SRM and Remanufacturing

IEMA - Waste to Resources

August 2014

Andy Whyle

Ricoh UK Products Ltd

Content

Ricoh’s Sustainability Strategy

Zero waste & Remanufacturing

Ricoh Global Manufacturing

■ Shanghai Ricoh Digital Equipment Co.,

Ltd.

■ Ricoh UK Products Ltd. (RPL) ■ Ricoh Industrie France S.A.S.

■ Ricoh Asia Industry (Shenzhen), Ltd. ■ Ricoh Manufacturing (Thailand), Ltd.

■ Ricoh Electronics, Inc

California & Georgia

U.S.A

UK

France

China

Thailand ■ Ricoh Components &

Products (Shenzhen) Co.,

Ltd.

■ Ricoh Japan

14 Production

Sites.

Ricoh Environmental Leadership

• “As the global environment is in critical condition,

business communities are expected to take a

leadership role in building a new social paradigm.”

(S. Kondo 2008)

• “We will continue working together with

stakeholders throughout the world, including our

customers, suppliers, shareholders and investors,

NGOs and NPOs, and the public, to realize a

sustainable society.” (S. Kondo 2010)

• “ ….. customer expectations of RICOH will evolve

into long lasting trust. They will realize that the

RICOH Group truly lives up to its "Harmonize with

the environment" value. In this way, the RICOH

brand will grow in society. “ (M Sakurai 2011)

“What makes Ricoh great is not only

our superior technology, but it is also

our culture of innovation”.

Zenji Miura (CEO, Ricoh Company Ltd)

The RICOH Way

Production System

Established in 1984

Based in Telford,

Shropshire

800 employees

£390 million sales

Supplying European

market place

Ricoh Telford - RPL

Product Range

Site

Entrance

RPL

3

RPL

2

RPL

1

Cartridge Recycling

Colour toner

+ Moulding

Remanufactured

Copiers

B&W Toner

Production

Production Printers

Building a Sustainable Society - Balance

1:Reducing the impact of our

environmental activities

• Energy Saving / Global Warming

Prevention

• Resource Conservation / Recycling

• Pollution Prevention

2: Preserve the eco-system

(Biodiversity)

• Increase the earth’s regenerative

capacity

• Maintain and enhance the eco-

systems

Ricoh Group's global environmental conservation: Keeping

environmental impact within the self-recovery capabilities of

the Earth

1

2

Sustainable Environmental Management

* Ref - www.ricoh.com/environment/management/picture.html* Ref - www.ricoh.com/environment/management/vision.html

Resource

Conservation create a resource

recirculating society

Energy

Conservation combat issues

associated with

climate change

Pollution

Preventionenvironmentally safer

manufacturing

Environmental management system, Environmental information system,

Environmental accounting, Environmental education, Produc lifecycle

assessment, Communications etc.

Biodiversity

Conservation improve the Earth’s

self-recovery

capabilities

2010 20502000 2013 2020 2030 2040

100%

80%

60%

40%

20%

0%

TECHNO-CENTRIC

Technical

innovation effect

Ricoh’s long-term goals for

environmental impact reduction

ECO-CENTRIC

Encouraging all employees

to participate in

environmental activities

1/8

TECHNO-CENTRIC

Technical

innovation effect

2013 Goal

25% reduction

2010 Goal

20% reduction

2030 Goal

30% Reduction

2050 Goal

87.5% Reduction

Sustainability

credentials

Cert no: FS 33325

ISO 9001:2008Cert no: EMS 61761

ISO 14001:2004Cert no: OHS 556746

BS OHSAS 18001:2007Cert no: IS 85241

ISO 27001:2005

Ricoh Telford

• Energy Efficiency Accreditation Scheme (Top 5 UK) 2004

• BQF UK Gold Medal for Sustained Excellence 2009

• Environment Agency: Best private sector Finalist 2010

• Business Commitment to the Environment Premier

Award 2011

• Benchmarking - being confident in sharing

validated environmental best practice

Benchmarking

Ricoh recognised as one of Top Global sustainable

corporations.

Strategic Summary

Concept: Long term strategic approach with staged

targets

Approach: Eco-centric culture change with Techno-

centric development, staged targets (Mid Term Plans)

working towards 2050,

Result: Not optional activity - Sustainability embedded

into management culture with performance targets

(organisational and individual).

