epa’s resource conservation challenge – national meeting...

EPA RRC_workshop_3/08.ppt 1

GEPGM Global Environmental Programs

EPA’s Resource Conservation Challenge – National Meeting

March 5-7 2008Michael D. Knoblock

Manager, Global Environmental ProgramsGeneral Motors Corporation

(248) 753-5605 [email protected]



•GM Organization•Chemicals Management (CM)

•Oil Management•Resource Management (RM)

•Global By-Products Initiative•Design for the Environment (DfE)•Zero Landfill•Carbon Footprint

Agenda



GM Organization



Key Roles and Responsibilities Key Roles and Responsibilities –– Global LeadersGlobal Leaders

GM Confidential

Develop, own, and drive all Global environmental strategies, common processes, and systems.Drive globalization by definition and implementation of BOB practices.Ensure global implementation of common environmental processes through use of metrics and peer reviews. Understand global environmental requirements, resource needs, and program / project status.Continuously improve common processes using feedback from regions.Facilitate COE support across regions.Ensure global sourcing is investigated and utilized where feasible for common programs.Provide environmental support for GMNA region.

Global ProcessLeaders

Ed PiaseckiAIR EMISSIONS

Pat BeattieCHEMICAL RISK MANAGEMENT

Ray Tessier

Lee HachigianFAC ENV SUPPORT

Wolf

Worrell

Mecsey

Peterson

Dedyne

Griffith

Anticoli

Kenzie

Worrell

Knoblock

SuperfundEnv Due Diligence

PlantDecommissioning

ISO 14001

PRM-E

Water & WastewaterSupport

Industrial Hygiene

HMCS

PMRV

Chemical, Waste/Resource Management

Bill McFarlandREMEDIATION

Brewer

Yates

Environmental Metrics

Paint, Foundry & Powerhouse Emissions

Global Leader EnvironmentalServices



Global Environmental ProgramsMike Knoblock, Manager

DFE,P2 & MetricsJohn Bradburn, Team Leader

Robin RicheyMick JohnsonCarrie BrownAndre Bell

CHEMICALS & OIL MGMT

Don Smolenski, Sandy Brewer, Team

Leaders

Lew Martin Jerry MatweyMike McDonellNancy Stone

RESOURCE and BY-PRODUCTS MGMT

Warren Underwood, Greg Mischley Team

Leaders

Robin RicheyJohn BradburnCarrie BrownKeith Jones



Chemicals Management



Successful Integration of Chemicals Management Into a GM Manufacturing Operations is a Result of:

• Paradigm Shift in the Approach to Supplying Chemical Services

• Cultural Change in the Way Suppliers are ReceivedInto the Manufacturing Team

Summary of Chemicals Management Success at General Motors



History of Chemicals Management at GM

1987 First Engine Plant Chemicals Management Program Piloted in Romulus, Michigan- Program was Installed for Better Environmental

Compliance- Significant Process Improvements Were Realized- Chemical Acquisition Costs were Significantly Reduced- Program Successes Promoted Expansion to Other

Platforms1989 First Stamping Plant Program Implemented at Grand

Blanc, Michigan1991 Truck Assembly Plant Chemicals Management Program

Installed at Shreveport, Louisiana1994 Delco Electronics, Circuit Board Fabrication Plant 2003 Rationalize suppliers from 13 to 5

Re-bid in NA to a common scope of chemicals/services2006 Re-bid to a Global Template of chemicals/services



Current Status of Chemicals Management Programs in GM

Installed in most North American plants

Installed in plants in Mexico, Canada, Europe, Australia and South America

Current being installed in Assembly and Machining plants in Brazil and Argentina



Definition:

Under Chemicals Management, a single first-tier supplier provides all indirect chemicals and services, and provides an on-site laboratory staff, to manage all chemical processes within the plant, at a fixed price, with options for CPU, pass-through volume, and indexing.



