Signatory Name: ASSA ABLOY Australia Pty Ltd

Transcription

1 Signatory Name: ASSA ABLOY Australia Pty Ltd The question numbers in this report refer to the numbers in the report template. t all questions are displayed in this report. Status: Complete The content in this APC Annual Report is hereby endorsed by the Chief Executive Officer, or equivalent officer of the organisation Industry sector (please select 1 only): Brand Owner / Wholesaler / Retailer Packaging Manufacturer Waste Management Other - Commercial Organisation Community Group Industry Association Government Raw Material Supplier Other: Industry type (please select 1 only): Food & Beverage Pharmaceutical / Personal Care / Medical Hardware Homewares Communications / Electronics Clothing / Footwear / Fashion Chemicals / Agriculture Fuel Large Retailer Tobacco Shipping Company Airline Other: Please indicate your organisation's reporting period: Financial Year: 1 July June 2014 Calendar Year: 1 January December 2014 Please indicate the entire period your accepted APC Action Plan covers (e.g ) Start Date: End Date: 01/06/ /06/2015

2 Goal 1: Design KPI 1: % of signatories with documented policies and procedures for evaluating and procuring packaging using the SPGs or equivalent. 9. Does your company have documented policies and procedures for evaluating and procuring packaging using the SPGs or equivalent? Provide details of policies and procedures 10. Of the types of packaging existing at the beginning of the reporting period, what percentage had been reviewed using the Sustainable Packaging Guidelines (SPG) by the end of the reporting period? 1 Have any new types of packaging been introduced during the reporting period? 1 Inclusion of ENG34 document on Gateway process since March 201 Buy recycled policies as part of Company System Policies since March % If yes, of the new types of packaging introduced during the reporting period, what percentage have been reviewed using the Sustainable Packaging Guidelines (SPG) by the end of the reporting 100 % 13. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 1 Revise the ENG34 document in the Gateway Development Process so that all new packaging is developed using the SPG. Reviewed version of ENG34 which includes all elements of the SPG regarding specifically to hardware business and most common questions to be answered, revision made this year did not find any further update to benefit ENG34 & SPG. The objective of those reviews is to facilitate approach to packaging review by Product Managers. Use the revised ENG34 to assess all existing packaging as per the Schedule for Packaging Reviews in Section 5 of this Action Plan. As per Table 1 of this 5 Year Action Plan. Reviews of existing packaging begun by April 2011 Year - % Reviewed % % % % 2015 To be completed 100% Some of the improvements were carton quantity maximized, reduction of non-renewable material (plastics) and inclusion of material recycling identification symbols. 3. Use the revised ENG34 to assess procured packaging. Set up processes and start reviews during 2011 with 91% of packaging been reviewed up to date. Some actions included: - Recycled contents within packaging; - n sustainable materials evaluation to be identified, replaced or eliminated (polybags and polymers in general); - Maximizing packing quantities per carton; - Inclusion of please recycle logo;

3 4. Involvement of marketing department representatives to complete and participate on the Sustainable Packaging Covenant Toolkit. Marketing department often design and make key product/packaging decisions. All marketing department members completed Sustainable Packaging Toolkit by Aug The approval rate were 80% and above on understanding and promoting sustainability. 5. Modification of document management procedure to make actions standard practice. Since 2011 ENG 34 - Sustainable Packaging Guidelines (SPG) document become part of ASSA ABLOY Australia development process (gateway three), any new product to be approved must complete this part of process making SPG integrated part of all new products. ENG34 is available at any MS Word template within the business under the Engineering templates. 6. Revision of Action Plan after SPG reviews to improve tracking of actions after review. A new designed Action Plan from APC (ENG34) Packaging Reviews has been established to monitor and record actions that are outcomes from SPG review. Some of those actions includes: ENG34 reference number; PN or Products; Specific Packaging item; Supplier; Material type; Environmental benefit outcome from review (Quantify if possible); Actions; Status; Outcomes from review were explained on question Describe any constraints or opportunities that affected performance under this KPI To include marketing team across packaging sustainability was an important step and challenge due to approach being that, suppliers are responsible for manufacturing and there is not much that can be achieved from design point of view. To change this outlook and advise about opportunity in applying sustainable materials, inclusion of please recycle logos or material identification were challenges that were embraced by the group and using Sustainable Packaging Tool Kit made it easy to demonstrate by examples and benefits concerning sustainability. Also, due to end of year sales urgency period and undersized working days, packaging assessment scheduled for late last year had to be postponed to the first quarter of this year. This was a small delay implementing SPG on existing packaging. Early this year SPG has been reviewed and it is up to date with schedule as per table 1 on ASSA ABLOY Australia 5 Years Action Plan.

