ATENEO GRADUATE SCHOOL OF BUSINESS MBA REGIS PROGRAM Road to Becoming a World Class Partner: Implementation of Green Strategies for D&L Polymers & Colours, Inc. Submitted by: Group 5 Abad, Arvie Eruela, Cristene Grace Marcelo Trisha Mae Ramirez, Ma. Theresa In partial fulfillment of the requirements for Operations Management R02 AGSB, Term 1 SY 2022 - 23 Submitted to: Prof. Apolinar A. Ng, MBM Submitted on: 10 November 2022 Implementation of Green Strategies for DLPC TABLE OF CONTENTS Contents ABSTRACT .................................................................................................................................................. 3 I. COMPANY BACKGROUND .................................................................................................................. 4 A. The Company ............................................................................................................................... 4 B. Mission and Vision ....................................................................................................................... 5 C. Organizational Structure ............................................................................................................. 5 D. Products and Services ................................................................................................................ 7 II. PROBLEM STATEMENT ...................................................................................................................... 7 III. ANALYSIS ............................................................................................................................................. 8 A. Transition to Renewable Energy Source ................................................................................. 8 B. DLPC’s Monthly Power Consumption ....................................................................................11 C. Project Cost (Outright and Annual Maintenance Cost)........................................................12 D. Projected Consumption with Solar Panel Installation ..........................................................14 E. Projected Payback Period ........................................................................................................15 IV. RECOMMENDATIONS ......................................................................................................................15 V. JUSTIFICATION OF RECOMMENDATIONS .................................................................................18 VI. REFERENCES ....................................................................................................................................23 VII. APPENDICES ....................................................................................................................................26 PROJECT CHARTER ....................................................................................................................26 2 Implementation of Green Strategies for DLPC ABSTRACT Over the past years, sustainability has become an important strategic objective for businesses. Based on this operations management concept, companies should operate in ways that secure their long-term economic performance by avoiding short-term behaviors which are socially detrimental or environmentally wasteful. The organizations’ growing interest in sustainability can be attributed to the increasing internal and external pressures and to the risk of losing sales and even jeopardizing their survival. In addition, organizations have realized that they can enjoy cost savings and gain long-term competitive advantage by being concerned about the future of people and the planet and through the creation of unique sustainability-oriented processes. In this paper, recommendations are made for DLPC transition to green manufacturing strategies. The need to execute strategies addressing environmental concerns and encouraging environment conservation and protection is vital for the Company to comply with governmental rules and external audit requirements and stay relevant in the industry as more consumers become environmentally concerned. The paper proposes an essential program for the Company's successful transition to Green Practices focusing on the Company's use of one of the most important resources – electricity. As renewable energy is the pathway to environment sustainability, this paper proposes a solar power system for DLPC Inc. to reduce its electricity consumption and greenhouse emissions. The suggestions in this study were developed using an analysis of numerical data and other information that the Company and its Pollution Control Officers supplied during different interviews. 