Zero Waste Strategies for Gills Onions Sustainable Innovation and Waste Management. A 2010 Group Project Proposal

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1 Zero Waste Strategies for Gills Onions Sustainable Innovation and Waste Management A 2010 Group Project Proposal Researched and Produced by: LeeAnne French Laura Hamman Stacy Katz Yuji Kozaki Faculty Advisor: James Frew

2 Zero Waste Strategies for Gills Onions Sustainable Innovation and Waste Management Table of Contents ABSTRACT... 1 EXECUTIVE SUMMARY...2 PROJECT OBJECTIVES...4 PROJECT SIGNIFICANCE...5 LITERATURE REVIEW...7 What is Zero Waste?...7 Reduce, Reuse, Recycle... 8 Motivations...10 Strategies for Addressing the Problem...14 Barriers APPROACH MANAGEMENT PLAN DELIVERABLES...28 MILESTONES...29 BUDGET...30 REFERENCES...31

3 Abstract Gills Onions, the largest onion processor in the United States, is committed to achieving zero waste at their processing facility and administrative office located in Oxnard, California. Zero waste encompasses a strategy that aims to maximize recycling, minimize waste, and reduce consumption of materials, energy and water. It is a long-term goal attainable through a systematic and incremental approach. Gills Onions is motivated to pursue zero waste initiatives not only because of increasing customer demand, regulatory pressures and economic incentives but also because it wants to be accountable for its environmental impacts. The company has already taken steps towards reducing its waste, namely by using onion waste to produce energy, and is now looking to the Bren School to provide a holistic analysis of their entire business operation. This Group Project will therefore provide a comprehensive audit and analysis of all of Gills Onions material, energy and water flows, quantify their waste streams, and identify opportunities for reduction, reuse, recycling, or material substitution where possible. By providing Gills Onions with the information and strategic plan requisite for achieving zero waste, the company will be able to influence other food processors to follow its example. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 1

4 Executive Summary In 2007, the United States generated approximately 254 million tons of municipal solid waste, and individual generation rates increased to 4.62 pounds per day from 2.68 pounds per day back in The majority of garbage generated (54%) ended up in landfills. 1 While using landfills to dispose of garbage is considered an acceptable practice, their use has deleterious environmental and economic consequences including possible groundwater contamination, consumption of valuable land resources and they promote the permanent burial of natural resources. 2 Landfills are also a significant source of carbon dioxide and methane emissions, two powerful greenhouse gasses which contribute to global warming. 3 Moreover, it is estimated that in the US, at present generation rates, existing landfills have on average 20 years left of capacity. 4 As a result, waste disposal costs are becoming increasingly more expensive as businesses need to transport wastes longer distances and pay larger tipping fees. 5 In 2007 California sent 39.6 million tons of waste to landfills, of which 16% was food matter. 6,7 About half of the food waste produced came from activities related to vegetable crop production, including food processing and handling. 8 Our client, Gills Onions, is the largest fresh onion processor in the State, and one of the largest in the world. Located in Oxnard, California, Gills Onions peels, slices, and dices more than 100,000 tons of onions per year. Unfortunately, 37% of the onions processed cannot be used by customers and instead are discarded as waste. However, since their inception over 25 years ago, the company has continuously sought ways to minimize their environmental impact, conserve natural resources, and follow a path of sustainable development. Rather than send their onion waste to the landfill, they returned it to the soil via land application. But as volumes increased and waste disposal costs rose, this practice was no longer feasible. As a result, the company is currently implementing a proprietary process to convert onion waste into clean energy for their operations and is developing other products from their onion wastes which will reduce waste, open new market opportunities, and increase profitability. While Gills Onions is taking steps to reduce their environmental impact by eliminating onion waste, their processing facility and administrative offices still generate approximately 500 tons per year of non-onion waste. Many of these materials that end up in the landfill can be recycled, composted, or reused. Unfortunately, efforts to implement a company-wide Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 2

