LCM-CMM-2-Approach - Life Cycle Initiative

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UNEP/SETAC Life-Cycle
Initiative
Life Cycle Management Capability
Maturity Model (LCM-CMM)
Building Capacity for
Sustainable Value Chains
International Life Cycle Partnership
To bring science-based life cycle approaches into
practice worldwide
QUICK TOUR OF LCM – CMM
CONTINUAL LEARNING
LCM- CMM APPROACH
(WHAT TO DO)
Competitive
Context
SWOT Analysis
Situation
Analysis
O
T
Improvement Plan
•
S
•
W
Maturity
Assessment
Product Life Cycle
Scan
(HOW TO DO)
Near term business
objectives
Long term org.
development
Action Learning
•
•
Speed implementation
Just enough analysis +
just in time training
CYCLES OF LEARNING
Management
Commitment
Communicate vision and provide
necessary resources
Plan
Identify key gaps to be
addressed in next cycle
Act
Embed new practices in
management system
Linked to
business strategy
Integrated into
organizational
routines
Assess performance
against targets
Capture lessons learned
Learn
Identify improvement
priorities
Set quantified targets
Do
Action learning
Defined processes
Roles & responsibilities
Training & development
ACTION LEARNING
Directed by business manager
Supported by LCM champion
Training/ technical consultant
Active learning
Feedback from work outcome
Accelerated implementation
Situation Analysis
SWOT Analysis
ACTIONABLE TASKS
Improvement Project
QUALIFIED – Do No Harm
Management
Commitment
Basic procedures to protect people and
the environment
Plan
Identify key measurement
gaps to define business
case
Act
Roles & responsibilities
Employee training
Accountability
Risk avoidance
Legal compliance
License to operate
Inspections
Corrective action
Root cause
Quantify outputs
Set Targets
Do
Hazard ID
Controls, procedures
Emergency planning
Learn
QUALIFIED
• Key capabilities
– Environmental awareness, hazard identification, root
cause analysis, numerical literacy
• Business impacts
– Legal compliance, license to operate, risk/ cost
avoidance
• LCA Methodology
– Data quality, process mapping (gate- to- gate)
• EMS Elements
– Legal & regulatory requirements, environmental
aspects, roles & responsibilities, operating controls,
training, inspections, emergency response, incident
investigation & corrective action
QUALIFIED
PLAN
Inventory key waste streams and most frequent accidents.
Establish baseline performance measures and set targets for improvement.
Inventory toxic chemical uses.
DO
Conduct job hazard assessments & install procedures and controls to manage hazards.
Characterize all waste streams.
Implement procedures to ensure compliance activities are conducted as required.
Implement inspections to reinforce required safety and environmental actions.
Assess for potential incidents & identify necessary actions for response and containment
LEARN
Conduct emergency response drill.
Review inspection findings and implement corrective action.
Establish incident investigation process to drive to root cause.
Conduct independent 3rd party compliance audit.
ACT
Key Activities
Establish emergency response plan.
Establish employee awareness training program, including new employee orientation.
Formalize operational controls and management systems for ongoing safety and
environmental compliance
Implement corrective action to address any findings from third- party compliance audit.
Publicly report compliance with legal and regulatory requirements & progress toward
improvement goals.
Identify key information needs to drive next cycle of improvement
EFFICIENT
Management
Commitment
Upgrade procedures to reduce impacts to
lowest economically feasible level
Plan
Identify performance gaps
that require redesign/
innovation
Act
Organization
Accountability
Public reporting
Process efficiency
Improve operating
margins
“Eliminate waste”
Management system audit
Track KPIs against targets
Learn
Aspects & impacts
Energy & water use
Chemical inventory
Do
Risk assessment
Environmental costs
Pollution prevention
Process safety
EFFICIENT
• Key capabilities
– Risk assessment, financial literacy & environmental
accounting, quality improvement tools (e.g. statistical
process control), cross- functional collaboration
• Business impacts
– Process efficiency/ operational excellence, improved
margins, reduced inventory & working capital
• LCA Methodology
– Life cycle inventory, product system modeling (cradleto- gate; gate- to- grave; attributional), impact
assessment
• EMS Elements
– Policy, environmental impacts, objectives & targets,
organization & accountability, programs, management
audits, external reporting (environmental)
EFFICIENT
PLAN
Identify environmental & safety aspects and impacts of facility operations.
