Alexis Olans, Adidas - LCA Sustainable Product Design Europe 2010
Alexis Olans, Adidas - LCA Sustainable Product Design Europe 2010
Alexis Olans, Adidas - LCA Sustainable Product Design Europe 2010
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adidas Better Place<br />
<strong>Sustainable</strong> <strong>Product</strong><br />
December <strong>2010</strong>
Who We Are<br />
• History since 1927<br />
• Global company with strong<br />
brand portfolio<br />
• An international and diverse<br />
workforce with more than<br />
25,000 employees<br />
• 180 sales subsidiaries and joint<br />
ventures<br />
• Approx. 1,000 suppliers<br />
p. 2
p. 3
adidas’ Business Model<br />
• Global sourcing and distribution<br />
• Local market production by sales subsidiaries<br />
• Cooperation with licensees<br />
Subcontractor<br />
Subcontractor<br />
Suppliers<br />
Suppliers<br />
Suppliers<br />
Suppliers<br />
Central Functions<br />
Marketing<br />
<strong>Design</strong><br />
Operations<br />
Human Resources<br />
Legal<br />
Finance<br />
Wholesale<br />
Own Retail<br />
C<br />
o<br />
n<br />
s<br />
u<br />
m<br />
e<br />
r<br />
s<br />
p. 4
History of Sustainability<br />
Improving our Environmental Footprint<br />
• Restricted substances<br />
• Footwear factories:<br />
- VOC management<br />
- Reporting<br />
- Environmental management systems<br />
Supplier engagement<br />
• Energy workshops since 2007<br />
• Auditing schemes for focus suppliers<br />
• Improvement program & targets for apparel<br />
suppliers<br />
• Stakeholder meetings with suppliers<br />
• Raising environmental awareness and<br />
promoting best practices<br />
p. 5
Recognition<br />
• Dow Jones Sustainability Index: listed since 2000<br />
- Super Sector Leader (2008 and 2009)<br />
- Best Performer: Industry leader in the apparel and footwear sector<br />
- Gold Class: Highest average performance<br />
- Best Mover: Best development performance<br />
• FTSE4Good <strong>Europe</strong> Index: Listed since 2000<br />
• Ethibel Index: Listed since 2003<br />
• Global 100 Most <strong>Sustainable</strong> Corporations (since 2005)<br />
p. 6
What is Better Place?<br />
adidas Brand initiative<br />
<strong>Product</strong> Program to encourage the creation of<br />
more sustainable product<br />
• Provide tools, research, industry<br />
collaboration & benchmarking, standards<br />
• Works horizontally across the brand<br />
• Foundation of the program is sustainable<br />
product guidelines<br />
p. 7
What are Better Place <strong>Product</strong>s?<br />
Holistic, Life-Cycle approach to sustainable<br />
product creation<br />
- <strong>Design</strong><br />
- Materials<br />
- Construction & Manufacturing<br />
- Packaging Requirements<br />
Example: AdiZero XT<br />
- Increased pattern efficiency by 15%<br />
- Reduced outsole parts & colors, saving 100g rubber<br />
- Maximised use of recycled materials, outsole &<br />
recycled uppers and laces<br />
- Reduced VOCs via non-solvent based synthetics<br />
- 90% renewable, bio-based torsion bars<br />
Better Place Guidelines ever evolving<br />
p. 8
Basis for Better Place Guidelines<br />
Innovation <strong>Design</strong> Marketing<br />
Development<br />
Sourcing<br />
Own<br />
Operations<br />
Sales<br />
Use &<br />
End of Life<br />
<strong>Sustainable</strong> resource use<br />
Environmental Aspects<br />
Emissions<br />
Hazards and risks<br />
1<br />
Energy efficiency<br />
& climate change<br />
5<br />
Water discharge<br />
9<br />
Chemicals<br />
2<br />
Water<br />
conservation<br />
6<br />
Waste<br />
10<br />
Soil & groundwater<br />
contamination<br />
3<br />
Materials<br />
7<br />
Air emissions<br />
4<br />
Energy efficiency<br />
8<br />
Noise<br />
p. 9
Prioritization<br />
Environmental Impact<br />
- Authenticity<br />
Scale<br />
- Cost<br />
- Volume<br />
Sphere of Influence<br />
- Factory & supplier relationships<br />
- Consumer<br />
p. 10
Resources… and Results<br />
<strong>Product</strong> Tools<br />
- Better Place Guidelines<br />
- Brand Case Studies<br />
- Cross-Business Unit mentoring<br />
- Better Place Sourcing Matrix<br />
Materials Tools<br />
- sustainable fabric libraries<br />
- comparison applications (IT)<br />
- seasonally-updated sustainable<br />
materials toolboxes<br />
- pricing tools<br />
Achievements<br />
132% growth in apparel<br />
all of Footwear meets Better Place Baseline<br />
p. 11
Challenges… not Tradeoffs<br />
Sustainability Requirements<br />
Performance …<br />
+ Quality<br />
+ Availability<br />
+ Cost<br />
Industry challenges<br />
- Factory ownership<br />
- Quantitative vs. Qualitative Data<br />
p. 12
Ongoing Efforts<br />
Industry Partnerships<br />
• Outdoor Industry Association:<br />
Eco <strong>Product</strong> Index<br />
• WFSGI: CSR committee<br />
• <strong>Sustainable</strong> Clothing Roadmap by the<br />
UK Government<br />
• Organic Exchange<br />
• Better Cotton Initiative<br />
Conferences & Information Sharing<br />
p. 13
Thank You!<br />
p. 14
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