SMa RT Solutions for Sustainable Business Get SMa

SMa. RT Solutions for Sustainable Business Get SMa. RT© • What is SMa. RT? • Why did leading manufactuers choose it? • Who else is involved? • How do you achieve a SMa. RT rating? • What does it mean for customers? SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business What is SMa. RT©? • SMa. RT is to products what LEED® is to buildings • A set of consensus sustainable product standards covering 80% of the world's products — excludes only planes & vehicles • SMa. RT is based on the LEED model—a consensus rating system with prerequisites and optional credits • Acronym stands for Sustainable Materials Rating Technology • SMa. RT© Sustainable Building Product Standard launched December 2006 SMa. RT Solutions Business • Fast Company (Nov. 2008) identifies SMa. RTfor as. Sustainable an important product SMa. RT Solutions for Sustainable Business certification © 2007

SMa. RT Solutions for Sustainable Business Who oversees SMa. RT©? The Institute for Market Transformation to Sustainability (MTS) • A non-profit public charity based in Washington, D. C. • An Accredited Standards Developer audited by American National Standards Institute (ANSI) • MTS unites leading environmental groups, manufacturers, and state and local governments • Its goal is to increase the share of. Solutions sustainable products to. Business 90% of SMa. RT for Sustainable the market by 2015 SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Why did Leading Manufacturers Choose SMa. RT©? SMa. RT is distinguished from other sustainable certification programs as follows. It is: • Accessible • Comprehensive • Transparent SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Why did Leading Manufacturers choose SMa. RT©? SMa. RT is accessible. • Open – any interested party can become a committee member • Consensus – the SMa. RT Committee has sole responsibility for standards development, approval, interpretation, and revision • Affordable – SMa. RT is cost effective SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Increased Profitability Sustainable Product Case Study – Forbo Linoleum A Culture of Long Term Commitment to Optimized Environmental Performance. Forbo Linoleum manufacturers and sells linoleum floorcovering, wallcovering and finishing for office furniture. The company attributes the following superior economic performance to its sustainable practices (Forbo internal data 2001): • EBIT (Operating Result) performance as a percentage of sales that is, at a minimum, 25% better than any of its competitors • Internal profitability shows its sustainable products’ EBIT level performance more than double, as a percent of sales, those of traditional products • Five year share price performance is 100% greater on average than its three largest competitors SMa. RT Solutions for Sustainable Business Forbo Linoleum is a SMa. RT Platinum Certified Sustainable Product eligible for credit SMa. RT Solutions for Sustainable Business for LEED certified green buildings and sustainable investment. © 2007

SMa. RT Solutions for Sustainable Business Why did Leading Manufacturers choose SMa. RT©? SMa. RT is comprehensive. • Leading standards – Meets existing stringent product sustainability standards in its criteria, including: – Int’l Organization for Standardization (ISO) 14001 Environmental Management – GREENGUARD / California 01350 VOC – FSC Certified Wood • Life Cycle Assessment (LCA) – Per ISO standards, an LCA scientifically measures environmental impacts throughout product life cycle – raw materials extraction, manufacturing, shipping, use or reuse SMa. RT Solutions Business • Global – Requires global supplier data for 12 Sustainable environmental SMa. RT Solutions for Sustainable impacts, & credit for reduction of over 1300 pollutants up to Business 100%© 2007

SMa. RT Solutions for Sustainable Business LCA Impact Example: Environmental Performance for Steel SMa. RT Requires an ISO Compliant LCA Thus Providing Critical Coverage of Global Suppliers SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Why did Leading Manufacturers choose SMa. RT©? SMa. RT is transparent. • Quantified - All assumptions, requirements and metrics within criteria are available to the public • Documented – Manufacturers must disclose points earned by certified products • Audited – Ernst & Young’s Global Sustainable Audit Group audits SMa. RT Certifications • Accredited – Criteria was developed by an American Nationals Solutions for Sustainable Business Standards Institute (ANSI)SMa. RT accredited process SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Who else is involved? SMa. RT Committee Officers • Ken Baker, Principal, Gensler • Doug Pierce, AIA, LEED AP, Perkins+Will • Ginny Dyson, IIDA, LEED AP, DMJM / Rottet • Keith Winn, IIDA, LEED AP, ASID, Catalyst Partners • Ralph Bicknese, AIA, LEED AP, Hellmuth+Bicknese • Eric Corey Freed, Licensed Architect, Principal, Organic Architects • Sigi Koko, Principal, Down to Earth Design • Lou Newett, Environmental Director, Knoll Inc. • Tim Cole, Environmental Director, Forbo Flooring • Michael Bohn, Marketing VP, Bosch & Siemens Home Appliances SMa. RT Solutions for Sustainable Business • Michi Pena, Commissioner, Chicago Dept. of General Services © 2007 • Tim Nolan, State of Minnesota