Resource Conservation

Zero Waste & Remanufacturing

Reducing Operational Impact

Ricoh Group's global

environmental conservation:

Keeping environmental impact

within the self-recovery

capabilities of the Earth

12

Ricoh Group Standard: Zero Waste to Landfill

All Ricoh Group Manufacturing sites since March 2002

Challenges and Problems

Adaptation of Corporate model

Management Commitment

Cultural issues

Employee involvement

Resources

Developing working methods

Maintenance and compliance

Zero Waste Launch 2000:

01/12/2014 16

Zero Waste Project

Steering

Group

Segregation

GroupCommercial

Parts

Engineering

Project launch included all

employees

Presentations were given by

senior managers/Director to

demonstrate support for project

Team working activities followed

presentations in respective work

areas

3R’s: Reduce-Reuse-Recycle

Zero Waste Launch

Manufacturing Environments

Segregation in, or adjacent to work

areas

RPL Office Environment

No personal bins

Central segregation

areas

Ricoh Telford waste streams

Zero Waste 2001: Waste-2-Product

Waste-2-ProductWood pallets

Plastic pallets

Steel

Ferrous metals

Aluminium

Paper

Cardboard

Plastics

Glass

Electronic equipment

General Waste

Haz waste

…. then prepared for the

contractor (customer)

Recycling Centre

Reuse: Packaging Re-use

• Martini Product Corner post packaging re-use

• Returnable post extension designed, enabling waste posts to be

used on finished products

• Waste reduced by 83 tonnes per year

• Reduction of waste for end user

• Horizontal deployment opportunities

• Returnable packaging opportunity

Zero Waste to Landfill: 2001

Approach:

Recognising “waste” as a resource

(Waste-2-Product)

Management commitment, targets

Ownership through people involvement and

use of knowledge

“Segregate at Source” approach included in

employees induction

Compliance with environmental legislation,

Result: waste recognised as a resource for

sale and cost saving, whilst reducing

environmental impacts.

Zero Waste : Cyclical Business model

Improve waste

segregation to create new

“Product”

Supply product

Reduce cost – Receive revenue

Market

saturation

Recycling Contractor

rejects low quality product

Decrease in operational

performance

Drives innovation

& process change (resource required)

Zero Waste is an ongoing continuous development

Resource Security - “Peakonomics”

Chris Martenson (Crash Course)

Jae Mather (Carbon Free Group)

Heed the warnings …….

Copper Ore Vein: 0.2%

• Earth movers capacity = 255 tonnes

• 0.2% = 0.5 tonnes of copper per load

IEMA – From Waste to Resources

Resources are the life blood of

manufacturing. Without a clear

view of supply risks and an active

and ambitious strategy to manage

those risks, businesses will be

increasingly vulnerable to price

volatility, supply chain

disruption and business

continuity risks.

Susanne Baker, AIEMA, EEF and Chair of

Materials Security Working Group Read

more about Susanne’s work at

www.iema.net/rm111

01/12/2014 27

The Circular Economy

COLLECTION

Extradition of

biochemical

feedstock2

Anaerobic

digestion

/composting

Biogas

Restoration

Biological

nutrients

Mining/materials

manufacturing

Technical nutrients

Farming

collection1

Biochemical

feedstock

COLLECTION

1. Hunting and fishing

2. Can take both post harvest & post consumer waste as an input

Source: Ellen MacArthur Foundation economy team

IEMA – From Waste to Resources report

01/12/2014 29

Ricoh Comet Circle

01/12/2014 30

20502000

100%

80%

60%

40%

20%

0%

Ricoh’s 2050 Plan

Impact reduction

Virgin Fossil and

Mineral materials

Reuse of products

and parts

50%of incoming

materials

from

Recycled

or Reused

Land use(factory construction/

landscaping).

Collection/ Recycling

Water Timber

Crude Oil

(fuel)

Natural

GasCoal

Zinc Ore

Nickel Ore

Copper Ore

Molybdenum

Platinum

Chromium Ore

Manganese Ore

Silver

Ore

Bauxite

Lead

OreTin Ore

Crude Oil

(raw Material)

Silver

Ore

Gold Ore

Titanium

C O

(carbon Monoxide)

NOx

(Nitrogen Oxide)

SOx

(Sulphur Oxide)

CO2

(Carbon Dioxide)

N20

(Nitrous

Oxide)

CxHy

(hydro

Carbons)

CH4

(Methane)Dust

NMVOC

(Non-methane

Hydrocarbons)

Slag

Unspecified Solid Waste

Sludge

BOD

(Biological Oxygen

Demand)

COD

(Chemical Oxygen

Demand)SS

(suspended Solids)

Logistics/ Marketing

Procurement of raw materials

Use/ Maintenance

Input Output

Design/ Manufacturing

Continuous INPUT of resources to create products and OUTPUT of chemical substances, a linear relationship between these two are to be the basis of increasing the negative environmental impact on the

Earth.

