CRS and Sustainable Initiatives at Gorilla Health Bar Company - Case Study Example

CRS and Sustainable Initiatives at Gorilla Health Bar Company Student’s Name Course University Professor Location Date Executive Summary Most organizations are currently attempting to promote their image through Corporate Social Responsibility initiatives in the community/market and reduce the cost of production through sustainable ideas. Gorilla Health Bars Company is set to initiate its Corporate Social Responsibility and Sustainability Initiatives intended to cover various areas of its operations over the next three years. Major highlights in the three-year plan include retrofitting its old 2-storey warehouse, investment in renewable energy and build a water treatment facility to reduce high costs of electricity and water rates respectively and funding various social, health, cultural and sport activities in Victoria. Ultimately, the new systems will support our safety, comfort, and productivity. Table of Contents Executive Summary 2 Table of Contents 3 1.0 Introduction 5 2.0 Short-term and medium-term Sustainable options 6 2.1 Water 6 Others: Emphasize on dry sweep mainly by use of water broom when possible, to reduce wastage by use of hose pipes to clean floors, hard surfaces and sidewalks. 7 2.1.1 Recommendations 7 2.2 Electricity 7 Insulation- Refitting the interior layout of old facility with cheaper, locally accessible materials. This is a major barrier to heat loss or heat gain in roofs, wall, floors and ceilings. It is the most practical as well as cost-effective way that make a house more energy efficient. Keeping cooler in summer, warmer in winter and can save up to 40% on company heating and cooling bills. Additionally, it will reduce condensation and reduce mould and damp. The company can consider using double-walled card-boards all around the walls and roof. It can consider wooden tiles for the floor. 7 Use minimal but cost-effective warehouse designs such as design windows and doors in an improved energy efficient and alterable designs to fit both summer and winter seasons. 7 Air conditioner type, size and equipment should be energy efficient appliances, recently approved and rated energy-efficient for heating and cooling. 7 Control unnecessary heating zones and spaces by locating thermostats in strategic location to reduce the number of running thermostats at any given time. 8 Set timers for starting energy systems as soon as when people enter the facility and during working hours 8 Set heating and cooling targets for thermostats to switch off and on to reduce wastage 8 Ensure regular maintenance schedule and review the workability of all energy system comparing the use with saving targets periodically. Document check dates and indicate change in usage. 8 The waste products from production process can offer massive and continuous materials to build and sustain a bio-gas facility in the company. The contents will be used to generate heating and cooling needs throughout the year as production is a continuous process. It also needs very little installation and maintenance costs. 8 (Palm & Thollander 2010). 8 2.2.1 Recommendations 8 2.3 Supply chain Arrangements 9 2.3.1 Recommendation 9 3.0 Corporate Social Responsibility (CSR) 10 3.1 Planning and Implementation 10 3.1.1 Recommendation 11 4.0 Conclusion 11 References 12 Alliance for Water, 2011, ‘Efficiency Saving Water - Tips for Commercial, Industrial and Institutional Water Use’, Accessed [15 May 2015] from http://www.home-water-works.org/. 12 1.0 Introduction The purpose of this report is to provide a report for Gorilla Health Bars Company highlighting the near-term and medium-term options available to it for developing Sustainable Initiatives and launching a new applicable and low-cost CSR and recommends activities to sustain its CSR and viable longer-term sustainability options. The report covers four major areas of concern including power consumption, water consumption, and supply chain arrangements in accessing raw materials, and best CSR initiatives for the company. Every area covered by the report will allude to substantial theoretical understanding to give the most objective report. Sustainability is simply defined as endurance of processes and in a manner that reduces negative human impacts in the environment. It looks at human–environment systems requiring new ways in knowledge production as well as decision-making to come up with enduring system that is adaptable to changing business needs in cost-effective ways (Lang 2012). Through sustainable solutions, it is possible to attain a number of positive benefits including: Support company’s operations through supply of reliable energy and water that will further promote and sustain the growing production activities. Lower the cost of production by reducing recurring costs of energy and water resources and maintenance needs. Negatives High cost, in terms of initial costs, material for construction and initial purchase and installation of the equipment. Unpredictable weather conditions making each sustainable solution fail to be effective. For instance, wind power affected during periods when there are winds, solar power affected in cold seasons. 2.0 Short-term and medium-term Sustainable options 2.1 Water No simple water conservation exists as one-size- fits-all. However, the company need to ensure the following actions in its short-term and medium-term solution to reduce water usage in the facility as recommended by Alliance for Water (2011): Quantify water use by conducting a facility audit to understand water use, identify savings opportunities, set appropriate savings targets as a benchmark to track water savings. This is the first step to develop water efficiency program. Investigate the feasibility of general options in its operations such as: Reduce the flow of water. Modify major equipment or install water saving devices. Replace current equipment and use more water-efficient equipment. Consider cost-effective water treatment, recycle and reuse; most sizeable project cost 4 million to set up a recycling facility and $500 annual costs. Use technology that is waterless process. Use water efficient fixtures in showering areas. There are great opportunities for water savings by using efficient toilet flushing, hand washing sinks and showering facilities such fixtures to be retrofitted including high-efficiency toilets, urinals and showerheads and faucet aerators in all sinks.  