Chemicals Management is a System,

and the Supply of Chemicals is only

part of the System



Chemicals Management: A Systems Approach

3-4 chemicals management personnel per Assembly plant4-6 personnel per Powertrain, 2-3 per Stamping plant

Approved

Chemical Review & Approval Process

CM Contract

Inventory Management

Chemical Usage & Container Management

Reporting: Usage, Cost, Environmental Compliance

Paint Shop

Plant Maintenance

Wastewater Treatment

Powerhouse

INVENTORY



Chemicals Management the “Old” Way

Supplier is remote from the Plant FloorSupplier has little

accountability for the total processSupplier profits are

based on sales

Operator

(Plant)



Chemicals Management the “New” Way

Supplier has On-site PresenceSupplier is an On-site Team MemberSupplier is Responsible for Performance of Major Process Chemicals and the Entire Chemical SystemSupplier Profits are Based on Effective Management of the Entire System

Operator

(Plant)



Advantages of Integrated Total Site Chemicals Management Using Single First-Tier Supplier

Site-wide accountability is placed with one managerFewer chemicals and suppliers are usedSite-wide second tier suppliers provide better serviceStorage facilities can be minimized and commonizedSingle well-equipped laboratory provides better servicesCommon, single point environmental reporting is achievedRedundant administrative functions are avoidedFinancial and technical leveraging is achievedTotal program cost is reduced



Basic Services

Basic Chemical Services include at least the following:

On-Site Laboratory Procurement ServicesProcess ControlProcess Improvement ServicesChemical Tracking and Reporting



C H E M I C A L S M A N A G E M E N T F O O T P R I N T F O R N O N –M A N U F A C T U R I N G

Chemicals Manager

* DIRECT CHEMICALS ARE NOT CURRENTLY PART OF CHEMICAL MANAGEMENT PROGRAMS, BUT IT IS POSSIBLE TO INCLUDE SOME DIRECT MATERIALS UNDER CHEMICAL MANAGEMENT.

CHEMICAL SERVICES INCLUDED UNDER CHEMICAL MANAGEMENT:•CHEMICALS•ON-SITE MANAGEMENT TEAM•OFF-SITE SUPPORT•ON-SITE CHECKS•COMPLETE INVENTORY MANAGEMENT•COMPLETE CHEMICAL PROCESS MANAGEMENT•R&D PROGRAMS•CONTAINER MANAGEMENT •SECOND TIER DEVELOPMENT & MANAGEMENT •PRODUCT/PROCESS ENG. DEVELOPMENT •PREDICTIVE MAINTENANCE DEVELOPMENT

•CHEMICAL MAINTENANCE SCHEDULING•ENVIRONMENTAL STUDIES•SAFETY/HEALTH ISSUES / MSDS MANAGEMENT •ASSIST ENV. REPORTING/CHEMICAL EXTRACTS•TRAINING•TOTAL SYSTEM ANALYSIS & TECH. MANAGEMEN•PROBLEM SOLVING•USAGE TRACKING•COST REDUCTION PROGRAM•COORDINATE OEM’S•WASTE TREATMENT INVOLVEMENT

FACILITY /MAINTENANCECHEMICALS

MAINTENANCEPAINTS

R & DCHEMICALS

WASTETREATMENT/

UTILITIES

HOUSEKEEPING& JANITORIAL CHEMICALS

HYDRAULICOILS/LUBES

LABORATORYCHEMICALS



INDIRECT CHEMICALS MANAGEMENT

Common Total System Process

CHEMICALS MANAGEMENT SUBSYSTEM

OPTIMIZATION AND

COMMMONIZATION

CHEMICALS MANAGEMENT

Container Mgmt

Business Case

ReviewMSDS Mgmt

Toxic Risk Mgmt

Logistics Mgmt

(Procurement & Inventory

Mgmt)

Process OptimizationDisposal/

RecyclingMgmt

Non-Productive

Output Reduction

Environmental Reporting

ISO 14000 Certification

Chemical QC Mgmt

Material Rationalization



Results for Chemicals Management

Chemical costs have reduced by an average of 20%Chemical usage has been reduced as much as 50%Reduced the number of chemicals by 50%Chemical processes are under better controlProcess improvements have resultedChemicals Management is a cornerstone in the GM Environmental StrategyPlant personnel are able to better focus on core business of building automobiles

Success of implementation has been excellent.

