3. Today, the world is facing alarming How do we
sustainability challenges on multiple fronts. create a world
in which people
are living well
By 2050, world population will surpass and businesses
9 billion which requires active conservation can prosper
of cropland, freshwater, energy, and within the limits
biological resources of the planet?
By 2020, global emissions will
increase by 33% from 2002 levels
which translates into a loss of 5%
of annual GDP if no action is taken
Over 1.4 billion people 1.6 billion people are
in developing countries live facing water shortage
on $1.25 a day or less
Source: McKinsey Global Institute; World Economic Forum; The Guardian; The Climate Group, SMART 2020; IFAD Rural Poverty Report 2011
4. Addressing product sustainability will
play a big role in resolving challenges.
Nitrogen Transportation Dishwashing at Home
Raw Materials Manufacturing
Extraction of Components At Home Usage
Cotton Production Worker Health Machine Washing & Drying
Source: TSC Product Category Dossiers
5. Measurement and reporting systems are crucial to progress in
product sustainability but are coupled with an array of challenges.
Today Challenges include
Science is enabling an Lack of a harmonized
understanding of social and measurement and reporting
environmental impacts and approach:
benefits
• Complexity driven by the
vast variety of products
Various corporate and
social initiatives launched • No holistic view of the
in attempt to address value chain
product sustainability
• No capability to credibly
differentiate products
Global regulations based on sustainability
are emerging with
unpredictable metrics • Need for consistency and
transparency in
But challenges exist… measurement and reporting
Source: TSC team analysis
6. The Sustainability Consortium improves decision
making for product sustainability throughout the
entire product life cycle across all sectors.
Vision
To advance science to drive a new
generation of innovative products
and supply networks that address
environmental, social, and economic
imperatives
Enabling the consumer goods
industry to do things that matter Mission
about things that matter.
To design and implement
credible, transparent and scalable
science-based measurement and
reporting systems accessible for all
producers, retailers, and users of
consumer products
7. Translating TSC’s mission into impact requires doing four things:
Using a multi-stakeholder … to create practical
1 2
approach… measurement tools…
Approach
… that enable proactive … and unlock value in the
3 innovation in sustainability… 4 supply chain
Impact
8. 1 TSC is uniquely bringing together stakeholders
and creates unparalleled opportunity for collaboration.
Credibility
Leading universities and NGOs using
science-based approach to identify areas
of adverse impact in the supply chain
Efficiency
Academic
Minimizing multiple similar efforts
Institutions
and reducing supplier burden of
variable information requests
Harmonization The
Creating clear agreed upon terms Sustainability
and definitions by all stakeholders Consortium
Identifying common life cycle
stages, metrics, and reporting categories Non-profit
Corporations
organizations
9. 1 TSC’s membership includes the world’s most recognized
companies representing about $1.5 trillion in revenue…
Asterisk denotes founding members
10. 1 … top academic institutions
and leading non-profit organizations
Top academic institutions committed to developing
Science-based measurement and reporting methods…
… and leading non-profit organizations to provide guidance and credibility
11. The Sustainability Consortium organizational structure…
Managing Board of
Oversight
Board Directors
Academic Advisory Council
Governing Bodies
Corporate Civil-Society Advisory
Advisory Council Council
Operations
research
and
Consortium Working Groups Sector Working Groups
12. 1 TSC’s working group structure
allows coverage of major sectors
Sector Working Groups Consortium Working Groups
TSC creates SCALE as it represents Comprised of corporate members,
90 of the largest organizations working non-profit organizations, government
together on sector-specific issues agencies & academics
Coming
in 2012
13. 2 TSC is developing tangible tools to enable
sustainable innovation across the value chain
Current products
Future products
Understand Share Differentiate Declare
product category information on Communicate to
products against
hotspots1 and best practices consumers
baseline
drivers
Level 1 – Level 2 –
Category Level Product level
▪ Broad product ▪ Product-specific
categories
▪ Quantitative tool
▪ Qualitative to benchmark
assessment of against baseline
hotspots1
1 Areas of adverse environmental and
social impact across product supply chain
14. 2 TSC category-level products have 3 major components…
Category Sustainability Key Performance
Category Dossier
Profile (CSP) Indicators (KPIs)
Collection of evidence on Synthesis of product Metrics / questions to
product category and its sustainability knowledge measure and track product
supply chain, environmental and improvement category sustainability
and social hotspots, and opportunities
improvement opportunities
15. 2 … to be used by buyers and suppliers to address
product sustainability in a cost efficient way
TSC provides Buyers
v
v
v
v
v
Communicate efficiently
and effectively with suppliers:
• Ask category-specific questions
• Track supplier performance using KPIs
Improved
product
• Hotspots sustainability
• Improvement
and cost
opportunities Suppliers
v
v
v
v
v
v
• KPIs Address product sustainability efficiency
more effectively and efficiently:
• Use a single reporting tool across buyers
• Enhance product development
• Reduce spending on sustainability
research and reporting
• Evaluate quality of input materials
16. 2 TCS is working on 100 Level 1 products across 8 sectors.
Food, Beverage
Electronics Automotive
& Agriculture
Toys Paper Other
Home & Personal Care Apparel
17. 3 TSC’s tools and frameworks enable proactive innovation
Companies recognized and
Transparent, standardi
differentiated by creating zed
products that address areas and harmonized
that matter systems
Drives at-scale improvements Proactive
by coordinating and sharing Innovation
best practices
Collaborate with stakeholders Key environmental
on sustainability solutions and social hotspots
“TSC can bring
manufacturers, retailers, and
consumer advocacy groups
together to think how to
develop a campaign to drive
consumer behavior”
TSC member company
18. 4 TSC’s measurement and reporting system will drive
impact by unlocking the value in the supply chain.