5 recycling program have been unsuccessful and composting and reuse programs have yet to be implemented. In addition, Gills Onions currently generates a large volume of consumer packaging material, and as the source of these materials has a responsibility to ensure that their impact is minimized. Gills Onions believes that in order to truly operate sustainably, they must take full responsibility for identifying reduction or re-use opportunities for all materials produced or consumed in their operational processes, as well as those distributed to customers. To accomplish this, Gills Onions has set a goal of achieving zero waste by Zero waste encompasses a strategy that aims to maximize recycling, minimize waste, and reduce consumption of materials, energy and water. 9 By implementing a comprehensive recycling program, expanding their waste reduction initiatives and quantifying their energy and water consumption, Gills Onions will be able to reduce waste, improve process efficiencies, increase profitability, and set an example for others in the industry to follow. While Gills Onions is committed to achieving zero waste, its ability to do so is hampered by several important factors, including sufficient dedicated internal resources, information needed to identify the best alternatives for their waste streams, a systematic, rigorous, quantitative approach, and the analytical tools that are required for success. The purpose of this Group Project will be to provide Gills Onions with the information, strategy and methodology it needs to implement a zero waste program by 2010 at its processing facility and administrative offices. The Bren team will conduct a comprehensive audit and analysis of all of Gills Onions material, energy and water flows, quantify their waste streams, identify opportunities for reduction, reuse, recycling, or material substitution where possible, and provide a reference guidebook on achieving zero waste that Gills Onions can share with others in the industry. By providing Gills Onions with the information and strategic plan requisite for achieving zero waste, it will be able to continue on a path of sustainable innovation and conservation and serve as an example for the industry to follow. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 3

6 Project Objectives The project s main objective is to evaluate Gills Onions current material, energy and water flows and identify new opportunities for reducing, recycling, and reusing at their administrative offices and processing facility. This will be achieved by: Auditing and characterizing the materials that flow into and out of both the administrative and processing facility. Identifying source reduction and reuse opportunities both internally and with suppliers. Helping to facilitate the start up of both a recycling and composting program. Documenting and quantifying total water and energy used in order to establish a baseline and highlight opportunities for potential improvements. Quantifying current and potential financial investments and savings that can be achieved from the waste reduction program. Developing quantitative monitoring and evaluation methods to track and measure Gills Onions waste reduction efforts and results over time. Documenting procedures and achievements in a Guidebook so that Gills Onions can be used as an example for other companies to follow. In order to accomplish these objectives, we will conduct material, energy, and water audits, construct mass balances, and utilize analytical methods such as environmental cost accounting, green supply chain management, and review existing life cycle analyses as appropriate. In addition, we will develop financial models that incorporate internal expenditures and savings generated, to rank our recommendations based on returns on investment. A final report and presentation will provide an evaluation of Gills Onions various waste streams and their origins, opportunities for waste reduction, reuse, or recycling, as well as short-term and long-term strategies for implementing a zero waste plan by Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 4

7 Project Significance Enabling Gills Onions to achieve zero waste will have significant implications beyond the scope of our group project. Gills Onions has an opportunity to take a leadership role and set an example for the entire Californian Food Processing Industry to follow. California is the food processing center of the Nation, shipping more than $50 billion dollars worth of food products each year. 10 The industry is characterized by the use of both advanced technology and leading edge management practices. 11 However, the industry also generates enormous amounts of waste and no food processor to date has attempted to achieve zero waste. As customers increasingly demand green products and practices from the companies they buy from, as waste disposal costs rise and as businesses increasingly face regulatory pressure to reduce their waste streams, there will be an increasing interest amongst businesses to implement zero waste initiatives. Zero waste practices are a catalyst for change as organizations realize that reducing waste not only helps reduce costs and improve process efficiencies but also reduces environmental impacts. Increasingly, businesses will be motivated to reduce or eliminate waste, modify production processes, implement conservation techniques and increase material and reuse strategies. Gills Onions can use its zero waste story as a case study for others in the food processing industry to follow. Its zero waste methodology will outline a new business strategy characterized by operational systems that minimize waste and inefficiencies and in turn are more environmentally sustainable. Gills Onions zero waste initiatives and success will easily be seen as a natural extension of ongoing total quality management. Attention is already being directed to Gills Onions. They are currently receiving increasing attention for being the first in the industry to successfully implement an Advanced Energy Recovery System, a system designed to convert their largest waste stream, onion waste, into energy. Gills Onions is therefore well positioned to extend their leadership role to encompass zero waste as well. Through Gills Onions example, others in the industry will recognize the benefits from further reducing their waste streams. They will have factual evidence that zero waste strategies are practical, enable cost reductions, improve efficiencies, Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 5

8 minimize environmental impacts, and improve a company s overall green image. Gills Onions will be able to lead the food processing industry on a path to sustainable growth. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 6