In addition to cost savings, reduced emissions, improved health and safety, improved quality in the production process have also been realized.



The BenefitsProduct rationalization & consolidationPrograms reduce total systems costPromotes efficiency, consolidation & standardization of materials and proceduresChemical expertiseGatekeeper of MSDS & approvalsCompatibility issues

BudgetsProcurementEnvironmental / SafetyProvides the facility with control in the decision making process (Chemicals Management Committee)Eliminates profit from chemicals purchased



14,000 Suppliers200,000 ChemicalsLarge inventorySupplier focus is sales

Chemicals Management In North America

6 First Tier Suppliers72,000 ChemicalsCM/GM Engineering AlignedMaterials standardized at division and GM corporate levelsEngineering and commercial leveraging of materialsBest practices networked at divisional and GM corporate levelsRecognition of manufacturing process improvements

12 First Tier SuppliersProcess optimization within plantMaterial standardization within plantBest practices networkedCM paid for performanceCM controls processCM owns inventorySupplier focus is efficiency

1985 Current2000

Pote

ntia

l Sav

ings



Global CM Steering Group & CM Creativity TeamMembership:* Manufacturing Engineering* WWP* WFG

* Energy & Utilities* Facilities * Env. Services

* Plant/DivisionalRepresentation

Regional Teams (GME,LAAM,AP)Functions:* Directs implementation* Sets corporate and

divisional priorities* Commonize contracts* Commonize reporting* Commonize administrative

procedure* Contract boiler plate* Benchmark* Bid oversite* Contract admin. oversite* Commercial leveraging* Technical leveraging* Oversee change process

ProcessProcessEfficiency Efficiency

and and Reduced Reduced System System CostsCosts

Basic Direction

(Divisional & Corporate)

Plant CMAdministration Team

Membership:* WFG

* Env. Services* Energy & Utilities* Facilities Mgmt.

* Safety* Logistics* Maintenance * Manufacturing/Engrg* Financial* Production

Paint Machining

Functions:* Participate in bid protocol* Oversee implementation * Oversee local change

process* Review business plan* Review performance* Control plant budget* Sets plant priorities

Feedback and Networking



Challenges

Implementation of Chemicals Management is paradigm shift

A change in culture for the Manufacturing facilities

Early on some of our suppliers resistant to change



Oil Management



Point of SelectionPoint of Selection

Point of UsePoint of Use

Point of CollectionPoint of Collection

Incorrect or harmful fluid Incorrect or harmful fluid (Chemical Manager)(Chemical Manager)

Problems, leaks not fixed Problems, leaks not fixed Short drain intervals (CM, GM)Short drain intervals (CM, GM)

Indiscriminate mixing Indiscriminate mixing (Resource Manager)(Resource Manager)

Point of RecyclingPoint of RecyclingDisposalDisposal

Improper process, release Improper process, release during transport, use of during transport, use of unqualified oil manager unqualified oil manager .. (RM, Oil Manager)(RM, Oil Manager)

Negative Production, EnvironNegative Production, Environ--mental, Financial Impactmental, Financial Impact

Used Oil Opportunity/Risk



Goal is to recycle GM plant’s used oil (on-site or off-site) and re-use in the plant for cost savings and reduced environmental footprintLargest portion of used oil sent off-site to 2 managers:

Base oil reclaimer, used oil re-refiner for formulation into products to sell back to GM

GM (US and Canada) plants use 50% reclaimed or re-refined oil – 3.5M gallons/year (some plants >70% recycled oil use)Recycled oil purchase savings greater than entire cost of recycling programSignificant focus on on-site efforts for additional savings

