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Transcript of Millipore
Sustainability before and after Newman
Win-win opportunity projects
Sustainability Goals and Obstacles
Our Solutions Three main sustainability goals:
1. Reduce contribution to
2. Reduce dependence on
products based on petroleum
3. Reduce waste associated
with operations and projects Low-hanging fruit initiatives Facility operations
Upgrading lighting system, adding energy-efficient lamps
Fixing leaks in manufacturing plant’s compressed air system
Change from disposable cutlery to washable ceramic plates
Increase recycling and composting programs
Offer employees option for leasing gasoline-electric hybrid vehicles with cash bonus incentive
Published Carbon Disclosure Project
Releases information about Millipore’s annual GHG emissions Go for the goal Carbon neutral in 15 years
Independent from oil in 25 years
Reduce GHG by 20% (from 2006 levels) within 5 years in scope 1 and 2
-Scope 1: direct GHG emissions from
sources owned and controlled by Millipore
-Scope 2: emissions generated from
purchased electricity consumed by the
Absolute target (not intensity)
-Reduce emissions to a certain level by
certain date (regardless of growth or
changes within Millipore) vs.
accommodating targets as changes in the
company occur (intensity)
Consolidate facilities As they relate to goals Company wants to double in size. How can sustainability and growth projects be accomplished simultaneously?
Newman’s sustainability staff consists of many volunteer members working in their spare time on initiative projects. This may pose problems if interest in sustainability fades.
Newman stretched too thin.
Executives hesitant of costs that will follow long-term sustainability within Millipore
Director of sustainability positioned 3 levels below CEO. Employees
Suppliers and other companies that work with Millipore
Stakeholders of the future Stakeholders Goals and Effects Meet Millipore Millipore Corporations provides tools, services, and technologies for pharmaceutical development and research
-Filtration products, laboratory
equipment, detection tools
Operates in 47 countries
Employs over 6,000 people
Specializes in two major divisions
-Bioprocess Where is Sustainability? EHS management functions solely to ensure compliance with government regulations at Millipore
EHS staff of 30 reported to David Newman, director of EHS
Newly appointed CEO, Martin Madaus, wants to make sustainability a priority at Millipore Launching Sustainability
at Millipore -2007 Madaus shares his vision for Millipore to become more environmentally sustainable.
-Madaus drafts a memo to senior managers eager to move company in direction of sustainability
“Striving to be a sustainable company is partly about responsibility – it is simply the right thing to do"
Meant government is too slow with creating new regulations
-Appoints Newman to new position – director of sustainability
-Responsible for 75 people worldwide, 2 of which are dedicated not volunteer Based on existing structure:
Adds minimal additional disturbance during period of large-scale changes
However, vertical structure would benefit from overall reworking towards more horizontally integrated structure [divisional hybrid matrix] Newman becomes CSO in C-Suite EHS Overseen by Director of EHS EHS Retains “Low-Hanging Fruit” Responsibilities, minor restructuring Changing Into the Future: Millipore Business Case Consolidate Facilities
'Lean manufacturing is very consistent with sustainability because what we’re trying to do is eliminate waste’ (12)
Reductions inside the factory and out to achieve better products, carbon neutrality, and reduction in oil-based raw materials.
Plans to double size
Opportunity for foundational sustainability initiatives to achieve long-term goals. Expansion Considerations Internal Growth External
Growth With infant projects there is more room for creative sustainability initiative from the begining
Huge opportunity for Sustainability Department to achieve long term goals with a business case. Inevitable reorganization leads to opportunity to integrate sustainability
Sustainability Department needs to be involved first hand with all additional acquisitions HR Sustainability Department Hires
Experts with experience and technical knowledge needed for long term projects where the ‘reality is that these projects are going to be a lot harder, and not all projects will have a positive NPV’ (12)
Running out of ‘low hanging fruit’, long term strategies require more planning, in-depth business case
General New Hires
Hire employees in all departments to have sustainable values
Continue Town Hall meetings
Initial training program that includes sustainability 50-Year Viability Plan Rebranding the Sustainability Initiative 50-Year Viability Plan
Unifies sustainable movement for employees and stakeholders
Creates a Business plan and more structure for employees.
Sets tiered goals
Gives Millipore a new image from the inside out to present to the public Components Contributing to Success of 50-Year Viability Plan Process Excellence Program
Ad Hoc programs
-Second reverse osmosis system
-Add more projects and strengthen program
Six Sigma = lean manufacturing principle, relies on statistical analysis to identify opportunities to eliminate process variations that could cause defects
Create Communities of Practice to disseminate goals and expertise within company
Encourage talk and share power between EHS and Newman’s Team How the 50-Year Viability plan addresses obstacles Larger Projects such as solar panels and recycling Millipore products now have a home in the 50 year viability plan that failed in EHS.
Creates a clear plan for establishing projects in an expanding company
-Buy them for the time being until the 50-Year
Viability plan is carried out and the company
become carbon neutral Millipore’s amazing opportunity
The influence and effects of an industry leader Today Millipore...
Tomorrow THE WORLD! Structural Awakening! Millipore's Structural Needs 50 Year Viability Plan Will a 50-year Viability plan work? Dow Chemical’s Next Generation of Change
Reduce GHG and Energy
Publish safety assessments for all products
3 breakthroughs to solve world challenges, community acceptance
Achieve an average of 75% improvement in key indicators
Unified company and enabled employees to focus on clearly defined projects Newman oversees Sustainability Department, consisting of project teams You Are Here Goals Obstacle Millipore is
Here 50 Year Viability goals:
Carbon neutral in 15 years
Independent of petroleum in 25 years
Reduce GHG emissions by 20% within 5 years Newman stretched too thin
Newman too far removed from CEO
Executives hesitant of costs