3 Implementation of Green Strategies for DLPC I. COMPANY BACKGROUND A. The Company D&L Industries, Inc. (DNL) is a company engaged in product customization and specialization in the food, chemicals, plastics, consumer products, and ODM industries. Its principal business activities include the manufacturing of customized food ingredients, specialty raw materials for plastics and coatings, and oleochemicals for personal and home care use. Under the leadership of the Lao Brothers, DNL started pioneering its operations in 1963. Incorporated in 1971, it started spinning off its manufacturing and marketing services for specialty raw materials and ingredients for industrial uses. In 2009, D&L Polymers & Colours, Inc. (DLPC) was established in Carmelray Industrial Park, Canlubang, Laguna to make specialty plastic compounds and color concentrates to cater to the growing export market. Its focus is to produce customdesigned and formulated dry colorants, color masterbatches, additives, and engineered polymers for a wide range of applications. DLPC is registered as an Ecozone Export Enterprise under the Philippine Economic Zone Authority. Further, it is Integrated Management Certified from the start of its operations in 2009 to the present. It has certifications for its Quality Management System (9001:2015), Occupational Health and Safety Management System (14001:2015), and Environmental Management System (45001:2018). 4 Implementation of Green Strategies for DLPC DLPC’s products designed for food contact are HALAL certified by the Islamic Da’wah Council of the Philippines, Inc. DLPC serves Paint and Coatings, Foams, Tapes, Textiles, Rubber, and Paper. Since 2009, DLPC has been a reliable supplier and exporter to the US, Russia, Israel, Dubai, Mexico, Portugal, Italy, Thailand, China, Vietnam, Taiwan, Japan, Pakistan, Myanmar, Malaysia and Indonesia. B. Mission and Vision Guided by its mission to provide Better Lives through Sustainable Innovations to its partners, customers, and consumers, DLPC aims to expand its global market by being at the forefront of innovation in making plastics sustainable. Capitalizing on its reliability as a partner and as a supplier to its customers, DLPC’s objective is to continue investing in technologies that will keep it ahead in the industry. With its customers' needs at the center of its development initiatives, it is confident that it will thrive in the rapidly evolving business environment. C. Organizational Structure DLPC currently has two (2) main groups: the Supply Group and the Demand Group. Under the Supply Group, there are three (3) divisions: Color & Effects Division, Plastic & Compound Division, and the Common Services Division. The Color and Effects Division has two (2) departments under it. It has its own Manufacturing Department and Quality Assurance and Quality Control Department. Similarly, the 5 Implementation of Green Strategies for DLPC Plastic & Compound Division has two (2) departments under it: Manufacturing Department and the Quality Assurance and Quality Control Department. For the Common Services Division, there are five (5) departments: Procurement Department, Import-Export Department, Administrative and General Services Department, Warehouse & Delivery Department, and the Plant Engineering Department. Under the Demand Group, there is only one division: Sales and Marketing Department. DLPC’s Information Technology, Security Services and Human Resources are provided as shared resources by DNL, its mother company. The Organization Chart below shows the present structure of DLPC: Figure 1.1 DLPCI Organizational Chart 6 Implementation of Green Strategies for DLPC D. Products and Services DLPC has three (3) Business Segments: Polymer Color Compounding, Color and Effects for Paints and Coatings, and Plastic Colors and Additives. ● Polymer Color Compounding includes customization of colors and additive masterbatches to meet specific customer needs. ● Color and Effects for Paints and Coatings include customization of colors and effects in the field of liquid colorants and paint effects. ● Plastics Compound, Colors and Additives includes PVC Compounds, Polyolefin Compounds, Styrenic Compounds, Engineering Compounds, Biopolymer Compounds, and Specialty Color Masterbatches. DLPC’s manufacturing facilities are designed for multi-type of industrial products and can accommodate flexibility as to customers' requirements on production quantities. II. PROBLEM STATEMENT Over the years, consumers have evidently become more conscious of their electrical energy consumption. In PWC’s 2019 Global Consumer Insights Survey taken by 21,480 respondents across the world, 35% confirmed that they chose sustainable products to help protect the environment (Emert, A., July 8, 2021, The Rise of EcoFriendly Consumer). This was also supported by the study conducted by Mastercard entitled "How the COVID-19 Pandemic has Impacted Consumer Attitudes About the Environment," which highlighted that 24% of consumers confirmed that they are likely to stop shopping from brands with no sustainability plans. Perhaps this is the reason for 7 Implementation