Plant Services - March 2008 - (Page 50)

energy eXPerT Energy versus sustainability Turf battles arise among operations, procurement and environment T procurement and environmental departments work together he focus on sustainability – on how the resources of to maximize energy productivity, usually led by a fully emthe planet are affected by the conduct of business, powered senior corporate energy manager. and how business can thrive in a resource-conWith today’s reality, sustainability is the new, hot career strained future – is a healthy development. But in the real path with high levels of organizational visibility, a situation world of companies and organizations, this shift produces that doesn’t always bring out the best in people. For many, new opportunities for personal ambition, departmental ri“sustainability” sounds like the “environmental” of old. This valry and other nonproductive behavior. This battle for susis especially true of the manufacturing and operational tainability high ground might hinder your deployment of teams that still face the daily pressure of debreakthrough energy-management programs. livery. These perceptions are a playground for Energy has significant and multiple efSustainability mischief. Sustainability can become the batfects on business viability. Rising, volatile tleground for inappropriate ambition, and the energy prices threaten profitability and stais the new, hot bility. Energy supply reliability could clearcareer path with company might lack the committed engagement of its purchasing, manufacturing and ly jeopardize business. As the main cause of high levels of operational side. Effective energy managemanmade greenhouse gases, energy use is organizational ment suffers if this happens and greenhouse the defining variable of the company’s carbon gas performance inevitably worsens. The risks footprint. Managing waste energy consumes visibility, a are too great. vast quantities of cooling water, affecting situation that The tools to avoid this risk are well docuwater tables and waste-management systems. doesn’t always mented and widely available. The U.S. EPA’s Using energy creates polluting byproducts in bring out the Energy Star Industrial program has effecaddition to greenhouse gases, both directly and indirectly. Last, but certainly not least, best in people. tive management tools that allow you to assess readiness to deliver energy productivmarkets also are affected by the changing ity breakthroughs. Recently, Energy Star has energy scene, producing new threats and looked into the uncertain future and developed a valuable opportunities for the company’s products and services. guide for senior management. “Energy Strategy for the Historically, energy management has been low in most Road Ahead” guides management through the minefield manufacturers’ priorities, with operations focused on reliof possible scenarios they might face concerning energy ability and meeting demand. Energy occasionally made it to and climate change. In addition, organizations such as the the table during price spikes with procurement pressured to California Climate Action Registry, among others, have a find a better deal, or, more often, punished for bad forecastwealth of experience and advice about the links between ing. Sometimes, a senior manager would see the long-term energy sourcing and efficiency, and carbon footprint. operational and environmental benefits of energy efficiency, Senior management needs to be alert and watch for the early and there would be a flurry of conservation programs. Ineviwarning signs of what really are old turf battles among protably, energy was seen either as a buying issue or an environcurement, operations and environmental all struggling to conmental issue, and not really a core operational issue. trol the energy and climate agenda for political reasons. In the Buying and conserving energy were viewed as distinct 21st century, deep and effective sustainability management is functions with little or no linkage. Energy management core to a thriving competitive business, and is far too important was synonymous with energy conservation and put in the to be left to yesterday’s departmental skirmishes. orbit of the environmental group. This has been the most common picture, and, with some notable exceptions, this organizational concept hasn’t delivered energy productivPeter Garforth is principal of Garforth International LLC, Toledo, ity breakthroughs. Breakthroughs come when operations, Ohio. E-mail him at garforthp@cs.com. www.PLANTSERVICES.com March 2008 50 http://www.PLANTSERVICES.com

Table of Contents Feed for the Digital Edition of Plant Services - March 2008

Plant Services - March 2008 Contents From The Editor Letters The PS Files Up and Running Crisis Corner What Works Asset Manager: Enterprise Thinking Technology Toolbox: Hydrogen In Action Cover Story: Get Real Electrical: Reliable Distribution Power Transmission: When the Belt Breaks Web Hunter: Tooting Horns In the Trenches Product Picks Classifieds Fast Facts Energy Expert: Energy versus Sustainability

Plant Services - March 2008

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