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Combining Business Growth Strategies with Environmental Sustainability
Aston Business School - Feb 2016
Andy Whyle
Ricoh UK Products Ltd
Content
Ricoh’s Sustainability StrategyCO2 Energy ReductionCircular Economy: Zero waste & Remanufacturing
Worldwide sales of $23billion(£14.6 billion) year end March 2012
No 1 Share of Global MFP Market
100,000+ Employees Worldwide
Market Leader since 1936
200+ Countries & Regions
Who are Ricoh?
Ricoh Global Manufacturing
■ Shanghai Ricoh Digital Equipment Co., Ltd.
■ Ricoh UK Products Ltd. (RPL) ■ Ricoh Industrie France S.A.S.
■ Ricoh Asia Industry (Shenzhen), Ltd. ■ Ricoh Manufacturing (Thailand), Ltd.
■ Ricoh Electronics, IncCalifornia & Georgia
U.S.A
UK
France
China
Thailand ■ Ricoh Components &
Products (Shenzhen) Co., Ltd.
■ Ricoh Japan14 Production
Sites.
Ricoh Environmental Leadership
• “As the global environment is in critical condition, business communities are expected to take a leadership role in building a new social paradigm.” (S. Kondo 2008)
• “ ….. customer expectations of RICOH will evolve into long lasting trust. They will realize that the RICOH Group truly lives up to its "Harmonize with the environment" value. In this way, the RICOH brand will grow in society. “ (M Sakurai 2011)
“What makes Ricoh great is not only our superior technology, but it is also our culture of innovation”.Zenji Miura (CEO, Ricoh Company Ltd)
Sustainable Environmental Management
* Ref - www.ricoh.com/environment/management/picture.html * Ref - www.ricoh.com/environment/management/vision.html
Resource Conservation create a resource recirculating society
Energy Conservation combat issues associated with climate change
Pollution Prevention environmentally safer manufacturing
Environmental management system, Environmental information system, Environmental accounting, Environmental education, Produc lifecycle
assessment, Communications etc.
Biodiversity Conservation improve the Earth’s self-recovery capabilities
2010 20502000 2013 2020 2030 2040
100%
80%
60%
40%
20%
0%
TECHNO-CENTRICTechnical
innovation effect
Ricoh’s long-term goals for environmental impact reduction
ECO-CENTRICEncouraging all employees
to participate in environmental activities
1/8
TECHNO-CENTRICTechnical
innovation effect
2013 Goal25% reduction
2010 Goal20% reduction
2030 Goal30% Reduction
2050 Goal87.5% Reduction
Building a Sustainable Society - Balance
1:Reducing the impact of our environmental activities
• Energy Saving / Global Warming Prevention
• Resource Conservation / Recycling• Pollution Prevention
2: Preserve the eco-system(Biodiversity)
• Increase the earth’s regenerative capacity
• Maintain and enhance the eco-systems
Ricoh Group's global environmental conservation: Keeping environmental impact within the self-recovery capabilities of
the Earth
12
Ricoh Group Standards
Environmental Strategies 2000
2005 Ricoh established the Year 2050 Long-Term Environmental Vision to reduce environmental impacts to one-eighth of year 2000 level (a “World 1st”)
2002: Zero Waste: all Ricoh Group Manufacturing sites achieve Zero Waste to Landfill standard.