4 Goal 2: Recycling KPI 3: % signatories applying on-site recovery systems for used packaging. 15. Do you have on-site recovery systems for recycling used packaging? at all facilities/ sites at some, but not all facilities/ sites 16. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 3 Continue to support the recycling industry through the recycling facility maximise the recycling of used packaging and materials. Annual results of recycling % diversion rate increase of 8.2% when compared to last year; Cardboard: 41 tonnes (1% decrease on 2013) Paper: 195 tonnes (37% increase on 2013 ) Timber & concreate: tonnes (4% decrease on 2013) Annual waste to landfill: 93.7 tonnes, 23.3% decrease when compared to ton). The installation of cardboard compactor on site and monthly monitoring on recycling levels has supported understanding recycling levels and consequently strive to its growth. Aim to get recycling rate above 40% overall (not including metal recycling from the manufacture process). Since first joined APC our recycling rates has been monitored and supported by campaign to increase recycling rates: % % % % - Increase in 18.2% above target established in 2011 (40%). Our goal is to not to just meet above 40% overall, but constantly increase when compared to previous years. 3. Environmental presentation to all site personnel about ASSA ABLOY Environmental Management System and the Environment in Practice. All site personnel presented with our Environmental Management System and Environment in Practice presentation, demonstrating importance of: - ISO and why it is beneficial; - What environmental aspects and impacts are; - Why and where environmental incidents can occur and what we can do to prevent and control them; - How we can make positive impacts to the environment (Recycling Systems); - What ASSA ABLOY is doing environmentally including APC- 5 Years Plan;

5 17. Describe any constraints or opportunities that affected performance under this KPI Metal recycling levels are also monitored and contemplated in our internal recycling targets. It is somehow difficult to compare and monitor recycling levels in regards to metal, because this might have direct contribution from production levels. Also, metal recycling rates are target to be zero in order to increase efficiency. Also, ASSA ABLOY Australia is constantly striving to increase recycling levels when compared to previous years. Monthly reports of recycling levels are important factor to understand recycling levels and assisting in meeting KPI's. ASSA ABLOY Environmental Management System and the Environment in Practice presentation was a major initiative from ASSA ABLOY Environmental and Safety Coordinator. This was a major step on our continuous improvement in minimizing impact on environment throughout teaching. KPI 4: Signatories implement formal policy of buying products made from recycled packaging. 18. Does your company have a formal policy of buying products made from recycled packaging? Provide details of policies and procedures (including names of policies/ procedures) ASSA ABLOY Australia has designed and developed specific policy called Buy Recycled Policy in order to ensure that all new products will be assessed accordingly to SPG and also, policy to buy packaging material made from recycled products. 19. Is this policy actively used? 20. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 4 Review and collection of data containing recycled contents on packaging. Overseas suppliers and major local supplier spreadsheet database is 95% updated with most recent recycled content used on packaging. Review at least two major packaging lines each year for increased recycled content over and above the baseline. Two major lines from China and New Zealand has been reviewed and maximized to have packaging efficiency increased in quantities per load and sustainability uplifted. - Different tests and design tested to improve packaging efficiency and sustainability throughout different packaging levels. 3. Creation of APC Steering Committee to assist and advise Purchasing team and Environmental Site Engineer about APC milestones. Creation of Steering Committee driving major environmental benefits following APC recommendations. Monthly meeting held during the year to share resourcing for implementing identified actions. Drive packaging activities by sharing responsibility across a business and embed stronger internal accountabilities. Jointly monitor progress against actions. Enhance business value by incorporating a multi-functional perspective to plan development and implementation of environmental actions.

