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La-Z-Boy
Waste Reduction, Reuse and Recycling Metrics
Key Sustainability Material Management Components in
a Lean Manufacturing Environment
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Overview
La-Z-Boy Background
Environmental Culture
Environmental Policy
Environmental Management & Sustainability Systems (Structure)
• Enhancing Furniture’s Environmental Culture (EFEC)
• Sustainable By Design (SBD)
Metrics
Manufacturing Operations
Distribution Centers
Retail Stores
Summary
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La-Z-Boy Background
• Two Upholstered Manufacturing Business Units
– La-Z-Boy Residential Manufacturing and England
• Three Casegoods Import Business Units
– Kincaid, American Drew, and Hammary
• LZB Logistics
– Over-The-Road Trucks and Trailers
– 3rd Party Logistics
• Distribution Centers
• Retail Stores
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La-Z-Boy Tennessee
• Today’s employment campus-wide is
approximately 1400 employees.
• Current total square feet of both plants
combined is approximately 1.2 million
square feet.
• The complete facility covers an area of
approximately 56 acres, of which, about
27 acres are occupied by buildings.
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Cellular Manufacturing
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Distribution Centers
Welcome to La-Z-Boy’s WCDC
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Company-Owned Retail Stores
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• Environmentally Conscious Founders
• Recline, Relax, Recuperate – 1930s
• Wood Fuel Fired Boilers – 1960
• Energy Management Systems – 1979
• Electricity Co-Generation Plants – 1982
• Energy Efficient Lighting Systems – 1986
• Negative Dust Collection – 1989
• Natural Gas Contracting – 1995
Culture of Sustainability
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Environmental Policy
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• Enhancing Furniture’s
Environmental Culture (EFEC)
• Registration by the American
Home Furnishings Alliance
• Eleven EFEC Elements
Environmental Management Systems
• Sustainable by Design (SBD)
• Registration requiring integration
of environmentally sustainable
business practices into our
manufacturing operations and
sourcing strategies
• Reducing Environmental
Footprint
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Culture - Plant Recycle Labeling
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Culture - Recycling and Trash Route
We are pulling both the Recycling Cart
and Trash Dumpster on one Route
Examples of the Visual Aides that we have in
place throughout some plants.
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Culture - Miscellaneous Recycling Methods
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Culture - Employee Engagement and Communication
La-Z-Boy Tennessee Exhibits Good Corporate Citizenship
Recycling Crates and EFEC
DATE : 03/06/2017
The Enhancing Furniture’s Environmental Culture (EFEC) is a great program within the furniture industry that initiates recycling of all our waste materials. Currently the Leather Cutting Center has large crates that we are allowing employees to take home for raised bed gardening this summer.
You could line the crates with landscape fabric to reduce weeds, add more wood, or anything that would make gardening easier for you! Pick up your crates in the back of LCC by the dumpster. You will need to bring your own truck and a helper to load the crates.
Each crate is 7.5 ft x 3.5 ft x 2.0 ft.
No signatures required this week. Thank you.
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Initial La-Z-Boy Residential Manufacturing Early Metrics
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Initial La-Z-Boy Residential Manufacturing Early Metrics
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Initial La-Z-Boy Residential Manufacturing Early Metrics
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Schneider Partnership – Next Level
• Strategic Energy Sourcing
– In-Depth Evaluations & Budget Forecasts by Site – Tariff versus Transport Analysis (Most Economical Commodity Cost) – Extended Payment Terms Up to 45-Days
• Rate Analysis for Regulated (Non-Competitive) Energy Markets
• Utility Bill Management and Payment
– Electricity, Natural Gas, Water and Sewer – Consolidated 635 Monthly Utility Bills into 8 Monthly Payments
• Identification and Correction of Billing Errors
• Resource Advisor
– Energy and Sustainability Management Software Platform – Enhance Methods to Increase Energy, Water, Waste and Recycling Conservation
UTILIZE RESOURCE ADVISOR TO CONTINUE IMPROVING OUR SUSTAINABLE CULTURE!
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RA Home Pages
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Total Utilities Cost Chart
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EFEC Manuals
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Waste to Energy Example
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Other Waste and Recycling Data
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Zero Waste to the Landfill
• South Florida Distribution Center
• Mid Atlantic Distribution Center
• Mid West Distribution Center
• West Coast Distribution Center
• LZB Mfg. Redlands, CA
• LZB Mfg. Siloam Springs, AR
• LZB Mfg. Neosho, MO
• LZB Mfg. Dayton, TN
• LZB World HQ
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Revenue Producing Recycling
Normally $ 4 M to $ 5 M per year, and normally greater than 60,000,000 pounds per year (> 94% recycle/reuse)!
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Distribution Center Reuse / Recycling
The distribution centers reuse
cardboard boxes, foam, and wood
packaging. The also have Styrofoam
densifiers!
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Electrical Use and Cost
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Power Monitor - Electrical Average Current
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Power Monitor – Electrical Average Current
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Electric Reduction Efforts One Day Snap Shot
30 30
6:00am Start 2:30pm Stop
4/21/2010
4/21/2011
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• Total electrical cost reduced 8%
• Electrical use per EUP reduced 36%
Additional Results – Electricity
Good
Highly efficient equipment such as high efficiency and
variable speed pumps, motors, and fans along with
variable speed air compressors.
Efficient lighting systems such as T-8 and T-5 florescent
lights while currently converting to LED lights.
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• Natural gas cost reduced 73%
• Natural gas use per EUP reduced 65%
Additional Results – Natural Gas
Good
Replaced old inefficient (less than 60%) natural gas steam
boilers with new highly efficient (98%) natural gas water
heaters.
Improved heating and air conditioning individual
programmable control panels.
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• Used 34,500,000 gallons less in FY17 than in FY08
• Water cost reduced 47%
• Water use per EUP reduced 63%
Additional Results – Water
Good
Low-flow sinks and hand dryers (waste reduction).
Replacing old inefficient (less than 60%) natural gas
steam boilers with new highly efficient (98%) natural gas
hot water heaters saves a lot of water too!
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• Heating, Cooling and Energy Efficient
• Storm water bio retention swales
• “Zero Waste to the Landfill” location
• Reduced light pollution through
appropriate design of outdoor lighting
World HQ – LEED Silver
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• “Innovative Green Design Award” presented by the New York
Home Magazine
• American Society for Furniture Designers Pinnacle Green Leaf
Award
• Zero Waste to the Landfill
• AHFA Sage Award Finalist
• AHFA Environmental Excellence Award
• AHFA Annual Employee Environmental Leadership
• LZB Dayton, Tennessee Green Star Partnership (Three Star)
• Leadership in Energy and Environmental Design (LEED)
Sustainability Awards
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Summary
ENVIRONMENTAL STEWARDSHIP
Multi-Facility Participation
– AHFA EFEC Program
– Sustainable by Design
Achieving Results
– World Headquarters Silver LEED Certified
– Tennessee Green Star Partnership Award
Conserving Resources
– “Zero Waste to the Landfill” initiative
– Recycling/reusing about 94% of waste
– Eliminating 11MM lbs. of waste
– Significantly reduced utilities consumption
Continuing Initiatives
– Converting to LED lighting
– Energy and Sustainability Management Software
– Social Performance and Compliance Program
Committed to Environmentally Sound and Sustainable Business Practices
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Thank you!