GM Used Oil Program



Integration of Chemicals, Resource, Oil and Waste Management Programs

Chemicals Management

Resource Managementat-machine oil

reconditioningoil “quality “improvement

oil trailer

recycling

Oil Mgmt. Program: off-site reclaiming or re-refining

new, reclaimed lubes used

oil

LS2 Standard

Other waste

Waste Management

on-site waste reduction

other chemicals

Closed Loop



Resource Management



Concept Overview:Resource Management is an effective system

which: (Benefits)

Reduces landfill waste and overall costs while increases recycling Increases supplier responsibility for total system management Provides incentive for suppliers to dispose of less, not moreEstablishes team relationship with supplierCommonizes proceduresManages changing technology



Resource Management

Definition:Rather than paying a waste contractor to dispose of materials, GM engages a supplier, or resource manager, as a partner inside the plant. A single resource manager in each facility uses on-site staff to handle all applicable aspects of the waste business– focusing on waste elimination first, then reduction and recycling, and finally disposal.The resource manager receives financial incentives for finding innovative ways to eliminate waste created during the manufacturing process.



History - Resource Management

1994 – First GM Plant Implemented – Opel –Kaiserslautern1997 – First U.S. Plant implemented Resource Management – Orion Assembly1998 – First Non-Manufacturing Facility – Tech Center2006 – Implemented in every GM Manufacturing facility in the U.S. and most Non-Manufacturing Facilities Global Implementation

Fully implemented in EuropeOther Regions various stages of implementation



LEVEL V* Disposal* Hauling* Consultation* On-site Management Team* Off-site Support* On-site Checks* Development Programs* Total System Analysis &

Tech. Support* Source Separation Program* Recycling Center Search* Environmental Reports* Waste Elimination, reduction,

reuse programs* Tracking* Training* Hazardous Waste Pad

Management * Second Tier Development

& Mgmt* Waste Treatment* Container Prep & Labels* Safety-Health Studies* Container Management * Emergency Response

LEVEL IV

RESOURCE MANAGEMENT PROGRAM SCOPE OF PROGRAM

LADDER

* Disposal* Hauling* Consultation* Limited Cardboard

recovery using MRF* Limited Off-site support

LEVEL III

* Disposal* Hauling* Consultation

LEVEL II

* Disposal* Hauling

LEVEL I

* Disposal



DEFINITION:Under resource management, a single first-tier supplier manages all plant wastes. The supplier provides all Resource Management services through their on-site staff and the supplier is economically compensated to reduce waste volumes.

Services included under Resource Management:

• Consultation• On-site management team• Off-site support• On-site inspections• Hazardous waste pad management• Container preparation & labeling• Investigate recycling opportunities• Second tier development & management • Source separation studies • Source reduction studies

• Waste disposal scheduling• Environmental studies• Safety/ Health issues • Assist Environmental reporting\training• Total system analysis & tech. mgmt.• Problem solving• Usage tracking• Cost reduction program• Coordinate OEM’S• Waste treatment involvement• Emergency response services

Waste Pad Mgmt. Paint Sludge

Waste Water Treatment

Sludge

General Trash

HazardousWaste

Recycled Wastes

Resource Manager

Resource Management Program



Resource ManagementReduce consumptionReuse chemicals /By products /materials/partsRecycle chemicals/By products/materialsReduce / eliminate waste



Plant RM PROGRAM COMPARISONBefore / After

Before RM After RM

Companies/contracts used Multiple One

Focus Corporation Plant

Common systems None Plant System

Recycling goals Vague Planned & Integrated

Oversight Varied Environ. staff



GMNA Waste Volume & Cost Reduction Trends Baseline Year 2000 Equals 100

0

20

40

60

80

100

120

2000

2001

2002

2003

2004

2005

2006

2007

Total Cost Reduction Total Waste in Tons Reduction



Results for Resource/ By-Product ManagementAchievements

Reduced waste by 40% since 2000Reduced cost by $30 million since 2000Better process controlImproved dataEnhanced environmental stewardshipBetter focus on core business»On-site GM waste handling reduced»Environmental reporting staff requirements reduced»Waste pad management by GM eliminated» Plant waste tracking and coordinating disposal reduced



