Sustainability John Deere Perspective. Kansas State University Sustainability Symposium. Peter Finamore 1 May 2012

Transcription

1 Sustainability John Deere Perspective Kansas State University Sustainability Symposium Peter Finamore 1 May 2012

2 John Deere Today = Manufacturing Locations $32 Billion Net Sales and Revenues > 61,000 employees >100 mfg & marketing operations in 28 countries 2

3 What is John Deere s mission? Our mission is to distinctively serve those linked to the land 3

4 What Do We John Deere Mean by Sustainability? Performance that Endures Deere & Company is one of the oldest industrial companies in the United States The company founder, John Deere, built the first commercially successful selfscouring steel plow in 1837 in Grand Detour, IL 4

5 Its Nothing New for John Deere Stewards of the Land Our Customers - Have Driven Sustainability Initiatives for 175 Years 5

6 John Deere Sustainability Framework CREATING ENTERPRISE ALIGNMENT AROUND STRATEGY Suppliers Facilities Products Solutions Operational Footprint Customers Footprint Communications and Citizenship Policy, Standards & Regulations Employees 6

7 Operational Footprint Supplier Sustainability Energy & Materials REACH Achieving Excellence Facilities New Metrics Energy Water Waste Manufacturing Process Efficiency Controls Continuous Improvement 7

8 Suppliers: Energy Efficiency = Efficient Flow of Goods Joined EPA SmartWay program as both a truck carrier and a shipper. Increased our transportation spend with SmartWay carriers by 25% above our baseline year Included SmartWay information into our Strategic Sourcing Process for transportation RFP s Added SmartWay criteria into our Achieving Excellence program for partner recognition 8

9 Facility Pillar Update Design, build, and operate facilities that minimize use of natural resources and maximize efficiency of manufacturing processes and employees 9

10 New Critical Success Factor by 2020? Cost & Market Demand Ergonomics & Aesthetics Functional Performance Impact to Environment Safety & Conformance Product Sustainability Materials & resources Energy & CO2 Emissions Toxicity Risk potential Land and water use End-of-Life management 10

11 Customers & Product Footprint Design for Environment Design for Manufacture Lifecycle and Impact Analysis Quantify product improvements Efficiency and Systems level approach Fuel and Energy Efficiency Demonstrate and Collaborate 11

12 Fuel Consumption is and has been a Primary Concern of our Customers: Deere Advertisement, John Deere Model D Tractor (1938) 12

13 Pathways to Reducing Use Impact Operations 20% Vehicle 65% Engine 15% Policymakers need to preserve as many pathways as possible to permit nonroad engine and equipment manufacturers the ability to innovate sustainable solutions for their engines, equipment, operation, and beyond. *USEPA Assessment of on-highway vehicle pathway impact ENGINE EQUIPMENT OPERATIONAL 13

14 Our Machinery Impact Is During Use so we developed an Operator s Environmental Guide 14

15 PTO BSFC g/kwh PTO BSFC g/kwh PTO BSFC g/kwh Year Reference: OECD Tractor Tests Industry Trend PTO 15

16 8320R Tractors* In 2009 Nebraska Tractor Test Lab (NTTL) tests, the John Deere 8320R set records for fuel efficiency for a row-crop tractor in the following categories: The 8320R delivered hp-hr/gal while producing PTO hp in the rated engine speed PTO test. The 8320R delivered hp-hr/gal while producing drawbar horsepower in the 75 percent of maximum power at reduced engine speed drawbar test, a test that closely represents typical field work. Reference: Nebraska OECD Test 1963, 1939, 1937 and *The John Deere 8R Series Tractors were introduced in 2009 as a replacement to the 8030 Series Tractors that also set fuel efficiency records. Reference: Brochure John Deere rowcrop tractors set the fuel-efficiency bar ( 0%20Feature_2.pdf) 16

17 Combine Harvesters In 1970, an estimated 500,000 combines harvested grain crops in the United States. By 2007, the number had dropped to approximately 165,000, even though the average corn combine harvested approximately 7 times that of its predecessor in Taken together, these productivity improvements to combine harvesters reduced the average energy required to harvest one ton of grain by one-half. Based on Deere s calculations, this has resulted in an approximate doubling of combine harvester efficiency in terms of CO2 emissions per ton of grain harvested CO 2 Emissions for Combines Corn Wheat Deere s combine harvester energy efficiency improvement is the result of a massive array of technologies, including wider cutting platforms to gather more grain while reducing field passes; grain threshing and handling technologies to improve harvesting efficiency; and powertrain technologies such as diesel engines, turbocharging, air-to-air intercooling, and hydrostatic propulsion drives to enable significant increases in power without the addition of excessive equipment weight. Kg of CO 2 / Ton of Grain Year Soybeans 17

