Suppliers Partnership for the Environment

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• Suppliers Partnership for the Environment
• (SP)
• June 2005

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What is SP?

• 31 Member Companies
• Non-profit 501(c)(6) Organization
• Member Driven Work Group Activities
• Advocacy Organization

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SP Vision

• Maintain a trade association comprised of
  automotive and vehicle suppliers who will work in
  a partnership with the EPA to create a new and
  innovative business-centered approach to
  environmental protection, to find ways to improve
  the environment while providing value to the
  participants and to share the knowledge gained
  from those activities with businesses of all
  sizes.

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SP Mission

• Provide a self-sustaining forum for large,
  medium and small service and product vendors who
  deal with small, mid-sized and large vehicle
  manufacturers to develop and share tools,
  information, knowledge, good practices and
  technical support to ensure that the suppliers
  products and their processes provide
  environmental improvement and cost savings to SP
  participants.

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Goals of SP

• Demonstrate that by working cooperatively within
  the supply chain, private sector companies of all
  sizes can achieve real environmental improvements
  while providing measurable value to the
  participants.
• Provide a mechanism where automotive suppliers
  through the relationships developed in SP can
  collect and share information, data and knowledge
  on ways to improve their environmental
  performance and, by utilizing EPA communication
  channels, share the knowledge gained through SP
  activities with companies and organizations who
  are not members of the organization.

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Goals of SP (contd)

• Develop, as appropriate, specific tools, reports
  or documents that address the vision, mission and
  needs of the members of SP.
• Provide a foundation for future activities
  designed to recognize and encourage new
  approaches in developing environmental policy.

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SP History

• Started as a Pilot Project between General
  Motors, EPA and NIST at Saturn Corporation
• Assessment of pilot project showed opportunity
  for expansion of the program
• Pilot Project led to concept of Suppliers
  Partnership for the Environment (SP)
• Organizational Meeting in Washington, DC on
  October 31, 2002
• Work groups address issues identified by the
  members
• Quarterly Membership Meetings are conducted

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What is EPAs andNISTs Role in SP?

• SP is in a partnership with the U.S. EPA
• EPA provides topics for special projects,
  information, tools and resources
• EPA brings to SP additional opportunities,
  including providing financial resources to
  National Institute of Standards and Technologys
  (NIST) Manufacturing Extension Partnerships
  (MEPs) to provide counsel and guidance for
  facilitation of SP Member Lean and Green
  Technical Assistance Workshops.

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EPA Commitment

• "The Suppliers Partnership for the
  Environment establishes a forum where the
  Environmental Protection Agency and the
  automobile supply industry can work together to
  achieve common goals of environmental
  performance. Through pollution prevention,
  smarter decisions can be implemented throughout
  the automobile manufacturing process that will
  benefit both the environment and a company's
  bottom line.  We welcome this effort.
• Stephen L. Johnson, Administrator, U.S.
  EPA

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Current SP Members

• Ashland, Inc.
• B.A.E. Industries
• Chemico Systems, Inc.
• Cole Specialty Systems, Inc.
• DaimlerChrysler Corporation
• Delphi Corporation
• Denso International America
• Detroit Chassis LLC
• Diversity Products
• Enviroplas, Inc.
• Federal-Mogul Corporation
• FlexForm Technologies
• Flo-Matic CorporationGage Products Co.
• General Motors Corporation
• General Oil Co.

• Guardian Automotive
• Heritage Interactive Services
• Houghton International
• International Components Strategies, Inc.
• JD Plating Co.
• Johnson Controls, Inc.
• Lear Corporation
• Mobile Fluid Recovery, Inc.
• Motorola, Inc.
• Petoskey Plastics, Inc.
• Principle Manufacturing Corp.
• Quaker Chemical Corporation
• Remy International, Inc.
• Solvents Solutions, Inc.
• Visteon Corporation

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SP Leadership

• SP 2005 Executive Committee
• Chair Randy Leslie, Johnson Controls Inc.
• Vice Chair Roger Strelow, Federal-Mogul
  Corporation
• Finance Chair Reg Modlin, DaimlerChrysler
• Work Group Chair Rebecca Spearot, Lear
  Corporation
• Membership Chair Gary Mayo, Visteon Corporation
• At-Large Pat Beattie, GM
• At-Large Leon Richardson, Chemico Systems, Inc.
• SP Executive Committee Liaisons
• Tom Murray, EPA
• Kristin Pierre, EPA
• Alex Folk, NIST
• SP Staff
• Steve Hellem, Executive Director
• Amy Goldman, Director
• Courtney Hagen, Program Coordinator

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Value of SP Membership

• Provides a common auto sector approach to
  greening the supply chain.
• Provides a forum for companies to work together
  to share best practices through work groups to
  address specific issues.
• Provides facility-specific technical assistance
  workshops.
• All cost savings realized through SP workshop
  activities are retained by the SP member company.

