Environmental Risk Management for a Manufacturing Client
Summary
ESGineering Consulting successfully guided the client through the environmental assessment process by employing a detailed, life-cycle-based approach and engaging stakeholders across departments. The results enabled the client to lay a solid foundation for continuous environmental improvement and sustainable operations.
This case study highlights ESGineering Consulting's ability to leverage the ISO 14001 standard to deliver tailored environmental solutions, enabling clients to effectively manage their environmental impacts in their pursuit of sustainable operations.
Challenge
Complex Processes: The manufacturing processes involved multiple stages, each with unique environmental aspects.
Risk Prioritization: The client required a systematic approach to effectively identify, prioritize, and mitigate environmental risks.
Regulatory Compliance: The client needed to comply with various unique regional environmental regulations.
Analysis
Phase 1: Initial Assessment and Planning
Process Flow Diagram: Developed detailed process flow diagrams for each product line to map the life cycle and identify inputs and outputs at each stage.
Life-Cycle Assessment (LCA): Conducted LCAs to identify environmental aspects and impacts. The analysis focused on risk/threat categories such as:
Climate change due to emissions
Waste generation and management
Decrease in ecological biodiversity
Potential reputational damage from environmental incidents
Phase 2: Environmental Risk Identification and Assessment
Identification of Environmental Aspects: Identified key environmental aspects through LCA, pinpointing activities with the most significant environmental footprints.
Risk/Threat Categories: Assessed environmental impacts across various risk/threat categories. Examples included:
Greenhouse gas emissions contributing to climate change
Hazardous waste generation and disposal
Loss of biodiversity due to resource extraction
Reputational risks from environmental non-compliance
Risk-Based Scoring Mechanism: Developed a risk-based scoring mechanism using historical data and location-specific information (e.g., hazardous waste types, past spills or violations).
Risk Profile Value: Calculated risk profile values for each identified aspect, categorizing risks into low, moderate, and significant levels based on frequency, likelihood, severity, and control measures.
Phase 3: Stakeholder Engagement and Analysis
Departmental Collaboration: Engaged representatives from various departments (e.g., production, supply chain, environmental health and safety) to gather insights on how different life-cycle phases impacted risk levels.
Integrated Risk Assessment: Applied the same risk categories to both environmental and enterprise risk assessments, ensuring a consistent and comprehensive approach to risk management.
Phase 4: Results Presentation and Implementation
Senior Leadership Presentation: Presented the environmental risk assessment results to senior leadership, educating them on the company’s significant environmental aspects and impacts.
Continuous Improvement: Identified significant environmental aspects for continuous improvement, translating them into specific environmental objectives and targets.
Solution
Strategic Objectives and Targets: Established clear, actionable environmental objectives and targets, integrated into the Organizational Environmental Management Program (EMP), providing a structured framework for ongoing environmental improvements.
Continuous Improvement: Identified targeted opportunities for reducing environmental risk at the department level and established a process for continuous improvements.
Enhanced Awareness and Engagement: Increased awareness among senior leadership and department representatives regarding environmental risks and opportunities, fostering a proactive approach to environmental management.