Helping Businesses Grow Through Clean Energy. Mark Troppe
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1 Helping Businesses Grow Through Clean Energy Mark Troppe
2 MEP Vision and Mission Vision MEP is a catalyst for strengthening American manufacturing accelerating its ongoing transformation into a more efficient and powerful engine of innovation driving economic growth and job creation. Mission To act as a strategic advisor to promote business growth and connect manufacturers to public and private resources essential for increased competitiveness and profitability.
3 MEP Office Locations Within 2 hours of every US Manufacturer 800.MEP.4MFG 60 MEP Centers Over 1550 Field Staff 373 Service Locations
4 MEP By the Numbers Size of the Delivery Team 59 MEP Centers 400 Field Offices 1,200 Field Staff Delivery Capability 24,000 Manufacturing Companies Served 8,000 Projects 4
5 What MEP Does Focus on meeting manufacturer s near term needs, but in context of overall company strategy MEP Center areas of common strength Engineering Services for products and processes Growth Services new or expanded market opportunities Lean Manufacturing process improvement Quality Systems Sustainability Workforce Development Reach nearly 33,000 manufacturing firms and complete over 10,000 projects per year* *Based on FY2009 MEP Center reported performance data. 5
6 Client Impacts Resulting from MEP Services FY2009 New Sales $3.5 Billion Retained Sales $4.9 Billion Capital Investment $1.9 Billion Cost Savings $1.3 Billion Jobs Created and Retained 72,075
7 Current Landscape for U.S. Manufacturers Client Challenges As you look forward over the next 3 years, what do you see as your company s three most important strategic challenges?
8 MEP s Strategy Increasing manufacturers capacity for innovation resulting in profitable sales growth is the overarching strategy for the MEP. The approach is to provide a framework for manufacturers that: - Reduces bottom line expenses through lean, quality, & other programs targeting plant efficiencies which frees up capacity for business growth. - Adds to top line sales through business growth services focused on the development of new sales, new markets, and new products. Next Generation Strategies (NGS) 5 key areas: Continuous Improvement Technology Acceleration Supplier Development Sustainability Workforce
9 MEP and Energy Support for energy efficient production (among existing manufacturers and start-ups) Support for production of renewable energy (identification and qualification of suppliers for component parts, diversification of existing manufacturers products and customer base) MEP and alignment with state strategies and Governor s priorities
10 Supporting Manufacturing Leadership Through Sustainability GSN and E3 Two approaches with a common outcome
11 The Green Suppliers Network works with large manufacturers to target and engage key suppliers in customized, hands-on assessments of production processes to reduce energy consumption, minimize carbon footprint, increase productivity, and drive innovation.
12 Green Suppliers Network Corporate Champions 12
13 Power Partners GSN Review Realized $600,000 in cost savings Reduced inventory by 34% Reduced water usage by 10,000 gallons per day Reduced lead time from 17 days to less than a week Power Partners, Inc. reinvented manufacturing by adding breakthrough technology products which address global warming as part of their mission to ensure an innovative business angle on environmentally responsible products. The 400-employee company began by manufacturing transformers that help bring electric power to homes and businesses throughout the world. They expanded the product line to include solar water heater systems and absorption chillers, which can provide up to 85% of the energy needed to produce domestic hot water, along with reducing operating costs.
14 Southwire Carrolton, GA facility GSN Review Reduced water usage by 9 million gallons annually Retrofitted high efficiency light fixtures and cut their electric bill in 1/2 Reduced scrap from processes by 30% "The Green Suppliers Network approach complements Southwire's lean manufacturing culture. Our participation helped us align our goals and initiatives to reduce waste. The success we had in one plant can also be realized at other Southwire facilities resulting in a greener supply chain throughout the company. Jeff Herrin, EVP Operations, Southwire
15 What is E3? A model for collaboration among manufacturers, utilities, local government, and federal resources intended to: Invest in local communities Address energy and sustainability challenges Provide valuable technical training and assessments Enable economic growth 15
16 Columbus, OH / Mayor Michael Coleman American Electric Power Solid Waste Authority of Central Ohio 6 company pilot
17 E3 Results: Columbus Ohio Pilot PILOT COMPANIES AGGREGATED RESULTS Identified recurring savings Annualized Energy Savings $1.7 MM Environmental Savings $2.6 MM Lean Savings $1.033 MM Water pollutants avoided 257,000 pounds CO2 emissions avoided 19,000 tonnes SOx Reduction 215 tonnes Solid waste reduction 24,000 pounds Realized savings Annualized $660,000 implemented or committed since project began $50,000 increase in sales identified 5 jobs identified as retained
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