Cummins Waste Goal: Zero Disposal

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1 Cummins Waste Goal: Zero Disposal Laurie Counsel Brijesh Krishnan June 12, 2018 Public

2 Learning and Sharing Objectives 1. Why: Global Waste Overview 2. What: Waste Management 3. How: Cummins Approach 4. Long Term: Waste 3.0 2

3 Why waste is this important: Global Waste Overview 3 3

4 Waste generation is increasing Global waste generation is increasing in line with needs of increasing global population 2012: 1.3 billion tons per year of solid waste 2025 Projection: 2.2 billion tons per year* 4

5 Waste moves across the world Local infrastructure for recycling and recovery is minimal Material recovery from end of life materials is expensive Lack of regulations in developing world Increasing illegal waste dumping 5

6 Why is waste management a big deal? Lack of infrastructure or appropriate waste disposal: Pollutes the environment Affects the health and biodiversity Photo: Dominic Chavez / World Bank Country: Bangladesh 6

7 Rag pickers scavenge for food and recyclable materials at New Delhi's 70-acre, 100-foot-high Ghazipur landfill. (Rick Loomis / Los Angeles Times) People search for material to recycle at the biggest garbage dump in Jakarta, the Indonesian capital. ((Bay Ismoyo / AFP/Getty Images)) A man who scavenges for a living takes a rest next to a Marabou stork on top of a mountain of garbage at the dump in the Dandora slum of Nairobi, Kenya. (Ben Curtis / Associated Press) 7

8 Informal waste collectors unloading materials in one of the biggest slums in the world, Dharavi, Mumbai. (Brijesh Krishnan) Creek running next to the slum in Dharavi, Mumbai where the waste eventually leads to the ocean. (Brijesh Krishnan) 8

9 Every year, 8 millions tons of plastic waste enters the ocean. Effects of plastic pollution gathering in the Gulf of Mexico caused by single use plastic entering the water where it will never completely biodegrade. 9

10 What can we do: Cummins Goals 10

11 So what can we do about this? Issue Mixed waste streams resulting in contamination of recyclables Unsafe and unhealthy practices Illegal Dumping Informal sector in developing world Cummins Actions Ensure segregation at source Require waste suppliers to follow safe practices; Audit vendors; Train and build trust Select and use only the suppliers / subcontractors that are properly licensed and provide full traceability of waste Capacity building in the operating regions 11

12 465M pounds generated waste 43M pounds landfilled or incinerated w/o energy recovery 242M pounds recycled metal scrap 113M pounds recycled packaging waste 12

13 Waste Management Hierarchy Avoid unnecessary consumption of natural resources Requires no processing or consumption of natural resources before reuse Requires processing or consumption of natural resources before reuse No opportunity to reuse or recycle. Disposal is the only available option 13

14 Zero Disposal 14

15 Zero Disposal Program A site has achieved Zero Disposal when it has successfully recycled 100% of its waste and has done so in a manner that is: Consistent with the waste management hierarchy - Continuous efforts should be made to move each waste as far up on the hierarchy as is practicable Legitimate, ethical, and consistent with our Environmental Policy Consistent with commonly accepted industry best practices Compliant with all applicable regulatory requirements Protective of the environment and the communities where we operate 15

16 How we do it: Cummins Approach 16

17 People Tools and Processes Programs Environmental Gateway 17

18 Waste Review Tool Overview The Waste Review Tool is complied of 12 individual steps that are split into three maturity levels Sites can choose what level to work to depending on waste management maturity and resource availability. BASIC Facility Waste Inventory Waste Vendor Matrix Waste Requirements (Controls) STANDARD Waste Hierarchy Analysis Waste Stream Significance Packaging Inventory Management Opportunities Waste Project Hopper Waste O&T & SWOT BENCHMARK Waste Baseline & KPIs Waste Forecasting Waste Hierarchy project tracking 18

19 Step by Step Guide created A basic overview of the task and instructions on how to complete are included at the top of each step within the Waste Review Tool The remainder of this guide will be split by each individual step of the tool. Offering additional guidance on how to complete each step and provide further definitions. Site Dashboard Facility Waste Dashboard STEP 6 Management Opportunities STEP 1a Facility Waste Inventory STEP 7 Waste Project Hopper STEP 1b Facility Waste Vendors STEP 8 Site Objectives & Targets STEP 2 Waste Requirements (Controls) STEP 9 SWOT Analysis STEP 3 Waste Hierarchy STEP 10 Waste Baseline & EPIs STEP 4 Waste Stream Significance STEP 11 Waste Generation Forecast STEP 5 Packaging Inventory STEP 12 Waste Hierarchy Project Track An example tool is also available to help support in the completion of the Waste Review. 19

20 Waste Inventory example 20

21 Employee Engagement 21

22 Dumpster Dive / Recycling Improvement Waste Dumpster Dive - CTT Charleston 22

23 Results:Final Count After 2 ½ Hours 87% Recyclable Material SAVED from Unnecessarily Going To The Landfill Waste Dumpster Dive CTT Charleston 23

24 Headquarters example - data drives action 24

25 Use a systematic approach Q Q Q Q Q

26 Survey results capture key voices 26

27 Apply learnings 46 recycling hubs throughout the COB Up from 9 Each recycling hub will have consistent bins, lids and labels Hubs in highly traveled convenient areas Maps will be available in conference rooms, around the COB and on Connect Extensive communication plan to begin prior to transition period Senior leader participation is key to being successful 27

28 Make recycling easy Instructional signs at major recycling hubs Directional signs in all conference rooms Information on intranet 28

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30 Make it fun 30

31 Long Term: Waste

32 Returnable Packaging Returnable Packaging project with Suppliers TCL Phaltan, India Before After Before After Before After Before After Before After 32

33 Waste 3.0 Ensure sustainable consumption and production patterns Target 12.4 By 2020, achieve the environmentally sound management of chemicals and all wastes throughout their life cycle, and significantly reduce their release to air, water and soil Target 12.5 By 2030, substantially reduce waste generation through prevention, reduction, recycling and reuse Target 14.1 By 2025, prevent and significantly reduce marine pollution of all kinds, including marine debris and nutrient pollution 33

34 Q+A 34

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