GLAD: Rethinking Waste One Bag at a Time

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Rethinking Waste: One Bag at a Time

© 2012 Glad Products Company Proprietary and Confidential

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Executive Summary

The importance of sustainability is more than just changing your products and manufacturing, it is essential to inspire and engage employees in the process, ensuring that sustainability becomes embedded in the business decision process.

A culture of continuous improvement in sustainability needs to occur at all levels of the organization and become part of employee’s daily routines. The key is to leverage the “Power of Passionate People” and partner with them to drive sustainability throughout the organization.

At Clorox, a group of passionate volunteers started the Eco Network to identify sustainability opportunities, both internally and externally. The passion of the Eco Network is contagious and helps motivate other employees to think more about sustainability within the building, for their brands and, ultimately, the consumer.

At the Clorox Headquarters in Oakland, CA, the Glad Brand set out to engage employees with the launch of its One Bag Campaign. The One Bag Campaign is an effort launched in the fall of 2011 to help consumers reduce waste at sporting events, parties and other events with the ultimate goal of ending with only one bag of waste going to landfill and the rest diverted to recycling and composting.

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Executive Summary

Prior to this the campaign, the Eco Network and Glad collaborated on other waste diversion activities such as signage by waste bins and distributing reusable coffee mugs to employees, all with the goal to help the building divert 90% of waste by 2013.

This specific campaign challenged to employees at the headquarters was to produce the least amount of trash with the goal of only one bag of waste per week for their floor. It turned out that many floors were able to meet this “unreachable” challenge, and the floor that was able to produce the least amount of trash for the week was rewarded with a free “eco-friendly” lunch for everyone.

The location had already reached a strong 70% landfill diversion rate, but it had been a struggle to improve beyond that. This One Bag Challenge netted an additional 10%, or an improvement to 80% overall diversion, by engaging employees first hand and adding a competitive aspect to the mix.

In addition to the impact on sustainability, CSR is a valuable employee engagement tool with respect to the holistic financial health of a company.

Following you will find industry trends for waste diversion in society as well as best case practices to address a wide range of issues around waste diversion. The practices detail steps that can be taken in a variety of office and product channels, as well as successful tactics to engage employees.

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Waste Diversion Trends and Support

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Waste Diversion Materials on the Rise

Municipal Solid Waste Genera3on, Recycling, and Disposal in the United States Facts and Figures for 2010 U.S. Environmental Protec4on Agency Office of Resource Conserva4on and Recovery, November 2011

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Tons of W

aste M

M

Projected Waste Diversion in US

Sourced from independent consul4ng study on legisla4ve trends

10% of waste is diverted

1997 Legislation mandates diversion

34% of waste is diverted

NYC, Seattle, San Francisco adopt policies

Waste Diversion is the Future

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Strong Growth in Recycling


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Curbside Recycling Program Growth


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Waste Generation vs. Diversion

Waste generation has leveled off and diversion is increasing.


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Waste Diversion Trends


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Waste Diversion – Room for Growth

Compostable

Recyclable

Yard Waste

“Real Garbage”

(Not diver4ble)

Total 70% of waste can poten4ally be diverted

Total Residen4al Waste

  Today only 34% of waste in the US is being diverted vs. poten4al total of 70%

  EPA’s stated goal is 80% diversion by 2020


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For the top five on Interbrand’s 2012 list of the best global green brands effective Corporate Responsibility communications can be worth billions on the balance sheet.

• Corporate Responsibility ranked third in the top 10 drivers of employee engagement according to the Corporate Leadership Council.

• Companies with high employee engagement have up to 87% lower turnover and 20% better performance.

• Companies with highly engaged employees saw a 19% jump in operating income while companies with poor employee engagement saw an 11% drop over one year, according to the Towers Perrin study.

• The value of a CR communications platform is its ability to open up lines of dialogue with stakeholders through stories and ideas that reflect your shared interests. Over time, engaging with the people who matter most in your success will pay off in a stronger brand and business.

• Creating a corporate wide waste diversion program is an excellent quantifiable platform to engage employees.

