Packaging Best Practice Workshop

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1 Packaging Best Practice Workshop 11 June 2013 WRAP and 3663

2 Welcome and Action Plan Updates Simon Drury Supply Chain Partnership Manager

3 Agenda Welcome Background, context and optimisation strategies Task 1: Design Basics Case Studies The Bigger Picture Task 2: Packaging in the Supply Chain Green Packaging: The Marketing Potential Task 3: Opportunities and Barriers Summary and Q&A

4 Background, context and optimisation basics Jenni Donato Packaging Specialist

5 WRAP - Our priorities Business Plan period ( ) Minimising resource use in products and buildings Diverting priority materials from landfill

6 Hospitality and Food Service Voluntary Agreement HaFS targets Reduce packaging and food waste by 5% by 2015 Increase recycling to 70% in the sector

7 Resource Efficiency what is it? Social Environmental Financial A definition of Resource Efficiency: The efficient use of materials in design and construction

8 Resource Efficiency and the waste hierarchy Now included in EU s Waste Framework Directive. Makes it a legal requirement to consider the waste hierarchy when dealing with waste

9 The primary function of packaging... is to protect the product

10 The value of packaging Will people buy anything from the way it s packaged? In 2010, an artist set out to prove the value of packaging by packaging up rubbish he found on the streets of New York. He sold over 1200 to 25 countries.

11 How to start - the influence of design 80% of the cost of product set at the design stage 93% of production materials not used in the final product 80% of products discarded after a single use Over 70% of the influence (of the environmental impact) is set at the design stage - this only takes 5% of the overall cost of product development

12 The influence of design and money For every 100 spent solving a problem in production It would have cost 10 in development And 1 in design

13 Packaging Optimisation and life-cycle thinking The easiest way to optimise your packaging is to think about it from a life-cycle perspective. where did the raw materials come from? what happens during the manufacturing? how does it protect the product? how is everything transported? what impact does it have in use? how is it disposed? Only then can you assess the biggest environmental impacts and consider how to minimise this through good design.

14 How do you measure improvements? Carbon footprinting? Water footprinting? Life-cycle Assessment? Visible Waste?

15 Packaging a legal requirement The Packaging Essential Requirement Regulations Among others, this makes it a legal requirement to minimise weights and volumes of packaging Enforced by Trading Standards Officers Packaging Waste (Producer Responsibility) Regulations You pay for the waste you re responsible for less waste, less cost!

16 Optimisation Strategies

17 Is it necessary?

18 Minimisation Focus on size of packaging vs. product Thickness of gauge of materials The number of different components and materials

19 Minimisation 2 litre bottle: reduced by 10.5% to 38.5g 500ml bottle: reduced by 17.9% to 19.7g 250ml bottle: reduced by 20.5% to 14.7g

20 Recyclability Focus on segregation Simple materials Links to infrastructure in country of choice

21 Recycled content Increasing the level of recycled content Aluminum 95% less energy use PET RPET saving of 1.5 to 2 tonnes CO 2 e per tonne Card can put up weight by 25%

22 Concentration Why ship water around the world when it is available at point of use? smaller packages fewer deliveries need less storage space can be applied to tablets / powders with fillers

23 Transport efficiency Each bottle takes up less space and is stackable for transport efficiency They also collapse down for transport efficiency on the way back to the recycling facility

24 Longevity Optimal Life eco-design strategy may include: Product life extension Longevity Durability Packaging returnable / reusable What is the payback period?

25 Embedded Carbon

26 Template optimisation +28% 77 units 99 units

27 Second use

28 Packaging terms and the consumer Easy terms Recycled, Recycled Content Harder terms Home compostable / Industrially compostable Even harder terms Bio-sourced / Biodegradable / Oxo-degradable Definition of biodegradable Capable of decaying through the action of living organisms

29 BioPackaging Debate Continues Pros Less waste Turns waste into a product Less demand for fossil fuels / raw materials / foreign oil Reduced cost of production Cons Release of methane if it ends up in landfill Plants use valuable land Collection infrastructure Contaminants 1) What is the cost? 2) What is it s function? 3) How is it stored / how long? 4) What will (realistically) happen to it at the end of its life?

