS: Environmental management Systems) www.ICT4Green.eu 7 From the SMART 2020 Report Enabling low carbon economy in the information age –The Climate Group and the Global e-Sustainability Initiative (GeSI) released in 2008 The Climate Group 2020 Report that analyzed the Information and Communication Technology sector's impact on world climate: – ICT’s own sector footprint is currently 2% of global energy use and global emissions are expected to almost double by 2020. – ICT ’s unique ability to monitor and maximize energy efficiency both within and outside could help cut CO2 emissions by up to five times this amount. This represents a saving of 7.8 Giga-tons of carbon dioxide equivalent (GtCO2e) by 2020 (> current annual emissions of either the US or China). Potential influence of ICT on CO2 emissions 10 4.73 Million tons of CO2 0 -10 -20 -30 -40 -48.37 -50 Possible CO2 savings CO2 emissions caused by ICT www.ICT4Green.eu 8 www.ict4green.eu 4
  • 5. International Green IT Awareness Week 21/05/2010 ICT Companies are committing to Reduce their Environmental Impact • A growing number of companies, including many leading ICT corporations have publicly pledged to reduce their greenhouse gas emissions, some aiming for “carbon neutrality” • HP was generally ranked the top Green IT Vendor in all categories: Best at Green IT, Most Committed, and Best at Cutting Costs. Close runner ups include: IBM, Dell, Microsoft and Apple. • Many different listings with variable results • New policies are being developed rapidly, such as: • Green Purchasing Policies and Sustainable certified Supply Chain, Environmental Sustainability Budgets and Campaigns, and Green Champions / Departments (i.e. energy efficiency, LEED buildings, travel replacement by Unified Communication, recycling, etc.) • In Marketing & Public Relations there is a growing support for Environmental Stewardship / Social Responsibility / Citizenship www.ICT4Green.eu 9 Supply Chain Sustainability of ICT • Ethical sustainability of labor (health, privacy, diversity, inclusion, child labor prevention, work/life balance, workforce relocation), Citizenship (i.e: job and skill development) also in countries with factories or primary goods, Responsible Financial and Sourcing (i.e.: near-shore, etc.) • Environmental sustainability of the ICT factories and production processes – GHG (CO2 eq) and energy of ICT energy efficiency products & services (Data Center with low PUE & renewable source) including embedded (i.e. production and transportation) – Design for waste reduction, biodegradability and recycling (including packaging) – Need to reduce: • Pollutants produced in the manufacturing of ICT products or toxic / harmful substances (brominates flame retardants, beryllium, etc.) used • Metals (i.e. 36% of world tin, 25% of cobalt, 15% of palladium, 9% of gold, 2% of copper, and 1% of aluminum and rare ones like tantalum) and PVC www.ICT4Green.eu 10 www.ict4green.eu 5
  • 6. International Green IT Awareness Week 21/05/2010 Main regulations for Electric and Electronic Supply Chain • EU REACH: (Registration, Evaluation, Authorisation of Chemicals) 2006, production and use of chemical substances and impacts on human health and environment. It’s very complex, 150k substances (very high concern 26, plan for 106 by 2012) – Information stored in a central DB by European Chemicals Agency (ECHA). – Tools: IUCLID 5 (free SW from EU), REACH-IT (portal), CHESAR, QuickReach, etc. – EU CLP Regulation on Classification, Labelling and Packaging of chemical substances and mixtures, based on the United Nations’ Globally Harmonised System (UN GHS). In US: CPSIA (US Consumer Product Safety Improv. Act) • EU RoHS: (European Restriction of Hazardous Substances ) 2006, six banned substances: lead, mercury, cadmium, hexavalent chromium and two flame retardants: PBB,PBDE – Other countries have similar rules: China RoHS, J-MOSS, EWRA. www.ICT4Green.eu 11 Main regulations for Electric and Electronic Supply Chain • EU WEEE: (Waste Electrical and Electronic Equipment Directive) 2003: collection, recycling and recovery targets (collection targets 65%) for electrical goods. – Collection schemes where consumers return their used e-waste free of charge. – Directive 2006/66/EC on disposal of batteries and accumulators • EuP 2005/32/CE Eco-design Directive for Energy-using Products provides EU-wide rules for improving the environmental performance of energy related products (ERPs) through ecodesign, including stand-by and hard-off. – Ecolabel: http://www.eco-label.com/ EU Energy Star: www.eu- energystar.org www.ICT4Green.eu 12 www.ict4green.eu 6