18 Loaders Over the last 13 years, Deere has made steady improvements to its four-wheel-drive loaders. When comparing the K to the H, Deere reduced transport fuel consumption by 32 percent despite increasing machine weight and engine power. The improved performance and efficiency allows the new machine to climb grade 15 to 25 percent faster without increasing fuel consumption. (See Deere Brochure, K Loaders 12 (2008) ( Optional 5-speed transmission with torque converter lockup in gears 2 5 increases acceleration, speeds cycles, and optimizes power and fuel efficiency during transport, roading, and ramp climbing. ) The 744K Four-Wheel-Drive Loader includes an ondemand hydraulic fan drive, an auto-idle and autoshutdown system to reduce idle fuel consumption, and a new optional 5-speed transmission with lockup torque converter to improve fuel efficiency. 18

19 Skidder Economic challenges experienced by the forestry industry have made reducing fuel costs particularly critical. Deere s 748H Grapple Skidder appropriately nicknamed the Miser consumes 14 percent less fuel per hour than a competitive machine. At the same time, it hauls 28 percent more tons of wood per hour making it almost 50 percent more energy efficient in terms of tons of wood hauled per gallon of fuel consumed. (See Deere Advertisement, Miser (2008) ( It starts stashing money away its first day on the job. ). 19

20 Greens Mower Introduced in 2005, the 2500E E- Cut Hybrid Riding Greens Mower is unique because electrical power is used to minimize hydraulic leak opportunities in the reel circuit, but an engine is utilized to ensure optimal performance throughout the day. This presents an opportunity to further enhance machine performance through reduced sound levels and improved fuel savings by running the machine at lessthan-full throttle. Current studies have shown that, depending on conditions and usage, fuel savings can be as high as 30 percent when running the machine at 2250 rpm as opposed to running at full throttle. (Reference: 2500E Features, og/gt/servlet/com.deere.u90785.cce.produ ctcatalog.view.servlets.prodcatproduct?pnbr =1190TC&tM=GT) 20

21 Pathways to Reducing Use Impact Use of Advanced Technologies to Deliver Sustainable Solutions Design to international standards to deliver global solutions Machine Automation Controls - ISOBUS (Machine Control Interface) - Semi-Autonomous Machines - Autonomous Machines - Controlled Traffic Farming - Controlled Chemical Applications Electrification (High Voltage Systems) Bio-fuels 21

22 Pathways to Reducing Use Impact Energy Use Test Methods - using ISO Standards and OECD Codes Energy consumption measurement (i.e., fuel efficiency) Testing according to defined work cycle Calculation to determine GHG emissions from fuel consumption Wheel loader Dumper & Hydraulic Excavator Ag Tractors 22

23 In absence of regulation... nonroad equipment manufacturers have made and continue substantial investments in technology that reduce energy consumption, improves productivity, and reduces GHG emissions. Harvesting Combines Decreasing machines: 1970: 500,000 units vs. 2007: 165,000 but 7 times increase in harvesting capacity 50% energy reduction from 1970 to 2007 to harvest one ton of grain Doubled CO2 efficiency per ton of grain harvested 744H (1007) vs. 744K (2008) 32% reduction in transport fuel consumption Improved efficiency = new machine climbs grade 15-25% faster than predecessor, without increasing fuel consumption 23

24 Tying It All Together Deere 3.Green Construction construction machinery & Forestry Route diagramdivision s Sustainability Efforts People/Users Design integrated sustainability Carbon impact for life cycle Requests for sustainability information Technology capability impact sustainability Product Delivery Processes Market Compliance (REACH, EuP, restricted materials, certifications) Systems compliance ISO14000, ISO 9000 Machine Instructions, warnings & markings GHG & exhaust emissions Environmental, health & Safety Low operating costs Waste disposal Sustainability integrated in manufacturing Environment Material Machine productivity Environmental, health & Safety Recyclability Materials reuse Verification & Validation Green sources Product testing & certification Field & application history Green EMM & Forestry Machines Sustainability value proposition to user: productivity, uptime, low operating costs Sustainability integration: green components, design, manufacturing, serviceability, reuse/recycling, environmental life cycle impact 24

25 SUSTAINABILITY FUTURE OF OFF-ROAD MOBILE EQUIPMENT We will continue to meet our customers needs through products and services that conserve natural resource and adhere to regulations We will proactively develop sustainability international standards that provide consistency on the path of self regulation 25

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