30 Task 1: Packaging Design Basics Packaging Examples: Group discussion What are its core functions? What are the materials, are they appropriate for its application? What has been designed well? What hasn t? How could you improve it using the optimisation strategies just discussed? In the short / medium term (low cost) In the longer term (blue sky)

31 Packaging and the bigger picture

32 The bigger picture going back to the life cycle

33 Product optimisation

34 Bigger picture: Case study examples

35 Drinks company: in-house bottle blowing Looking at lifecycle realised they were shipping around empty bottles Implemented in-house bottle blowing Reduced transport requirements Reduced packaging Reduced storage space Reduced costs

36 Stretch wrap Yeo Valley Saves 3,950 rolls per year The machine paid for itself within 12 months It has also avoided 24 tonnes of waste creation per year for customers

37 Riverford Organic Veg Packaging makes up a staggering 17% of our carbon footprint 85% of our packaging footprint is made up of paper and cardboard yet our customers are very happy with this packaging; virtually all negative comments on packaging relate to plastic punnets and bags which contribute only 8% to the footprint

38 Carbon footprint of carrier bags

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40 Belkin Before Paper: 18,160kg of savings Plastic: 2,480 kg of savings CO 2 reduction: 104 tonnes Potential cost savings are in excess of 700,000 per annum After

41 Kitchen Sink Packaging What is your company doing because of development creep?

42 Lincoln and York Case Study

43 Supply Chain Partnership Case Study: Lincoln & York Option of implementing a returnable packaging system

44 Lincoln & York Case Study Current system Single use cardboard boxes, cost in excess of 20,000 per year. Cost excludes tapes / labels / inner bag / packing material. Cost also excludes waste disposal / recycling costs and PRN legislation costs.

45 Cost / Benefit Analysis Proposed system Purchase of used returnable plastic crates (working on a 2 week turn around), purchase cost less than 20,000 Payback period of less than 1 year. After the first year it s nearly 100% cost saving!

46 Summary of benefits and savings Even with additional costs of maintaining float, washing, return transit Payback period is still just over a year System will last for 20 years Over 26 tonnes of card avoided 82 tonnes of CO 2 equivalent saved

47 Waste Mapping refresher To successfully minimise your wastes, you must understand where they are being produced. Waste mapping will allow you to identify: the types of waste you produce where and why these wastes occur the volumes and costs of waste produced priority areas for action

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49 Task 2: Packaging Supply Chain Each group has some packaging think about the supply chain identify wastes areas along its supply chain related to the packaging design Identify changes to the design to minimise these Consumer Hospitality & Food service Filling / Distribution Manufacturing/ processing Raw Materials

50 Green Packaging: The marketing potential

51 Green Consumer Market Research by the co-op bank The market for the green consumer grew by 15% in 2008 The market overall grew by 1.4% Food up 14%, Textiles up 71%, Stationary up 49%, even Funerals up 18% Households spend an additional 707 per year

52 Do something new...

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55 Green consumers: are sincere in their intentions, with a growing commitment to greener lifestyles; almost always judge their environmental practices as inadequate; do not expect companies to be perfect in order to be considered 'green are not likely to forgive when they feel their trust has been broken

56 Getting it wrong

57 Avoiding Greenwash What is Greenwash? Presenting a product, service or company as green, when it s not - or there is no proof.

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59 Examples of Greenwash Too selective e.g. promoting a very limited green aspect (recyclability), whilst ignoring the wider environmental issues (virgin material) Unclear e.g. saying something has recycled content when it s only got minimal amounts and no effort has been made to increase it

60 Phantom comparisons e.g. A new eco-shaped bottle that claims to now be 100% recyclable when it was before Distracting Some would say the green credentials distracts from the most eco-friendly way of drinking water from the tap!

61 Unrealistic claims e.g. a company with unrealistic targets, with no delivery plan, simply used for marketing purposes CARBON NEUTRAL BY 2014!

62 Greening dangerous product / Distracting e.g. Organic cigarettes distract the buyer from the dangers and impacts of smoking. Pretend 3rd Party endorsements Products using terms / fake stamps like Organic without any accreditation

63 GreenWash caught and punished Lexus forced to withdraw 3 adverts since Claims include better for the environment low emissions zero guilt But none of the ads had any reference points

64 The backlash if you get caught

65 Other ways to get it wrong

66 Task 3: Improvement Opportunities and barriers Take one of your products, think of its supply chain, draw a process flow, consider what opportunities there are. What barriers are there to implementing these? Fill out your Action Plan Extension Forms with 5 steps for improvement.

67 Quiz: Good design or crazy designers?

68 Any questions?

69 Come along to the next session to uncover more opportunities... Forthcoming technical workshops: 11 July 2013 AM Water efficiency 11 July 2013 PM Energy efficiency 03 October 2013 Transport and distribution 03 October 2013 Behaviour change