Global By-Products



Global By-Product Initiative

Background:In North America, Vice President of Manufacturing in NA and other top leadership embraced this Global By-Products Strategy

Direction: Fully implement program at all NA assembly plants as quickly as possible

Status:In 2007 all US and Canada Assembly Implemented, several StampingMexico to followOver $XX Million in value achieved in 2007



AbsorbentsBatteriesCardboardFluidsFoundry wastesGrinding swarfMetal scrapOil

PlasticsPaperRubberSludgesSolventsTextilesVehicle partsWood

By-Products Definition:

“Materials not incorporated into GM Products”



By-Product Recovery Vision

Use the Resource Managers to achieve zero landfill and recover all resources to their highest value

Batteries

Cardboard

Filters

Fluids

Foundry wastes

Grinding swarf

Oil

Plastics

Paper

RubberSludges

Solvents

Textiles

Trash

Wood

Vehicle Components

Metal Scrap



Financial ValueBy-Products Strategy enables cross-functional, multi-facility projects to enhance financial value

Numerous projects identified – Potential value $XXXFiltration - Potential > $XXXMetallic Projects - Potential > $XXX



By-Product Former State

Several groups were managing materials with overlapping responsibilities

Created confusion for plants, suppliers, othersMaterial values were not maximized

Resource Managers are on-site in our plantsPrimary focus is complianceSecondary focus on waste minimization projects



Current State – By-Product Flow

OthersVehicle Parts

Markets SPO, AR

Stamping

Plastics, Other Recycling

GSC

Metallic Scrap Team

Assembly Plants

Logistic Centers

Powertrain

Suppliers

WFG

Landfill

RM

Energy Recovery/Incineration



Vehicle Parts Markets SPO, AR

Stamping

Plastics, Other Recycling

Metallic Scrap Team

Assembly Plants

Logistic Centers

Powertrain

Suppliers

WFGRM

Landfill

Proposed State – By-Product Flow

Energy Recovery/Incineration



New State

Expand RM program to manage the disposition of all by-products and become the single point within our facilities

Primary focus is zero landfill and maximum return to GM

Work with existing in-plant personnel

We now place Commodity Resource Managers on-site

Primary focus is waste minimization

Achieve financial value for commodities

Fill all gaps in by-product management commodities



Zero Landfill Strategy



GMGM’’s Road to Zeros Road to Zero

All by-products that come from ongoing, day-to-day manufacturing-related operations, must be taken into account as part of a landfill-free designation. This includes episodic/ periodic by-products, such as pit cleanouts. To qualify for a "landfill-free" status, facilities must handle by-products by any other method except placement in a landfill.

Zero Landfill



• 14 facilities at zero• Based on manufacturing outputs (By-Product/waste)• Many years required to enable this result• Goal is 50% Landfill Free by 2010• Global Environmental Programs Team coordinates• Executive level & Plant level teams embraced concept• Green recognized as a strategic business strategy

Zero Landfill Overview



GM Facility Mfg Operations By-product

Plastic Recycling

Recycling Operations

Used Oil

Energy Recovery

Metals Recovery, Foundry

Ash By-Product

Packaging Related misc. Materials

Redirect Back to GM

External Applications

Public Energy

Salvaged, Excess Part Sales

Dealerships Collision Shops

By-Product MaterialFlow Process for

Zero Landfill



• E-Metric placed into plant scorecards• Grinding swarf project of 2004• Rolled media recycling project in 2005• Partnership with Purchasing and Finance• Best Practice developed