2009 established a Biodiversity standard to integrate conservation into their business activities
Established in 1985Based in Telford, Shropshire£270 million salesSupplying European market place
Ricoh Telford - RPL
REPCEstablished 2014
Product lines:• MFP light Assembly
Employees: 6 + DHL staff
RPLW (Wellingborough)Acquired 1996
Business lines:• Machines forward and reverse logistics• Service parts logistics (ESPC)• Machines recycling• Customer data cleansing (sanitization) Employees: 78
RPLS (Stirling)Acquired 2014
Product lines: • Digital Duplicator inks and
mastersEmployees: 36
Product lines:• Production Print products & services• Recycled products & R&D• Toner production• Solutions products & services• PP & Ink Jet Technical Centre
Employees: 679
RPL (Telford)Opened 1985
Ricoh Industry France
New Multi Site Operations
Product Range
Site Entrance
RPL3
RPL2
RPL1
Cartridge Recycling
Colour toner
+ Moulding
Remanufactured
Copiers
Production Printers
Colour toner
+ Moulding
Landfill
Green ProcurementSuppliers
environmental management
systems
BiodiversityConservation on and off site
Recycling of ProductsRecycled machines, parts and cartridges
Energy & Water ReductionManagement of CO2/Water
Resource ConservationMinimisation & Zero Waste to Landfill
(Waste‐2‐Product) Environmental Action Committee
Social ResponsibilityEmployee and stakeholder engagement, improving brand awareness & customer satisfaction
Pollution PreventionPrevention controls, methodology and testing
Legal ComplianceCompliance & incident management
Environmental Action Committee
16
Ricoh Telford
• Energy Efficiency Accreditation Scheme (Top 5 UK) 2004
• BQF UK Gold Medal for Sustained Excellence 2009
• Environment Agency: Best private sector Finalist 2010
• Business Commitment to the Environment Premier Award 2011• Benchmarking - being confident in sharing validated environmental best practice
Benchmarking
Ricoh recognised as one of Top Global sustainable corporations.
Ricoh Telford Factory Turnover – 10 Years
0
50
100
150
200
250
300
350
400
450
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
£ M RPL Telford Turnover (£M) Turnover (£M)
Strategic Summary
Concept: Long term strategic approach with staged targets
Approach: Eco-centric culture change with Techno-centric development, staged targets (Mid Term Plans) working towards 2050,
Result: Not optional activity - Sustainability embedded into management culture with performance targets (organisational and individual).
Energy (CO2) Conservation
Ricoh Group's global environmental conservation:
Keeping environmental impact within the self-recovery capabilities of the Earth
11 22Energy Reduction
Reducing Operational Impact
RPL Energy / CO2 Use – Our History
RPL Energy - CO2 Emissions V Cost
0
2000
4000
6000
8000
10000
12000
14000
1997 1998 1999 2000 2001 2002
CO
2 (To
nnes
)
£-
£200,000
£400,000
£600,000
£800,000
£1,000,000
£1,200,000
Ann
ual E
nerg
y Co
st
CO2 emission (G+E)Total Energy Cost
RPL Annual energy expenditure £500KAnnual emissions of 11Kt CO2
Low levels of energy management.
Electricity Purchase Price (£/MWh)
0
0.2
0.4
0.6
0.81
1.2
1.4
1.6
1.8
1997
1999
2001
2003
2005
2007
2009
2011
2013
2015
2017
2019
Elec
tric
ity
(£/M
egaW
att Hou
r)
Average of 10 Kt CO2Emissions90% Energy Cost Increase.Further energy cost increases predicted.
Information supplied by Andy Smith RPL
Energy Prices continue to rise approx 7% year
on year
RPL CO2 Reduction - Overall Contribution to reduction
3. Gain understanding
, 5.0%
2. Identification
o f energy use , 5.0%
1. Data Monitoring,
2.5%
9. Horizontal deployment,
20.0%8. Confirm effect , 5.0%
7. Implement techno log ies ,
40.0%
4. Implement low -cost
improvements, 7.5%
5. Research techno log ies,
10.0%
6. Design unique
so lutions, 20.0%
RPL CO2 Reduction - Approach
1.Data Monitoring and Analysis
2. Identification of energy intensive equipment
3. Understand plant operation and process requirements
4. Implement zero / low‐cost improvements
5. Research technologies
7. Implement technologies & automated efficiency management
8. Confirm effect & review opportunities for further improvement (Kaizen)
9. Horizontal deployment