  • 7. International Green IT Awareness Week 21/05/2010 Risks related to e-toxics found in OLD computers Brominated Flame Retardants • Brominated flame-retardants are a class of chemicals that were commonly used in electronic products as a means for reducing flammability. – In computers and televisions, they were used mainly in printed circuit boards, connectors, plastic covers and cables. • Various scientific observations indicate that Polybrominated Diphenylethers (PBDE) might act as endocrine disrupters. – It accumulates in the food chain and human tissues – It affects brain development (reduces levels of the hormone thyroxin). • Research has revealed that levels of PBDEs in human breast milk are doubling every five years , found in umbilical cord blood . www.ICT4Green.eu 13 Supply Network Complexity Product usage Consumer and disposal Distribution Retire / Repair / Retailer Supply chain Recycle Manufacturers Product Accessory Service T Tier One R Assembly A Part A Part B Part X Part Y Supplier N S Component Comp. Comp. Comp. P Comp. M 1 2 N Supplier O Raw Material R M1 Mx My T Supplier www.ICT4Green.eu 14 www.ict4green.eu 7
  • 8. International Green IT Awareness Week 21/05/2010 WEEE collection Rate, kg per capit EU WEEE Directive (2002/96/EC) currently sets a minimum collection target of 4 kg per annum per inhabitant. Data on the chart are referred to 2006 detailed updated data are available here www.ICT4Green.eu 15 Who gets the e-waste trash? www.ICT4Green.eu 16 www.ict4green.eu 8
  • 9. International Green IT Awareness Week 21/05/2010 Apple Sustainability • Apple requires suppliers to commit to a Supplier Code of Conduct, then performs onsite audits, approves corrective action plans, and verifies implementation. Environmentally, includes requirements for: – Hazardous Substance Management and Restrictions – Solid Waste Management – Wastewater and Stormwater Management – Air Emissions Management – Permits and Reporting – Pollution Prevention and Source Reduction www.ICT4Green.eu 17 Dell’s Sustainability throughout entire Supply Chain • Dell promise customers: – Quality in Design & Production, Best cost possible, Supply when you need it – CSR statement: Corporate Accountability, Environmental Responsibility, Community Engagement: Committing to make Dell the greenest technology company on the planet , Supporting HIV&AIDS campaign. • Dell’s Supply Chain Sustainability effort: – A Dell team regularly goes on-site to audit the working conditions and manufacturing processes of 1st, 2nd and 3rd tier suppliers. If ethical and legal labor/environmental violated, Dell discontinue usage of the supplier. – Supplier diversity is enforced. – Dell claims that carbon intensity (CO2/revenue), is less than half that of their closest competitor, pledging to make their operations carbon neutral – Free Shipping for recycling / refurbishing old computers to Dell TechKnow (Community education) or Reconnect (partnership with Goodwill & Microsoft) “ “Dell's vision is to create a company culture where environmental excellence is second nature because the principles of environmentalism - efficiency eliminates waste - align with the principles of our direct business model - efficiency delivers customer value.” www.ICT4Green.eu 18 www.ict4green.eu 9
  • 10. International Green IT Awareness Week 21/05/2010 Electronic Product Environmental Assessment Tool (EPEAT) - A tool, an environmental standard, a rating system, and a verification program - helps purchasers evaluate, compare and select electronic products based on their environmental attributes - www.epeat.net EPEAT Criteria are known as IEEE 1680 American National Standard for the Meets all 23 Meets all 23 Meets all 23 required required required Environmental Assessment of criteria criteria plus at criteria plus at least 50% of least 75% of Personal Computer Products the optional the optional criteria criteria www.ICT4Green.eu 19 EPEAT tool www.ICT4Green.eu 20 www.ict4green.eu 10
