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smith2006
smith2006
A STRATEGIC APPROACH TO
ADVANCING SUSTAINABILITY
AT STEELCASE
hether it is apparent or not, every one of us ing toward more environmentally sensitive prod-
W is exposed to dozens of environmental mes-
sages every day. Issues like climate change, acid
ucts and services. Today, more than 80 percent of all
the requests for proposals Steelcase receives have
rain, energy consumption, and more fill our head- some kind of environmental requirement, and
lines, news stories, Web sites, and even our televi- among the most competitive, largest scale projects,
sion and print advertising. There is a growing global about 95 percent of proposal requests include en-
consciousness of the need for people, businesses, vironmental factors as a key section to be addressed.
and organizations to become more eco-sensitive— Years ago, customer requirements were quite
to protect, preserve, and restore the environment. different. High quality was paramount, and one of
Supporting environmental initiatives—clean- the distinguishing characteristics was on-time de-
ing up and caring for the things that need to be pro- livery. When Steelcase was awarded the project to
tected—has become both a business performance furnish all 110 floors of the Sears Tower in Chicago
issue and a key marketing issue. More and more in back in the 1970s, one of the most critical factors
the global marketplace, environmental attributes was the ability to deliver products on time, in se-
are being recognized as a measure of quality. quence, floor by floor. Customers still expect high
In the contract furnishings industry, where Steel- quality and expert services, but they have envi-
case conducts its business, the market is also push- ronmental requirements, too.
* * *
Allan W. Smith is director, Global Environmental Strategy and Programs, for Steelcase Inc. in Grand Rapids, Michigan, and can be contacted
at asmith4@steelcase.com. David A. Rinard is director, Environmental Performance, for Steelcase Inc. in Grand Rapids, Michigan, and can be
contacted at drinard@steelcase.com. © 2006 by Steelcase Inc.; all rights reserved. Reprinted by permission of Steelcase Inc.
pact that decisions can have on the health and duced, 70 percent is recycled. Sawdust is sent to a
safety within communities and environments waste-to-energy facility that uses it as a fuel in the
around the globe. One example in our industry is production of energy. Veneer scrap is mixed with
chromium, which is used in the leather-tanning yard waste, composted, and reused as topsoil.
process. In many developing countries, open pits Many of the steps we took to receive LEED
or vats of chromium salts are used to tan the building certification are not directly related to
leather, which can affect the health of exposed the manufacturing process—like low flush toilets
workers. To address the problem, we are intro- and energy-saving roofing materials. We believe,
ducing a new, vegetable-based tanning process however, that ultimately it all contributes to the
for leather materials we use. quality of the products built there. Safer, health-
Experimenting with new processes and tech- ier workers create better products. And a cleaner
nologies has long been the norm for our company. environment creates a better future for people and
When we decided to build a new, state-of-the-art for business.
wood furniture manufacturing plant, we chose to
incorporate new environmental building guide- Throughout the manufacturing process, we
lines spearheaded by LEED™ (Leadership in En- minimize waste, its inherent costs, and its
ergy and Environmental Design, a program de- environmental impact.
veloped and administered by the U.S. Green
Building Council). Under the LEED program, a
facility earns credits toward certification by meet- Another step Steelcase has taken in support
ing standards for energy efficiency, safeguarding of our environmental goals is applying interna-
water, conserving materials and resources, en- tional standards to the manufacturing process. We
hancing indoor environmental quality, and site are enhancing our environmental management
planning. While a number of buildings were seek- system by adopting ISO 14001, an international
ing LEED certification, the guidelines had never standard for validating that manufacturers have a
been applied within a manufacturing framework. measurement and monitoring system for various
In 2000 Steelcase acted as the LEED pilot operations and activities, including environmen-
program for a manufacturing facility when we tal impact. To date, Steelcase has achieved ISO
began the construction planning process of our 14001 for seven of our manufacturing plants, in-
new wood furniture plant. cluding Madrid, Spain; Sarrebourg, France; Genk,
Working closely with the U.S. Green Build- Belgium; Rosenheim, Germany; Durlangen, Ger-
ing Council throughout all phases of planning and many; Markham, Ontario; and one in Grand
construction, Steelcase successfully incorporated Rapids, Michigan.