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SP Work Group Activities

• Design for the Environment (DfE) Addresses two
  areas--life cycle management (LCM) and packaging
• DfE LCM Team is working is collaborating with the
  National Center for Manufacturing Sciences (NCMS)
  on NCMS Sustainable Product Initiative. The
  goal is to develop a model for designing parts
  that are prepared for remanufacture and reuse.
• DfE Packaging Work Group is developing a
  container-sharing program within SP member
  companies.

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SP Work Group Activities (contd)

• Metrics, Lean Manufacturing and Energy Use
  Optimization - Focus is on developing
  industry-wide methodologies and reports to
  measure positive, environmentally responsible
  activities by the automobile industry to
  demonstrate the environmental benefits of each
  companys internal Lean Manufacturing activities
  and to translate these benefits/savings to
  enhance the performance of member companies.
• These activities include
• Measuring environmental and energy performance
  improvement of suppliers and OEMs
• Developing recommendations for how to reduce
  energy consumption as well as how to improve the
  understanding of the possible long-term effects
  of economic growth and other human activities on
  the climate system demonstrate that
  
• Energy Reduction CO2 Reduction Cost
  Reduction.

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SP Work Group Activities (contd)

• SP Summit Planning Committee is researching
  potential topics to host an Global SP Summit in
  collaboration with other industries.
• SP Member Technical Assistance Workshops
  NIST/MEP facilitate and develop the Lean
  Green workshops at SP member sites.

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SP Member Workshops Objectives

• Workshops are designed to meet the following
  objectives
• Improve use and selection of raw materials
• Reduce labor and capital costs
• Establish systems to use energy more efficiently
• Institute consistent work practices and
  procedures
• Encourage greater employee participation in
  improvement activities
• Decrease the use of toxic and/or nonrenewable
  materials
• Eliminate or reduce all non-value added
  activities
• Eliminate or reduce impact on the environment
• Identify specification conflicts customer and
  supplier driven

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SP Member WorkshopsResults to Date

• 6 SP workshops completed Chemico Systems,
  Inc2 facilities BAE Industries Renosol
  Corporation JD Plating and Elm Plating
• Impact Opportunities Results from 4 completed
  workshops
• Green 132,534/yr
• Lean 539,035/yr
• Lean one time conversion to cash 446,880
• Other 7,831/yr
• TOTAL 1,126,280

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SP Member Feedback

• The concept of having suppliers align their
  goals and strategies with their customers is
  right on target. Until now, it has been extremely
  difficult for suppliers, particularly smaller
  suppliers, to get an accurate understanding of
  what OEMs were seeking relative to environmental
  initiatives. The paradigm shift we see today
  exists when individuals and organizations, such
  as DaimlerChrysler, see the value of
  collaborating with large and small companies such
  as Chemico Systems. Our experience participating
  in this organization has been tremendous.
• Leon C. Richardson, President
  and CEO
• Chemico Systems, Inc.

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SP Member Feedback

• Our companies' ability to compete has been
  greatly improved by the opportunity to be part of
  SP. We have taken the environmental impacts of
  our company and learned to address them like all
  the other traditional elements that impact our
  business. The result has been tremendous savings
  to the company, improved employee empowerment and
  a significant improvement to our environmental
  footprint. By working closely with GM, Lear and
  the other partners, BAE has become more
  competitive and truly developed a partnership
  with the "big guys." That kind of partnership was
  almost impossible in the past. Where else can
  you get the clout of the OEM's on the budget of a
  small supplier.
• Mark Doetsch, Vice President Quality
  B.A.E. Industries, Inc.

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www.supplierspartnership.org
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Specials for Members Only!
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Examples of Additional Resources and Links

• ADDITIONAL RESOURCES
• GMSupplyPower -- http//www.gmsupplypower.com/
• GM Ability -- http//www.gm.com/company/gmability/
  environment/
• GMW3059 - Restricted and Reportable Substances
  this site also has the European Union - End of
  Life Vehicle Information -- http//www.gmw3059.com
  
• IMDS - International Material Data System --
  http//www.mdsystem.com

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For More Information on SP

• One Thomas Circle, NW, Tenth Floor
• Washington, DC 20005
• USA
• Phone [phone]
• Fax [phone]
• www.supplierspartnership.org