  • 11. International Green IT Awareness Week 21/05/2010 How Green is the Cloud? • Do hosted services and Software as a Service provide net environmental benefits? • Potential benefits: – Higher server utilization by virtualization and on demand provisioning, tuning – Data centers optimized for global energy efficiency (HVAC, free cooling, monitoring) and renewable sources, – Easier to recycle standardized hardware – Promote remote work (might reduce commuting) – Might reduce digital divide (ubiquitous computing) • Experience is still limited – some concern are related to privacy, trans-national legislation, reduced ICT workforce. www.ICT4Green.eu 21 Life Cycle Assessment a valuable approach : Increased Energy & Revenues resources Reduction Increased Satisfied Waste Sales Stakeholders Reduction Brand Image Corporate Efficiencies or Value Cost Avoidance Deflect Green Critism Marketing Select KPI Product Re-Design LCA 22 www.ICT4Green.eu www.ict4green.eu 11
  • 12. International Green IT Awareness Week 21/05/2010 Daniel Goleman : Ecological Intelligence How Knowing the Hidden Impacts of What We Buy Can Change Everything • Draws on cutting-edge research to reveal why too often “Green is a Mirage" – Illuminates inconsistencies in our response to the ecological crisis and Greenwashing • Introduces how ICT & LCA can help “Radical Transparency”, allowing us to know the environmental, health, and social consequences of what we buy, – potential to drive consumers to make smarter decisions and companies to reform their business practices by lifting the veil of secrecy about the ingredients and sources of their products. • Shows how new market forces can drive the essential changes we all must make to save our 7: Ecological planet, our health and happiness. Intelligence www.ICT4Green.eu 23 How Green Is My Bottle? By DANIEL GOLEMAN and GREGORY NORRIS New York Times, April 19, 2009 • A practical example of LCA outcome: – if your stainless steel bottle takes the place of 50 plastic bottles, the climate is better off, – if it gets used 500 times, it beats plastic in all the environment-impact categories studied in a life cycle assessment. ISO 14000 environmental management standards: ISO 14040:2006 and 14044:2006 can be used for LCA 24 www.ict4green.eu 12
  • 13. International Green IT Awareness Week 21/05/2010 ICT tools and solutions for improving the supply chain sustainability ICT tools and solution can help Supply Chain Sustainability by: • Assessing the respect of ethical rules in provisioning: – human & labor rights (e.g. minimum wage, no child or forced labor, respect of diversity & inclusiveness, prevent abuses and corruption, etc.), minimize health hazardous. • Monitoring , Analyzing and Reporting by LCA the Supply Chain contribution (embedded in raw materials, packaging and transportation) to: – GHG (Greenhouse Gas) and pollutants, (Cap&Trade or precautionary principle) – Indirect Energy (and non renewable% ). • Certifying the biological farming / kettling and/or fair trade food (es. by RFID). • Optimizing the efficiency and environmental responsibility of the supply chain – lean manufacturing, policy enforcement & awareness, transparent reporting – route optimization, optimized charge of vessels, proximity sourcing. – search of optimal sourcing: recyclable/recycled or biodegradable goods and packaging • Replacing travels with A/V conference and application sharing in services • Radical Transparency of goods LCA to consumers, sustainability labeling www.ICT4Green.eu 25 The role of ICT in the Supply Chain • Information can be the driver that serves as the “glue” to create a coordinated and effective supply chain. Therefore it must be: – Accurate and up to date, Validated – Accessible in a timely manner, – Focused to the scope, Intelligently managed by Analytics • ICT supports supply chain operational, responsible planning and strategic management decisions by an holistic visibility on: – Inventory (i.e. demand patterns, carrying costs, etc.) – Transportation (i.e. customer locations, shipment sizes, etc.) – Facility (i.e. location, capacity, smart grid, etc.) – Use, design for Recycle & Reuse, limit waste and defects • ICT (i.e. CRM, ERP, etc.) allows to optimize performance for the entire supply chain to make it less burdensome www.ICT4Green.eu 27 www.ict4green.eu 13