LEED criteria into the building design and earned All these efforts have made a difference. Be-
a Silver Certification rating in 2001. Our Wood tween 2001 and 2005, our greenhouse gas emis-
plant was the first LEED-certified manufacturing sions declined 41 percent (see Exhibit 1). Over
facility in the world, setting a standard for others that same period, we reduced our water con-
to follow. sumption by 54 percent as a result of technology
Along with committing to environmental improvements and production efficiencies such
building criteria, we went a step further. We in- as water treatment and recycling. During that time
troduced a new technology for wood finishing that we also reduced the amount of energy we used—
reduced VOC emissions by more than 90 percent. including natural gas, electricity, coal, and diesel
Remaining VOC emissions are captured by our fuel—by 46 percent (see Exhibit 2). We have been
emission control process and destroyed. Excess consistent in these reductions even while sales are
water is reclaimed from the finishing process and on the upswing.
recycled for other processes such as mixing water-
based stains. DESIGNING FOR THE ENVIRONMENT
Throughout the manufacturing process, we
minimize waste, its inherent costs, and its envi- In the early 1990s, as Steelcase studied environ-
ronmental impact. Of the solid waste that is pro- mental and technology improvements that would
affect the manufacturing process, we also began Even with all the information that is available
to focus more strongly on recycled content, recy- today, it is difficult to tell which products are more
clability, and the idea of design for disassembly. sustainable. Steel, for example, has an average of
At the same time, we moved from an infor- 30 percent recycled content, while aluminum is
mal approach to specifically embedding a proto- more in the range of 70 to 80 percent. Manufac-
col called Design for the Environment—a set of turers using aluminum in their product can rightly
formal design objectives integrated within our claim that it has higher recycled content than a
global product development process that takes steel-based product does, but because it takes two
into consideration: to three times more energy to make aluminum
than steel, the higher recycled content could come
• Long product life at a higher energy cost.
• Use of sustainable wood sources Every material has its own cost component,
• Elimination of harmful materials and its own environmental impact, and its own struc-
indoor air emissions tural cost. Throughout the development process,
• Maximized recycled content and there are trade-offs between what materials are
recyclability best from an environmental standpoint, what is
• Conservation of resources and energy required structurally, and at what cost. By weigh-
(waste elimination) ing each factor and striking the right balance, we
• Product end-of-use strategy can create a product that is environmentally
friendly, cost competitive, and meets all user re-
One of the challenges we have encountered quirements. Working through the materials analy-
in our work is understanding and balancing the sis and different points of view about the results
various environmental dimensions. What happens requires both time and commitment.
if they compete with one another? How do you
make the right decision? We have learned that a LIFE CYCLE THINKING
key part of confronting these issues lies in edu-
cation—helping people recognize the complexi- The major push to broaden our environmental
ties involved so that they understand and optimize focus to include everything from materials ex-
for the full life cycle, not just one dimension. traction to end of use—in essence, the entire life
cycle of a product—began in earnest in the early dustry’s largest sources of sustainable research
1990s. Designtex, a Steelcase company, began and data. As its study of environmentally sound
looking more closely at environmental factors re- practices expands, innovative products emerge.
lated to the production of commercial textiles. It Eco Intelligent Polyester™, for example, is the
started working with William McDonough, one first environmentally defined synthetic textile, de-
of the founders of McDonough Braungart Design signed to be perpetually recycled into a product of
Chemistry (MBDC), a leading process and de- equal or greater value.
sign firm. Together, they evaluated the chemicals The Designtex experience, combined with our
and materials used in the textile manufacturing evolving understanding of Design for the Envi-
process against 19 human and environmental ronment, made it clear that materials selection
health criteria. That research became the founda- was critical in achieving our long-term goal of
tion of a unique fabric line, the industry’s first life cycle assessment.
fully compostable fabric, woven from wool In 2003 Steelcase began development of a new
sheared from free-range New Zealand sheep and seating product that would not only look, feel, re-
from ramie, an organically grown fiber from the spond, and be priced in all the ways people need
Philippines. The manufacturing process generates and expect but also meet a whole new range of
no pollutants. In fact, when production began in life cycle environmental criteria.
a mill in Switzerland, the Swiss regulators were At the outset, one key criterion was develop-
somewhat confused. When they tested the water ing a product that was truly easy to recycle—a
used in the manufacturing process, the water com- chair that could be disassembled in minutes, using
ing out was cleaner than the Swiss drinking water common hand tools. No one had ever worked at
going in. Another benefit is that there is no waste. that level before, and we worked very hard to un-
Scrap fabric is recycled by a consortium of straw- derstand what that meant. What would people do
berry farmers, who use the biodegradable fabric with the components? How much could actually
as ground cover and plant insulation. be recycled?