6. Design RPL unique solutions to add value
Energy Reduction Activity – Lighting
RPL1 Toner Plant WarehouseManually Switched Sodium Lighting
High Frequency LightingWith integral occupancy / ambient light control
Annual Energy Cost Reduction = £25KReturn on investment = 1.6 Years
CO2 Emissions Reduction of 150t per annum
BeforeAfter
Light quality improved +
Typically 60%
reduction in energy
Energy Reduction – Site Deployment of VSDs
Fixed Speed pumps / fansDynamic Variable Speed Drive
(VSD) pump/fan control
Annual Cost Reduction = £85KReturn on investment = 7 Months
CO2 Reduction of 520t per annum
ELECTRIITY USED ‐ AHU7 (RPL1 Office) Improvements
0
1
2
3
4
5
6
00:0001:1502:3003:4505:0006:1507:3008:4510:0011:1512:3013:4515:0016:1517:3018:4520:0021:1522:3023:45
Time Of Day
Pow
er (k
W)
Fixed Speed VSD ‐ 90% Air VolumeVSD Variable air volume
Annual Electricity Cost=£1,191CO2 = 7.5t
68.5%Reductio
n
BeforeAfter
RPL Unique ‘Knowledge’
‘Off the shelf’ solution
Combined Heat & Power
Ricoh December 2010: CHP Plant, gas fired generator power for building and also heats waterDomestic Hot Water System summer efficiency increased from 16% to 92%Onsite generation of “low Carbon” electricity (transmission losses minimised)Overall cost reduction >£22K p.a (150t CO2)
Site LED Lighting
89% savings compared to previous sodium lighting (40% site coverage on-going)
19/02/2016 23
2020/2050 CO2 Emissions Targets
RPLT/RPLW Data only
Summary
£1M p.a. Energy Cost avoided.4,000t per annum CO2 reduction.Average ROI <1.9 Years.Recognised externally as an environmental leader.Knowledge gained will drive future activities and compliment Ricoh Professional Services.RPL has outperformed other Ricoh production facilities in energy reduction
Ricoh Telford Water Use – 10 Years
Installation of water recycling in process cooling plant Reduction in production demand in water intensive plant.Installation of waterless hygiene systems.Installation of timed off domestic tap fittings.Switch it off campaigns
0
5,000
10,000
15,000
20,000
25,000
30,000
35,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
metres ³ RPL Telford Water (m³) Water (m³)
Resource Conservation
Zero Waste & Remanufacturing
Reducing Operational Impact
Ricoh Group's global environmental conservation:
Keeping environmental impact within the self-recovery capabilities of the Earth
11 22
Ricoh Group Standard: Zero Waste to Landfill
All Ricoh Group Manufacturing sites since March 2002
Adaptation of Corporate modelManagement CommitmentCultural issuesEmployee involvementResourcesWorking methods Maintenance and Compliance
Launch 2000: Challenges and Problems
Project launch included all employees
Presentations were given by senior managers/Director to demonstrate support for project
Team working activities followed presentations in respective work areas
3R’s: Reduce-Reuse-Recycle
Zero Waste Launch - 2000
Manufacturing Environments
Segregation in, or adjacent to work areas
RPL Office Environment
No personal binsCentral segregation areas
Ricoh Telford waste streams
Zero Waste 2001: Waste-2-Product
Waste-2-ProductWood palletsPlastic palletsSteelFerrous metalsAluminium PaperCardboardPlasticsGlassElectronic equipmentGeneral WasteHaz waste
…. then prepared for the contractor (customer)
Recycling Centre
1995 : introduced toner compactor - enabled reprocessing of waste toner
2000: System modified increasing efficiency from 60%–95%.
Financial saving - reduction in raw-material cost 2001 totalled £294,995
Reuse: Raw Material Substitution
Reuse: Packaging Re-use
• Martini Product Corner post packaging re-use• Returnable post extension designed, enabling
waste posts to be used on finished products• Waste reduced by 83 tonnes per year• Reduction of waste for end user
13
163
Zero Waste to Landfill: 2001
Approach: Recognising “waste” as a resource (Waste-2-Product) Management commitment, targetsOwnership through people involvement and use of knowledge“Segregate at Source” approach included in employees induction Compliance with environmental legislation,
Result: waste recognised as a resource for sale and cost saving, whilst reducing environmental impacts.
What is inspiring or special ?
