LifeCycleManagementinthevaluechains-UNEP'sactivitiesworldwideSoniaValdiviaOficialdeProgramaUNEPDTIETomSwarrFiveWindsInternationalForum“GreeningICTSupplyChain”LifeCycleManagement&theCapabilitymaturitymodelIntroductionOverviewNextstepsLCTandthe3pillarsofthesustainability…withoutcompromisingtheabilityoffuturegenerationstomeettheirownneeds.”Sustainabledevelopment“meetstheneedsofthepresent…LifeCycleManagementUNEPandSETAC(2019)WhyLifeCycleApproaches?AdaptedfromFava(2019)Lifecyclechallengesandopportunities680%ofcurrentmanagementeffortcoversonly20%oftheavailableopportunitiesforvaluecreationOpportunitiesforvaluecreationthroughenvironmentalandsocialresponsibilityUpstreamOpportunities:Buildingupbetterallianceswithsuppliers,accesstolimitedresources,stabilityofsupply,etc.highlowEnvironmentalandsocialimpactsProductChainDisposalConsumptionRetailManufacturing/ProcessingTransportationProductionSource:AdaptedfromWWF-UK2019DownstreamOpportunities:Customersatisfactionandloyalty,improvedbrandimage,etc.20Xeroxsaved400M$in2009byimplementingD4E(=LCA)SomeofWall-Martsupplierssavedupto71%oftheirannualenergybillbyimplementingtheWall-MartfootprintapproachThroughimplementationofLCAresults,detergentsproducersinUSsavedover1.8Mm3ofwater,43000tofplastics,57000tofcardboard,andseveralmillionsofdollarsintransportationcostsover3yearsEvery1$spentonsustainabilitysaves2$inoperatingcosts.Bloomberg’ssustainabilityeffortshaveresultedinover25M$innetsavingsin2019.ByimplementingLifeCycleManagementprinciples,3Mhassavedover1.2billion$over30yearsPhilipsusesLCAasaneco-innovationtooltodeveloptheir“green”products.From2019to2019theyincreasedtheirsalesofgreenproductsofabout50%(from20to38%oftotalsales)Mostofthetop500companieslistedinForbesareusingLCbasedtools...EconomicbenefitsofapplyingLCAbasedapproachesFiguresbasedonrealcasesImolaBedőNometricsBinary,Yes–noLegalcomplianceProceduresinplaceProcess,Inputs/outputsEfficiency,preventionWasteminimizedLifecycleperspective,IntegratedacrossValuechainNewmarkets/productsSustainability,ResilienceFocusoncapitalPreservation&long-TermprosperityMetrics/qualified/efficient/effective/adaptive/chaotic-Managementsystemapproach-Continualimprovement-Monitoringplan-Adaptedtocurrentleveloforganizationalcapability-MultipleP-D-L-ACycles-GradualexpansionsystemboundariesforaddedcapabilityandenhancedbusinessvalueAlignmentwithISO9000and14000ScopeBusinesscaseSocio-technicalsystemEnhancedwellbeing-sustainableprosperityValuechainStrongerbalancesheet-long-termcompetitiveadvantageEnterpriseToplinegrowth-Innovativeproducts,newmarketsFacilityBottomlinegains-efficiency,costreductionUnitoperationRiskavoidance-LegalcomplianceACTIONLEARNINGManagementcommitmentQualified:implementbasicprocedurestoprotectpeopleandtheenvironmentEnd-of-pipemeasurements:-Waste-Airemissions-WaterdischargesTeachingon:-Compliance-Basicprocedures(e.g.planning)Sourcesoflearning:-Inspectionreports-Root-causeAnalysis?-Correctiveactions-Workingrules-EmployeetrainingIdentifykeymeasurementGapsfornextcycle?LegalcomplianceRiskavoidanceManagementcommitmentEfficient:upgradeproceduresFacilityapproach(Input/output):-impacts-energyconsumption-waterbalance-toxicchemicalsuseRiskassessmenttosetpriorities:-Riskassessment-Pollutionprevention-WasteminimizationSourcesoflearning:-Managementsystemresults-DefineKPIsandtargets-Assesstraining&developmentneeds-Management&monitoringplan-Employeedevelopmentplan-ReportperformancetopublicIdentifyperformancegapsthatrequireredesign/innovation?ProcessefficiencyEliminatedwasteManagementcommitmentEffective:LifecyclethinkinginprogressValuechainperspective:-hotspotsandimpacts-scopes1,2&3GHG-waterfootprintLCA/LCMtraining:-Ecodesign/designforenvironmentAnnualprogramreview:-Resourcesusereduction-ExtendKPIstovalueChain-Trendanalysis-StakeholderfeedbackReportinginvolvingStakeholdersandtheValuechain:Ecolabels,EPDs,Greenmarketing&StakeholderEngagementplanIdentifykeyexternalbarriersForenhancedwellbeingNewmarketsInnovativeproductsManagementcommitmentAdaptive:becomingameantowardsSCPProductsystem:-socio-economicprofile-sustainabilityindexforproductionsystems-marketbarriers-StakeholderassessmentActionlearning:-Systeminnovation-PublicprivatePartnershiptoovercomemarketbarriersSourcesofinformation:-Stakeholderreviewperformance-Baselinesustainabilityassessment-SustainabilitymanagementSystem-Publicreporting(transparency)Co-createnewmarketsforEnhancedwell-beingFocusoncapitalPreservation&long-TermprosperityAdaptive:becomingameantowardsSCPUNEP/SETAC:NextStepsConductPhase2pilottovalidatewithquantifiedbenefitsRefineself-assessmentprotocol&assessintegrationwithMNCsupplymgmtRefinetrainingmaterialsanddeploytointernal(MNC)andexternal(localnetwork)trainersConfirmabilityofSMEsupplierstoplantheirownimprovementprograms&balancelocal/globalsustainabilityobjectivesavnir.org/documentation/congres_avnir/LCMacademylast.pdflcinitiative.unep.fr/Merci!Contact•E-mail:ilciunep.org•Sonia.valdiviaunep.org•20Theentiresequenceofactivitiesorpartiesthatprovideorreceivevalueintheformofproductsorservic