1. Case Study.
Group 5.

2. ISO 14000 is a new (late 1996) standard for
Environmental Management Systems. It was
based upon the ISO 9000 family of specifications.
The key aspects of ISO14000 are that it is
 Voluntary,
 Flexible and non-prescriptive,
 Can use existing environmental programs and
systems,
 Pushes continual improvement,
 Encourages cost saving by integrating
environmental requirements into the overall
company systems (design, manufacturing, etc.)
 Can provide a substantial market advantage

3. The concept of an environmental management system
evolved in the early nineties and its origin can be traced
back to 1972, when the United Nations organized a
Conference on the Human Environment in Stockholm
and the United Nations Environment Programme
(UNEP) was launched (Corbett & Kirsch, 2001). These
early initiatives led to the establishment of the World
Commission on Environment and Development
(WCED) and the adoption of the Montreal Protocol and
Basel Convention.

4. In 1992, the first Earth Summit was held in Rio-de-Janeiro
(Jiang & Bansal, 2001), which served to generate a global
commitment to the environment (RMIT University). In
the same year, BSI Group published the world's first
environmental management systems standard, BS 7750.
This supplied the template for the development of the
ISO 14000 series in 1996, by the International
Organization for Standardization, which has
representation from committees all over the world (ISO)
(Clements 1996, Brorson & Larsson, 1999). As of 2010, ISO
14001 is now used by at least 223 149 organizations in 159
countries and economies.

5. A new paradigm for controlling indiscriminate development and
seeking a continuous development is a global trend.
Definite system is required for realization of environmental
improvement.
ISO 14000 is international standard for environmental
management system legislated by ISO(International
Standardization Organization) and it is a standard among
representative standards with ISO 9000 in organization's
management system certification field.
This standard is requiring construction of environmental
management system for continuous improvement of environmental
results about organization's product and process.
This is a system that acquire certification through the objective
assessment conducted by third party certification body about
whether constructed environmental management system meets the
requirements of standard or not.

6. Now in case of global trade, the needs of quality management
system and environmental management system are spreading
over the whole industrial fields.
Applications of this standard are the same as ISO 9000.
Therefore it can be applicable not only manufacturing,
construction, servicing but also public service section such as
school, local autonomy. And it can cover all various size
companies.

7. ISO 14001 is standard of certification and assessment
criteria. Other standards are guides about assessment
criteria, method and evaluation of system.
 ISO 14000 series [Environmental management
system] : General / Guide
 ISO 14010 series [Environmental assessment] :
General principle / assessment procedure /
qualification criteria of auditor
 ISO 14020 series [Environmental labeling] :
environmental labeling, symbol

8.  ISO 14030 series [Evaluation of
environmental results] : Evaluation of achieved
environmental results and so on.
 ISO 14040 series [Evaluation of whole
processes] : Principle and Guide / list analysis
/ evaluation of environmental effect.
 ISO 14050 series [Terms and definition]

9.  The ISO Environmental Standards for
Environmental Management Systems (EMS) are a
series of completely voluntary standards and
guideline reference documents which include
environmental management systems, eco-labeling,
environmental auditing, life cycle assessment,
environmental performance evaluation, and
environmental aspects in product standards.
 It is the focus on management" that distinguishes
these standards from "performance" standards.

10.  An EMS help and organization to establish and
meet its own policy goals through objectives and
targets, organizational structures and
accountability, management controls and review
functions all with top management oversight.
 EMS do not set specific requirements for
environmental compliance nor do these standards
establish requirements for specific levels of
pollution prevention or performance.

11.  An environmental policy
Determining environmental aspects & impacts
of products/activities/services
Planning environmental objectives and
measurable targets
Implementation & operation of programs to
meet objectives & targets
Checking & corrective action
Management review.

12.  Environmental Policy : As mentioned above, the most important
requirement is a commitment by the company and it's senior
management to achieving a working environmental management
system, and to maintaining that system. This must be documented in a
published, communicated environmental policy.
 Documentation: Certain environmental program elements,
including the policy, plans, objectives, etc., must be documented
(written down). As with ISO9001, one of the keys to a successful
(achieving environmental and financial goals) ISO14000 EMS is having
documented procedures that are implemented and maintained in such
a way that achievement of environmental goals appropriate to the
type and scale of our activities is promoted inherently, and without a
bureaucracy or additional expense.

13.  Planning: This planning, or setting of environmental objectives and
targets is critical to the success. The goals must be reasonable and
achievable, and based on practical considerations, not aribtrarily
chosen. The procedures must be established for ongoing review of the
environmental aspects & impacts of products, activities, &
services. Based on these environmental aspects & impacts,
environmental goals and objectives must be established that are
consistent with the environmental policy Programs must then be set
in place to implement these activities.
 Checking: The EMS must include appropriate monitoring and
review to ensure effective functioning of the EMS and to identify and
implement corrective measures in a timely manner. Internal audits of
the EMS must be conducted routinely to ensure that non-
conformances to the system are identified and addressed.

14.  Management Review : Designated management must
conduct an ongoing review process that ensures top
management involvement in the assessment of the EMS, and as
necessary, addressing need for changes.

15. Implementation
and operation
Environmental policy
Continual Improvement
Management review
Checking and
corrective action
Planning

16.  Identifying areas for reduction in energy and other
resource consumption and their associated costs
 Reducing environmental liability and risk
 Helping to maintain consistent compliance with
legal & regulatory requirements
 Potentially faster permitting processes with state
agencies

17.  Benefiting form regulatory incentives that reward
companies showing environmental leadership
through certified compliance with environmental
excellence
 Preventing pollution and reducing waste, both of
which reduces costs
 Responding in a positive fashion to pressure from
customers and shareholders
 Improving community goodwill

18.  Profiting in the market for "green" products, and
generally achieving a market advantage
 Lower insurance costs by demonstrating proof of
good management before pollution-incident coverage
is issued
 Demonstrating commitment to high-quality.

