Joseph Fiksel Executive Director Center for Resilience The

Joseph Fiksel Executive Director, Center for Resilience The Ohio State University Sustainability Advisor, Office of Research & Development U. S. Environmental Protection Agency The content of this presentation reflects the views of the author and does not represent the policies or position of the U. S. EPA.

“If everyone alive today consumed natural resources and emitted carbon dioxide at the same rate as the average American, European, or Australian then we would need at least another three earths. ” - WWF International

“a business approach that creates longterm shareholder value by embracing opportunities and managing risks that derive from economic, environmental and social developments. ” - Dow Jones Sustainability Indexes

• World’s largest industrial green roof—Rouge plant • First American hybrid vehicle— 2005 Ford Escape • Many recent models, e. g. , Mustang, use soy foam for seat cushions, as well as other renewable materials

HP’s Touch. Smart all-in-one touch-screen PC saves up to 86 k. Wh per year energy savings through power management, ships in 100 percent recyclable packaging, and uses 55% less metal and 37% less plastic than standard PCs and monitors.

• • • 60% recycled glass cullet, virtually zero waste No visible plume, minimal environmental permits High productivity, low ecological footprint Atticat® insulation is Cradle to Cradle Certified Self-directed work environment – no supervisors Mount Vernon, Ohio ULF Insulation Plant

• Eco. Concept® water-based, primerless auto paint • About 25% reduction in energy and emission footprint • Saves $60 million capital, up to $12 million/yr operating • Adopted by Volkswagen facilities in Mexico and Spain

• Old engines restored to warrantied like-new condition • Global business is fast-growing, profitable, resilient • 4, 000 employees at 17 dedicated facilities in 8 nations

Life Cycle of an Aluminum Can recycling Consumer Market Beverage Can Use Sorting Can Production Shredding Metal Fabrication Remelting Ingot Casting Primary Smelting Recycled cans require 5% of the process energy used for virgin ore Alumina Refining Bauxite Mining

• • • Globalization and complexity Accelerating technological change Mounting stakeholder expectations Threatened natural resources Economic volatility Global warming Terrorism Poverty Disease Got Resilience?

• Classical management approach • Orderly operations punctuated by predictable disruptions • Continuous improvement • Strategic planning • Emerging systems approach • Tightly coupled dynamic systems with unpredictable discontinuities • Continuous change • Adaptive management

An interdisciplinary research center dedicated to improving the continuity, adaptability and long-term sustainability of industrial enterprises and their environments. Joseph Fiksel, Executive Director Dept. of Integrated Systems Engineering Bhavik Bakshi, Research Director Dept. of Chemical and Biomolecular Engineering Collaborators: American Electric Power, Dow Chemical, Owens Corning, Limited Brands, Nationwide, Procter & Gamble, Veolia, U. S. Business Council for Sustainable Development, City of Columbus, Ohio EPA, Ohio Department of Natural Resources, U. S. EPA

Sustainability is the capacity for: • human health and well being • economic vitality and prosperity • environmental resource abundance Resilience is the capacity to: • overcome unexpected problems • adapt to change (e. g. , sea level rise) • prepare for and survive catastrophes

Economy (economic capital) economic value is created for society Society (human & social capital) talent is utilized in industry ecological goods and services are utilized in industry natural resources may be depleted some waste is recovered and recycled emissions may harm humans waste and emissions may degrade the environment Environment (natural capital) ecosystem services provide amenities for communities

Economy Society Human Resources Infrastructures People Governments Economic value Enterprises Communities Wastes Shared Value Biotechnology & Biomimicry Natural Resources Health & Well-being Nourishment & Comfort Harmony & Symbiosis Ecosystem Services Environment Ecosystem Services Ecosystems Organisms Minerals Climate

Vulnerabilities • Turbulence • Deliberate threats • External pressures • Resource limits • Connectivity • Sensitivity Pettit, Fiksel & Croxton, Journal of Business Logistics, 2010 Capabilities • • • Anticipation Flexibility Recovery Security Efficiency Visibility Adaptability Collaboration etc…

More sustainable (resource productivity) Less resilient Nuclear energy Smart grid Rain harvesting Grey water use Lean production Distributed assets Corn ethanol Diesel backup Bottled water Desalination Business as usual Redundancy More resilient (adaptive capacity) Less sustainable Source: J. Fiksel, I. Goodman, A. Hecht, “Navigating Toward a Sustainable Future, ” Solutions, Jan. 2014

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Challenge Unintended environmental, health, or safety impacts over the product life cycle Threat of resource scarcity and diminished opportunity for future generations Complexity and turbulent change in global economic, social, & ecological systems Response Design for Environment (1990’s) Design for Sustainability (2000’s) Design for Resilience

Reference Book Joseph Fiksel Design for Environment Second Edition A Guide to Sustainable Product Development (Mc. Graw-Hill 2009, 2011) www. resilience. osu. edu