9 Literature Review Zero waste is a long-term goal attainable through a systematic and incremental approach. It requires continuous improvement, innovation and creativity traits that are exemplified in any successful business. Embracing a zero waste goal requires that Gills Onions take a life cycle view of its products and business operations, ensuring that all materials flowing through the business and to its customers are properly accounted for and, at the end of their life, are recycled back into nature or the marketplace. A zero waste strategy calls for ensuring that supplies used, products sold, and packaging materials are carefully specified to reduce the total amount of resources needed, to be used for as long as possible and to provide opportunities for reuse, biodegradation or recycling when at the end of their useful life. In addition to focusing on material use, a zero waste goal also draws attention to water use and energy efficiency. Improvements in water and energy efficiency can be made through process and production improvements that focus on reducing initial consumption and recycling these resources where possible. Such process improvements might include recycling water within the production process, reusing degraded water for downstream activities or cogeneration in energy systems. Reducing material, water and energy waste requires ongoing improvements as well as the identification of innovative alternatives that become part of an overall business strategy. Ultimately, a zero waste initiative helps to ensure energy, water, and material flows are operating as efficiently as possible, that fewer resources are required, and that Gills Onions becomes more sustainable by reducing costs and environmental impacts. What is Zero Waste? A zero waste strategy aims to maximize recycling, minimize waste, reduce consumption and ensure that products are made to be reused, repaired or recycled back into nature or the marketplace. 9 The GrassRoots Recycling Network has outlined ten key principles designed to help guide businesses in their efforts to establish zero waste policies and programs. Among these principles is a commitment to the triple bottom line (people, planet and profit), sending zero waste to the landfill or incineration, and assuming responsibility for taking back products and for packaging. 12 Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 7

10 The objective of achieving zero waste is not impractical and zero waste initiatives are increasingly being adopted by businesses, cities, and countries around the world. 13 For example, Wal-Mart, Xerox, Toyota, Nike, the cities of San Francisco, Seattle, Boulder, Buenos Aires and 40% of New Zealand s local governments are just some of the entities that have recently established zero waste goals. 14 In addition, through the United Nations Urban Environmental Accords, 103 city mayors worldwide have committed to sending zero waste to landfills and incinerators by the year 2040 or earlier. 15 Reduce, Reuse, Recycle There are several approaches that Gills Onions can employ that will enable them to work towards a zero waste goal. These strategies include reducing, reusing, recycling, composting and substituting less impactful materials for more harmful ones where possible. These strategies have been commonplace in the United States since the 1970s. 16 Reduce Waste prevention is often prioritized as the most important strategy for minimizing waste. 17 Waste prevention, also known as source reduction, refers to any strategy that incorporates a change in the design, manufacturing, purchase, or use of materials (including packaging) to reduce their amount before they are discarded. For example, strategies for reducing packaging material may include making it simpler, lighter or smaller, or completely eliminating unnecessary packaging elements. Generally, if operations, manufacturing processes, or activities are altered to ensure the prevention of waste, raw materials and the cost per unit of production are also lowered. 18 Since source reduction of resources and packaging can save money by reducing materials and energy, manufacturers and package designers have been pursuing these strategies for many years and established methodologies exist for identifying new source reduction strategies. In terms of water and energy use, reductions can be made through process improvements that work to eliminate unnecessary flows, by repairing leaks, engaging in conservation strategies and good housekeeping practices and by investing in energy efficient equipment. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 8

11 Reuse Reuse is another strategy that Gills Onions can employ to reduce waste. Reuse involves the recovery or reapplication of a resource, package or used product in a manner that retains its original form or identity. The ideal place to reuse wastes is within the processing and administrative facilities themselves. Significant reuse opportunities exist where waste streams from water can be reused within other operations of the facility. For example, degraded water can be recovered and used for downstream activities such as wastewater which can be recycled back into operations and used for irrigation or cooling. 19 Waste heat can also be captured and reused in processes. Strategies for material reuse include replacing disposable items with those that are reusable such as pallets, sacks, and containers, etc. Waste reduction can also be achieved by designing equipment, materials and other goods so that they are designed from the beginning for reuse. This strategy is referred to as design for the environment and incorporates techniques that are used to identify the environmental impact of a product throughout its life cycle and focuses on pollution prevention strategies. 20 Recycling Gills Onions can further reduce their waste streams through recycling. Recycling refers to the recovery of resources and materials from a previous waste stream for use as raw material in the manufacture of new products or processes. 21 Recycling of beverage containers (plastic, aluminum and glass) is very familiar, however recycling also applies to energy and water including the recycling of residual organic wastes used for energy, or sludge from a wastewater treatment plant used as fertilizer. Recycling has environmental benefits at every stage in the life cycle of a product. 1 The environmental benefits from recycling material waste include diverting resources from the landfill, lowering greenhouse gas emissions, reducing the air and water pollution associated with making new products from raw materials. In addition, the use of recycled materials requires less water and energy than manufacturing products from virgin materials. 22 In 2007, the United States recycled 33.4% of its municipal solid waste which included composted material. 1 Many different materials can be recycled although each type requires a Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 9

