Leading global electronics manufacturer, Sharp, employs 31,900 people in Japan and 59,400 globally. Its product range includes consumer electronics such as televisions, DVDs, telephones and fridges, as well as electronic components. Perhaps lesser known is that Sharp has been involved in the solar business for 50 years. Its solar products are used to power remote villages and its ‘floatovoltaics’ system is used in Calfornia’s Napa Valley on irrigation ponds rather than taking up space on prime wine growing land.
More recently it has taken this ‘greener thinking’ and applied it more widely across its operations.
Business insight
The electronics sector is being increasingly watched for its environmental performance. Its use of materials, including toxic chemicals and metals as well as issues with e-waste, has been receiving increased public attention. So much so that Greenpeace has released a ‘Guide to Greener Electronics’ quarterly since 2006.
Transformation
Whilst a mid level performer on the Greenpeace Index, Sharp’s Eco-Positive strategy sets the foundations for comprehensive improvement. The strategy focuses on four main areas – technology, products, operations and relationships.
Technology
SHARP is researching technological solutions that improve the environmental performance of its products and lowers their lifecycle impacts. It includes opportunities for energy savings and creation, effective resource use, safety and piece of mind and health and comfort.
Work to date has included closed loop recycling systems for plastic and LCD television cabinet material as well as recycling technologies for bioplastics and paints. It has also developed technology to recover and recycle the rare metal, indium, from scrap LCD panels.
Products
Guidelines are in place for the product development to ensure it supports the Eco-Positive strategy. The guidelines focus on low energy consumption, resource reduction, safety, recycling and use of recycled materials – including easy disassembly to facilitate recycling; and increased life cycle by making the products easer to repair.
The guidelines are revised annually to continually raise the bar on environmental performance.
Operations
Internal guidelines are also in place for the green credentials of factories, known as SGF or Super Green Factory. Here the focus is on greenhouse gas emissions, energy use, waste discharge levels, resource consumption, minimising the risk of pollution and accidents from chemical substances and raising environmental awareness amongst employees. SGF accreditation is awarded based on a points system awarded for each of the features within the guidelines.
More recently, has been the introduction of SGF II with additional criteria linked to performance rather than features, as well as maintenance and disclosures.
Relationships
Transparency in Sharp’s stakeholder relationships underpins the approach, whether it be through reports, online information, or consumer communication channels.
Environmental information is made available at all Sharp festivals held in its areas of operation. For instance, twice a year the Fukuyama plant undertakes joint testing of wastewater with local authorities. Public meetings are held to share the results and exchange opinions on the findings.
End game
The results of the Eco-Positive approach are already evident. Ninety-one percent of products currently sold in Japan are considered ‘green’ and 68% meet the requirements of the most recently revised standard.
For instance, the annual power consumption of a 32 inch AQUOS LCD screen television has decreased from 63 kilowatt hours each year to just 13.5 since 2000. Over the same time period its weight has reduced from 273 to 66 kilograms dramatically reducing the volume of materials required and reducing packaging and shipping weight. Colour printing is no longer used in packaging across all major products.
Twelve Japanese sites have received the SGF accreditation, with a further 9 elsewhere in the world. Sharp is aiming for all its 38 sites to be accredited by 2012.
The company has already stopped using the 6 chemical substances restricted under the EU’s Rolt directive as well as a number of others including beryllium.
SHARP’s commitment to developing transparent standards for its products and its factories has been in the absence of an industry standard, this would be the next logical step for what is becoming an increasingly watched sector.
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© Article 13 - November 2009
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