Waste Diversion ROI Value

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Waste Diversion in an Office Environment

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Developing a Solid Vision Statement

•  Clear and unified vision that can be easily understood and supported by all levels of employees

•  Defined goals that are aspirational, yet attainable •  Buy-in across the organization

•  Strong execution and communication plan •  Encourage review, feedback and updates

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Making Sustainability Core to Business

•  Planet one of 5 Pillars of our Corporate Responsibility Strategy

•  Key metrics embedded into Corporate Scorecard •  Environmental considerations integrated into core business processes •  Goals and progress reported out in a single, integrated Annual Report

People Products Planet

Shrink our environmental

footprint while we grow our business

Performance Purpose

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Dedicated Team to Drive Actions

Eco Office A dedicated group responsible for driving the environmental sustainability strategy at The Clorox Company. Helps Clorox set and measure progress against goals, embed

sustainability into core business processes, and engage and support business partners with tools, resources, and ideas.

Eco Assessments A defined process for identifying and prioritizing potential actions against a business

unit’s environmental risks and opportunities for footprint reduction and business growth.

Eco Network A company-wide group of eco-passionate volunteers that are helping to embed

sustainability mindsets and behavior across the organization.

Eco Accountability Environmental goals are part of the Clorox corporate scorecard on which annual

executive evaluation and compensation are based. Goals are also cascaded to individual performance objectives throughout the organization where appropriate.

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Creating a Team Dedicated to Waste

•  Leverage the “Power of Passionate People” o  Seek out employees that are already engaged in sustainable

behaviors at work or at home

o  Ask these engaged employees to spread the word and advocate for change with colleagues

•  Ideal Make-up of Eco Team o  Team leads that reside over the whole company such as

Sustainability o  Cross-functional representation o  C-suite or key decision makers that can help implement change

“The One Bag event really helped us understand what waste went into each receptacle. It was a good educational refresher.” Clorox HQ Employee

“It made me think twice before tossing everything in the trash. I took a few extra minutes to sort out my waste but it made me realize that we can divert a lot more waste than we currently do.” Clorox HQ Employee ·∙

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Waste Reduction is the First Step

  Waste is… o  Concrete and easy to understand – a gateway to a more

sophisticated eco mindset

o  Something EVERY employee can impact, regardless of function, role or level

o  Ideally suited to engaging the ENTIRE organization on a new eco journey

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Define Internal Goals and Obstacles

•  What are the current obstacles or processes in place that impede waste diversion? o  Bins for recycling or composting not currently available at the

company

o  Funds/Budget do not exist for waste diversion activities o  Current trash hauler does not take recycling or compost

•  Define the preferred process and set achievable goals to make changes

•  Identify key areas that will be impacted and involve those areas in defining changes

•  Gain buy-in through the organization from operations to C-level leadership

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Operational Plan for Waste Diversion

•  Engagement o  Engage Corporate Facilities Management and Waste

Haulers to Brainstorm Waste Diversion Solutions •  Properly sort out waste into appropriate waste streams

o  Engage employees at all locations (plants and offices) to better educate them on reduction of waste

•  Resources/Tools o  Provide posters, handouts and learning session to help

educate

o  Take learning from successful implementations and roll-out to other facilities

•  Continuous Improvement o  Recognize the need to continually evolve processes and

education participants to increase waste diversion

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Employee Engagement

The best option for successful waste diversion is to engage employees around waste diversion and prepare them for stepped changes. • Embed into culture

o  Get your “passionate people” together to form a sustainability team to help educate and drive awareness

o  Communicate and involve employees to show impact • Make visible changes to educate and encourage behavior change

o  Create “waste diversion” stations in key locations with educational signage o  Color code the bins with colors associated with each stream o  Remove waste bins at desks with only recycling bins to keep waste diversion top

of mind o  Reusable coffee mugs versus a daily disposable cup

• Engagement can be presented in many forms: o  Emails/newsletters o  Waste Diversion Awareness Day o  Waste Diversion Challenges

• Reward and recognize employees that are fully engaged in waste diversion to encourage participation across the company

o  Create contests and unique engagement tools to make sustainability initiatives fun

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Example: One Bag at the Corporate Office

The Eco Network and Glad conducted a week-long Glad One Bag Challenge in November 2011 to educate employees on proper waste diversion. The goal was to produce less than 1 bag of landfill waste in an entire week and the floor with the least trash would win.