  • 14. International Green IT Awareness Week 21/05/2010 ICT for Sustainable Supply Chain: ERP • ERP – HR : Ethically Manage Workforce • Recruit without discrimination, Retain during economic downturn, Motivate by shared profit and transparent MBO, work-life balance, education. – Triple Bottom Line Project Management: • includes balance of Intangible Values and Indirect Impacts on GHG, water & air pollution, reduce safety hazard – Responsible Financials: • Fair Payment, Collect, Treasury Mgmt, Capital Assets, Cap & Trade constraints / opportunities – Product Design and Project Engineering for Sustainability, LCA • Include Crowd sourcing, evaluate public domain model, reduce energy and prefer renewable resources, capture emissions – Sustainable Operations : • LCA based Planning, Green Purchasing, Total Quality Assurance & Six Sigma, Lean Manufacturing and GHG/energy optimized, Shipping and Warehouse allocation, Load and docking optimization, pollution reporting www.ICT4Green.eu 28 ICT for Sustainable Supply Chain: CRM • CRM – Sales accounted for 3P impact • Transparent Forecast, Manage Sales Force by 3P MBO, Generate Sales with a Long term approach, Customer Intimacy and shared values, Insure fair Sale, Process Orders with customer feedback and satisfaction, – Innovative, accountable Marketing • Analyze Market and Planet status, Develop True Sustainable Marketing Plan, Conduct Joint Campaigns with NGO – Quality driven Service • Plan Service as a core component of product Life Cycle, Fulfill Service Contracts “Craddle to Craddle”, Handle Customer Enquiries, Deliver Service building customer engagement www.ICT4Green.eu 29 www.ict4green.eu 14
  • 15. International Green IT Awareness Week 21/05/2010 “Radical Transparency" -- the virtuous circle NGO can leverage LCA in ad hoc campaigns to increase awarness in consumer of seriuos business faults or need of government rules. IT: (Business Intelligence, WEB 2.0, Data Interchange, Mobile, etc.) makes easyer to: • Match LCA with each customer value ranking and geo-location providing a concise score of goods and eventually suggesting alternatives • Publish and share LCA data Companies can choose to:  Anticipate the shift by proactively addressing new customer needs and sharing information with customers and supply chain  Wait (and hopefully monitor) for changes in buyers habits (that might occurs very quickly) with dangerous effects www.ICT4Green.eu 30 Tools for Radical Transparency • Recent innovations in ICT make it possible to create databases of LCA that display the ecological impacts of any product versus its competitors. • Example of tools referenced in the Goleman’s book: – GoodGuide rates an item's product's environmental, health, and social impacts on a ten-point scale based on more than 200 databases. – Earthster, a supply-chain management system that takes openly disclosed LCA data, helps companies spot where they can make the biggest ecological improvements, and then guides them in finding suppliers. – SkinDeep, ranks personal care products like mascara by matching each ingredient to findings of concern in medical databases. The site has had more than 100 million searches since launching in 2004. 31 www.ict4green.eu 15
  • 16. International Green IT Awareness Week 21/05/2010 GoodGuide Transparency Manifesto • Started as an UC Berkley project from a simple premise: People have the right to know what they’re putting in, on, and around their bodies. • There are three simple things everyone should know about their food but don’t: – Where did it come from? – How was it made? – What’s in it? • Good Guide iPhone app "let us align our dollars with our values easily”. 32 Earthster.org (Sylvatica) • Is a web-based, open source, supply- chain management system, based on openly disclosed LCA data • It helps companies spot where they can make the biggest ecological Build Your Process improvements, and in finding suppliers who can provide the needed upgrades. – It might in turn feed precise metrics to a consumer-facing rating system Contribution Analysis like GoodGuide. "When anyone in your supply chain makes a smart move, it makes your product greener, too — as well as the purchases of everyone who buys your product. That ripple effect turns thousands Comparison Analysis of upstream suppliers into your allies, to the extent any of them make improvements.“ Publish Cradle-to-Gate Results 33 www.ict4green.eu 16