6 2 Describe any constraints or opportunities that affected performance under this KPI Due to difficulty in mapping out recycled contents, 5% of our suppliers could not identify or do not hold information about recycled contents within packaging. ASSA ABLOY Australia has a vast range of SKU's and wide range of suppliers making difficult to liaise and identify with suppliers recycled contents within packaging. It was identified that, those suppliers could not liaise within their packaging supplier to identify recycled contents. Alternatively, ASSA ABLOY Australia has its annual review on supplier performance, measuring and classifying suppliers accordingly to several factors it will be including information from packaging. To maximize and attempt to deliver better understand and aiding supplier to understand ASSA ABLOY Australia environmental resolutions and APC commitments, the newest packaging guidelines displays specific insight of Australian Packaging Covenant and ASSA ABLOY Australia commitments, supporting supplier to understand the importance of sustainability within packaging. Goal 3: Product Stewardship KPI 6: % signatories with formal processes to work collaboratively on packaging design and / or recycling. 2 Does your company have formal processes in place for collaborating with other companies or organisations on improved packaging designs and/or recycling which aims to reduce or eliminate waste? Provide details of policies and procedures (including names of policies/ procedures) ENG34 and Packaging Guidelines. 23. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 6 Develop and apply formal policies/processes for working with suppliers and customers to improve the design, procurement and reuse/recycling of our packaging. Since 2012 a joint venture between AAAU and AANZ was created to assist and develop more effective and efficient packaging. Major products are assessed from packaging manufacture in NZ to delivery in AU. Creating more effective and efficient packaging from manufacture and environment respectively. A major sliding door carton has been optimized to maximize carton quantity. In addition to the same, packaging guidelines during project source demonstrate importance of sustainable packaging during communication with packaging supplier. Working with suppliers and customers to improve the design and procurement and recycling of our packaging. All major new packaging projects are now developed based on Solid Models, creating a virtual filter for SPG and supporting use of recycled material. Those models can be accessed and designed to use the less amount of material satisfying the physical characteristics of pack (SolidWorks and CubeDesign). It also, assists with implementation of please recycle logos and material identification during design process.

7 3. More effective and efficient packaging. Late 2013 shelf ready products were implemented as part of improvement towards product stewardship, cost variation was taken in consideration with supplier and customers targeting almost a cost neutral with packaging supplier during translation to Shelf Ready packaging change. Shelf Ready capabilities associated with benefits to the environment and end user made clear it benefits. ASSA ABLOY Australia is engaged in providing Shelf Ready solutions from major supplier and for major customers, increasing product stewardship. This will assist in reduction on inventory numbers and also, reduce layers of materials. It eliminates a layer of packaging and consequently reducing environmental footprint when reducing costs. A range of new commodity items will have it implemented by 2015, increasing from 15% to 100%. 24. Describe any constraints or opportunities that affected performance under this KPI Shelf ready solution in the past was not interesting to our major customers due to no clear benefit of concept, during meetings and negotiations explaining all major benefits towards environment and product marketing for new retail packaging. Topic was raised and agreed to be an opportunity of improvement for both business. KPI 7: % signatories showing other Product Stewardship outcomes. 25. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 7 Monitor water and power usage on the Oakleigh manufacture site. Baseline data recorded since 2012 monitoring energy usage levels. Reductions or increase in %: Water Electricity Gas Since baseline has been created reduction in water, electricity and gas has been significant on past years showings results of active measurament and rationalization next target will show major improvements. Regularly attempt to reduce waste, water and power usage on site. The main improvements in 2014 were: Waste reduction / recycling increase Formalise the process of printer cartridge pick up for recycling Electricity consumption: Increased control over when compressors are running (eg turning off at night) Increased number and improved condition of skylights in factory, replacing or cleaning to improve luminosity. Installation of more motion and light level sensors in factory, meeting rooms, amenities areas and offices. Water consumption Increased time between wash water disposals unit to longest safe period (also reduces waste levels and uses last water).