12 different process. Materials that are commonly recycled include batteries, glass, metals, plastics, paper, textiles, timber, electronics, tires, rubber, leather, as well as aggregates and concrete. 13 Biodegradable waste such as food and yard waste can also be recycled into useful material by composting. Most composting is done on a household scale, but municipal green-waste collection programs also exist. In addition to traditional materials, some companies have been innovative, taking back used products and turning them into recycled products. 12 For example, Nike collects worn-out footwear and grinds them up to make athletic courts and Stonyfield Farms takes back yogurt cups and turns them into toothbrushes. Material Substitution The potential for waste reduction also exists when materials can be substituted with others that can be either recycled or composted (biodegradable). Among other materials, a vast range of oil-based polymers is currently used in packaging applications. 23 As a result, packaging materials often are non-biodegradable and are particularly difficult to recycle or reuse due to mixed levels of contamination and complex composites. In recent years, however, the development of biodegradable packaging materials from renewable natural resources (e.g. crops) have been created with similar functionality to that of the oil-based synthetic polymers. 24 Potentially, substituting existing packaging materials with those made from biodegradable materials could reduce their need to end up as a waste stream. 23 In addition to the aforementioned reduction strategies, numerous other approaches can be employed to achieve zero waste at Gills Onions. These include purchasing recycled content or environmentally preferable products, instituting producer take back programs, and redesigning supply, production, and distribution systems to reduce resource consumption, among others. Motivations Beyond wanting to be a good steward of the environment, Gills Onions zero waste initiative is a response to the customer, government and cost pressures that businesses across the US are facing. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 10

13 Customer Demand While buying behavior does not always match stated preferences, customers continue to demand green products and are looking to do business with companies with sustainable business practices. 25 While demand for sustainable practices from Gills Onions customers is anecdotal, there is clear evidence that businesses are increasingly being asked to green their supply chains and to improve environmental stewardship. 26 For example, to reduce waste by 25% at its retail stores, Wal-Mart, the world s largest retailer, is putting pressure on its 60,000 suppliers to reduce packaging and, in the case of food product providers like Gills Onions, to convert to corn-based packaging from plastic because it is biodegradable. 27 Increasingly, businesses are also responding to customer inquiries about sustainable practices and opportunities exist for companies to highlight their greenness using numerous ecolabeling schemes. 28 Steve Gill, President and co-founder of Gills Onions, recognizes that environmental stewardship provides an opportunity to differentiate products and services from other suppliers and wants to take advantage of this increased market potential. If customers want to be sustainable themselves, they will have to buy from us because we are the most sustainable producer. We can show them how it is done. 29 Regulatory Pressure Beyond consumer demands, Gills Onions also foresees increasing regulatory pressure to reduce their waste streams. With the passage of the Pollution Prevention Act of 1990, 30 the US Congress stepped up its efforts to encourage businesses to reduce or eliminate waste at the source by modifying production processes, implementing conservation techniques and increasing material reuse strategies. As a result, the EPA has created numerous partnership programs such as the Green Chemistry Initiative which fosters the exchange of information amongst members related to waste reduction practices, sponsors research to support industry s efforts to substitute less impactful materials, and provides incentives and visibility for members efforts. 31 In 1994, EPA established the WasteWise program which is designed to partner with businesses, state and local governments and institutions to reduce municipal solid waste. EPA provides information resources and visibility for its partner s voluntary efforts and Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 11