  • 17. International Green IT Awareness Week 21/05/2010 Do we still have problems? • Fragrance in perfume may be any of the 3,100 chemical ingredients, the blend of which is almost always kept hidden from the consumer. Laboratory tests commissioned by the Campaign for Safe Cosmetics and analyzed by Environmental Working Group revealed secret chemicals, in name brand fragrance products, not listed on the label, including sensitizers that can trigger allergic reactions, different hormone-disrupting chemicals; mostly are not assessed by FDA for safety. Examples: – diethyl phthalate, linked to sperm damage in human epidemiological studies (Swan 2008), and musk ketone, a synthetic fragrance ingredient that concentrates in human fat tissue and breast milk (Hutter 2009; Reiner 2007). 34 Will Radical Transparency Save the Earth? • “Achieving such an ecologically intelligent future will depend not on the actions of politicians, but executives at the companies who take the lead in embracing radical transparency as a core business strategy.” by D.Goleman • Unfortunately many customer behavior is still : – "Yes, I'd happily pick the greener product -- IF it comes from a brand I know and trust, IF I can buy it where I currently shop, IF it is at least as good as the product I'm currently buying, IF it doesn't require me to change habits, IF it doesn't cost more, and IF it is somehow better (it lasts longer, performs more effectively, saves money, is healthier for my family, or will be perceived as cool)” • “Unless companies make products perceived to be better and can make money doing it, we won't see wholesale change at the scale required” Joel Makower, June 17, 2009 (greenBiz.com) • Goleman’s answer to Joel: – The information systems that will bring about radical transparency for ecological impacts are disruptive innovations. – GoodGuide can trigger an entirely novel green agenda with fresh rules – I’m pointing to the tweet-and-text generation, (13 to 23 year olds) who are growing up in constant digital touch with each other. For them individual action merges into the collective, especially with digital data. www.ict4green.eu 17
  • 18. International Green IT Awareness Week 21/05/2010 Greening WalMart's Supply Chain • Establish Walmart Sustainability Index – universal score that measures product performance 1. Top-tier suppliers in the U.S. were required to complete Sustainability Assessment by October 1, 2009; more to follow (ultimate goal: universal adoption = 100,000 suppliers) 2. Provided initial funding for a Sustainability Consortium to develop a Lifecycle Analysis database; inaugurated 3/17/09 (http://www.sustainabilityconsortium.org/) 3. Will develop a simple customer tool for comparison and tracking Auditable and verifiable; full transparency • Phased launch: -20 million Tonnes CO2 by 2015 Launch Branch Mature Evolve (2009) (2009-10) (2010-14) (2015 +) Supplier Level Product Level 36 Nike: from sweatshops to sustainability champion • Nike has taken the leadership in its sector in finding ways to ensure fair working conditions in response to the Greenpeace revelations that their supply chain relied on sweatshops. • Nike’s ‘Considered Index’ tool now predicts product environmental footprint in design phase – Solvent use, waste, materials and innovation for footwear; Waste, materials, garment treatments and innovation for apparel; Energy and Water Intensity, GHG. – Restricted Substance List (RSL) tool has 9 distinct lists, including nanotechnology, packaging and toy-specific; materials restricted by legislation plus additional “Chemicals of Concern” Nike declares undesirable. • Testing and data management system for supplier compliance. • Chemical evaluation system for possible addition to RSL and/or need for environmentally and preferred / safer substitutes www.ICT4Green.eu 37 www.ict4green.eu 18