In the future, if natural resources are to be depleted the we won’t be able to continue our normal business activities. We wonder if there is

a way to avoid running out of resources as opposed to such linear activities.

Extracted Resources for the business activities

such as

•Energy resource

•Mineral resource

•Renewable Resources

Substances that discharge in the

process of business activities.

Resource Security

Manufacturing Today

The sustainable ideal is a balanced 3Ps

approach

Most of today’s product tends towards 1st life/

single use (profit centric)

Sustainable design is increasing, but not yet

the mainstream (Manufacture assembly,

disassembly and end of life - MADE BS8887

part2)

Ricoh reacts to the market conflict of “1st Life

vs. Sustainable Customer Demand” through

Developing robust reverse logistics

Life cycle (Comet Circle) drive towards

retention of assets

Ricoh’s role is to learn, and move towards

resource conservation.

Planet

People ProfitProfit

Eco-Line products

UK Remanufactured

Products

TELFORD FACTORY

Ricoh Remanufcturing

Green centre

Firmware upgrades

Technical modifications

PRODUCTION LINE

COMPONENTS

Eco Line - Remanufacturing Process

Remanufactured machines (BS-MADE

8887-2)

Striped to chassis

All mortality parts replaced /All panels

sprayed

All firmware / software modifications fitted

Completely Re-branded and sold as new

line

Quality Control: inspected and assured the

same as new products

Extending the life cycle, reducing

environmental impact

Life Cycle Analysis

Raw material Manufacture Customer usageRecycle

& disposal

Remanufacturing = 38% Environmental impact reduction

Life Cycle: Comet Circle deployment

Customer

Operating

Company

Product

Manf.

Parts

Manf.

Materials

Manf.

Materials

Supplier

MaintenanceParts

Recovery

Materials

Recovery

Material

Separation

Raw material

recovery

Incineration with

Energy Recovery

Final

Disposal

Recovery

Secondary User of

Materials

Recycling

Centre

Green

Centre

Remanufacturing Zero Waste

SRM Summary

Strategy: to develop our business to maintain materials for productivity

Long term approach (2050 Plan)

Zero Waste underpins Sustainable Resource Management

Increasing Supply Chain awareness of Reverse Logistics

Life Cycle - Comet Circle deployment

Diversification of operation (remanufacturing)

Result:

Manufacturers and Customers now beginning to grasp Resource

Conservation as a strategic issue.

Reduced environmental impact of operation, extended life cycle of

materials, resulting in an increased ability to maintain future business

continuity (Sustainability).

The Ricoh Way – Responsible Business Growth

RPL’s expertise is used

to assist Ricoh Sales

and to show customers

The Ricoh Way

Ricoh Telford’s Energy

Reduction exceeds

Ricoh’s CO2 targets and

also saves £0.5 Million

per year.

The Waste -2-Product

program increases the

life cycle of materials

whilst increasing

profitability

Remanufacturing

Eco Line and Supplies

Recycling increase the

sustainability of raw

materials and our

manufacturing process

Waste and CO2 generation is now decoupled from growth (turnover

increased by 325% since 2003) in line with Zero Impact Growth philosophy

Waste-2-Product

The RICOH Way

Production System

RPL Energy Emissions (CO2)

RPL Telford Electricity (MWh)

5,000

7,000

9,000

11,000

13,000

15,000

17,000

19,000

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

MWh

Electricity MWh

Corporate Biodiversity

actively repairs damage

and engages

employees and

stakeholders.

RPL Telford Turnover (£M)

0

50

100

150

200

250

300

350

400

450

2003 2004 2005 2006 2007 2008 2009 2010 2011 2012 2013

£ M

Turnover (£M)

Impact vs £ Turnover

Greater understanding of your business

Knowledge

Share

Continuous Innovation & Improvements

Site Visits

Best

Practice

Technology

Assessment

Strategy

Development

Tailored

Training

Ricoh: sustainable

business services

Ben Curtis

Account Manager

Key Commercial

ben.curtis@ricoh.co.uk

www.ricoh.co.uk