Zero Waste to Landfill (100% recycling) since Sept 2001
Diverted over 16,000 tonnes
= 2100 x
2012/13: 95% of all manufacturing “waste” is now recovered with only 5% being sent for Incineration with Energy Recovery
44%
0%
56%
2000 - Material RecoveryLandfillEnergy From WasteMaterial Recovery
0%5%
95%
2009-Material RecoveryLandfillEnergy From WasteMaterial Recovery
(£60,000)
(£40,000)
(£20,000)
£0
£20,000
£40,000
£60,000
£80,000
£100,000
£120,000
£140,000
£
Zero Waste Profitability Disposal CostRevenueProfit
Zero Waste Business benefit
Zero Waste “Waste-2-Product” Profitability
- £46k
£50k £59k
European Business Review 2013
Effect of business change Total waste decreasedPackaging decreased (Card)
Ricoh Group Review - 2013Rationalisation of European business sites RPL and Ricoh France share effect of reduced business
2050 Waste (Telford)
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European Business Review 2013
Material Recovery RateBusiness change has resulted in 43% reduction in waste (lowest ever)Waste decreasing due to reduced Card and plastic segregation issues (China “Green Fence” effect) Current Material Recovery result: 88%
ProfitabilityCosts have exceeded revenue for the first time since 2002 : -£75K (highest ever)
ActionReview of waste streams on goingTarget - Improve segregation quality
0%12%
88%
2014-Material Recovery
Current Actions
Review of Plastic recycling– Created Plastic Hierarchy to identify
materials (Closing Loop)
Work Instruction Review– Clearer signage
PET Raw material Supply
WastePETFor
Recycling
Targeted waste streams
Plastics– LDPE Foam divert from Gen
Waste (incineration).ActionsHot melt styrene unit budgeted 2015-A
Toner waste– Toner Powder / Cartridges
/Plastic AssembliesActions– trial complete, Results review
end of Feb
Reuse
Converting incoming packaging waste to logistical assetsImported Toner packaging -
Reuse – options ?
Recycling CentrePackaging for
recyclables
Reject pallets sent for Recycling
Robust Packaging –Re-useable?
Toner Consumables Finished Goods Packaging
Pallet Reuse Flow 2015
Ricoh JapanImported Toner(plastic pallets)
Ricoh UK Products Ltd
(RPL) Toner Filling
BOZ (Netherlands)Distribution Centre(Central Stock of Reused Pallets)
RPL Recycling Centre
(Recycled)2,517
Ricoh Industries France
Imported12,538
10,011 Reused added to Central Stock
Returned to RPL for Reuse
Cost of Pallet: £28Saving: £28, 308 per year
Recycling: Cyclical Business model
Improve waste segregation to create new
“Product”
Supply product Reduce cost – Receive revenue
Market saturation
Recycling Contractor rejects low quality product
Decrease in operational performance
Drives innovation & process change (resource required)
Zero Waste is an ongoing continuous development
Resource Conservation
Remanufacturing
Reducing Operational Impact
Ricoh Group's global environmental conservation:
Keeping environmental impact within the self-recovery capabilities of the Earth
11 22
THE PERFECT STORM
2030
World's population
will rise from 6bn
to 8bn (33%)
Demand for food
will increase by 50%
Demand for energy
will increase by 40%
Demand for water will
increase by 30%
Professor Sir John Beddington, UK Government Chief Scientist (2009)
What’s the problem?
WHAT’S THE PROBLEM?
OECD Development Centre, Working Paper 285 (Kharas, 2010)gfh
2014
Transition to a sustainable economy
Resilient to changing environmental conditions
Resilient to changing environmental conditions
Operates within environmental limits Operates within
environmental limits
Low carbon and resource efficientLow carbon and resource efficient
Resource Security - “Peakonomics”
Chris Martenson (Crash Course)
Jae Mather (Carbon Free Group)
Heed the warnings …….
Gold
Copper
Copper
Big Nuggets
Small Nuggets
Copper Ore Vein - 10%
Copper Ore Vein: 0.2%
Copper
Earth movers capacity = 255 tonnes0.2% = 0.5 tonnes of copper per load
Business Opportunity?Oil prices rising / mining capacity decreasing1 Load = Equivalent to 3,400 donkeys
Future manufacturing impact?Copper availability decreasesCopper price rises to unaffordable manufacturing costs …….No production / products ……No Business Continuity .
