Charitable Reuse A Sensible Option for Clients’ Surplus Assets Supports Clients, Supports Sales, Supports Relationships, Generates Revenue January 2013 Charitable Reuse Matches clients’ surplus furniture & equipment with U.S. and international nonprofit organizations for disaster relief and economic development. Jamaica Nicaragua Why Charitable Reuse? Clients want (demand) a solution for surplus assets: • • • • Replacement with new purchase Emptying warehouse space Renovating Downsizing Clients love reuse – a great story, the right thing to do, sustainable Clients’ budgets love reuse – cheaper than surplus throwing away Another client service: • Value to the client – a reason to call outside the sales cycle • Value to Steelcase dealer – labor, project management Charitable Reuse What Types of Surplus? • Education: Classroom, Administrative, Residential, Athletic, Science/Lab • Healthcare: Patient Room, Exam Room, Administrative, Equipment, Supplies • Corporate, Gov’t: Office, Reception, Conference • Other: Kitchen/Cafeteria, Library, Lab, Casework, Doors, Windows If you can imagine it being used again, we can use it Bellarmine College Prep., San Jose, CA Charitable Reuse Where Does It Fit? • Part of a management hierarchy: 1. Refurbish / Repurpose 2. Buyback / Resell 3. Charitable Reuse 4. Recycling for wood and metal • Costs less than throwing away (1 Trailer = 4 rolloff containers, with equal labor) • Simple, comprehensive, turnkey process Nicaragua Charitable Reuse For Real? • More than 1,400 Projects • Over 400 Clients in 23 States • More than 40 Million Pounds Diverted from Landfill • Project Size: 4-5 Desks to 34-35 Tractor Trailers • Surplus Sent to 51 Countries and 25 U.S. States IRN The Recycling Network Russia Canada Ukraine Hungary Kazakhstan Austria Portugal USA MexicoBelize Guatemala El Salvador Honduras Nicaragua California Florida Kentucky South Carolina Massachusetts New Hampshire New York Rhode Island Tennessee Vermont Moldova Armenia Israel Niger Senegal Trinidad & Tobago Guyana US States Arizona Connecticut Georgia Louisiana Maryland Mississippi New Jersey Ohio Maine Texas Jamaica Haiti Turks & Caicos Dominic. Rep. Dominica St. Lucia Grenada Romania Sierra Leone Liberia Myanmar Nigeria Ethiopia Uganda Tanzania Peru Malawi Zambia Chile Worldwide Recipients Philippines Charitable Reuse Process: Three Steps 1: Pre-Project a) Other disposition options (repurpose, resell) b) c) Initiate project at www.ir-network.com/Steelcase Gather project details • Inventory • Labor (dealer, client or IRN?) • Logistics (schedule, access, etc.) d) Proposal Charitable Reuse Process: Three Steps 2: Proposal Three Elements: 1. Administration / Management 2. Labor 3. Containers Recycling Options • Absorbs items not in highest demand for reuse (e..g. panels) • Revenue to offset other costs associated with reuse Proposal Review and Modification Charitable Reuse Process: Three Steps 3: Project • Empty the Building • Load the Containers or Trailers • Send Them Away As simple as throwing surplus away Loading furniture for shipment to Haiti (Business Furnishings, Univ. of Notre Dame) Charitable Reuse Process: Reporting Post-Project • Photos / Video • Documentation / Close-out package • Publicity Opportunities Ukraine Charitable Reuse - Examples Booz Allen Hamilton (Arbee) • Downsizing, moving to home office + hoteling business model • More than a dozen locations DC to San Diego, thousands of workstations plus private offices, conference, reception, etc. • Labor: Arbee or local Steelcase dealer • Destination: Multiple (20% - 50% recycled, dep. on location) Charitable Reuse - Examples Genzyme (Red Thread) • Emptying corporate headquarters (built a new one) • ~3,800 pieces: 30% redeployed by owner, 35% reused, 35% recycled for commodity value. Liquidation tried and failed. • Labor: OENE • Destination: Christian Appalachian, Easter Seals Charitable Reuse - Examples Howard University • Refreshing ~200 rooms in 8 dormitories (325 sets), plus 700 mattresses • Five-day window between move-out and move-in • Labor: Olympia (10-man crew, divided and re-divided) • Destination: Guatemala, El Salvador, Nicaragua Charitable Reuse - Examples Lahey Clinic (MA) • Renovating kitchen and cafeteria, ~700 pieces • Committed to Haiti earthquake relief • Haiti ports damaged; Furnishings stored and re-loaded • Labor: Tobin (Lahey’s mover) Office furniture loading in downtown Boston Office furniture being delivered to Nicaragua On behalf of residents of San Salvador, El Salvador, Managua, Nicaragua, and Spanish Town, Jamaica, IRN expresses sincere appreciation to Genzyme, Inc. for the gracious provision of surplus office furniture. Date: Location: Details: Destination: IRN: Boston office furniture in place and in use in Spanish Town, Jamaica August 2- August 31, 2011 Boston, Mass. 9,643 pieces of surplus furniture totaling 832,320 pounds El Salvador, Nicaragua and Jamaica Mark Lennon Date: 8/31/2011__ Charitable Reuse What’s next? Consider IRN a resource Identify opportunities Get projects in the pipeline • www.ir-network.com/steelcase • IRN contact: Mark Lennon (m) 603-496-7908, mlennon@ir-network.com Details Proposal Implementation Haiti