of Green Strategies for DLPC increasing regulations in external audit certifications, customer audits, and sustainability reporting required especially by the Securities and Exchange Commission (SEC). As a primary producer of raw materials for business-to-consumer products, DLPC's clients, as part of its Corporate Social Responsibility, require activities on combating environmental challenges including land pollution, water pollution, and global warming, among others. Moreover, DLPC must be proactive in planning for and executing sustainable measures in addition to its 3R (Reduce, Reuse, and Recycle) in order to preserve and recruit new consumers in light of the growing trend for businesses to enhance their eco-credentials. As we begin to experience the long-term implications of exponential industrial growth and energy consumption, we must take action to reverse these effects and prevent additional environmental degradation so that future generations can live in healthy surroundings. This comprises businesses adhering to environmentally friendly practices to contribute to the building of vibrant communities and assure future growth potential. III. ANALYSIS A. Transition to Renewable Energy Source Sustainability requires companies to integrate environmental factors in its operations so as not to compromise the future generations. This means that companies must consider the adverse effects of its processes on the environment and come up with measures to reduce, if not eliminate, such practices. In the Philippines, global warming due to emission of greenhouse gasses or carbon dioxide (CO2) remains to be a top issue (Healthy Options, Top 10 8 Implementation of Green Strategies for DLPC Environmental Issues Facing Our Planet). Globally, industrial processes rank 3rd highest source of greenhouse gas emissions (Center for Climate and Energy Solutions, 2019) with the Production Sector contributing to 20% such emissions. This translates to 54% of the world’s energy sources (World Economic Forum, March 23, 2022, Reducing the carbon footprint of the manufacturing industry through data sharing). Thus, the need for manufacturing companies like DLPC, to implement measures to reduce its greenhouse emissions. Greenhouse gas emissions may be reduced by using renewable energy instead of electricity from fossil fuels (Center for Science Education, 2020, How Do We Reduce Greenhouse Gasses?). Renewable energy is an essential resource in developing emissions reduction strategies and in fighting the issues on climate change, energy security, and access to energy in the Philippines (Department of Energy, National Renewable Energy Program). Renewable energy may come from biofuels or biomass, geothermal, hydropower, ocean, wind power, or solar power. It is sustainable and inexhaustible if properly managed (Delos Santos, A., Department of Energy, Renewable Energy in the Philippines). Solar Power is harnessed through Solar Panels or also known as “PV (Photovoltaic) Panels” which convert sunlight to usable electricity. On a policy brief published by Deutsche Gesellschaft für Internationale Zusammenarbeit (GIZ) GmbH, according to the National Renewable Energy Laboratory, a US federal laboratory, an average solar radiation ranges from 128-203 watts per square meter in the Philippines, or an average of 161.7 watts per square meter. 9 Implementation of Green Strategies for DLPC In 2018, tobacco firm Philip Morris International Inc. invested USD 3.1 million to install a 2.5-hectare solar power plant for its manufacturing facility in the province of Batangas. The solar plant is expected to produce 3,500 MWh of emission-free electricity, which will result in a reduction of 2,000 tons of carbon dioxide (CO₂) annually. Globally, a large number of prominent businesses from diverse industries are investing heavily in solar projects for the same reason: to save money while protecting the environment. Amazon, Ikea, Walmart, and Apple are among the top 10 corporations that have switched to solar energy for their operations, according to a May 28, 2018 CNBC article. The benefits of solar energy align with the three pillars of sustainability: environmental, economic, and social. Our nation relies heavily on fossil fuels as its primary energy source. The main source of greenhouse gas emissions in the United States, according to the Environmental Protection Agency, is the combustion of fossil fuels for electricity, heat, and transportation. Using solar energy as a substitute for coal reduces reliance on fossil fuels. As the demand for solar energy and other forms of renewable energy increases, the price of electricity sold on the Wholesale Electricity Spot Market (WESM) decreases, which in turn reduces the cost of electricity for the public. Additionally, as part of the government’s efforts to encourage more firms and private entities to reduce CO₂ emissions, eligible firms can also benefit from fiscal incentives such as the 7-year income tax holiday, investment tax credits, solar rebates and exemption from universal charge, among others. 