IEMA – From Waste to Resources
Resources are the life blood of manufacturing. Without a clear view of supply risks and an active and ambitious strategy to manage those risks, businesses will be increasingly vulnerable to price volatility, supply chain disruption and business continuity risks. Susanne Baker, AIEMA, EEF and Chair of Materials Security Working Group Read more about Susanne’s work at www.iema.net/rm111
19/02/2016 60
IEMA – From Waste to Resources report
19/02/2016 61
The Circular Economy
COLLECTION
Extradition of biochemical feedstock2
Anaerobic digestion
/composting
Biogas
Restoration
Biologicalnutrients
Mining/materials manufacturing
Technical nutrients
Farmingcollection1
Biochemical feedstock
COLLECTION
1. Hunting and fishing2. Can take both post harvest & post consumer waste as an inputSource: Ellen MacArthur Foundation economy team
Ricoh Comet Circle
19/02/2016 63
Manufacturing Today
The sustainable ideal is a balanced 3Ps approachMost of today’s product tends towards 1st life/ single use (profit centric)Sustainable design is increasing, but not yet the mainstream Ricoh reacts to the market conflict of “1st Life vs. Sustainable Customer Demand” through
Robust reverse logisticsLife cycle (Comet Circle) drive towards retention of assets
Ricoh’s role is to learn, and move towards resource conservation.
Planet
People ProfitProfit
20502000
100%
80%
60%
40%
20%
0%
Ricoh’s 2050 Plan Impact reduction
Virgin Fossil and Mineral materials
Reuse of productsand parts
50%of incoming materials from Recycledor Reused
Land use(factory construction/
landscaping).
Collection/ Recycling
Water Timber
Crude Oil
(fuel)
Natural
GasCoal
Zinc Ore
Nickel Ore
Copper Ore
Molybdenum
Platinum
Chromium Ore
Manganese Ore
Silver
Ore
Bauxite
Lead
OreTin Ore
Crude Oil(raw Material)
Silver
OreGold Ore
Titanium
C O
(carbon Monoxide)
NOx
(Nitrogen Oxide)
SOx
(Sulphur Oxide)
CO2
(Carbon Dioxide)
N20
(Nitrous
Oxide)
CxHy
(hydro
Carbons)CH4
(Methane)Dust
NMVOC(Non-methane
Hydrocarbons)
Slag
Unspecified Solid Waste
Sludge
BOD
(Biological Oxygen
Demand)
COD
(Chemical Oxygen
Demand)SS
(suspended Solids)
Logistics/ Marketing
Procurement of raw materials
Use/ Maintenance
Input Output
Design/ Manufacturing
Continuous INPUT of resources to create products and OUTPUT of chemical substances, a linear relationship between these two are to be the basis of increasing the negative environmental impact on the
Earth.
In the future, if natural resources are to be depleted the we won’t be able to continue our normal business activities. We wonder if there is
a way to avoid running out of resources as opposed to such linear activities.
Extracted Resources for the business activities
such as
•Energy resource
•Mineral resource
•Renewable Resources
Substances that discharge in the
process of business activities.
Resource Security
Leasing Eco-Line products
UK RemanufacturedProducts
Why Leasing ?
Leasing is a big transition for our society and some fundamental problems need to be solved for a circular economy to be achieved.
Challenges include:
– Companies have no incentive to design products for scenarios after they have been used.
– The public are confused and inconvenienced by what to do with products at the end of use.
– A lack of the right data (i.e. capturing the millions of products that are passed onto recyclers and waste handlers), makes it difficult to capture high value in reuse and recycling.
Why Leasing ?
If businesses shifted from selling products to leasing products as services, the three problems above could be solved.
Users would know where to send things at the end of use. It would be in a companies interest to design for durability, repair-ability and recyclability as they try to maximise the life of each product.
Recyclers could be passed purer streams of materials and all the information needed to recycle at a high quality.
Problem- making the proposition attractive to customers is more complicated
Why Leasing ?
Responsibility of the user - Ownership of products is an established model of consumption, it provides an easy to understand line of responsibility. But where products are leased the line becomes blurred.
The terms of different contracts vary and products can become a burden of responsibility. (i.e. “wouldn’t like to lease in case they broke it”).
Expectation from customers - ‘it’s more effort and paper work to understand the terms of the agreement as well as the extra responsibility on payments each month.’