Program Enablers



Rolled Media Recycling Project



Rolled Media Recycling Project• Created a specification to commonize media

• Polypropylene and low cellulose content• Created a competitive condition with suppliers

• Tied to media suppliers• Assisted suppliers/recyclers in setting up programs• Plant Environmental Engineers demand recycling

• Tied to zero landfill efforts• End uses are pallet spacers, air filters and energy



Grinding Swarf Project



Grinding Swarf Project

• Recycling methods were tried for many years• Volume equaled 1/3 of GM industrial waste stream• Partnered with Purchasing• Leveraged swarf contracts with chip contracts• Primarily mixed with chips at 7 to 10 % mix rate• Plant Resource Managers cleaned up streams

• Removed metals and wood• Free liquids drained



Primary Challenges

• Foundry sand • Plant trash• Packaging by-product • Transportation of commodities • F-019 WWTP Sludge



Initiative Enablers, Going Forward

• Global By-Products Initiative• Vehicle Component Recovery (VCR)• Single point of contact from “Point of

Accumulation”• Multi-facility corporate contracts• “Roadmap to Zero”

• Best Practices, Work Instructions, etc• By-product to energy options



Design for the Environment (DfE)



Design for the Environment (DfE)

Our Mission:Integrate life-cycle environmental

considerations into product development, manufacturing process and material selection activities in order to reduce product and facility environmental impacts and costs.



DfE Evolution in GM

DfE teams formed in Product Engineering and WFGDFE Product Engineering worked with Vehicle Systems Engineering (VSE)DfE Facilities work with VSE and Facilities groups

Formerly specification driven and product focusedEvolved into educating all engineers that DfE is part of their businessToday, DfE concepts are considered all engineers jobsToday, Environmental activities are considered all employees jobs



Successful Strategies Need Focus

Manufacturing

Engineering Env

ironm

ental

Engine

ering

Plants

Purchasing



Strategies Must be Focused on Reducing Total Systems Emissions & Costs

ReduceTotal

System Emissions &

Costs

Manufacturing Engineering

Purchasing

Environmental Engineering

Plants



ReducedTotal System

Cost

Environmental Compliance

Reduced Consumption

Process Improvement

Sound Business Plan

TechnicallyQualifiedSupplier.

TrainedOn-Site

Staff

DefinedExpectations

Total GM Commitment

Employee Safety

Successful Global Environmental Programs - A Foundation



Global Environmental Programs –Going Forward

Roll-out the CM, RM, DfE programs in all regions of the world where feasibleAssess the supplier base for capabilities Conduct Symposiums and Reviews with plants and suppliersAssist in Implementing Global By-Products StrategyZero Landfill 50% of global plants in GM by 2010Track our performance through metrics



By-Products Facility Metrics - Greenhouse Gas

Financial improvements, Landfill avoidance and GHG reductions are part of metrics

Capture CO2 equivalent emission reductions from each project

Use EPA Warm Model

Work with other GM groups and WasteWise

WasteWise Hall of Fame active member

In 2006, GM reduced GHG emissions by 4.182 million metric tons of CO2 equivalent



General Motors Environmental Principles

As a responsible corporate citizen, General Motors is dedicated to protecting human health, natural resources and the global environment. This dedication reaches further than compliance with the law to encompass the integration of sound environmental practices into our business decisions.

The following environmental principles provide guidance to General Motors personnel worldwide in the conduct of their daily business practices.

1. We are committed to actions to restore and preserve the environment.

2. We are committed to reducing waste and pollutants, conserving resources and recycling materials at every stage of the product life cycle.

3. We will continue to participate actively in educating the publicregarding environmental conservation.

4. We will continue to pursue vigorously the development and implementation of technologies for minimizing pollutant emissions.

5. We will continue to pursue vigorously the development and implementation of technically sound and financially responsible environmental laws and regulations.

6. We will continually assess the impact of our plants and products on the environment and the communities in which we live and operatewith a goal of continuous improvement.

epa’s resource conservation challenge – national meeting...

Documents