how life cycle management is being integrated into zespri’s operations, strategies and marketing
DESCRIPTION
Alistair Mowat (Innovation Manager, Zespri)TRANSCRIPT
Developing Sustainability as a Core Competency
Alistair Mowat
Temple of Jupiter, Baalbek –The high water mark for the Roman Empire
Energy to supply grain > Energy content of grain
0 20 40 60 80 100 120
Corn
Milk
Cheese
Eggs
Apples
Chicken
Pork
Beef
v
Adapted From http://truecostblog.com/
The Energy Efficiency of Modern Food Production
Energy Content of Food / Energy Used To Produce Food(%)
Foo
d T
ype
(adapted from Zadek, 2004)
Greater Risk to Corporate
Greater Opportunity for Corporate
Emerging Consolidated
Maturity of an Issue in Society
Defensive
Strategic
Compliant
Resp
onse
of
a C
orpo
rate
to
an
Iss
ue
Latent
The Maturity of an Issue in SocietyShould Influence a Company’s Response
ZESPRI® KIWIGREEN
The ZESPRI ® KIWIGREEN System was developed in the
1990‟s as an ecologically friendly integrated pest
management programme that uses integrated pest &
disease control methods where possible
The amount of pesticides
applied to over 12,100ha has been
reduced by ~100 tonnes per year
19 May, 2008
“ Green pedicure … these metrics bring to light the broad but subtle implications inherent to various activities. Paying for them is another matter.
“… water would be on every agenda in sourcing food.”
"We've now set ourselves the ambitious target of becoming the world's most sustainable retailer by 2051, so that we lead the way in making a positive contribution to the environment and society across everything we do and everything we sell.”
“You asked us to find ways to make it easy to identify the carbon footprint of your shopping. So in 2008, we joined forces with the Carbon Trust to test a new label on some of our products.”
Low High
Low
Hig
h
Motivation to Understand Product Footprint
Kno
wle
dge
of
Prod
uct
Foo
tpri
nt
• Consumer & Customer
• Producer
Compliance &“Market-
competitive” forces NGO’s raising
awareness &“Guilt-free” Consumption
Product Service
Ta
ng
ible
Inta
ng
ible
The Evolution of Value Creation
ZESPRI Environmental Footprint
Innovation Projects
Environmental
Indicator
Quantify Our
Footprint
Assess Our
Risks &
Opportunities
Adapt Our
Business
“Do it Better”
than Our
Competitors
Greenhouse
Gas Emissions√ √ •
Non-renewable
Resources
• •
Water•
Waste√ √ •
Biodiversity•
•
Adapted from Lash & Wellington, 2007
Understanding and Reducing our
Environmental Footprint
Greenhouse Gas (GHG) Emissions
• Carbon footprint scoping study completed
• Impact of growing practises on soil carbon.
• Collaborating with partners across the supply chain
Non-renewable Resources
• Production of renewable energy from biogas & recovery of nutrients.
Waste• Conversion of waste kiwifruit into bio-
composite & bio-plastic
Water• Quantification of our water footprint and
identification of water stewardship options
Biodiversity • Ongoing research to understand and utilise biodiversity on kiwifruit orchards.
Understanding our GHG Impact- ZESPRI GREEN Kiwifruit Shipped to the UK
The polystyrene Spife improves the convenience of eating kiwifruit but contributes up to 3% of the carbon footprint for ZESPRI branded kiwifruit and can be inconvenient for disposal
Consumer Value
Cost Efficiency
Public
Good
Bio-composite Spife’s Manufactured from Bio-plastics & Waste Kiwifruit
„Growing It‟ - On OrchardInnovation: Catalyst for Climate Change Response
• Major soil carbon study underway
• Focus orchard network - best practice
dissemination
• Climate change adaptation
• New product development
• New growing techniques
• Yield gains with reduced inputs
• Organic learning transfer
An SFF Project: COST [Carbon in Orchard Soils Team]
Young orchard(10 yrs)
Old orchard
Deep Sequestration Agents:• Roots• Worms
• Young orchard ~ 139 t-C/ha: Old ~ 145 t-C/ha
Old orchard(25 yrs)
„Packing It‟ – Packhouse & CoolstoreInnovation: Catalyst for Climate Change Response
• Energy Efficiency
• Lean Manufacturing – „The Toyota Way‟
• Waste minimisation/ utilisation
• Bio-plastics initiative
• Bio-Fuel feedstock
• Packaging; recyclable/ re-
usable/compostible
„Delivering It‟ – TransportInnovation: Catalyst for Climate Change Response
• Routing/ Hubbing
• Pack Optimisation
• Speed optimisation
• Optimal Temperature
management
• Bio-fuels
Branding can Mask a Companies Environmental Performance from Consumers ... Till Now
New Scientist, 2010
Supply Driven Knowledge Intensive Solutions
Demand Driven Knowledge Intensive Solutions
Response to Sustainability/Climate Change will Depend on a Company’s Orientation
2008 ARGOS Survey Data
1.0
2.0
3.0
4.0
5.0
6.0
7.0Very important
Neither important or unimportant
Very unimportant
N = 52
Evaluating Consumer Value Drivers and the Various Components of The Value Chain Environmental Footprint
Perc
eived V
alue t
o Con
sumer
Contribution to Value Chain Environmental Footprint
Transport
Packaging
New Cultivars
Plant Supporting Structures
High
High
Low
Adapted from Fearne, 2009
Integrate Consumer Value Drivers with the Value Chain Environmental Footprint to Better Target R& D Investment and Partnerships with Government
Perc
eived V
alue t
o Con
sumer
Contribution to Value Chain Environmental Footprint
Strong partnerships with government & chain partners are needed to improve efficiency and reduce environmental impacts
Develop cautious strategies that are strongly managed by ZESPRI to improve efficiency and reduce environmental impacts without adversely impacting on consumer value
Continue to find and exploit low environmental impact opportunities to add value to our products
Not a significant concern
High
High
Low
Strategic Response to Climate Change
Increasing our Climate Change Competitiveness(Maintaining or Stimulating Demand)
Dece
asing
Our
Vulne
rability
to C
limate
Risk
(Sec
uring
Sup
ply)
Adapted from Nidumolu et al., 2009