Issues
Trust in the brand - The user's relationship with the lease provider and the trust that they will deliver the service well, is also key.
People feel the quality of a product can be assessed in a store. But assessment of a services’ quality is dependant on how events unfold over time and interviewees did not always trust providers to deliver once the contracts are signed. – e.g. gym memberships and satellite TV subscriptions can make
it hard to leave, instead of improving the service experience.
Moving from “Products” to “Assets”
A leased product is no longer just a product. The service takes on a part of the value proposition, which can hinder or benefit use of the product. The service should not de-value the proposition, services need to be cared for as much as the products themselves i.e.
– in the case of leasing a Photocopier, the offer should be more than the latest “executive” model and have a range to choose from.
– Manufacturers might offer advice or new accessories to improve the performance on a continual basis.
The opportunity is about selling the longevity of the product (i.e. letting customers know how many life cycles it has generated). These examples show the potential for a deepening customer and brand relationship. Leasing models can and should be able to offer extra value beyond the sale of a standard product.
Conclusion: Leasing
To make leased products attractive to customers, services need to have value embedded, and have the same attention to detail that goes into designing products.
To create “brand” affiliation, trust is vital. Services offer “brands” a closer relationship with customers. But that requires extra trust, which must be maintained if a long term success is to be created.
Manufacturers also need to understand how to achieve a balance between incentives that encourage people to look after items they lease, without scaring customers of the consequences if things get damaged.
Manufacturers benefit from improved reverse logistics (resource conservation) and customer retention (business continuity)
TELFORD FACTORY
Ricoh Remanufacturing
Green centre
Firmware upgrades
Technical modifications
PRODUCTION LINE
COMPONENTS
Eco Line - Remanufacturing Process
Remanufactured machines (BS-MADE 8887-220)Striped to chassisAll mortality parts replaced /All panels sprayedAll firmware / software modifications fittedCompletely Re-branded and sold as new lineQuality Control: inspected and assured the same as new productsExtending the life cycle, reducing environmental impact
Customer Experience Centre - showcase facility within the manufacturing process, featuring end-to-end work flows and integrated solutions from Ricoh.Developing brand affiliation and trust through customer interaction and engagement.
Ricoh CEC
Life Cycle Analysis
Raw material Manufacture Customer usage Recycle & disposal
Remanufacturing = 38% Environmental impact reduction
Life Cycle: Comet Circle deployment
Customer
OperatingCompany
Product Manf.
PartsManf.
MaterialsManf.
Materials Supplier
Maintenance Parts Recovery
MaterialsRecovery
MaterialSeparation
Raw material recovery
Incineration with Energy Recovery
Final Disposal
Recovery
Secondary User of Materials
RecyclingCentre
Green Centre
Remanufacturing Zero Waste
Business Benefits
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Asset Remanufacturing of Ferrite RollersProduct / Process
Apollon C1 Fuser
How Much 200 units per month
Business Benefit
Saving compared to manufacturing new = £13/Roller
Comments First stage of Remanufacturing development, development and justification of the process was challenging, but ultimately developed a low skill cost effective process requirement.
+ Comet Shifts
2
Business Benefits
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Asset Jupiter OPC unitProduct / Process
Remanufacture of unit including reuse of aluminium drum and weight (rather than recycling).
How Much 7000 drums saved over 1 years production.
Business Benefit
Savings compared to buying new units = £61,000
Comments extension and development of the Ferrite roller process
+ Comet Shifts
2
Business Benefits
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Asset Supplies Remanufacturing DepartmentProduct / Process
European wide sourced Toner cartridge Remanufacturing of AIO / PCU / Fuser units
How Much reverse logistics return 55tonnes / month. 52 tonnes are remanufactured (Process yield is 95%, with 5% sent for recycling).
Business Benefit
Based on the avg selling cost within the Ricoh demand chain the process is worth €11 million per month, the direct benefit to the manufacturing process compared to buying virgin materials and parts is €2 million per month.