This new process marked a significant step As part of the development process, we
forward in the use of environmentally sustainable adopted ISO 14040—an internationally recog-
materials and technologies, and Designtex shared nized and accepted framework for performing
what it learned with the entire textile industry. Life Cycle Assessments (LCA) to evaluate the
Over time, Designtex has become one of the in- environmental impact of the product throughout
Exhibit 4. The Steelcase Think® Chair importance. As they develop more sustainable
processes and analyze waste streams, they see new
opportunities to reduce their environmental im-
pact in a variety of ways. Another way Steelcase
can help is through Pathways® Architectural So-
lutions, a portfolio of movable walls, access floors,
modular power, and cabling and lighting prod-
ucts. Pathways components have significant re-
cycled content and are built to be used over and
over again, unlike many traditional construction
materials. Customers benefit not only from an en-
vironmental standpoint but also from an economic
perspective in terms of decreased costs over the
life of the product, increased productivity, and a
stronger bottom line.
As we continue to learn more about life cycle
analysis, it is clear that reuse, recyclability, and
recycled materials will be at the forefront of our
thinking. Not only is it critical to the Design for
the Environment process, our customers gain
advanced design and more environmentally
sound products.
Steelcase has attracted more suppliers to the more sustainable world. We have been building
GSN than any other single company in the United awareness of environmental issues and sustain-
States and is EPA’s chosen representative to talk ability with key audiences for decades, not only
with other manufacturers and suppliers about the to help them learn more about the scope and
program. type of activities we are pursuing but also to
Within our manufacturing environment, mon- spur new ideas and support participation in en-
itoring and eliminating costly municipal solid vironmental activities at home, at work, and in
waste and select industrial wastes are a continu- their communities.
ous improvement effort. To help achieve our ob- Years ago, to encourage our employees to be-
jectives of recycle and reuse, Steelcase partici- come more involved on a day-to-day basis, we used
pates in WasteWise, a voluntary EPA program. a short survey to gauge their personal interest in the
Making goals more explicit and visible, educating environment and their perception of the company’s
our employees, and supporting their efforts make commitment to protecting the environment. What
the program successful. Over the years, we have we learned was that, overwhelmingly, people cared
been honored with WasteWise awards for ac- about the environment and they demonstrated that
complishments in waste prevention, recycling col- caring through recycling at home. Often, they were
lection, and buying or manufacturing recycled- unaware of Steelcase environmental initiatives.
content products. Through WasteWise, we do Clearly, we had work to do.
more than promote the health of the environments We began by supporting recycling of office
in the communities where we live and work: We waste. Recycling bins were placed throughout
gain measurable economic benefits—petroleum our facilities, in visible and accessible loca-
savings, reduced greenhouse gases, conserved en- tions, so people could recycle paper, magazines,
ergy, and landfill space savings. glass, and plastics from their home or work. It
is now to the point where recycling has become
second nature.
Steelcase believes sharing learning, ideas, Throughout the ensuing years, employee in-
and actions is critical to our collective volvement in environmental initiatives has grown.
pursuit of a more sustainable world. Today Steelcase sponsors many environmentally
oriented employee volunteer programs, from high-
In our continuing efforts to conserve re- way clean up to a grassroots program that sup-
sources and prevent pollution, Steelcase became ports “Small Green Steps” people can take to
a founding member of the EPA Green Power make a difference.
Partnership. In 2004, 4.5 percent of the power Currently we are in the process of develop-
we purchased came from green power sources. ing a new environmental education program for
That makes Steelcase the second largest green all Steelcase employees that includes continu-
power purchaser in the state of Michigan (be- ing education units on topics such as materials
hind General Motors Corporation), based on chemistry, which will explain what it is and why
Green Power Partnership estimates. We are now it is important. Our goal is not only to ensure a
planning to go one step further by expanding our basic awareness and familiarity with our envi-
green power purchasing to include locally gen- ronmental vision but also to further embed en-
erated wind power. What we gain is twofold: a vironmental thinking in every department’s goals
power source that is better for the environment and objectives.