10 Implementation of Green Strategies for DLPC Solar energy could be more beneficial for manufacturing firms, as these organizations utilize more energy, particularly during the production process. This energy consumption is not only an added expense for the corporation in the form of industrial overhead, but it also contributes to environmental destruction. This rule applies to any manufacturing company, including DLPC, whose operations are on a bigger scale, along with the associated expenses and environmental degradation. Based on the 2020 Philippine Energy Situationer & Key Energy Statistics released by the Department of Energy on August 4, 2021, the manufacturing sector consistently accounted for the lion’s share at 88.8% energy consumption. B. DLPC’s Monthly Power Consumption Looking at DLPC's energy use, consumption is typically lowest in January but averages around 643,000 KWh throughout the year. With the rate ranging from Php6 to Php11 per kilowatt hour, this results in an average of Php5,580,000.00 monthly electric cost for DLPCI’s Laguna Plant. Below is DLPC’s Electricity Consumption History for year 2022 and 2021: Figure 3.1 DLPCI’s Actual Electricity Consumption (2022) 11 Implementation of Green Strategies for DLPC Figure 3.2 DLPCI’s Actual Electricity Consumption (20221) C. Project Cost (Outright and Annual Maintenance Cost) For this paper, we based pricing on the Jinko Solar panel, namely the JKM 530Wp-72HC model. Based on the panel's dimensions and the roof space available at the DLPCI plant, 2,968 panels are anticipated to be installed. This will result in an overall system output of 1,573 kWp. Figure 3.3 Blueprint of Proposed Solar Panel Installation 12 Implementation of Green Strategies for DLPC The installation of solar panels is projected to incur the outright cost of Php116,699,308. Note that the maintenance cost does not account for an increase in fees associated through the estimated 30-year lifespan of the solar panels. Figure 3.4 Projected Outright and Annual Cost Figure 3.5 Supplier Product Warranty 13 Implementation of Green Strategies for DLPC D. Projected Consumption with Solar Panel Installation Figure 3.6 Comparison of Energy Consumption Based on the 2021 energy consumption of DLPCI’s Laguna plant which averages around 744,628.37 kWh per month, the proposed installation of solar panels will help reduce the current consumption by around 30%. This translates to a monthly savings of around Php 2,200,889.17. 14 Implementation of Green Strategies for DLPC E. Projected Payback Period Note: The computation has 2% annual degradation Figure 3.7 Projected Payback Period Based on the above table, the forecasted payback period for this project is 6.65 years. The project is also expected to deliver an estimated total savings of Php439,147,522.12 throughout the 30-year lifespan of the solar panel. IV. RECOMMENDATIONS The installation of solar panels is one of the most significant steps DLCP may take in shifting to sustainable practices. The development of projects and programs that will also align their people and processes towards this direction must be done in order for a full transition to be achieved. Therefore, it is recommended that the following actions be taken to assist DLPC in maintaining its green program, as they can help allay worries 15 Implementation of Green Strategies for DLPC about the sustainability of renewable energy and slow the rate at which the ozone layer is being destroyed because of greenhouse gas emissions: ● Creation of the Green Management Team Establish a Green Management Program which will provide the framework for the company’s sustainability initiatives. The program should also dedicate a team to help facilitate the sustainable projects and monitor their effectiveness, both as compliance to the DENR regulations and company’s objectives. The Green Management Team shall likewise regularly facilitate an ideasharing program which will allow employees to propose environmentally friendly or sustainable ideas. This would assist facility managers to implement conservation programs effectively, thereby enhancing future sustainability. To produce better results, it is possible to do further research and study as well as collaborate with businesses that have similar goals. The Green Management Team shall also represent DLPC in consultation with the government sectors and other stakeholders and shall be responsible in keeping the company and its employees on the recent developments on sustainability and environment. ● Integrate green management and sustainability practices into DLPC operations In addition to all of these, DLPC may also integrate sustainability and green management to its operations by allotting a part of its employees Key Performance Indicators (KPI). As an example, each team must be able to propose, have 16 Implementation of Green Strategies for DLPC approved and implement any green initiative within the year in order to achieve 3% of its target. The target may be increased year by year by DLPC based on its need evaluation. This action strives to alter employee behavior and, over time, integrate sustainability and green management into the culture of the business. The Green Management Team can take the lead in formulating and promoting business policies that are concerned with sustainability and the environment. Accordingly, it might offer employee orientation and awareness programs. Through its additional CSR initiatives, the corporation could contribute to raising awareness about the impact of human activity on the environment, enhancing education, and mitigating climate change. This would increase everyone's awareness of the fundamental information about climate change and the emphasis on various climate mitigation strategies, such as the use of renewable energy sources, sustainable land use, preserving marine life, decentralizing energy distribution, and promoting sustainable environmental measures. ● Active participation by DLPC in government initiative forums and discussions Through its Green Team, DLPC can initiate the formulation of policies and actively participate in government and business sector discussions regarding technological advancements to support and encourage the establishment of the necessary infrastructure and processes for solar panel installation. 17 Implementation of Green Strategies for DLPC This allows the government to encourage energy efficiency programs, such as tax breaks and other incentives for businesses that implement environmental sustainability measures. It is feasible to enhance the use of renewable energy by institutionalizing the development of local and national capacities in the use of renewable energy systems and encouraging the efficient and inexpensive use of renewable energy through the provision of fiscal and nonfinancial incentives. V. JUSTIFICATION OF RECOMMENDATIONS This paper highlights the economic and environmental benefits of utilizing renewable energy concept sources, such as DPLC's Solar Panel Installation. The energy generated by the 1573 kWp PV installation contributes between 25% and 40% of DLPC Inc.'s monthly energy usage. Consequently, there is a reduction in the energy bill associated with grid-connected electricity. In addition to the financial component, there is the added benefit of emission credits by preventing carbon emissions during the life of the project. The suggested solar panel system reduces annual energy consumption by more than 2.6million kWh and annual CO₂ emissions by approximately 615,000 kilograms. As for the budget for the investment of the proposed project amounting to Php116,699,308, it is within the budget which may be considered and approved by the management should the Supply Chain finally decide for its implementation. It is expected that the proposal will be viewed favorably considering that the expected payback period is only approximately 7 years. Upon approval of the proposal, the DLPC Supply Chain team must also assess the roof capacity of the facility, which was constructed in 2007 18 Implementation of Green Strategies for DLPC when DLPC had not yet explored the idea of putting solar panels. The above benefits mentioned emphasized both environmental and financial benefits achieving broader conceptualization of sustainability. Nonetheless, just like any projects to be implemented in a company, challenges may be expected. Market failures, lack of information, access to raw materials for future renewable resource deployment, and most importantly, lack of proper orientation and appreciation of the users, which may result in inefficient ways of utilizing solar panels and the energy generated by these, are some of the foreseen obstacles that may hinder the sustainability of renewable energy sources. The supplementary considerations and resources that could be required for the complete implementation of the green business plan are listed below: • Creation of the Green Management Team The Department of Environment and Natural Resources (DENR) requires an Environmental Compliance Certificate (ECC) for any project of any kind undertaken in the Philippines that may have an impact on the environment (DENR). If the DENR-EMB team determines that the Environmental Impact Statement does not cover the project, the project may instead be given a Certificate of Non-Coverage (CNC) (EIS). All planned projects identified as Environmentally Critical Projects (ECPs) or projects located in Environmentally Critical Areas (ECAs) that are alleged to have significant environmental effects should get DENR's ECC. 19 Implementation of Green Strategies for DLPC Pollution Control Officer (PCO) is a post requirement for DENR, which