1. Environmental Quality Office, May 25, 2000
4/13/2017
ISO and Supplier Environmental Requirements By Bob Devlin, Manager Environmental Management and Gary Davis, Environmental Engineer, Norfolk Assembly Plant “Protecting the Environment is Everyone’s Job.”
Modify as needed for each presentation
Need notes or explanation for the purchasing portion since they are not always at the presentations to give their part.
Environmental Quality Office, May 25, 2000

2. Environmental Quality Office, May 25, 2000
4/13/2017
Overview
Ford’s Environmental Management System – Gary Davis, Environmental Engineer, Norfolk Assembly Plant
Ford Supplier ISO – Bob Devlin, Ford Motor Company
Modify as needed
Environmental Quality Office, May 25, 2000

3. Ford’s Environmental Management System
4/13/2017
Ford’s Environmental Management System
Why Ford chose ISO 14001?
Implementation
Lesson’s Learned
Environmental Quality Office, May 25, 2000

4. Environmental Quality Office, May 25, 2000
4/13/2017
Why ISO Certification
Transition from a multi-national company to a global company -- Ford 2000.
Desire for consistent global systems including environmental systems.
Supports Ford strategies
Corporate citizenship
Empowerment (delegated responsibility)
Environmental Quality Office, May 25, 2000

5. Environmental Quality Office, May 25, 2000
4/13/2017
Why ISO Certification
Third party certification is an additional resource for monitoring and provides credibility.
Potential requirement for sales.
Enhance image, potential competitive advantage.
Improve relations with government agencies.
ISO is NOT a Performance Standard or a Guarantee of 100% regulatory compliance
Added the “what ISO is not” part to this page
Environmental Quality Office, May 25, 2000

6. Environmental Quality Office, May 25, 2000
4/13/2017
Background
We see no conflict between business goals and social and environmental needs. I believe the distinction between a good company and a great one is this:
A good company delivers excellent products and services; a great one delivers excellent products and services and strives to make the world a better place
William Clay Ford, Jr.
Chairman of the Board
Determine needed quote & insert here
Environmental Quality Office, May 25, 2000

7. Environmental Quality Office, May 25, 2000
4/13/2017
ISO 14000
Benefits:
Improve Environmental performance
Reduce costs
Establish single management system standard and process
Integrate with other management systems
Increase Public Credibility
Competitiveness
Improved relationship w/ Regulatory Agencies
Environmental Quality Office, May 25, 2000

8. Environmental Quality Office, May 25, 2000
4/13/2017
Lessons Learned
Top Management and Plant Management Support
Begin by evaluating and using what’s already in place
Borrowing – a great place to start
- Aspects, EMPs, Procedures, Work Instructions
Bottom line: Must work for YOU!
Environmental Quality Office, May 25, 2000

9. Environmental Quality Office, May 25, 2000
4/13/2017
Lessons Learned
Implementation requires a significant level of effort and commitment
Excellent opportunity to heighten environmental awareness within the facility/plant
Program maintenance involves the continued support of the plant & management team
Environmental Quality Office, May 25, 2000

10. Environmental Quality Office, May 25, 2000
4/13/2017
Examples of Benefits
Assembly Plant in Ohio reduced purge solvent by 30% resulting in material cost savings of $104,000 annually
Assembly Plant in Kentucky reduced the plant air pressure from 105 PSI to 95 PSI resulting in an annual savings of $150,000
Canadian Engine Plant (typical of many plants) replaced 3200 fluorescent lights with energy efficient bulbs and ballasts reduced energy usage by 1.04 million kWh per year and reduced energy costs by $44,000 per year
Environmental Quality Office, May 25, 2000

11. Ford Environmental System ISO 14001 Top Two Questions
4/13/2017
Ford Environmental System ISO Top Two Questions
Why ISO for suppliers?
What is required of suppliers?
START OF PURCHASING PORTION
Environmental Quality Office, May 25, 2000

12. Environmental Quality Office, May 25, 2000
4/13/2017
Why ISO for suppliers :
For Ford to be able to demonstrate continuous improvement, it was determined our suppliers should also be certified to the same standards
Environmental Quality Office, May 25, 2000

13. Ford Supplier Requirements
4/13/2017
Ford Supplier Requirements
Certification and maintenance of an ISO environmental management system
Chemicals and materials involved in products or services delivered must meet the requirements stated in Restricted Material Standard WSS-M99P9999-A1 and/or Black & Grey lists Standards 1009,1 and 1009,11 (for Volvo suppliers)
Environmental data on processes used and products or materials supplied must be available and furnished upon request to enable environmental product assessments
From list of requirements in supplier environmental requirements book
Environmental Quality Office, May 25, 2000