Comments Now established as part of European manufacturing operations
+ Comet Shifts
3
Business Benefits
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Asset Machines RemanufacturingProduct / Process
Remanufacturing of copiers and production printers following BS887-2
How Much 160 units per monthBusiness Benefit
40% cost savings compared to new models, reducing environmental impact by 38%
Comments Established as part of RPL manufacturing operations
+ Comet Shifts
3
Resource Conservation
Concept: develop business strategy to maintain materials for productivity– Compliance – Long term approach (2050 Plan)– Supply Chain awareness and change in procurement– Life Cycle - Comet Circle deployment– Diversification of operation (remanufacturing)
Result: Reduced environmental impact of operation, extended life cycle of materials, resulting in a changing operation to maintain future business continuity (Sustainability).
Harmonising with the Environment
Stakeholder Support & Social Responsibility
Ricoh Group's global environmental conservation:
Keeping environmental impact within the self-recovery capabilities of the Earth
11 22
The Ricoh Way – Social Contribution
The Ricoh Way: Practical Contributions to Society
Employee Engagement & Advocacy
Interest(Contract)
Supporting(Volunteer)
Environmental Leader
(Stakeholder)
Biodiversity(Advocate)
Specialist(Partnership)
Social Responsibility
Per
sonn
el D
evel
opm
ent
Business Excellence Model
Natural Capital with Health & Well-being
RPL Proposed Site layout with SuDS
Upper level pool
Cascade
Lower Level Water Pool
Employee Walkway
Employee accessBird Observation Hide
Employee Walkway with interpretation boards
RPL2Building
RPL1Building
Business impact: Water Framework Compliance
Middle Severn Catchment Steering Group
Clean Stream Team
Community / Business / Wildlife Trust / AgencyPartnership • Water sampling
• Report pollution
• Investigate Source Pollution
• Stop Pollution• Improve water quality
Social Responsibility Summary
Concept: Corporate Social Responsibility refers to corporate behaviour that demonstrates open and transparent business practices based on ethical values and respect for employees, communities and the environment.
Approach: Eco-centric employee involvement on and off site in the community (business support, community involvement, local conservation)
Result: Brand awareness increases, providing Environmental Social Responsibility evidence.
The Ricoh Way – Responsible Business Growth
RPL’s expertise is used to assist Ricoh Salesand to show customersThe Ricoh Way
Ricoh Telford’s Energy Reduction exceeds Ricoh’s CO2 targets and also saves £0.5 Million per year.
The Waste -2-Product program increases the life cycle of materials whilst increasing profitability
Remanufacturing Eco Line and Supplies Recycling increase the sustainability of raw materials and our manufacturing process
Waste and CO2 generation is now decoupled from growth (turnover increased by 325% since 2003) in line with Zero Impact Growth philosophy
Waste-2-Product
RPL Energy Reduction (CO2)
RPL Telford Electricity (MWh)
5,000
7,000
9,000
11,000
13,000
15,000
17,000
19,000
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
MWh
Electricity MWh
Corporate Biodiversity actively repairs damage and engages employees and stakeholders.
RPL Telford Turnover (£M)
0
50
100
150
200
250
300
350
400
450
2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013
£ M
Turnover (£M)
Impact vs £ Turnover
Summary
Strategy: to develop our business to maintain materials for productivity Long term approach (2050 Plan)Zero Waste underpins Sustainable Resource ManagementIncreasing Supply Chain awareness of Reverse Logistics Circular Economy - Comet Circle - deploymentDiversification of operation (remanufacturing)
Result:Manufacturers and Customers now beginning to grasp Resource Conservation as a strategic issue.Reduced environmental impact of operation, extended life cycle of materials, resulting in an increased ability to maintain future business continuity (Sustainability).
To reduce the environmental footprint from a long term perspective, we are sharing our internal experience and expertise in sustainable environmental management with our stakeholders, including our suppliers and customers.
Shiro KondoRicoh President & CEO
Sustainability Challenge
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Testing the eco-centric dynamic capabilities framework may be challenging, because of the need to find firms willing to adopt a transformational approach. However, as the increased costs of doing business associated with resource depletion, problematic waste disposal, environmental degradation, species extinction, and devastating weather patterns become more widespread, firms willing to adopt, as well as those actively seeking, new strategic approaches likely will increase in number.
(Borland et al, Building Theory at the Intersection of Ecological Sustainability and Strategic Management,2014)
Sustainability Challenge