14 encourages businesses to reduce the amount of materials used, increase recycling within their organization, and buy or manufacture recyclable products. 32 More recently the EPA established the Resource Conservation Challenge (RCC), a nationwide effort to renew and revitalize the nation s goals of pollution prevention, waste reduction, reuse, and recycling. 33 One of the main goals of RCC is to help the nation achieve a recycling rate of 40% by While most of the federal programs in the US are voluntary, the UK, Germany and other EU countries have instituted a myriad of mandates, levies and incentives to require increased waste diversion, recycling and alternative energy investments Some believe that it will not be long before the U.S. Federal Government too initiates Federal mandates. Meanwhile, many States have followed the lead of the Federal government and encouraged waste reduction initiatives. Specifically, in 1989 California passed the Integrated Waste Management Act (AB 939). 37 At the time, California was disposing of 90% of its waste and recycling only 10%. 38 The new law established the California Integrated Waste Management Board (CIWMB) and mandated that cities reduce waste to the landfill by 25% by 1995 and by 50% by Today, CIWMB goes beyond reduce, reuse and recycle and supports Zero Waste California. 39 This broad reaching initiative challenges cities to go zero waste, provides businesses with information, incentives and an innovative materials exchange portal (CalMAX) so that businesses can more easily identify markets for their waste streams. 40 While most of California s programs have been voluntary to-date, new formal legislation has recently been proposed. On April 12, 2009, the requirement for extended producer responsibility was included as part of the California Product Stewardship Act (AB 283). If passed, AB 283 will require producers to identify alternatives during product and packaging design to foster cradle-to-cradle producer responsibility and reduce the end-of-life environmental impacts of the product. 41 The ultimate goal being to reduce the amount of waste sent to landfill. California s waste reduction efforts are more important than ever as concerns over global climate change mount, not only because of the greenhouse gas emissions from landfills but also because of the energy efficiency gain achieved by reducing waste at the source and minimizing reliance on virgin materials. 42 In the absence of Federal legislation on climate Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 12

15 change over the past 10 years, California has taken the lead. In 1998, the California Energy Commission was required to do an inventory of California s GHG emissions as a baseline. Two years later, the California Climate Action Registry (now a part of the North American Climate Registry) was created by law to provide businesses with a consistent methodology for calculating and verifying GHG emissions, and voluntarily establishing and reporting reduction goals. These laws laid the groundwork for the Global Warming Solutions Act of 2006 (AB 32), landmark legislation which sets into motion a comprehensive plan involving all sectors of the economy to achieve GHG emissions reductions to 1990 levels by The AB 32 Scoping Plan was approved in 2008; the pursuant regulations, standards and incentives will go into affect by Several measures contained within the scoping plan may affect Gills Onions directly or indirectly including energy efficiency and emissions requirements, transportation regulations (Gills owns 22 semi-trailer trucks), water use efficiency standards, new extended producer responsibility requirements, recycling, and zero waste mandates. 46 Economic Pressures While California s businesses are anticipating and preparing for new regulations to be promulgated from AB 32, there are also economic reasons why a zero waste strategy makes good business sense. For years, businesses have recognized that the elimination of waste is synonymous with quality improvement. 47 As the quality and efficiency of internal processes improve, costs decrease. During times of economic recession, businesses are especially motivated to look more closely at their operations to identify potential costs savings by reducing material waste, and improving energy efficiency. Like the rest of the country, energy efficiency is becoming increasingly important to California businesses. California s average electricity costs across all sectors have risen 44.8% since 1990 and are expected to increase between 20-29% by the year However, as the cost of energy rises, so does the price of water. 50 As the largest onion processor in the US, Gills Onions has enormous energy and water requirements. To mitigate the impact of rising electricity costs, Gills Onions is proactively pursuing alternative energy projects specifically converting onion waste to biofuels and leveraging statewide RD&D programs, incentives and rebates to offset the initial capital investments. 51 By taking advantage of efficiency and capital Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 13

16 improvements, Gills, much like other businesses, not only is able to improve their competitive advantage but is also more easily able to position themselves as an industry leader. Gills Onions recognizes that additional opportunities still exist within their business where waste streams are being generated. Realizing that the efficient use of natural resources saves money, and that environmentally preferable purchasing, employee recycling, composting and packaging alternatives present additional opportunities to reduce costs, Gills Onions is motivated to reduce waste, increase profitability and improve its environmental performance. Strategies for Addressing the Problem There are several strategies that organizations employ to try to solve issues related to waste streams. Inputs & Outputs In order to identify what materials are coming into an operation and what materials end up leaving, audits and mass balance analyses are often employed. 52 To evaluate material inputs, common practices look at purchasing and receiving logs and to identify outputs, a waste audit is commonly used. A waste audit, also known as a waste disposal characterization, is a method used for collecting data on the waste stream. It can be used to assess waste minimization opportunities and to measure the types and amounts of materials in the waste stream at a particular facility. 53 In California, the CIWMB provides guidelines on how to conduct a waste disposal characterization as well as to how to analyze the data. 54 In addition to identifying material flows, energy and water audits are also utilized for identifying the consumption of these resources. Life cycle assessment One way to analyze alternatives to reduce waste streams is through life cycle assessment (LCA). LCA is a cradle-to-grave approach for measuring the total impacts of a product. LCA enables the estimation of the cumulative environmental impacts resulting from all stages in the product life cycle, often including impacts not considered in more traditional analyses. 55 LCA analyses have been completed for numerous packaging types and material categories and are published in the scientific and business literature. The growing set of Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 14

