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APO Project: Development of Demonstration Companies: Seminar on Go Green and Efficient with MFCA 1 K D Bhardwaj Senior Program Officer, Industry Department Asian Productivity Organization Bangkok, 21 November 2014

K d bhardwaj presentation green productivity material flow cost

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Page 1: K d bhardwaj presentation green productivity material flow cost

APO Project: Development of Demonstration Companies: Seminar

on Go Green and Efficient with MFCA

1

K D BhardwajSenior Program Officer, Industry DepartmentAsian Productivity OrganizationBangkok, 21 November 2014

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APO History

Envisioned in the Asian Round Table Productivity Conference held in Tokyo in1959 as a regional intergovernmental organization for productivity

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What is the APO?The APO is a regional intergovernmental organization and is nonpolitical, nonprofit, and nondiscriminatory.

When was the APO established? It was established on 11 May 1961.

What does the APO do?The APO promotes productivity among its members in the industry, service, and agriculture sectors, and in doing so it partners mainly with NPOs and other international organizations.

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Why does the APO promote productivity?The APO promotes productivity because it is one of the keys to achieving sustainable socioeconomic development.

How does the APO promote productivity?The APO carries out capacity-building activities for NPOs and undertakes projects for human resources development such as training courses, research, and publications.

Where does the APO obtain its funding?Funding mainly depends on annual membership contributions supplemented by special cash and project implementation grants from the governments of APO members.

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Membership20 member economies

• Bangladesh (1982)• Cambodia (2004)• Republic of China (1961)• Fiji (1984)• Hong Kong (1963)• India (1961)• Indonesia (1968)• Islamic Republic of Iran (1965)• Japan (1961)• Republic of Korea (1961)• Lao PDR (2002)• Malaysia (1983)• Mongolia (1992)• Nepal (1961)• Pakistan (1961)• Philippines (1961)• Singapore (1969)• Sri Lanka (1966)• Thailand (1961)• Vietnam (1996)

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Structure

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APO Secretariat: Departments

Administration & Finance Department

The Administration and Finance (A&F) Department provides organizational, financial, and personnel management support to all Secretariat departments.

Research & Planning Department

The Research and Planning (R&P) Department is the think tank and regional advisory body within the APO.

Industry Department

The Industry Department conducts training and human resources development projects focusing on the manufacturing and service sectors as well as Green Productivity (GP)-related issues.

Agriculture Department

Agriculture, including fisheries, forestry, and related subsectors, plays an important role in the socioeconomic development of many APO members.

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Roles of APO

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Our Vision and Mission

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• Focus of the NPO

To promote and develop national productivity movement.

conducting research studies to address current and

emerging issues, and publish and disseminate information

on productivity.

• NPO Institutional set-up Statutory bodies (ROC, Fiji, India, ROK, Malaysia,

Pakistan, Philippines, Singapore, Thailand, and Vietnam)

Government Department (Bangladesh, Cambodia, Indonesia, IR Iran, Lao PDR, and Sri Lanka)

Private Bodies (Japan, Mongolia, Nepal)

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National Productivity Organizations (NPOs)

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NPOProjects APO

Secretariat

Membership contributions, special grantsRequest, suggestions, Evaluation

Deputation of experts, sponsoring individual-country study mission

Research reports, publications and audio-visual training materials

Industries

AcademiaLabor Unions Others

Government

MemberCountries

Sending participantsHosting projects

PlanningOrganiz -

ation

Seminars

SymposiaTrainingCourses

Studymeetings

Surveys

Studymissions

Environment

AgricultureDept.

Administrativeand Finance

Dept.

IndustryDept.

Informationand PublicRelations

Research andPlanning Dept.

AgriculturalOrganization

Projects in Collaboration with NPOs

Dept.Dept.

Three Types

A. Multi

B. Limited

C. Individual

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Demonstration Company Projects

Objective:

To assist member countries in establishing demonstration-cum-productivity model companies/organizations to showcase the processes and results of productivity, quality, environmental, and energy efficiency improvements, food safety in factories, companies, and enterprises in a tangible, practical manner while assisting NPOs to build the capacity to provide consultancy and training services through their complete involvement in such projects.

Duration: 12-18 months

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Demonstration Company Projects

MOST IMPORTANT FEATURES:

- Demonstration of productivity and quality improvement

- Role model company

- Dissemination

- Multiplier Impact

- Others to follow

- Capacity Building of all stake holders

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Background of Green Productivity Program• 1961 Birth of APO• 1992: Rio Earth Summit• 1993-94:Basic Research Project on the Environment and

Productivity• 1994: Established Committee on Environment (COE)• 1994: GP Program was launched with the special grant from the

Government of Japan • 1996: World Conference on GP• 1997-2002: Defining GP and Creating Projects• 2002: Participated in the World Summit on Sustainable

Development (WSSD) in Johannesburg• 2002: 2nd World Conference on GP

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Ensures profitability

Enhances Quality of Life

What is Green Productivity

Green Productivity (GP) is a strategy for enhancing productivity and environmental performance for sustainable socio-economic development. It is the application of appropriate productivity and environmental management tools, techniques, technologies to reduce the environmental impact of organization’s activities for products and services.