•  Senior Management Engagement o  Supporting the cause o  Communicating with employees

o  Lead by example through participation

•  Results o  Improved diversion rates from 70% to 80% o  Additional events planned to increase to 90% in the future

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Example: Dumpster Dives

Clorox has conducted dumpster dives at 11 facilities with 2 additional locations planned in 2013 •  Employees experience waste diversion first hand and

see the impact of making waste reduction choices o  Increases awareness o  Greater commitment to recycling or composting o  Impacts long-term behavior

•  Dumpster Dive in Action o  Prep employees with protective clothing, glasses and gloves o  Dump out the contents of the dumpster o  Employees sort trash that could have been recycled or

composted

•  Results o  Waste to landfill reduced more than 50% on average for all

Clorox sites that have participated o  Most locations have continued to maintain their waste diversion

rates post dumpster dive

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Example: Third Party Recycling

The Clorox Fairfield, California plant partnered with a third-party vendor in 2011 for an innovative recycling program.

•  Identified additional recycling materials and strategically placed containers to allow for easy access by employees.

•  Results o  65% of the cardboard collected is reused instead of recycled o  Net positive on recycling, generating more income from recycling

than the fee to the waste hauler

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Communication Plan

•  Launching waste diversion changes requires a strong internal communication plan for maximum participation and results o  Start communicating potential plans or changes at least one month

prior to implementation o  Allow for employees comments/feedback

•  Potential Timeline for Communication Plans o  4 weeks prior to implementation: Email/newsletter highlighting

proposed changes and impact to employee/work routine. Ask for feedback or comments

o  3 weeks prior to implementation: Address concerns or potential watch outs during changes

o  1 week prior to implementation: Remind employees of the changes o  Week of implementation: Ask for feedback, review comments and

respond

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Re-energize and Remind

•  Re-energize waste diversion o  Implement additional changes 1 month after initial launch o  Initiated fun challenges or contest to keep waste diversion

top-of-mind

•  Remind o  Until waste diversion becomes second nature for all

employees, it’s important to continue to remind people about company waste diversion plans and expectations

o  Showcase examples of waste diversion at work with employee or department stories

o  Send monthly tips on waste diversion or reduction

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Examples: Re-energize and Remind

•  Clorox HQ One Bag Challenge o  Challenge employees at headquarters to produce the least amount of trash

with the goal of only one bag of waste per week for the floor o  Reward: Free “eco-friendly” lunch o  Result: Additional 10% diversion for overall 80% diversion

•  Off-site Offices and Plants: One Bag Challenge o  Alpharetta: One Bag event on Earth Day – Only one trash container with the

rest recycling o  Atlanta Plant: One Bag Earth Day event – One bag of trash for the plant o  Bentonville: One Bag event on Earth Day – Goal to divert at least 50% of

landfill trash to recycling

o  Chicago: One Bag event on Earth Day – Reduce trash in cafeteria during plant luncheon to one bag

o  Fairfield: One Bag BBQ – 3 bags of recyclable waste and 1 bag of trash o  Kennesaw: One Bag event – Fit all non-recyclable office/kitchen waste into

one Glad 13-gallon kitchen bag

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Outcomes and Expected Results

•  Clorox Results o  Reduced waste to landfill by nearly 15 percent. o  From Orangeville, Ontario, to Los Angeles, Calif., 11 sites have

held “dumpster dives” to separate trash from recycling and compost items.

o  Lasting awareness and actions that are reducing landfill waste by more than half, on average, at each of these sites.

o  Continued to find recycling opportunities for materials formerly sent to landfills.