  • 19. International Green IT Awareness Week 21/05/2010 SC Johnson Greenlist™ – 95% Raw materials rated on environmental and human health impact: “A process, NOT a chemical list” – Scores provided to company chemists alongside performance and cost information. • Incentives encourage safer materials selection • Provides metrics for tracking corporate-wide progress toward greening the portfolio of products (i.e. phase out Phthalates). S.C. Johnson (and Clorox) have done what was once unthinkable: whatsinsidescjohnson.com revealed chemical ingredient information to consumers. www.ICT4Green.eu 38 "As a family company, listening and responding to consumers is SC Johnson's top priority. … It helps our consumers know they can continue to trust our products.” CEO Fisk Johnson www.ICT4Green.eu 39 www.ict4green.eu 19
  • 20. International Green IT Awareness Week 21/05/2010 Patagonia Supply Chain Embedded energy Distance traveled Waste http://www.patagonia.com/web/eu/footprint/index.jsp www.ICT4Green.eu 40 How the bluesign® standard drives competitors to work together • The bluesign® standard brings together the textile manufacturing chain to jointly reduce the environmental footprint of a responsible textile industry. • The applications provide the Textile Value Chain with the necessary know-how and support in EHS management. – The bluesign® bluetool is a special web-based software tool to guide chemical suppliers effortlessly through the homologation. – The bluesign® bluefinder for textile manufacturers is an advanced search engine containing bluesign® approved raw materials and chemical components. – The web-based bluesign® blueguide for brands and retailers is an advanced database containing bluesign® approved fabrics. www.ICT4Green.eu 41 www.ict4green.eu 20
  • 21. International Green IT Awareness Week 21/05/2010 Open LCA • The openLCA project is creating a modular, open source (free), software for life cycle analysis and sustainability assessments. • Initially it is providing: – A basic framework for LCA: graphical modelling, inventory, impact assessment, fast database, client/server structure, help, user interface – Two plugins: a format converter and an uncertainty module. • Documentation & Beta 1.1.1 released on Sourceforge 42 EPA Tools and Data Directory EPA, DOE, USDA and other federal agencies provide many tools: • General environmentally preferable purchasing tools : – Database of Environmental Information for Products and Services by public and private organizations, both domestically and internationally, including: Contract language, specifications, and policies; Environmental standards and guidelines with lists of vendors – Designated Green Products for Federal Procurement for which EPA, the Dep. of Energy, and Dep. of Agriculture have provided environmental or energy attribute recommendations. – EPP Assistant Purchasing prioritization tool that allows users to quantify and prioritize their green purchasing efforts through LCA. • Product-specific tools for: – Buildings & Construction several tools to procuring green building products and construction services such as BEES – Cleaning : Green Cleaning Pollution Prevention Calculator – Electronics: EPEAT, EEBC, Energy Star – Fleets : FAST, FEET and other tools for HEV, alternative fuel stations, etc – Paper Calculator : LCA tool for paper www.ICT4Green.eu 43 www.ict4green.eu 21
  • 22. International Green IT Awareness Week 21/05/2010 Free MIT Green Alternatives Wizard • Focus on common laboratory solvents and associated process GreenChemWiz5.html www.ICT4Green.eu 44 ACS GreenChemEx tool • Green chemistry is the design of chemical products and processes that reduce or eliminate the use and generation of hazardous substances. • The American Chemical Society (ACS) Green Chemistry Institute developed the Green Chemistry Resource Exchange to facilitate exchange green chemistry information resources to a broad audience . – A business executive can find examples of companies that specify financial benefits as well as fewer process steps, less hazardous chemicals, less waste, and higher yield of product by applying the principles of green chemistry. – A researcher in the automotive industry can find examples of greener plastics, paints, and carpeting that have reduced VOCs, made from renewable resources, and/or are recyclable www.ICT4Green.eu 45 www.ict4green.eu 22
