Innovation focused on Sustainable Development

Transcription

1 Innovation focused on Sustainable Development A new tool for evaluating innovation project sustainability Lille, november 4 th 5 th 2013 Jean-François VIOT Guy-Noël SAUVION

2 Who are we? A major global player in Chemicals with compelling strengths Our strengths 90% of sales in businesses among the top 3 global leaders 40% of sales in fast growing markets Balanced portfolio of activities A culture of sustainability, innovation and operational excellence 12.4bn NET SALES 2.1bn Adjusted REBITDA 111 MAJOR INDUSTRIAL SITES Created by Ernest Solvay in 1863, Solvay is a Global company, with historical anchorage in Europe, and headquartered in Brussels. 29,100 EMPLOYEES 55 COUNTRIES 2

3 Asking more from Chemistry INNOVATIVE SOLUTIONS TO ANSWER MEGATRENDS CHALLENGES Megatrends driving growth in Chemicals Climate Change Major Solvay innovation fields Renewable Chemistry Some of our today s answers Bio-sourced epichlorohydrin Epicerol Scarce Resources Advanced Materials & Formulations Sustainable Energy Specialty polymers for smart devices Fuel cells development Over 1bn new consumers Organic Electronics Eco-processes New LED generation Rare earths recycling Health & Well-being Consumer Chemicals Fat and sugar reduction thanks to vanilla flavor 3

4 Our ambition Become a global leader in sustainable chemistry Our sustainability approach A structured framework for a continuous improvement process Solvay Way Referential An assessment tool Sustainable Portfolio Management Sustainability Targets 4

5 Sustainability Portfolio Management : The Full Spectrum, Operations & Market For a commercial Product Application Combination (PAC) 5

6 Operations Vulnerability Step 1 Impact assessment Produce an Ecoprofile (Cradle-to-gate LCI) Emission & material inventory [kg] Characterization factor [equivalent / kg] X = Impact [equivalent] Monetize the Ecoprofile Climate Change Non renewable energy consumption Water uptake Human toxicity Aquatic & Terrestrial Ecotoxicity Abiotic depletion Land competition Acidification Eutrophication Ozone layer depletion Photochemical oxidation Step 2 Impact valuation Impact [equivalent] Shadow cost [EUR / equivalent] X = Impact valuation [EUR] Shadow costs: economic estimate of impacts at horizon 2020 Step 3 Operations vulnerability calculation Σ Impact valuation [EUR] Average sales price / = Operations vulnerability 6 The business risk

7 Market Alignment A set of 64 questions with yes/no answers 7

8 Research & Innovation ambition Design a New Product Less vulnerable & More aligned SPM 2.1: designed for R&I 8

9 Projects Evaluation Guidance Simplified and consistent with LCA approach Based on 6 indicators of impact Compared to a Reference Product Smaller Spider web means smaller impacts 9

10 Operations Vulnerability Axis 10

11 Operations Vulnerability Axis An evolving (from qualitative to quantitative) cradleto-gate monetized environmental assessment, visualized on 6 damage components 1 from a qualitative assessment Qualitative assessment Comparatively to the reference Questionnaire : 20 questions for production steps Answer each question with a quotation Equivalent functional units Quantitative assessment of the Reference «cradle-to-gate» environmental impact assessment Using traditional SPM set of components and shadow costs for monetization and aggregation Distribution matrix Calculation of damage ratios from qualitative quotation monetization monetization 11

12 Operations Vulnerability Axis An evolving (from qualitative to quantitative) cradleto-gate monetized environmental assessment, visualized on 6 damage components 2 from a quantitative assessment Quantitative assessment of the New Product «cradle-to-gate» environmental impact assessment Using traditional SPM set of components and shadow costs for monetization and aggregation Equivalent functional units Quantitative assessment of the Reference «cradle-to-gate» environmental impact assessment Using traditional SPM set of components and shadow costs for monetization and aggregation monetization monetization 12

13 Market Alignment Axis 13

14 Market Alignment Axis Project assessment (new product versus the reference) according to the sustainability megatrends of the targeted market A set of 64 questions (to be answered by : yes/no) : seeking for sustainability key features (positive or negative), positioning the project in one the following sustainability category: OBSTRUCTED EXPOSED NEUTRAL ALIGNED STAR applied to both the new product and the reference distributed over six sustainability components (5 environmental impact components + social impacts) New product profile Reference profile 14

15 Market Alignment Axis Depending on its nature, each question is attributed to at least one of the 6 sustainability components Score distribution over the sustainability components Questions Answers Climate Change Nonrenewable Resource Cons n Impact on Human Health Impact on Ecosystem Quality Water Manag t Social Impacts Q1 Yes/No Q2 Yes/No Yes/No Yes/No Yes/No Yes/No Yes/No Q52 Q64 Yes/No Scores : Obstructed/Exposed/Neutral/Aligned/Star Overall score Scores by sustainability component 15

16 Market Alignment Axis Market Alignement is assessed for both the new product & and the reference Questions Nonrenewable Q1 Impact on Impact on Climate Ecosystem Manag t Impacts Yes/NoWater 1 Social Human Change Resource Q2 Questions Answers Cons n Health Yes/No Quality Yes/No Q1 Yes/No Yes/No Q2 Yes/No Yes/No Yes/No Yes/No Yes/No Yes/No Yes/No Q52 Q64 Yes/No Yes/No Reference assessment New Product assessment Yes/No Scores 0 : Overall 0 1 Star Neutral Star Star Star Neutral Neutral Obstructed/Exposed/Neutral/Aligned/Star score Q52 Q64 Yes/No Answers Climate Change Nonrenewable Resource Cons n Impact on Human Health Impact on Ecosystem Quality Water Manag t Social Impacts Scores : Obstructed/Exposed/Neutral/Aligned/Star Overall Neutral score Neutral Neutral Neutral Neutral Neutral Neutral 16

17 SPM 2.1: Overall Picture SPM 2.1 simultaneously & consistently provides for the project: - a positioning in the SPM referential - detailed sustainability profiles for eco-design Guide for Eco-design 17

18 SPM 2.1: the way we do Eco-design A tool for assessing sustainability of Innovation projects all along their life: Operations Vulnerability qualitative assessment as well as Market Alignment analysis do not require any quantitative data and are implementable as soon as project earliest steps, Both are inspired by «Life Cycle Thinking» and therefore connected to 6 simplified impact indicators A tool designed for helping project teams understand and improve the sustainability features of their project: Question sets are designed to highlight potential «hot spots» or opportunities within the project, Identifying the «hot spots» and setting up action plans to reduce their contribution is «our way to Eco-design» 18

19 Solar Impulse Pioneering sustainable chemistry Thank you for your attention 19