Inventory energy uses. Compile a water balance for facility.
Establish baseline performance and set targets for improvement
DO
Conduct a risk assessment of facility aspects and impacts & set priorities for improvement.
Conduct pollution prevention/waste minimization projects as required to meet goals.
Develop environmental accounting system to quantify costs of pollution and injuries.
Conduct alternatives assessment for all uses of toxic chemicals
LEARN
Conduct management system audit of inspection process in reducing incidents.
Define and monitor key performance indicators (KPIs) to assess progress toward targets.
Review effectiveness of EH&S programs.
Review adequacy of information system for supporting environmental accounting.
ACT
Key Activities
Draft policy and formalize environment, health and safety programs.
Standardize measurements & establish quality assurance procedures.
Integrate measurement requirements into information technology strategic planning.
Integrate EH&S requirements into employee development programs.
Define plan for substitution of toxic chemical uses with safer alternatives.
Establish communication plan for public reporting of company performance
EFFECTIVE
Create goods & services that improve
human condition while continually
reducing impacts and resource rqmts
Management
Commitment
Plan
Identify key policy barriers
to sustainable business
Act
Sustainability reporting –
e.g. GRI (partial)
GHG/ water footprint/
eco- labels
Top line growth
New markets
Innovative products
Annual program review
Stakeholder feedback
Value chain impacts
Scope 1 & 2 GHG
Water footprint
Materiality matrix
Do
LCA
Design for environment
Chemical substitution
Learn
EFFECTIVE
• Key capabilities
– Robust & user- centered design principles, systems
thinking, multi- attribute decision- making, conflict
resolution, inter- organizational collaboration
• Business impacts
– Product & business model innovation, new markets &
expansion of existing markets
• LCA Methodology
– Interpretation & communication, cradle- to- grave
modeling (consequential, scenarios), critical review
• EMS Elements
– Annual management review, design for environment,
supplier environmental management, stakeholder
engagement, external reporting (CSR)
EFFECTIVE
PLAN
Identify environmental & safety aspects and impacts of company’s value chain.
Compile scope 1 & 2 GHG inventory for company. Estimate water footprint.
Develop preliminary materiality matrix of stakeholder issues.
Establish baseline performance and set targets for improvement.
DO
Conduct streamlined LCA for key product family. Use results to upgrade design manuals or
implement eco- design idea(s) in new product development.
Conduct design for environment pilot on product with key customer designed to enhance
customer value proposition with superior environmental performance.
Conduct process improvement project with strategic supplier(s).
Complete project to substitute a toxic chemical use with a safer alternative.
LEARN
Conduct management review of LCM programs.
Engage stakeholders to review company progress and assess their understanding/
acceptance of KPIs used to communicate progress
Assess progress against toxic used reduction plan.
ACT
Key Activities
Update policy and extend environmental programs to cover full product life cycle system.
Upgrade communication plan to ensure product marketing and public reporting aligned.
Develop formal stakeholder engagement plan to inform strategic planning.
Bring public reporting into compliance with GRI guidelines.
ADAPTIVE
Management
Commitment
Transform business model to support
sustainable consumption & production
Plan
Co- create new markets for
enhanced well- being!
Act
Sustainability mgmt.
system
Public policy reform
Socio- economic profile
Stakeholder engagement
Balance sheet focus
Capital preservation
Sustainable
prosperity
Stakeholder review of
performance
Do
System innovation
Public- private partnerships
Learn
SUSTAINABLE CONSUMPTION &
PRODUCTION
WBCSD. (2010). Vision 2050: The new agenda for business
http://www.wbcsd.org/WEB/PROJECTS/BZROLE/VISION2050-FULLREPORT_FINAL.PDF
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