“Sustainability in Supply Chains” © 2012 ACF Enterprises LLC Intellectual Property. All rights reserved

ACF Enterprises LLC Vision: To become the premier provider of sustainability education, training and certification for corporations, small and diverse businesses, community colleges and universities Mission: To foster a greener economy and a green-educated workforce 5 Year Goals:  Impact at least one million businesses  Implement 100 Centers of Sustainability Excellence  Implement EZ Green Early Childhood Education across Ohio © 2012 ACF Enterprises LLC Intellectual Property. All rights reserved

United States: Interesting Facts! Represents' 5% of world’s population Uses 30% of world’s resources Creates 30% of world’s waste Single largest contributor to global warming

2012 ACF Enterprises LLC Intellectual Property. All rights reserved  Rising energy costs  Cost reduction, Profits=ROI  Environmental compliance issues;  Consumer, Government, Customer  Increased global demand for sustainability  87% of Fortune 500 are moving to “sustainability”  Sustainability Vision, Mission & Goals  Sustainable performance required of suppliers  Sustainability Scorecards Implemented U. S. Business Climate

2012 ACF Enterprises LLC Intellectual Property. All rights reserved Most Common Definition “ Meeting the needs of the present without compromising the ability of future generations to meet their own needs.” What is Sustainability? Brundtland Report United Nations World Commission on Environment and Development, 1987

2012 ACF Enterprises LLC Intellectual Property. All rights reserved Environment Society Economy Sustainable Development Triple Bottom Line Environment, Social and the Economy are interlocked

2012 ACF Enterprises LLC Intellectual Property. All rights reserved CORPORATE SOCIAL RESPONSIBILITY …Not an Option Corporate Strategy Corporate Strategy Corporate Social Responsibility Goals Corporate Purchasing/Supply Chain Management

2012 ACF Enterprises LLC Intellectual Property. All rights reserved Source: IJPE-LCA approach to support sustainable supply chain design

Sustainability Implementation in Supply Chains 2012 ACF Enterprises LLC Intellectual Property. All rights reserved Source: Harvard Business School–Corporate Planning

2012 ACF Enterprises LLC Intellectual Property. All rights reserved Business Rationale: Sustainability in Supply Chains

© 2010 National Sustainability Coalition  Lead Globally in Sustainable Development  21,000 Suppliers/Vendors in Supply Chain  Goals ◦To be supplied 100% by renewable energy ◦Create Zero Waste ◦GHG – 20% reduction by 2012 and 20MM metric tons from Walmart’s Supply Chain by 2020 ◦Truck Fleet 20% more efficient in 3yrs & double in 10 years Case Study #1: Walmart  Suppliers must submit product content and environmental impacts reports

Sustainability in Supply Chain Strategy Planning Sustainability metrics and Scorecard for suppliers Sustainability Requirement Operation Strategy Implementation Information and work Flow 2012 ACF Enterprises LLC Intellectual Property. All rights reserved Strategy- Design- Management Implementation- Sustainability Scorecard or Key Performance Indicators Material/Product/ Service Flows Expansion

© 2010 National Sustainability Coalition Study # 2: Procter & Gamble Case Study # 2: Procter & Gamble  Environmental and Social Leadership  Goals:  100% renewable or recycled materials  0% consumer & manufacturing waste  Powering plants w/100% renewable energy  Children safe drinking water  Live, Learn & Thrive; health, educ. & life skills  Sustainability is about ensuring a better quality of life, now and for generations to come

2012 ACF Enterprises LLC Intellectual Property. All rights reserved Integration Stages

2012 ACF Enterprises LLC Intellectual Property. All rights reserved Sustainability in Supply Chain Planning

Sustainability in the Supply Chain Corporation List..not complete  Walmart  Premier Health Partners  Johnson & Johnson  Cummins  Procter & Gamble  JLL  UC Health  Sonoco  Cintas  Cummins  Boeing  Toyota  Delphi  Kroger  Hallmark  City of Cincinnati  Rolls-Royce  Nationwide 2012 ACF Enterprises LLC Intellectual Property. All rights reserved

Summary… Provides opportunities for corporations to be a model for Diversity Inclusion Corporate Supply Chains recognized Enhance collaboration and sharing of ideas supply base to Supply chains has ability to track year over year improvement Purchasing organization monitor supplier’s sustainability performance 2012 ACF Enterprises LLC Intellectual Property. All rights reserved

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