17 completed LCA s enable companies to embed life cycle thinking into their preliminary decision making without having to conduct costly and time consuming LCA analysis on every individual product, process or material decision. The use of LCA is widely accepted and as a result, companies in all sectors are making decisions based on this type of analysis. For example, Coca-Cola, based its decision to use plastic bottles on an LCA that revealed fewer hydrocarbon resources (oil or natural gas derivatives) used with plastic as opposed to glass. 56 Toyota currently uses LCA to quantify and assess the environmental impacts and financial costs of its packaging systems and makes improvements wherever possible. 57 However, while LCA is widely used, the methodological approaches vary depending on the initiators interests and objectives. Therefore, an important consideration for using previously conducted LCAs is to ensure that the comparative data is sufficiently matched so that accurate conclusions can be drawn. 58 Green Supply Chain Management Another strategy commonly used to identify waste reduction opportunities is green supply chain management. Green supply chain management is a comprehensive supply chain strategy that links environmental performance to overall business goals. In the greening of supply chains the economic objectives from conventional supply chains are extended to include environmental objectives, potential impacts and estimated costs into consideration simultaneously. 59 In this strategy, businesses look to their supply chains to identify where environmental improvements can be made upstream or downstream in the products and services their suppliers are providing. By using green supply chain management businesses are able to reduce the waste from obsolescence and the cost of from the maintenance, repair and operation (MRO) of wasted materials through enhanced sourcing and inventory management practices. Companies can thereby decrease the costs associated with scrap and material losses, and recover valuable materials and assets through efficient product take back programs. 60 Green supply chain management can be an effective strategy for reducing material waste but is dependent upon environmental pressures, objectives and cost/benefit assumptions, firms capabilities, and the influence of the anchor business over its suppliers. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 15

18 In sum, numerous strategies exist to identify zero waste opportunities. Amongst others, these include audits and mass balance analyses of materials, water and energy resource flows. Based on the accumulated baseline data, priorities can be established and further analysis conducted on the highest leverage waste streams. By using currently available LCA analyses and green supply chain methods potential alternatives can be evaluated and provide a framework for recommendations. Barriers While achieving zero waste is an attainable long-term goal, technical issues, economic considerations, product quality concerns, and health safety requirements can all serve as prominent barriers to success. Technical and Economical feasibility While a zero waste goal strives for reusing and recycling to the maximum extent possible, unfortunately not all materials can be reused or recycled, others are very difficult to recycle and for some materials, markets do not exist or are not accessible. 61 For example, some materials that cannot be recycled include Styrofoam, some high grade plastics, waxed or laminated papers that are contaminated, plate glass and mirrors. In addition, materials with mixed levels of contamination or those made from complex composites tend to be difficult to recycle. 23 Moreover, certain requirements must be met in order for recycling to be economically feasible and effective. Firstly, an adequate source of recyclable material needs to exist and a system needs to be in place to extract that material from the waste stream. Secondly, a readily accessible facility capable of reprocessing the material has to be available. Finally, potential demand for the recycled material needs to exist. If all of these components are not in place, recycling will be incomplete and in fact only be "collection". 62 While the types of materials and quantities that can be recycled is growing, markets for recycled materials are not pervasive and in some areas are still relatively small. 63 Additionally, markets for recycled products are particularly sensitive to economic conditions and in the case of plastics, to the price of oil. The size of the recycling market fluctuates with economic cycles and can shrink substantially during a recession. 64 Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 16

19 Product Quality Maintaining product quality can also be a significant barrier to achieving zero waste particularly in the food processing industry where shelf life, tamper resistance, and food safety issues are paramount concerns. The decision to achieve zero waste necessitates that Gills Onions evaluate the materials used in its production process and consumer packaging. However this desire needs to be balanced to ensure that products are contained and protected adequately, prevented from spoiling, branded and marketed with enough information to relay relevant information, tamper resistant, traceable, and convenient for customers. 65 With a product such as onions, the packaging also needs to breathe to prevent moisture build up, while not allowing odors to escape. Health Safety Another barrier to achieving zero waste in the food processing industry is compliance with National and State health safety requirements. These requirements often mandate that hygiene be maintained and that materials be regularly cleaned or changed frequently and are often prevented from reuse. 66 For example, gloves are required but have to be discarded immediately upon contact with the face; hairnets have to be worn and discarded, and materials used for testing are single-use only. As a result, to keep the food safety risk low, food processors often can consume more disposable resources than are desirable and can be constrained in the types of materials that they are able to use. Strict health and safety requirements also apply to the production process itself and require frequent and careful cleaning and sanitizing of all equipment. While necessary to prevent the contamination of food by Salmonella, Listeria monocytogenes, E. coli or any other pathogens, the cleaning and sanitizing processes can require additional energy and water resources as well as the use of detergents and chlorine. 67 These are important considerations when identifying process improvements, water and chemical reduction opportunities, and material substitution alternatives. In summary, a zero waste goal is not impracticable and numerous opportunities exist to minimize waste by reducing, reusing and recycling energy, water and materials. Key Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 17

