“Energy Efficiency A Knowledge Management Perspective”
World Environment Center Roundtable
Basel, October 24-25, 2002
Karl F. Schmidt
VP, WW Env.Affairs
AGENDA
• Energy Management at J&J
• Best Practice/Program Deployment
• Critical Success Factors
Energy Management
• Focus started in 1974 – rising costs, disrupted supply
• Regional Energy Committees – Corp.Energy Director
– WW reporting system ($140MM costs in 2001)
– Explore new technologies, conduct energy surveys
• Coordinate purchasing of energy supplies/services
• Coordinate major programs that benefit Corporation
• Drive Energy Star Enhanced Best Practices
Objective: Assure continuity of operations, reduce
costs and environmental footprint
Coordinated Programs
• Climate Change Action Plan including:
– Climate Leaders, Green Lights (US and EU),
Motor Challenge, Energy Star Buildings
• Green Power Development Group (WRI)
– Large US energy users committed to developing
green power mkts (J&J, IBM, Dow, DuPont, GM)
• Robust Energy Reporting System
– Energy tracking/profiles, project summaries
CO2 Reduction Plan
•Implement 100% of Enhanced Best Practices by 2005
•Aggressively pursue clean energy supplies
•Implement new facility design criteria for all construction
•Pilot & develop innovative technologies & practices
•Add CO2 emissions to Operating Co. dashboards
•Consider market based CO2 trading (under dev.)
Environmental Performance Dashboard: Mid-Yr. 2002
J&J’s Worldwide Progress
By Business Group
Worldwide
Next Generation Goal
‘01 Target Actual
0
55 or Less
Viol/ Spills
67
Mgmt. Systems/ISO 14001
100
100 %
ISO Certified
72%
New Product/Process Review
100
100 %
of New Prod.
76%
Conservation/Community Outreach
100
100%
w/ Plans
84%
Energy Use
100
-4
50 % Best Prax
36 %
Water Use
10
2%
4.3%
Raw Material Use
5
2%
0.7%
Packaging Use
10
2%
2%
10 5
2%, 1%
1%, 2%
1 2
3 4
Compliance/Risk Management
Waste Reduction (NPO)
Legend:
1) Non-Hazardous
2) Hazardous
3) Toxic
4) Waste Mgmt. Methods
On-target
Caution
1 2
3 4
1 2
3 4
1 2
3 4
Needs attention
1 2
3 4
5 10
-1%
Not applicable
CO2
_+15 %
Energy Efficiency: Neutrogena
J&J’s 1st PhotoVoltaic System :
 Clean, Renewable &
Reliable
 Provides 20% of total
electric demand
 Concurrent with Peak
Demand
 Favorable Payback w/
Subsidies & Tax Incentives
Great Publicity!
Green Energy for Cordis Europa, supplied by
NUON.
*Starting 2001- 10% energy
from ‘Green’ supplier
*Employees given chance
to purchase.
•Total: 1,300,000 kW/yr
•CO2 emissions avoided= approx. 1.6 million pounds/yr
Critical Success Factors
• Single person responsible (Champion)
– Team to implement at each site
• Goals with timeline established early
• Management support and recognition
• Provide forums/tools to share
– Website, conferences, communications
• Regular internal/corporate reporting