  • 23. International Green IT Awareness Week 21/05/2010 Carnegie-Mellon Economic Input-Output Life Cycle Analysis Tool (EIO-LCA) www.eiolca.net EIO-LCA: Free, Fast, Easy Life Cycle Assessment • Estimates materials and energy resources required for, and environmental impacts resulting from, economic activities. • Provides guidance on relative impacts of different products, materials, services, or industries through the supply chain, to estimate the total emissions . • Contains a limited number of environmental effects. www.ICT4Green.eu 46 Zerofootprint: Enterprise Software • VELO – Enterprise Carbon Management software – Web based (SAAS), automates gathering of carbon data, ensures its integrity, calculates emissions – displays results in a dashboards & flexible reports • VELOlite entry level solution, scalable • VELOmetrics compares like-minded peers to provide benchmarking www.ICT4Green.eu 47 www.ict4green.eu 23
  • 24. International Green IT Awareness Week 21/05/2010 Energy and GHG monitoring tool for Public Local Administration ECOSPEED: ECO2 Regio is a DB-aided energy and CO2 monitoring and scenario tool that enables municipalities, cities and cantons to assess final and forecasted energy usage and CO2-emissions. www.ICT4Green.eu 48 Example of other free Tools and DBs • University of Bath Inventory of Carbon and Energy (ICE) database, a free embodied energy and embodied carbon database for building materials. • GSA Carbon Footprint and Green Procurement Tool – For management of Federal Agency data to track GHG emissions inventory and soon will address also water footprint, energy and waste. – Note: access is constrained to Federal Agency personnel • National Renewable Energy Laboratory Life Cycle Inventory Database - material and energy flows for a few unit ops (e.g., chemical or fabricated metal products manufacturing) based on ISO 14048. www.ICT4Green.eu 49 www.ict4green.eu 24
  • 25. International Green IT Awareness Week 21/05/2010 Social Networking Role in promoting Prosumers Sustainability Awareness and pressing for Transparency • ClimateCounts.org , GreenSeal, SkinDep, Greenpeace, website, hold companies accountable for their footprints, scores them on their true commitments, fight greenwashing. • Facebook and Twitter are used to alert a circle of friends about the ups or downs of a brand. Many companies now monitor tweets to track the murmurs that impact reputation. Customers share their grumbles about a given company or product in sites like GetSatisfaction.com 51 Tools for evaluating personal footprint • There are many online free tools that help in evaluating & reducing the personal footprint (GHG), take care that they might have different scope and detail: – WWF: Footprint.wwf.org.uk food, travel, home, stuff (data modelling by SEI that has an interactive calculator for Sweden) – Carbon Footprint www.carbonfootprint.com (Home & Business version) based on DEFRA, DOE, etc. – Act On CO2 Actonco2.direct.gov.uk – www.mycarbonfootprint.eu – www.ceroco2.org – www.climateneutralgroup.com – Lifegate Impatto Zero www.ICT4Green.eu 52 www.ict4green.eu 25
  • 26. International Green IT Awareness Week 21/05/2010 How ICT can help in enabling a sustainable enterprise Measure Impact of Prevent magazine Supply Chain to obsolescence by Lean embedded energy, Manufacturing and water and GHG donation program to non-profits Identify environmental Use LCA in designing friendly and fair trade sustainable products sourcing options for and processes raw materials Lower environmental Reduce waste, impact of shipping, increase recycling delivering and goods with take-back packaging service for end-of-life products www.ICT4Green.eu 53 Paul Hawken: University of Portland Speech “…You are going to have to figure out what it means to be a human being on earth at a time when every living system is declining, and the rate of decline is accelerating. […] . Basically, the earth needs a new operating system, you are the programmers, and we need it within a few decades. This planet came with a set of operating instructions, but we seem to have misplaced them. Important rules like don’t poison the water, soil, or air, and don’t let the earth get overcrowded, and don’t touch the thermostat have been broken.” http://www.paulhawken.com/multimedia/UofP_Commencement.pdf www.ict4green.eu 26
  • 27. International Green IT Awareness Week 21/05/2010 Please, use text chat or e-mail for Q&A Contacts The Innovation Group The Innovation Group www.theinnovationgroup.it 55 www.ict4green.eu 27