20 customer, regulatory and economic motivators are driving organizations toward zero waste initiatives and a number of strategies are available to aid with analysis and decision making. However, it is important to recognize that key barriers to achieving zero waste also exist, specifically in the food processing industry, and these need to be taken into careful consideration when working to achieve zero waste initiatives. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 18

21 Approach In order to recommend a zero waste plan for Gills Onions we first need to understand what resources and materials are being used by the company and establish a baseline for each waste stream. Secondly, we will work to identify opportunities to reduce waste through resource reduction, reuse, and recycling, improved efficiency, and material substitution. Our final recommendations will be compiled in a final report to the client. 1. Identify the System Identify which physical components of Gills Onions processing and administrative facilities are going to be included in our evaluation. This will include all of the buildings and structures that are involved in the operations of the business and are associated with activities that utilize resources. We will consult with Gills Onions to identify these structures and obtain a map, blueprints or a listing of all the facilities and their square footage. Examples include processing facility, administrative offices, shed, packaging storage, wastewater treatment, anaerobic digester, fuel cell and power generator. Decide which components will be included the assessment and provide rationalization. 2. Specify which materials and resources we will be evaluating: Identify all materials to be evaluated, determine how they will be categorized and identify units of measurement. Identify all sources of water and energy that will be included Indicate what equipment and processes will be considered and the boundaries of each process. Identify fuel, oil, lubricants, chemicals and other resources that will be included in the evaluation Determine how we will quantify, characterize each waste stream and its associated costs. 3. Identify what is coming into the facilities: All data will be analyzed on an annual basis. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 19

22 Request purchasing & receiving orders from Gills Onions purchasing and receiving departments and procurement records for maintenance supplies and equipment. Request 2008 to the present records from Gills Onions for all onion deliveries. Consult with heads of each department and Gills Onions to identify other materials that may not have been accounted for. List, quantify and associate costs with all material and resources coming into the company. Perform material and resource tracking through the use of process maps. 4. Identify and understand the processes taking place within the facilities and the resource consumption involved. For each process listed below: Observe and document processes and quantify material inputs. Ask line supervisors questions about apparent waste to better understand quality standards versus potential process waste. Work with Gills Onions engineer to measure energy consumption by gauging the energy flow from the main electrical panel to each process and converting energy flow to average kilowatts per hour metric. Also determine the number of hours a day each process is running on average and whether it is typically turned off during breaks or between shifts. Use existing process flow meters to determine water use. Use visual clues for signs of process inefficiency (wet floors, visible drips from slough, etc.). Receiving: Onions from farms, super cooling, warehousing Process 1: Onion top/tail and peel, quality assurance, rinse, bag Process 2: slice, quality assurance, bag, pack, tag Process 3: chop, dry, quality assurance, bag, pack, tag Testing: water quality, bacteria, etc. Analyze office, sales, shipping, receiving order tracking processes Look at maintenance logs to identify downtime Utility bills will be used as one source for water and energy usage and costs 5. Identify and quantify what is going out Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 20

23 Conduct waste audit for materials (collection over 2 day period), quantify by weight and characterize each waste stream. Identify which waste materials are recyclable plastic by number (1-7), aluminum, tin, paper, cardboard, motor oil, tires, ink cartridges, etc. Track possible reuse opportunities. Quantify and characterize food waste from lunchrooms for compost potential. Quantify by weight remaining non-recyclable trash, and characterize potential to recover in the future for reduction, reuse or recycle Measure waste heat in BTUs (work with engineer) from sources such as the fuel cells and ammonium cooling generators, investigate opportunity for potential energy cogeneration Measure waste water flows out of the processing facility by volume, quality (BOM) and temperature and identify onsite waste water processing capacity. Investigate opportunity to reuse water within each process and from the waste water treatment system. Measure onion waste stream at each point in the process (see process list above) as well as cumulative over one day. Check shipping records for onion waste solids sold to dairies over past year. Measure volume of onion juice extracted daily from onion waste. Use visual clues to identify potential process improvements. Confirm using shipping records, the total customer shipments by weight over the past year. Also segment shipment volumes by packaging size and type. Audit invoice records for disposal rates and quantities 6. Synthesize and visualize information collected Identify root causes of wastes by constructing cause-and-effect diagrams or by asking why certain procedures exist. Visualize material, water and energy usage via mass balance model for entire operation and for individual processes. Quantify material, water and energy wastes and create the baseline for each waste stream from which progress towards zero waste will be benchmarked. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 21

