Figures 9 and 10 – A majority of suppliers expect an increase in operational costs due to climate change within the next five years.


336 49 Physical Risk 137


Other Risks


18 4


63 52


220


Regulatory Risks


566 901


Standard Register learns the commercial value of carbon disclosure


Standard Register (NYSE: SR) provides market-specific insights and a portfolio of solutions to address the changing business landscape in commercial, financial, healthcare and industrial markets. It helps companies manage the critical documents and processes they need to effectively run their operations, improve the way they communicate with and serve their customers, employees, and stakeholders, and ultimately thrive in today’s competitive climate.


Timeframe of increased operational cost N=336


100


16% N=901


80


8% 2%


32%


8% 3%


60 47% 40 17% 10% 13% 34% N=137 3%


Challenge: Meeting customer demand At the request of Bank of America, an important customer, Standard Register reported its climate change data to the Carbon Disclosure Project (CDP) through the CDP Supply Chain program in 2009. Standard Register did not, however, have the necessary processes in place to calculate its carbon footprint and consequently scored just 25 out of 100, well below the supply chain respondents’ average that year. Although Standard Register understood the benefits of sustainable business practice, and had operated waste reduction and paper purchasing initiatives since 2007, the company had no way of evaluating the impact or success of its programs. Participating in the CDP Supply Chain program enabled Standard Register to identify the shortfalls and areas for improvement within its sustainable initiatives, thereby creating business opportunities that would help to strengthen its environmental credentials and improve its prospects as a supplier.


26%


Solution: Improved carbon disclosure score To improve its 2009 score with CDP Supply Chain, Standard Register used the CDP questionnaire to help devise a strategy to measure and manage carbon emissions. Enhancing the company’s ability to track electricity consumption was a key area identified as part of the improved approach to emissions management. Existing outsourcing arrangements were used to collect new electricity consumption data from administrative offices, distribution centers and 25 manufacturing facilities. By the following year, Standard Register improved its score more than threefold and jumped from 25 to 91, placing the company well above the 2010 average score of 48.


Results: Financial savings, improved sustainability credentials, strengthened position as a supplier In addition to enabling Standard Register to respond to an important customer’s demand, reporting through CDP Supply Chain assisted Standard Register to refine its environmental programs and may give it a strategic advantage in competing for business. Participation in the program has also helped Standard Register identify ways to realize significant energy savings from emissions reduction activities.


20 27% 0


Regulatory Risks


Physical Risk


Unknown >10 years 6-10 years 1-5 years Current


Other Risks


28% 29%


Lighting retrofits at Standard Register facilities, saving around $77,000 annually, will pay back within three years. A digital printing technology upgrade, which removes inefficient printing technology from production, will reduce scope 1 and 2 emissions, result in annual savings of $4,200,000 and will also pay back within three years.


Steve McDonell, Vice President of Engineering at Standard Register says: “The largest impact or value from the CDP process was the addition of structure and process to our sustainability efforts around greenhouse gas emissions. It forced us to have a very clear idea and comprehensive measurement system in place and, in turn, detailed planning, including goals and objectives for improvements.”


Inspired by this greater understanding of greenhouse gas management, Standard Register is now addressing the sustainability of its own supply chain. A subcommittee dedicated to sustainability across the supply chain, from extraction through to delivery to the consumer, has been formed and will help Standard Register to share knowledge and best practice with its suppliers.


11


Page 1  |  Page 2  |  Page 3  |  Page 4  |  Page 5  |  Page 6  |  Page 7  |  Page 8  |  Page 9  |  Page 10  |  Page 11  |  Page 12  |  Page 13  |  Page 14  |  Page 15  |  Page 16  |  Page 17  |  Page 18  |  Page 19  |  Page 20