8 3. Evaluate re-usable packaging for OEM customers and suppliers. OEM material suppliers are using returnable crates when items volumes are justified. OEM customers using more efficient packaging contents maximizing quantities per carton, disposition and maximizing pallet loads. 4. Maintenance of ISO14001 system in In 2014, we have passed our International Standard Organization for environment (ISO 14001) operating an environmental management system which complies with the requirements of ISO 14001:2004. It provides practical tools looking to identify and control their environmental impact and constantly improve their environmental performance. 26. Since the beginning of the reporting period, has your company had any other outcomes related to product stewardship? If yes, please give examples of other product stewardship outcomes ASSA ABLOY Australia has continued to improve its environmental system, including the maintenance and certification of ISO14001 audit and certification received in Describe any constraints or opportunities that affected performance under this KPI Due to OEM customers have high quantity turn over and many different distribution centres, at this point in time it was not a viable option to use returnable crates. Also, the cost associated with protecting finish product inside crates was impacting result. On the other hand, raw material suppliers generally non finished goods and shipped always to ASSA ABLOY, are using returnable crates due to nature of product and operation, making viable the use of returnable crates on site. Also, at ASSA ABLOY Australia manufacturing plant, raw material components transformation process are accompanied to next stage by using returnable crates. KPI 8: Reductions in packaging items in the litter stream. 28. Please indicate your progress this year towards achieving your annual targets and milestones for KPI 8 Continuous reduction in the number of packaging items in litter. Subjective evidence suggests ASSA ABLOY Australia packaging is not a significant source of litter. Product packaging review in line with SPG to minimize chances of packaging becoming litter. Following KPI 1, all new packaging and 90% existing packaging has been reviewed against the SPG. packaging was found to be source of litter, due to vast majority being single paper pack on trade format and very likely to be recycled on construction sites or council recycling facilities. Participation on the Australian Clean Up Day, also reinforced that ASSA ABLOY Australia packaging is not source of litter. 3. Please recycle logo incorporated on all packaging, and recycling logos included on appropriate packaging. Please recycle symbol is now present on almost all packaging and printing material being part of the Marketing Tool Kit in KPI It also, evaluated during packaging review to ensure all packaging material will present recycling symbol and will include please recycle logo.

9 4. Evidence of ASSA ABLOY Australia is not source of litter around our site. Participation on Australia Clean Up Day (Site 57145). Reporting all litter found around Oakleigh site perimeter. Factual report shows that ASSA ABLOY Australia site is not source of litter, there were no presence of any packaging or littler material around the site related to ASSA ABLOY Australia. 29. Describe any constraints or opportunities that affected performance under this KPI This first participation on Australian Clean Up Day, was mainly focus around our site and for next years it will be a more extensive area surrounding ASSA ABLOY Australia site. This exercise substantiates that, ASSA ABLOY Australia packaging materials are not source of littering, the major littering source around site were cigarettes butts and plastic bottles. This first participation was also, the first step in incentivising the Australian Clean Up Day across and beyond the business. Your Experiences This section lets you share with us any achievements, good news stories and areas of difficulties in making progress against your plan and the Covenant goals and KPIs. 30. Key achievements or good news stories Having involvement of Marketing Team on training developing and promoting APC benefits was a major milestone achieved, giving better understand of how APC is valuable and how we all can contribute to benefit sustainability and improve recycling rates. Creation of steering committee in 2014 is with no doubt a major win across the business, this team will be able to expand ASSA ABLOY Australia commitments towards the Australian Packaging Covenant. ASSA ABLOY Environmental Management System and the Environment in Practice presentation also a major successful story in Maintaining and assisting the development of more effective and efficient packaging is also providing a systematic approach to environmental sound packaging. 3 Areas of difficulties in making progress against your plan, Covenant goals or KPIs Steering committee has been created, to gain involvement and commitment in important areas across the business, Australian Packaging Covenant is the agenda and ASSA ABLOY Australia commitments are secure, on the other hand, is possible to realize areas for improvement and it is our goal to have it enhanced across the business. The formation of Steering Committee will aim to further promote and increase participation in sustainable actions, to benefit business and implement engagement from different areas. For the past five years commitment and two consecutive High Performance awards received ASSA ABLOY Australia is a proudly supporter of the Australian Packaging Covenant.