and human health, and a hedge against the Through these and other environmentally
volatile prices of fossil fuels. oriented initiatives, our people learn more about
opportunities to personally contribute to making
BUILDING AWARENESS AND the world a better place. We help broaden their
UNDERSTANDING frame of reference and invite them to delve more
deeply into environmental issues. Perhaps even
Steelcase believes sharing learning, ideas, and more importantly, they know they work for a
actions is critical to our collective pursuit of a company that recognizes they make a difference
in the world and are an important part of our ef- continues to explore various strategies—mini-
forts to make products safer for people and the mizing comingled components, consideration of
environment. the number and type of fasteners, possible elim-
In every initiative we take, it is people that make ination of adhesives, ease of disassembly with
it happen. Communicating with our stakeholders, common tools, and clear marking of recyclable
developing new learning opportunities, keeping parts. By making our products easy to recycle,
stakeholders in touch with what is going on and the likelihood for recycling is greatly increased. It
how they can be part of the process—all are criti- is a big step forward in sustainability.
cal to developing sustainable practices and an en-
vironmental consciousness everywhere we operate. As our global manufacturing operations
continue to expand, we recognize
LOOKING AHEAD the long-term impact on people,
communities, and the environment.
As we look to the future, one thing is certain: The
learning never stops. There will always be some-
thing new that emerges from research and the ex- From an environmental perspective, reuse is
change of ideas and still more to accomplish to an important benefit that saves materials, en-
advance and strengthen environmental and human ergy, time, and costs. We are applying what we
health, social responsibility, and economic pros- have learned through ongoing research and
perity in our worldwide operations. Today we are through existing products such as Pathways® Ar-
exploring a number of different areas. chitectural Solutions, which is 100 percent
Materials Chemistry. Steelcase is working reusable, to develop new products that can be
with MBDC to assess and evaluate at a molecu- reused and reconfigured and, at the end of their
lar level all of the chemicals and materials used long, useful life, disassembled, separated, and
in our products and processes to weed out po- recycled.
tential hazards and promote a healthy, safe prod- Eliminating PVC. Another goal is to elim-
uct life cycle. We will use that research to im- inate polyvinyl chloride (PVC) from our prod-
plement a materials scoring tool that will help ucts. Steelcase committed to a PVC exit strategy
us in all current and future product design and in 2005, and we are working with suppliers to
material choices, with the aim of developing find viable substitutes. The first step of our com-
products that can be perpetually recovered and pany’s journey to be PVC-free by 2012 is elim-
reused. inating PVC from edge banding, a critical com-
Life Cycle Assessment. We are continuing ponent of the worksurfaces of most systems
to analyze the product life cycles of our major products.
product lines to understand their environmental Social Responsibility. As our global manu-
impact at every stage. That wealth of data will facturing operations continue to expand, we rec-
help us improve overall environmental perfor- ognize the long-term impact on people, commu-
mance. In some of our recent work, we have nities, and the environment. To ensure the same
learned that Steelcase products with high steel Steelcase standards for manufacturing and labor
content actually have far less environmental im- are met, regardless of location, we have commit-
pact—such as lower impacts on energy resource ted to independent social accountability audits
consumption, global warming potential, acidi- around the world, as appropriate. Making certain
fication potential, solid waste, and particulate that people are paid a living wage and provided
matter—than our competitors’ products, which with a safe place to work is integral to our com-
typically have a higher plastic and aluminum mitment to demonstrate and advance good cor-
content. porate citizenship and sustainable business prac-
Recycling and Reuse. The ability to easily re- tices in every locality in which we live, operate,
cycle materials is a critically important element of or purchase materials.
the Life Cycle Assessment process for address- Measuring Results. A critical part of becom-
ing end-of-use issues for our products. Steelcase ing more sustainable is continuous monitoring to
evaluate our efforts. Are we really doing more DESIGN FOR ONE ENVIRONMENT
with less? Are we deriving as much benefit as we SHOULD NEVER COME AT THE
can from the raw materials and energy we con- EXPENSE OF ANOTHER
sume? Are we conserving resources by applying
new technologies and business practices? Have This is the heart of the Steelcase environmental vi-
we met our cost targets? sion, to excel in every environmental dimension
To ensure that our efforts are making a dif- to protect, replenish, and restore the communities
ference, we will continue to look at many differ- in which we live and serve. We challenge our-
ent areas of our business—waste volumes, green- selves daily to understand how our decisions will
house gases and other emissions, energy affect people and the environment; to learn more
consumption, resource utilization, packaging and about how we can create sustainable products and
transportation, recycling within development and processes; and then to act on what we learn. The
production processes, and recyclable components. more we learn—and apply what we learn—the
We seek every opportunity to minimize our envi- greater the benefits for the environment, our cus-
ronmental impact. tomers, and our partners. I