19. 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

20.  The Ford Motor Company-Twin Cities Assembly Plant
(TCAP) has 2,000 employees who produce approximately
160,000 Ranger trucks per year. The 2.2 million square foot
plant, constructed in 1925, has the unique capability of
producing its own electricity through an onsite hydroelectric
power generator.
 When the ISO 14001 Standard was released in 1996, Ford
headquarters immediately recognized the benefits of
improved environmental performance and required all of the
company’s plants to establish the standardized
 ISO 14001 environmental management system (EMS).The
implementation was so successful that Ford now requires its
suppliers to certify their own facilities. TCAP was initially
certified in March 1998.

21.  The ISO 14000 EMS at Ford is based upon a
foundation of an environmental policy and
management commitment.
 An integral part of the system is identifying
environmental "aspects." Aspects are elements of a
plant’s activities, products or services that can
positively or negatively interact with the
environment.

22.  Trained Ford employees identify these environmental
aspects and then rank them based upon the plant’s activities,
products or services being; subject to regulation, addressed in
the company business plan, or subject to high environmental
load charges.

23. The ISO 14000 EMS system at the Twin Cities Ford Motor Company
plant is based upon environmental policy and management support.

24. Aspects that employees rank as significant are
included in a summary plan to manage, improve,
or control these environmental concerns. Specific
company procedures are then created or modified
to meet the goals of the plan, called the
Environmental Management Program.

25.  Why Ford chose ISO 14000?
 Implementation.
 Lesson’s Learned.

26.  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)
 Third party certification is an additional
resource for monitoring and provides
credibility.

27. Potential requirement for sales.
Enhance image, potential competitive
advantage.
Improve relations with government agencies.
ISO 14001 is NOT a Performance Standard or a
Guarantee of 100% regulatory compliance

28.  Why ISO 14000 for suppliers?
 What is required of suppliers?

29.  For Ford to be able to demonstrate continuous
improvement, it was determined our suppliers
should also be certified to the same standards

30.  Certification and maintenance of an ISO 14000
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

31.  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 14000 requirements to tiered suppliers.

32.  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.
ISO 14000 Supplier Requirements

33.  Communication
 Training

34.  ISO 14000 Requirement Letter
 Supplier Environmental Requirements Guide

35.  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

36.  Training Program is Essential
 Materials/templates
 Sharing/Spirit of Partnership
 Supplier Assessment began early engagement
of supply base

37. To meet the continual improvement requirement of ISO
14000, employees regularly look at new ways to be
more efficient and to identify opportunities to reduce
waste at the plant. The EMS has empowered employees
to become active participants in identifying
and implementing improvements. These
Environmental Management Programs (EMP)
have yielded significant cost and environmental
savings. The plant has also established new
relationships with suppliers and the local utility,
and supports an overall corporate citizenship
with the community.

39. Under the EMS, a group of ISO 9000 and
14000 trained employees at Ford formed a Cross
Functional (or Core) Team to meet regularly. In
addition to addressing quality issues, they identify
objectives and targets, or ways to minimize
environmental impact. Many benefits have occurred
since implementing the ISO 14000 Certified EMS:

40. 1. Previously a change in paint colour required cleaning
painting equipment with solvents prior to use of the
new colour. Now, a paint block is assigned only one
colour for a substantial reduction in solvent and paint
waste. In addition, Ford installed meters on the
cleaning solvent transfer pumps used to clean paint
from application equipment, established a daily
review of solvent usage, improved transfer efficiency
in the paint application, and now uses reformulated
paint that contains less VOCs.
Since 1996, there has been a 49 percent reduction in solvent
usage and a 45 percent reduction in volatile organic compound
emissions (VOC lb./unit). As a result of these reductions, the
company has saved approximately $129,000 annually.

41. 2. At TCAP’s wastewater pre-treatment plant,
measurements were taken to optimize batch treatment
dosing, a work practice was revised, and employees were
retrained. The result is an overall reduction in chemical
usage and waste filter press sludge production.
Wastewater pre-treatment plant improvements have resulted in a
33 percent reduction in hydrogen sulphate, a 9 percent
reduction in sodium hydroxide, and an 8 percent reduction in iron
chlorate use. An 18 percent reduction in filter press
sludge waste was also achieved. As a result of these reductions, the
company has saved $60,000 in costs as well as
$32,000 in waste management.

42. 3. A partnership was developed between the
local power company and the Ford
hydroelectric plant. An automated control
system was installed and the power
distribution system and water gate mechanics
were all upgraded to improve the electrical
production of the hydroelectric plant.
Since 2001, the facility’s hydroelectric power plant
has increased its electrical output by
approximately 17 percent, with no increase in waste.
Ford estimates that it saves
$750,000 annually in costs as a result of this
improvement.

43. One of the significant benefits the EMS brought to
Ford’s Twin City facility is a consistent approach to
environmental issues, regulatory compliance, and
pollution prevention.
For example, information is readily available and
easily tracked during routine compliance
inspections. Because the Environmental
Management System is common to all Ford
facilities, it also creates accountability and
consistency within the corporation.

44.  Google
 ISO – Official site
 Journal of Cleaner
Production
 Science Direct
 Wikipedia
 Ford Motor Company
 Design for the Environment
Guide

45.  Sajith P.S.
 Sam Scaria.
 Scaria Joseph.
 Sooraj.
 Sonu Sebastian.
 Siju.
 Roy Thomas.
 Shruthi S. Murali.
 Surayya.
 Shipla.
 Swathi Raj.
 Thambu John.
 Tony Xavier.