SMa. RT Solutions for Sustainable Business Who else is involved? • U. S. Green Building Council (USGBC) and its LEED® Rating System – LEED recognizes SMa. RT certified products – SMa. RT & LCA Education are USGBC Education Provider Programs – Use of SMa. RT certified products for 2. 5% of total the value of a project contributes one Innovation and Design credit • American Institute of Architects (AIA) – SMa. RT is part of AIA's imperative to reduce 60% of conventional energy use in buildings by 2015 • Sustainable Furnishings Council SMa. RT Solutions for Sustainable Business – SFC approved SMa. RT as the standard to which its SMa. RT Solutions for Sustainable Business members must certify to © 2007

SMa. RT Solutions for Sustainable Business Who else is involved? • Capital Markets Partnership Acting Now to Secure a Healthy & Prosperous Tomorrow – Led by Citi, JPMorgan Chase and San Francisco Mayor Gavin Newsom – Supported by US Conference of Mayors: • Consensus Green Building Underwriting Standards recognize SMa. RT • Sustainable Investment Standards Requirements 2. 0 recognize SMa. RT • Sustainable Building Securities (SMBS) recognize SMa. RT • Fireman's Fund – Adopted SMa. RT in its underwriting criteria for discounted insurance to manufacturers of certified products • City of Santa Monica – Includes SMa. RT certified Solutions forbeing Sustainable products in its purchasing SMa. RT directive, which is sent Business SMa. RT to U. S. cities for their adoption too Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Who else is involved? • Los Angeles Community College District – $3. 2 B of LEED Platinum construction – More than 3000 manufacturers are transitioning to SMa. RT – SMa. RT Certified manufacturer data accessible through a searchable online data base. • Big Green Purse – Leading consumer web site. SMa. RT & book Solutions on sustainable products for Sustainable Business – Adopted SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Who else is involved? • Alliance for Sustainable

SMa. RT Solutions for Sustainable Business Who else is involved? Three companies are leading the charge and SMa. RT certified their products: • Forbo flooring • Milliken carpet & textiles • Knoll furniture Due to the SMa. RT LEED Credit, all three Companies went Climate Neutral at their Manufacturing Facilities. SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Produced With 100% Wind Energy Platinum SMa. RT

SMa. RT Solutions for Sustainable Business SMa. RT Certified Sustainable Carpet PVC Free Carbon Neutral Production SMa. RT Solutions for Sustainable. Platinum Business SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business How do you achieve a SMa. RT© rating? • Submit a completed application • Pass an internal MTS data audit • Execute a legally binding certification that verifies: – Data are accurate and not misleading – Qualified professionals were used • Publish certification summary on a web site • Pass an external audit by Ernst & Young's Global Sustainable Auditing Group or Redstone Global Auditing SMa. RT (depending on level) Solutions for Sustainable Business SMa. RT Solutions for Sustainable Business • Renew certification every three years © 2007

SMa. RT Solutions for Sustainable Business How do you achieve a SMa. RT© rating? Product must achieve 14 prerequisite points and score a minimum of 28 out of 162 points in the following areas covering all product stages across the global supply chain: • Safe for public health & environment • Renewable energy & energy efficiency • Biobased or recycled materials • Facility or company requirements SMa. RT Solutions for Sustainable Business • Reclamation, sustainable reuse & end of life management SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business How do you achieve a SMa. RT© rating? Based on overall points achieved, there are four levels of SMa. RT certification SMa. RT Rating Sustainable Silver Sustainable Gold Sustainable Platinum Point Range 28 -40 41 -60 61 -89 90 -162 External Audit Random Mandatory SMa. RT Solutions for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business Case Study: How did the Knoll Life chair rate? Sustainable Gold with 71 points The first chair in the industry to be SMa. RT certified • 18 points: Safe for public health & environment – GREENGUARD Children & Schools. SM certified • 23 points: Renewable energy & energy efficiency – Lubin electricity offset by wind energy • 16 points: Biobased or recycled materials – 60%+ recycled content • 10 points: Facility or company requirements – Life Cycle Assessment SMa. RT Solutions for Sustainable Business • 4 points: Reclamation, Reuse. SMa. RT & End. Solutions of Life for Sustainable Business © 2007

SMa. RT Solutions for Sustainable Business What does it mean to Knoll customers? • They are purchasing an independently certified product that is good for the environment, economy and social equity • They can have confidence in the environmental claims because of the accessible, comprehensive, and transparent nature of the certification process • They can achieve an additional LEED credit for the Life chair, SMa. RT Solutions for Sustainable Business depending on percent of total SMa. RT Solutions for Sustainable Business project value © 2007

SMa. RT Solutions for Sustainable Business What are the next steps for Knoll? • Include Chadwick chair 2008 SMa. RT certification in customer education • Knoll has built SMa. RT certification into product development initiatives going forward • Knoll has trained A&D managers to lead CEU accredited courses on Life Cycle Assessment and Sustainable Product Certification through 2008 SMa. RT and into. Solutions 2009 for Sustainable Business SMa. RT Solutions for Sustainable Business © 2007

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SMa. RT Solutions for Sustainable Business Remember, SMa. RT© is • To products what LEED® is to buildings • Accessible – Open, consensus, and affordable • Comprehensive – Incorporates leading standards, LCA, global supply chain • Transparent – Quantified, documented, audited, and accredited SMa. RT Solutions for Sustainable Business © 2007