14. Ford Supplier Requirements
4/13/2017
Ford Supplier Requirements
Effective packaging solutions must be used to minimize waste for delivered products and services
Recyclability – the use of recycled materials and design for recycling principles – shall be considered during the selection of materials and design solutions. All plastic and polymeric parts must be properly identified
Cascade of ISO requirements to tiered suppliers.
From list of requirements in supplier environmental requirements book - continued
Environmental Quality Office, May 25, 2000

15. ISO 14001 Supplier Requirements
4/13/2017
ISO Supplier Requirements
Production and non-production suppliers to achieve
registration at a minimum of one manufacturing site
shipping product to Ford by year end 2001.
Suppliers to achieve registration of all their
manufacturing sites shipping to Ford by July 2003,
Volvo by year end 2002.
Suppliers encouraged to take similar action with
their tiered suppliers.
Environmental Quality Office, May 25, 2000

16. Implementation of Supplier Requirements
The Case For Change
Communication
Training
Environmental Quality Office, May 25, 2000

17. Environmental Quality Office, May 25, 2000
Case For Change
Internal Lessons Learned
Benchmarking
Supplier Readiness Assessment
Environmental Quality Office, May 25, 2000

18. Automotive Companies Requesting ISO 14001
4/13/2017
Case for Change
Benchmarking
Automotive Companies Requesting ISO 14001
Require Recommend
Ford (certification) BMW / Rover
Jaguar (certification) VW/Audi
Volvo (certification) Saab
GM (self certification) Porsche
Honda (Europe & Top NA) ? Toyota
Daimler Chrysler (Europe) ?
Nissan ?
Add third column to demonstrate the level of the requirements
Need to find out about Honda, DC & Nissan
Environmental Quality Office, May 25, 2000

19. Case For Change ISO 14001 Supplier Readiness Survey
4/13/2017
Case For Change ISO Supplier Readiness Survey
Letter and survey sent to Top 200 production and
Top 90 non-production suppliers in North America
in February 1999.
Letter and survey sent to “Europe 150” suppliers
in Europe 95% production suppliers.
Jaguar sent letter to Top suppliers in June 1998
encouraging suppliers to pursue ISO 14001,
followed up with survey to assess supplier
readiness in March 1999.
Environmental Quality Office, May 25, 2000

20. Environmental Quality Office, May 25, 2000
Case For Change
While not conforming to these requirements may not remove a supplier from the approved source list, it may cost that supplier future business and may encourage re-sourcing in the future.
Environmental Quality Office, May 25, 2000

21. Percent of Suppliers With A Corporate Environmental Policy
4/13/2017
Percent of Suppliers With A Corporate Environmental Policy
Need explanations
Note : Percentages represent percentage of survey respondents only.
Environmental Quality Office, May 25, 2000

22. Benchmark Survey Results
4/13/2017
Benchmark Survey Results
A total of 35 European Suppliers* currently have plants
registered to ISO or EMAS. (Europe 150 Production)
A total of 38 North American Suppliers* have plants currently
registered to ISO (Top 100 & Next 100)
Among non-production suppliers, 7 reported registration
to ISO
* Suppliers Reporting minimum of one plant currently shipping to Ford
registered to ISO or EMAS as of July 1999.
Environmental Quality Office, May 25, 2000

23. Environmental Quality Office, May 25, 2000
Prepare to Change
Communication
Training
Environmental Quality Office, May 25, 2000

24. Environmental Quality Office, May 25, 2000
Communication
ISO Requirement Letter
Supplier Environmental Requirements Guide
Environmental Quality Office, May 25, 2000

25. Environmental Quality Office, May 25, 2000
Training & Support
Ford had developed & instituted a Supplier Awareness training program in US Nov 1999.
Monthly classes are offered through Fairlane Training and Development Center (FTDC)
Training being cascaded in other regions Europe, Mexico, South America, Asia Pacific.
Exploring web-based training options.
Open dialogue
Environmental Quality Office, May 25, 2000

26. Environmental Quality Office, May 25, 2000
4/13/2017
Lessons Learned
Training Program is Essential
Materials/templates
Sharing/Spirit of Partnership
Supplier Assessment began early engagement of supply base
Clarify second statement (is it our old supplier environmental assessments provided a basis for our interest in supplier environmental awareness?)
Environmental Quality Office, May 25, 2000

27. Environmental Quality Office, May 25, 2000
Next Steps
Online training
Investigate training for sub tier suppliers
Buyer training
Tracking/governance system
Develop Measurables
Best Practices, Partnering & Conferences to share experiences
Environmental Quality Office, May 25, 2000