•  Expected Outcomes with Implementation o  Increase waste diversion by 10-15% o  Drive awareness about waste diversion o  Senior leaders get engaged and support

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Waste Diversion at Events – Corporate and External

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Setting Internal Guiding Principles

•  Define a set of shared principles that guide expectations around corporate and personal conduct for waste diversion o  Accountability

•  Senior Management buy-in and input is crucial.

o  Education •  Proper education prior to any waste diversion goal setting or events •  Publishing data and results prior to and after the event to give

employees a better perspective of impact.

o  Open Communication •  Receiving and incorporating feedback from employees (i.e. location of

bins, size of bins, common issues with waste sorting) helps improve acceptance rate.

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Setting External Guiding Principles

•  Starting with your Internal Guiding Principles, create a set of external facing shared principles that will guide expectations around partner conduct for waste diversion o  Accountability

•  Expect partners to mimic the same values and expectations of your employees

•  Include waste diversion in contracts and agreements •  Require reporting and feedback

o  Education •  Work with partners willing to accept resources and tools around

waste diversion •  Expect partners to educate their employees and communicate

efforts to end customers/consumers o  Open Communication

•  Work with partners willing to be open about waste diversion issues, concerns and limitations

•  Work together to determine ways to improve and evolve

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External Partners

•  Sponsorship or Agreement Negotiations o  Outline expectations about waste diversion and

reduction at the start of every negotiation

o  Include sustainability and waste diversion guidelines in all agreements

•  Create a waste diversion guidelines template to include in all agreements/contracts

o  Define metrics for measuring external partners on waste diversion and reduction efforts

o  Hold partners accountable for agreed upon metrics and request actions to ensure guidelines are met

o  Seek to improve on waste diversion and reduction during the contract renewal process

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Events: Pre-Plan

•  Waste Audit o  Conduct a waste audit at least 2-3 months prior to the start of any event

to identify the key contributors to waste and to identify solutions to change over to recyclable or compostable replacements

•  Venue o  Visit the venue and meet with the key operational employees that deal

with waste generation or disposal •  Material/Supply Management

•  Kitchen •  Servers •  Waste Management Staff (Custodial, Operational)

o  Set up a plan to measure the waste at the end of the event

•  Vendors o  Identify current vendors that are contributing to waste and work with them

to find alternative solutions that can be recycled or compostable o  Identify new vendors that provide diversion options and work with venue

to determine if temporary changes are possible

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Events: On-Site

•  Communication/Signage o  Drive awareness with attendees prior to arrival at the event via email,

newsletter or registration details o  Communicate at the arrival of the event about waste diversion efforts and

expectations o  Place visual signage near all waste stations and waste drivers

•  Waste Diversion Bins o  Select waste bins that aid attendees in proper waste diversion

•  Different colors for different waste streams

•  Visual cues for proper sort – samples of materials from conference or clear signage that highlights waste items

o  Always co-located trash bins with recycling and composting

o  Place bins near prime waste drivers areas such as food service areas, restrooms and conference rooms

•  Education o  Take the opportunity to educate attendees about the company’s waste

diversion efforts and guiding principles o  Reinforce efforts already taking place throughout the company and

introduce new ways to divert waste

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Events: Post Event

•  Measure Waste Diversion o  Work with the venue and facilities management to weigh and count the

bags generated from the event o  If possible, get receipts from waste haulers to confirm accurate readings

•  Course Correct o  Identify ways to improve after each event either through a change in

materials, training of staff or implementation of different facility practices

•  Report Out o  Share the results, learnings and proposed improvements with the

attendees and company

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Communication Plan

•  Internal o  Email – Provide updates on major changes and behavior change requests for

employees o  Newsletters – Create monthly news and updates to share with employees o  Employee Mailings – Utilize existing mailings to communicate success stories and

major changes being implemented o  Common Office Space or Cafeteria – Showcase success stories, provide visual cues

of waste diversion efforts and remind employees about waste diversion expectations o  Employee website – Showcase sustainability initiatives, provide updates and

reinforce employee behaviors

•  External o  Website – Showcase waste diversion efforts of the company, employees and

partners o  Press release – Announce major waste diversion changes or success stories o  Newsletters – Highlight waste diversion tips o  Social Media – Post success stories that can translate to followers everyday life at

work or home

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Example: Clorox Sales & Shareholder’s Meeting