regularly monitors companies and projects' compliance. Following government-mandated laws is essential in the operation of the business. Penalties and fines related to violations of specific administrative orders by DENR included minimum fines of Php50,000 per violation, revocation of permits and the possibility of a proponent's imprisonment. • Integrate green management and sustainability practices into DLPC operations In areas where the company may have a major positive influence, DLPC Industries is steadfastly committed to supporting specific targets of the Sustainable Development Goals (SDGs) of the United Nations by 2030. Part of the DLPC’s target are in line with Affordable and Clean Energy are (1) By 2030, increase substantially the share of renewable energy in the global energy mix; (2) By 2030, double the global rate of improvement in energy efficiency, and (3) By 2030, upgrade infrastructure and retrofit industries to make them sustainable, with increased resource-use efficiency and greater adoption of clean and environmentally sound technologies and industrial processes, with all countries taking action in accordance with their respective capabilities (D&L Industries, Inc. Sustainability Report 2021). Research, development, and systematic innovation shape and propel the company, engaging most chemists in the Philippines and about 14% of the entire workforce of the organization is made up of IT employees. In order to recognize 20 Implementation of Green Strategies for DLPC the market needs that must be satisfied with sustainable solutions; the company is devoted to staying up to date on the newest technologies and keeping its finger on the pulse of the marketplace. The company's ability to boost production yields and reduce waste generation is made possible through automation and the installation of cutting-edge equipment an intends to upskill its employees. DLPC has been maintaining positive ties with the community as it goes beyond not merely of social responsibility but also serves as a way to stay connected and aware its community, especially when issues or challenging circumstance develop. Aside from the strategy of improving one life by funding education in specific communities based on where the plants are located, mentoring the localities entails collaborating with the aforementioned communities to support, nurture, and direct the advancement of the green initiative both within the company and on the community. • Active participation by DLPC in government initiative forums and discussions The National Renewable Energy Program describes the constitutional provisions of Republic Act 9513. (NREP). The goals of the Renewable Energy Act of 2008 are outlined in this document, which also establishes the strategic pillars that will help the country achieve them. This document also signifies the nation's significant shift from disjointed and short-lived renewable energy projects to a concentrated and sustained push for greater access to renewable energy and energy security. 21 Implementation of Green Strategies for DLPC The NREP offers indicative intermediate targets for the delivery of renewable energy from 2011 to 2030. Though the ambitious target originally set in year 2020 was not fully reached due to exact planning, finance, and construction of renewable energy infrastructure, the national program is on periodic review to ensure it conforms to the policy objectives set out in RA 9513. By institutionalizing the growth of local and national capabilities in the use of renewable energy systems and promoting their efficient and affordable commercial application by offering fiscal incentives, a qualified business may frequently benefit from various advantages and incentives under Revenue Regulations No. 07-2022. Below are some of the fiscal incentives available to renewable energy developers: 1. Seven-year Income Tax Holiday 2. Net Operating Loss Carry-Over (NOLCO) 3. 10% corporate tax rate 4. Accelerated Depreciation 5. Zero Percent Value-Added Tax Rate 6. Tax exemption of carbon credits Through the involvement of DLPC and similar companies, the government will be able to fully assess and comprehend the business's actual situation. The government may then propose new incentives and programs or amend outdated rules and regulations to encourage businesses to work harder to advance their green strategy. 22 Implementation of Green Strategies for DLPC VI. REFERENCES ● Bureau of Internal Revenue, Revenue Regulation 07-2022, retrieved from https://www.bir.gov.ph/images/bir_files/internal_communications_1/Full%20Text %20RR%202022/RR%20No.