Harmonized and transparent system
Transparency
reduces complexity and saves costs
of Reporting
throughout the supply chain
Standard metrics enable suppliers
Standardization
and buyers to work together on the
of Metrics
same environmental and social goals
Reducing cost and complexity of
Reduced Cost sustainability research and reporting
and Complexity allows companies to tackle impact
areas faster and more efficiently
20. Providing value to our members – TSC is doing what has never
been done before for this scale, complexity, and diversity.
Products Member Testimonials
• Defining clear standards for
“By looking at sustainability as
environmental and social metrics
a business opportunity, we are
• Creating implementable tools innovating products now that we
• Reducing cost and complexity of wouldn’t have been otherwise”
reporting
Approach
• Providing multi-stakeholder input
“TSC provides common language
to ensure industry alignment and a uniform approach to measure
• Identifying issues beyond LCAs sustainability across the supply chain”
• Committing to scientific rigor
Network
• Early access to a vast multi- “TSC is bringing stakeholders together
stakeholder network in a collaborative fashion
to develop sustainability solutions
• Collaboration on innovative
for common themes across product
sustainability solutions and sustainability”
consumer engagement
21. Being a member means active participation
to add real value to TSC’s community
• Contribute to creation of Category Sustainability
Profiles and KPIs
Working Group • Improve clarity of reporting methodologies
Participation • Suggest KPIs and make KPIs more actionable
• Contribute to development of baseline models
• Generate sustainability solutions through innovation
workshops
Multi-stakeholder
• Be part of the Corporate Advisory Council1
Collaboration
• Observe and learn from Working Groups
• Attend TSC conferences and webinars
• Ensure the right mix of stakeholders
• Encourage key industry players to participate
Support • Ensure credibility of data and methodology
• Refer experts and literature
• Expand access to LCA data
1. Tier 1 members only
22. Our work relates to everyone…
Researchers Buyers
Consumers Corporate
Responsibility
…How can we make TSC a success for you?
23. Membership Structure
Tier I Corporate Membership Tier II Corporate Membership
• One (1) seat on The Sustainability Consortium • Seat on all interested Sector Working
Corporate Advisory Council Groups, including Retail and Packaging WG’s
• Seat(s) on all interested Sector Working • Limited access to IT tools and partner systems
Groups, including Retail and Packaging WGs
• Invitation to Annual Public Conference
• Seat(s) on all interested Consortium Wide Working
Groups (Measurement Science, Consumer
Science, Social, Biodiversity)
• Preferential access to all IT tools and partner systems
• Opportunity to participate/vote with Corporate Advisory
Council Committees and Task Forces
• Invitation to bi-annual Corporate Advisory Council
Meetings and Annual Public Conference
• Opportunities for co-branding and joint communications
• Eligible to vote and/or run for seat on Board of Directors
25. The Food, Beverage & Agriculture (FBA) is comprised of a
diverse group of participants who work collaboratively to…
1 Develop prototype baseline
models and product category
rules for orange
juice, strawberry yogurt, and
wheat cereal.
2 Development of output for the
Level 1 SMRS, or Category
Sustainability Profiles (CSP), for The Consortium is taking a very
forty six categories. pragmatic, science-based approach to
looking at our entire supply chain and
finding a way to be more efficient and
to produce goods in a smarter way
Christy Consler - Safeway
26. Food, Beverage & Agriculture sector has several current
categories of focus…
Wine
Fisheries Beef
FBA
Cotton
Grain
Dairy
Source: Kimberly-Clark
27. Current FBA Sector Activities
Level 1 SMRS: Level 2 SMRS: More quantitative
1 Hotspots, Improvement 2 information
Opportunities, Additional Issues • LCA model prototypes: OJ, strawberry
• 46 total dossiers and CSPs in FB&A yogurt, wheat cereal
• Currently batching commodities • Invite existing models to “Call for models”
• Hosting dossier and CSP • Establish benchmark models as
workshops references for comparison
3 Quantitative drivers behind Create geographically-based
4
eco-labels, UMN metrics to facilitate decision-
making
• Biodiversity
• Land Use Change
• Social impacts
• Water Scarcity Indices
Networking with calculation tool
5
initiatives to help harmonize
efforts
28. For questions please contact
Marco Ugarte, Ph.D. Sarah E. Lewis, Ph.D.
Research & Business Food, Beverage & Agriculture
Development Sector Manager
O: 480.965.1770 O: 479.575.4296
F: 480.965.9102 E: slewis@walton.uark.edu
E: gustavo.ugarte@asu.edu
27
31. Membership Structure
Tier I Corporate Membership Tier II Corporate Membership
• One (1) seat on The Sustainability Consortium • Seat on all interested Sector Working
Corporate Advisory Council Groups, including Retail and Packaging WG’s
• Seat(s) on all interested Sector Working • Limited access to IT tools and partner systems
Groups, including Retail and Packaging WGs
• Invitation to Annual Public Conference
• Seat(s) on all interested Consortium Wide Working
Groups (Measurement Science, Consumer
Science, Social, Biodiversity) Dues Structure
• Preferential access to all IT tools and partner systems • $50,000/year (500 or more employees)
• Opportunity to participate/vote with Corporate Advisory • $10,000/year (fewer than 500 employees
Council Committees and Task Forces and/or less than $500M in annual revenue)
• Invitation to bi-annual Corporate Advisory Council
Meetings and Annual Public Conference
• Opportunities for co-branding and joint communications
• Eligible to vote and/or run for seat on Board of Directors
Dues Structure
• $100,000/year
(Corporations of 500 or more employees)
• $25,000/year (fewer than 500 employees
and/or less than $500M in annual revenue)
30