Engaged Clorox Sales and key shareholders in One Bag at the Clorox Sales Meeting

• 500 people

• 3 days, 1 bag of trash per day

• 99% diversion

o  Displayed informational signage by waste receptacles

o  Removed wrapped candy and chips from lunch boxes

o  Compostable or reusable silverware

o  Donated leftover lunch boxes to local non-profit

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Example: AASHE Sponsorship

•  Official waste diversion sponsor of the 2011 AASHE Conference o  97.63% diversion rate

•  One Bag grants to AASHE members to start new sustainability programs o  Develop new waste diversion initiatives for

the athletics stadium o  Expand recycling programs at tailgating to

include composting

o  Fund student volunteers to drive awareness/education

o  Launch recycling at tailgating for the first time

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Advance the brand leadership position within sustainability and launch the One Bag platform in corporate, NGO and academic channels by leveraging a partnership with Sustainable Life Media (SLM)

•  Introduce Glad’s new DNA to the sustainability community

•  Seed Glad as a leading waste reduction expert and trusted source

Activation •  Editorial Sponsor for February’s Rethinking Waste

o  4 articles throughout the month of February focused on waste diversion and One Bag (up to 2,000 views)

o  Webinar (90+ companies attended) o  Glad page on Sustainable Brands

•  Bronze Sponsor for the June Sustainable Brands Conference o  Glad branded waste diversion signs o  Glad bag drops in-room for recycling and composting

o  96% diversion rate, 1 bag of trash per the 4 days of the conference

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Example: Sustainable Brands Waste Diversion Sponsorship

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Example: University of Southern California

•  Implement waste reduction and diversion practices during pre-game tailgates at the October 29, 2011 USC home game against the Stanford Cardinals

•  Waste was reduced by 3 tons from the year prior including nearly 1.5 tons of recycling and composting diverted from the landfill

•  USC will implement some of the sustainability efforts contained in a Glad-sponsored EnviroRider™ -- an environmentally-conscious production handbook for venues -- in the Los Angeles Memorial Coliseum during upcoming seasons

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Resources

Sustainable Brands – www.sustainablebrands.com www.sustainablebrands.com/glad

Glad – www.glad.com/trash/waste-101

Glad TrashSmart iPhone app – https://itunes.apple.com/us/app/trashsmart/

id488934789mt=8

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Conclusion

•  Small Change. Big Difference. o  Waste diversion can be implemented as small incremental

changes

•  Continuous Improvement o  Waste diversion is constantly evolving and change o  Measure and track results o  Be aware of trends or changes to recycling or composting o  Keep an open feedback loop to provide input/ideas

•  Share Results o  Keep employees and partners informed about waste diversion

changes and results

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© 2012 Glad Products Company

About The GLAD Products Company

The GLAD Products Company is wholly owned subsidiary of The Clorox Company. The Clorox Company is a leading manufacturer and marketer of consumer products with 8,100 employees and fiscal year 2011 revenues of $5.2 billion. Clorox markets some of consumers' most trusted and recognized brand names, including its namesake bleach and cleaning products, Green Works® naturally derived home care products, Pine-Sol® cleaners, Poett® home care products, Fresh Step® cat litter, Kingsford® charcoal, Hidden Valley® and K C Masterpiece® dressings and sauces, Brita® water-filtration products, Glad® bags, wraps and containers, and Burt’s Bees® natural personal care products. Nearly 90 percent of Clorox Company brands hold the No. 1 or No. 2 market share positions in their categories. The company’s products are manufactured in more than two dozen countries and sold in more than 100 countries. Clorox is committed to making a positive difference in the communities where its employees work and live. Founded in 1980, The Clorox Company Foundation has awarded cash grants totaling more than $84 million to nonprofit organizations, schools and colleges. In fiscal year 2011 alone, the foundation awarded $4 million in cash grants, and Clorox made product donations valued at $13 million. For more information about Clorox, visit www.TheCloroxCompany.com.

Documents

GLAD: Rethinking Waste One Bag at a Time