SUSTAINABILITY METRICS PROJECT Fostering Innovation in Postal Service Environmentally Preferable Shipping Supplies Michael R. Barr, Alicia M. Case, and Kim Werdeman National University
Apr 16, 2017
SUSTAINABILITY METRICS PROJECTFostering Innovation in Postal Service
Environmentally Preferable Shipping Supplies
Michael R. Barr, Alicia M. Case, and Kim WerdemanNational University
Introduction
• Problem Statement– Opportunity for sustainable integration necessary for
Retail shipping supplies• Packaging Tape• Bubble Mailers• Bubble Packaging Material
Mission Statement (Vision)• “To be a sustainability leader”
– Building a Culture of Conservation throughout the Postal Service– Continually evaluates how to offer more “green, high quality,
affordable products– Protecting contents of products shipped are a top priority
Introduction
• Current Operation• Obtains products from partnering suppliers• Some products have certification by a 3rd party eco-
labeling program
Introduction
• Industry Best Practices• Better sustainable packaging• Reduced energy usage• Reduced Raw Material Consumption• Increased Recyclability• Reduced Greenhouse Gas Emissions• Decreased Waste Generation• Increased Re-use
Risks
• Assign High/Medium/Low impact on project risk:• Project Size• Project Decision-Making• Project Schedule• Buy-In from Stakeholders• Buy-In from Management
Mitigation Samples•Add more time to project schedule•Add another analysis•Additional testing•Additional product samples•Phased curover of products•Expose stakeholders to samples of proposed products
Measurement Strategy and Metrics
• Key Performance Indicators– Revenue
• $11 Billion in packaging sales out of $65 Billion in FY2011
– Mail Volume• 167.9 Billion Pieces in FY 2011
– Green House Gas Emissions• 12.39 Million MTCO2e in FY 2011
Measurement Strategy and Metrics
• Action Plan– Split current retail sales measurements into
two groups• sales of existing Cradle2Cradle products• sales of products that have room for improvement
– packing materials such as tape, packing peanuts, bubble wrap
– postal products such as self-inking stamps and digital scales
– Reduce retail sales of non-sustainable products
Measurement Strategy and Metrics
• Action Plan– Phase out all non CtoC products and replace
• Padded mailers– made with recycled cushioning fiber padding
• Bubble packaging– made from 35% recycled plastic
• Biodegradable packing peanuts– compostable
• Packing tape– made of 25% recycled resin or– natural GSO gummed tape
Data Analysis
• Baseline data collection– how much of what the USPS currently sells is not
eligible for Cradle to Cradle certification?– Of what is not eligible, what can be replaced with
more sustainable products?
• Once baseline data has been collected and sustainable sources obtained; a program to phase out all current supplies and phase in new products can be implemented.
Accountabilities
Executive SponsorsJoseph Corbett Chief Financial Officer, Executive Vice President
Nagisa Manabe Chief Marketing & Sales Officer, Executive Vice President
Internal StakeholdersThomas Day Chief Sustainability Officer
Sam Pulcrano Vice President, Corporate Communications
Susan Brownell Vice President, Supply Management
Gary Reblin Vice President, Domestic Products
External Stakeholders
Business Value Sources Environmentally Preferable Packaging and Products
Plan Business Values Goals/Objectives Relationship to Project
Marketing and Sales Revenue Growth Growing environmentally preferable packaging and product markets through lean, efficient and “green” processes can lead to revenue growth.
Finance, Supply Management
Expense Reduction Specifying and optimizing environmentally preferable packaging and product markets through lean, efficient and “green” processes can lead to expense reduction.
Brand Equity and Design
Brand Recognition Improvement Helps to maintain brand awareness which plays a major role in a customer’s buying decision
Finance, Strategy Leadership Position Development Helps Postal Service maintain “Most trusted Federal government organization” status and recognition as a leader in Environmental Stewardship.
Marketing and Sales Market Expansion Abilities Research shows consumers becoming increasingly aware and concerned about environmental impact of the products they purchase.
Finance, Supply Management
Product Quality Improvement Ensures commitment, helps to define quality and institute product quality control, and identify and address problems.
Chronicle of Activities
Milestones/Deliverables Target Date
Environmentally Preferable Packaging and Products Metric Project approved and funded; Begin final program development and rollout to selected vendor partners; Plan and budget for FY 2014 operational and capital appropriation.
12/20/2012
Update Management Team on progress and request approval for appropriation 12/22/2012
Operational (Expense) and Capital Budget submission to Finance;Select targeted Environmentally Preferable Packaging and Products for C-to-C Certification
03/20/2013
Capital Budget approval from Capital Investment Committee (CIC) 05/20/2013
Operational (Expense) and Capital Budget approval from Finance 06/20/2013
C-to-C Certification of Environmentally Preferable Packaging and Products complete; 09/20/2013
Begin FY 2014.Newly C-to-C Certified Environmentally Preferable Packaging and Products production and distribution begins to retail network.Begin metrics measurement.
10/01/2013
FY 2014, Q1 ends.Metrics measurement due for corporate progress reporting
12/31/2013
FY 2014, Q2 ends.Metrics measurement due for corporate progress reporting
03/31/2014
FY 2014, Q3 ends.Metrics measurement due for corporate progress reporting
06/30/2014
FY 2014 ends.Metric measurements due for corporate progress reporting, FY 2014 Corporate Sustainability Report
09/30/2014
Recommendations to Improve Process
• Receive bids for non-CtoC products• Receive product samples• Replace non-CtoC products with
sustainable products• Promote fact that all retail products are
sustainable
References• 2011 Sustainability Report (2012). Retrieved from http://about.usps.com/what-
we-are-doing/green/report/2011/key-indicators.htm
• USPS Sustainability Report. (2011). Retrieved from http://about.usps.com/what-we-are-doing/green/report/2011/annual_sustainability_report_2011.pdf
• USPS Website. (2012). Retrieved from http://about.usps.com/who-we-are/postal-facts/welcome.htm
• Wooster, J. & Nuttall, J. (2007). The Dow Chemical Company. Case studies for improved sustainability in packaging. Retrieved from http://www.tappi.org/content/events/07place/papers/wooster.pdf
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