24 Use pareto diagrams and other bar charts to display environmental costs by activity and to rank opportunity areas by value 7. Prioritize opportunities for further analysis of waste reduction alternatives based on: Greatest potential for waste reduction by volume Client s business requirements and preference Cost savings Environmental impacts Group members areas of interest Feasibility Time constraints 8. Analyze the selected priority, highest leverage opportunities to reduce waste using the appropriate methods: Green Supply Chain Management approach Environmental Cost Accounting Energy and water efficiency analysis Utilize existing life cycle assessments to compare possible packaging options, office supplies (paper) alternatives, cleaning products, disposable vs. reusable supplies for the processing facility to identify potential material substitution options. Alternatives will be compared based on environmental impacts such as global warming potential, toxicity and resource depletion, as well as cost. Evaluate possible engineering alternatives for possible process improvements and increased water and energy efficiency. Interview production personnel to understand potential opportunities for and barriers to change to better understand feasibility for each opportunity. 9. Determine opportunities and develop specific solution recommendations Identify which areas offer the greatest opportunities for improvement based on above analysis and pinpoint specific solutions that reduce costs and negative impacts. Need to determine with Gills Onions what the decision criteria will be based on (i.e. waste reduction, cost, environmental improvement, etc.) Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 22

25 10. Make Recommendations Preview recommendations to clients Formalize recommendations in group project report Create guidebook for future waste assessments including baseline and ongoing progress monitoring recommendations Package information so that it can be used for awards submissions and educational materials. Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 23

26 Management Plan Group Structure and Management The following roles will be held by one or more of the group members at all times. Additional roles and activities will be added and this management plan will be updated as required. Project Manager This individual is responsible for the following activities: Set agenda for each meeting. Ensure that group is aware of deadlines and that deadlines are met. Retain veto power over decisions. The Project Manager will serve on a quarterly basis and the role will be rotated among members throughout the Group Project term. If required at later date, group members can determine that one group member serve in this role for the entire duration of the project. Financial Manager This individual is responsible for managing the Group s budget, contracting with vendors, incurring group expenses, and handling all financial transactions. The Financial Manager will serve in this roll for the entire Group Project unless the group members determine at a later date that another member should serve in this role. Internet Manager This individual will be responsible for creating and managing the group website, responding to all requests that come in through the website and meeting all deadlines associated with website related activities. The Internet Manager will serve in this role for the entire Group Project unless the group members determine at a later date that another member should serve in this role. Internship Coordinator This individual will be responsible for coordinating summer internship positions with Gills Onions, defining the appropriate activities according to scope of work required and ensuring Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 24

27 that all requisite details are accounted for in terms of start dates, pay scale, pay period, etc. The Internship Coordinator will serve in this role for the entire Group Project unless the group members determine at a later date that another member should serve in this role. Data Manager This individual is responsible for maintaining all data on the shared drive, keeping records and documents up-to-date and labeled appropriately and for ensuring quality control compliance. The Data Manager will serve in this role for the entire Group Project unless the group members determine at a later date that another member should serve in this role. Secretary This individual is responsible for taking notes at all meetings and making notes available to the Group via posting to the shared drive. The Secretary is also responsible for sending an to all group members immediately following a meeting informing the Group of any action items contained in the meeting notes. The Secretary will serve in this role for the entire Group Project unless the group members determine at a later date that another member should serve in this role. Scheduler This individual is responsible for scheduling all group and outside party meetings, reserving rooms and/or equipment as needed and notifying group members of arrangements. The Scheduler will serve in this role for the entire Group Project unless the group members determine at a later date that another member should serve in this role. Advisor: External Advisors: James E. Frew Meeting Structure: Meetings will be held twice per week: o Once per week the Group meets with Advisor o Once per week the Group meets without the Advisor Zero Waste Strategies for Gills Onions: Sustainable Innovation and Waste Management 25