%207-2022.pdf. ● Center for Climate and Energy Solutions, 2019 retrieved from https://www.c2es.org/content/international-emissions/. ● Center for Science Education, 2020, How Do We Reduce Greenhouse Gases? Retrieved from https://scied.ucar.edu/learning-zone/climate-solutions/reduce- greenhouse-gasesEmert, A., July 8, 2021, The Rise of Eco-Friendly Consumer, retrieved from https://www.strategy-business.com/article/The-rise-of-the-eco- friendly-consumer. ● Delos Santos, A., Department of Energy, Renewable Energy in the Philippines, retrieved from file:///Users/trishamarcelo/Downloads/Philippines%20presentation.pdf ● Department of Energy, National Renewable Energy Program, retrieved from https://www.doe.gov.ph/national-renewable-energy-program?withshield=1. ● Department of Energy, Republic Act No. 9513, retrieved from https://www.doe.gov.ph/national-renewable-energy-program?q=renewableenergy/republic-act-no-9513. ● Factory Electric Bill: How much should you pay? P3 Cost Analysts, November 15. 2021 retrieved from https://www.costanalysts.com/average-factory-electricbill/. 23 Implementation of Green Strategies for DLPC ● GIZ, GmbH, 2013, Facts and Figures on Solar Energy in the Philippines Project Development Programme (PDP) Southeast-Asia, retrieved from https://www.doe.gov.ph/sites/default/files/pdf/netmeter/policy-brief-its-more-sunin-the-philippines-V3.pdf?withshield=1. ● Healthy Options, Top 10 Environmental Issues Facing Our Planet retrieved from https://www.healthyoptions.com.ph/newsdigest/mother-nature-protect-andcherish/top-10-environmental-issues-facing-our-planet. ● How Manufacturers can Benefit from Using Solar Panel, Trinasolar25, May 15, 2015 retrieved from https://www.trinasolar.com/us/resources/blog/howmanufacturers-can-benefit-using-solar-power. ● Mastercard, March 5, 2021, How the COVID-19 Pandemic has Impacted Consumer Attitudes About the Environment, retrieved from https://www.mastercard.com/news/media/qdvnaedh/consumer-attitudes-to-theenvironment-2021.pdf. ● Philip Morris International, PMFTC is Going Green in Batangas, retrieved from https://www.pmi.com/resources/docs/default-source/philippinesmarket/batangas-solar-power-plant-news.pdf?sfvrsn=e9699db5_2. ● 10 Massive Corporations Going Big on Solar, CNBC, May 28, 2019 retrieved fromhttps://www.cnbc.com/2018/05/28/10-massive-corporations-going-big-onsolar-power.html. ● 2020 Philippine Energy Situationer & Key Energy Statistics, Department of Energy on August 4, 2021, retrieved from 24 Implementation of Green Strategies for DLPC https://www.doe.gov.ph/sites/default/files/pdf/energy_statistics/doe-pes-kes2020.pdf?withshield=1. ● World Economic Forum, March 23, 2022, Reducing the carbon footprint of the manufacturing industry through data sharing, retrieved https://www.weforum.org/impact/carbon-footprint-manufacturing-industry/. from 25 Implementation of Green Strategies for DLPC 26 VII. APPENDICES PROJECT CHARTER 1. General Project Information Project Name: The Green Project: Installation of Solar Panels Executive Sponsors: Lester Lao Department Sponsor: Leo Egrubay 2. Project Team Name Department Telephone E-mail Project Manager: Gil Ofina Central Engineering (02) 8 635 0680 - Team Members: Jennifer Mejia Central Engineering (02) 8 635 0680 - April Villaverde Central Enginnering (02) 8 635 0680 - Jeffrey Maniquis Engineering & Utilities (02) 8 635 0680 - 3. Project stakeholders Production, Warehouse and Distribution, Engineering & Utilities, QC and QA Department and Shared Resources Groups (Human Resources, Legal, Finance & Control, and HSSE Departments) 4. Project scope statement The project will cover all the three (3) plants in DLPC with a total of 40,000 sqm roof size. 5. Project Purpose / Business Justification The project aims to promote sustainable practices beginning with the shift to use of renewable energy to save costs and to comply with the relevant government regulations. Objectives (in business terms) To implement a smooth process of installation with minimum or no impact to operations at acceptable cost Deliverables/Success Factors Approved Proposal by the Management Signed Contract with the Supplier Installed Solar Panels without or with minimal disruptions in the operations Generated Savings from the use of renewable energy Project Milestones Implementation of Green Strategies for DLPC Project Scope Paper November 10, 2022 Estimate & Schedule of Fees November 2, 2022 Management Approval Pending Supplier Accreditation Pending Bid & Proposal Submission October 15, 2022 Bid Evaluation and Award Pending Contract Review and Signing Pending Installation of Solar Panels Proper Pending 27 6. Major Known Risks (including significant Assumptions) RISK RISK RATING (High, Med, Low) Installation of Defective Units Low Delay in the Installation Timeline Low Disruption in the Operations During the Installation Period Med 7. Communication Strategy Prepare a Key Message from the Leaders to promote the objectives of the project and an orientation module for the users with FAQ. 8. Sign Off Name Signature Executive Sponsor Lester Lao For approval Department Sponsor Leo Egrubay For approval Project Manager Gil Ofina For approval Date (MM/DD/YYYY)
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