Green Productivity (GP) is a strategy for enhancing productivity and environmental performance for sustainable socio-economic development. It is the application of appropriate productivity and environmental management tools, techniques, technologies to reduce the environmental impact of organization’s activities for products and services.

Reduces environmental impact

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Green Productivity Concept

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Getting StartedGetting Started

PlanningPlanningPlanning

Generation and Evaluation

of GP Options

Generation andEvaluation ofGP Options

Generation andEvaluation ofGP Options

Sustaining GPSustaining GP

Monitoring and Review

Monitoring and Review

Implementation of GP Options

Implementation ofGP Options

Implementation ofGP Options

I

II

IIIIV

V

VI

Green Productivity Methodology

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Green Productivity Methodology

STEP I: GETTING STARTEDTASK 1 -TEAM FORMATIONTASK 2 -WALK THROUGH SURVEY & INFORMATION COLLECTION

STEP II: PLANNINGTASK 3 -IDENTIFICATION OF PROBLEMSTASK 4 -SETTING OBJECTIVES & TARGETS

STEP III: GENERATION, & EVALUATIONOF GP OPTIONSTASK 5 -GENERATION OF GP OPTIONSTASK 6 -SCREENING & EVALUATION OF GP OPTIONSTASK 7 - FORMATION OF GP IMPLEMENTATION PLAN

STEP IV: IMPLEMENTATION OF GP OPTIONSTASK 8 -IMPLEMENTATION OF SELECTED GP OPTIONSTASK 9 -TRAINING, AWARENESS BUILDING & DEVELOPING COMPETENCE

STEP V: MONITORING & REVIEWTASK 10 -MONITORING & EVALUATION OF RESULTTASK 11 -MANAGEMENT REVIEW

STEP VI: SUSTAINING GPTASK 12 -INCORPORATE CHANGES INTO ORGANIZATION,S SYSTEM OF MANAGEMNETTASK 13 -IDENTIFYING NEW/ADDITIONAL PROBLEM AREAS FRO CONTINUOUS IMPROVEMNET

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GP - Comprehensive Approach

↓end-of-pipe

↓3Rs

Pollution Prevention (PP)↓

Eco-designLife Cycle Approach

Eco-products

Individual Approach

↓Quality Management

Environmental

Management System (ISO14000)

Waste Management

Management Approach

Systematic Approach

↓Zero Waste

Eco-town

Sustainable Cities

Total Socio-Economic Productivity (Improved economic, environmental and social performance)

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Initiation of MFCA

• The original MFCA concept was developed by Prof. Bernd Wagner & colleagues at IMU (Institute für Management und Umwelt) in Augsburg, Germany

• Introduced in Japan around 2000

• Many Japanese companies have since adopted MFCA

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What is MFCA ?

MFCA is a management tool that promotes the efficient use of materials more effectively, contributing to reductions in waste, emissions, and nonproducts.

MFCA increases the transparency of material flow, which is a key to successful problem solving and improvement.

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What is MFCA ?

By solving problems, organizations can increase their resource productivity and reduce costs at the same time. This is in line with the Green Productivity (GP) concept.

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What is MFCA ?

To standardize MFCA practices, a working group of the ISO Technical Committee ISO/TC 207, Environmental Management, developed ISO 14051

ISO 14051 complements the ISO 14000 family of environmental management system standards, including life cycle assessment (ISO 14040, ISO 14044) and environmental performance evaluation (ISO 14031).

The standard was published in the second half of 2011.

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What is MFCA?

The resulting information can help companies & managers to seek opportunities to generate financial benefits & reduce environmental impacts.

MFCA is applicable to any organization that uses materials and energy.

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• MFCA focuses on Wastes, as profit is hidden in wastes

• MFCA finds out the hidden profit

Rs.

MFCA

Japanese “Mottainai” Concept, “What a shame to be wasteful” in ISO

Significance of MFCA

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Reduces Environmental Impacts

Reduces Wastages

Increases ProfitImproves Productivity

Internal benefits External benefits

Benefits of MFCA

Contributes to Sustainable Development

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Cost Elements: MFCACost Elements: MFCA

1. Material: Input   Value   of   Material  

2. Energy: Input   Value   of   Energy

3. System: Labor, Depreciation   etc.,

4. Disposal: Waste Management Cost

Cost Elements

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Manual on MFCA

http://www.apo-tokyo.org/publications/ebooks/ebooks_category/subject/green-productivity/

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Thank you!

K D BhardwajSenior Program Officer

Industry Department, [email protected]