Educate employees and communicate water saving targets. Workplace culture focusing and taking pride in efficiency is beneficial to water conservation plan. Ensuring increased awareness to bring more staff monitoring water use. Start a recognition program as a way to initiate water-efficiency processes and incorporate resource conservation as part of performance reviews for all line managers. Others: Emphasize on dry sweep mainly by use of water broom when possible, to reduce wastage by use of hose pipes to clean floors, hard surfaces and sidewalks. Rain-harvest and use non-potable water like rainwater for non-production processes and general cleaning can immediately minimize the number of gallons used per year. (Hussey & Pittock 2012) 2.1.1 Recommendations It is cost-beneficial if the company hires an expert in industrial water use and efficiency for carrying out an on-site survey. Learn from water saving success cases of industry peers like Coca cola, Abbott and GA. Case studies can precisely provide insight to the company of what will works, what cannot and what most is cost-effective and efficient solutions.  There are a lot of sustainability reports and annual reports with such details. 2.2 Electricity Insulation- Refitting the interior layout of old facility with cheaper, locally accessible materials. This is a major barrier to heat loss or heat gain in roofs, wall, floors and ceilings. It is the most practical as well as cost-effective way that make a house more energy efficient. Keeping cooler in summer, warmer in winter and can save up to 40% on company heating and cooling bills. Additionally, it will reduce condensation and reduce mould and damp. The company can consider using double-walled card-boards all around the walls and roof. It can consider wooden tiles for the floor. Use minimal but cost-effective warehouse designs such as design windows and doors in an improved energy efficient and alterable designs to fit both summer and winter seasons. Air conditioner type, size and equipment should be energy efficient appliances, recently approved and rated energy-efficient for heating and cooling. Control unnecessary heating zones and spaces by locating thermostats in strategic location to reduce the number of running thermostats at any given time. Set timers for starting energy systems as soon as when people enter the facility and during working hours Set heating and cooling targets for thermostats to switch off and on to reduce wastage Ensure regular maintenance schedule and review the workability of all energy system comparing the use with saving targets periodically. Document check dates and indicate change in usage. Medium-term and long-term solutions: Gorilla has great potential and opportunity to generate thermal energy from renewable sources like solar and biomass. Collectively, these two systems will offer the most cost-efficient renewable heating and cooling. There are wide-range of appliances and products used to convert sunlight into usable thermal energy; the solar heating and cooling technologies. The company can phase to install at least two each year in various departments in the facility. The waste products from production process can offer massive and continuous materials to build and sustain a bio-gas facility in the company. The contents will be used to generate heating and cooling needs throughout the year as production is a continuous process. It also needs very little installation and maintenance costs. (Palm & Thollander 2010). 2.2.1 Recommendations The company need to have an annual review of its energy use and re-align use with conservation targets. In turn, it will continually use technical and non-technical solutions, promote workforce awareness and participation in conservation process. The company need to identify conservation forums in Australia and elsewhere to update its energy systems accordingly and understand policy implication for any of energy sustainable efforts it adopts. 2.3 Supply chain Arrangements The company need to reduce the number of vehicles purchased, maintained and needed for transport needs through some of the following actions as recommended by NHS Supply Chain Trailer fill increase: Ensure each trailer carry the maximum number of tones by having optimal ordering quantities and setting optimal inventory levels. Pallet height optimization: optimize the inbound pallet heights for delivery vehicles to reduce overall supply chain costs by having additional space to handle raw materials. Use measures to reduce handling like through the use of pack quantity optimization to optimize the packaging of raw materials and increase the space for carrying more goods to reduce transport costs. Ultimately, the company can design its trailers in a way that will minimize packaging needs. Redevelop secondary packaging by improving materials like removal of packaging, reduced packaging size and ensure packaging specification. Ensure reduced freight by collaborating with other companies that transport the dried fruits and seeing collective approaches that can reduce transport costs. Additionally, the company can contract a supplier provided there will be net overall benefit and not creating additional supply chain costs. Outsourcing from logistic companies can reduce overhead costs and the need for asset like vehicle, packing spaces, insurance needs, maintenance and drivers recurring costs. 2.3.1 Recommendation Use GPS to determine shortest routes and transport in hours where they can avoid traffic. 3.0 Corporate Social Responsibility (CSR) The company consideration for CSR initiative is timely noting that the increased need for health eating has reduced the consumer appeal to its products. CRS delivers important message and the company must conceptualize the message they want to deliver to the public; existing and potential consumers of its products. 3.1 Planning and Implementation 1. Define your messaging. Set minimum goals like conserving rainforests and investing in a community project the next. Just pick one, donate funding or assistance which the company can afford and stick with for long. Identify causes that resonate with company culture, the support you need. 2. Involve your customers. Develop a list of potential initiatives. Mostly, you need to ask the company’s Facebook fans and web site visitors to vote on an initiative they would want you support. Additionally, you can actively seek assistance. For instance, supporting Award for college/high school cricket teams and donating gears can potentially be rewarding in the long-run as most of the customers comprise of young people who like cookies. 3. Create a scorecard. Ensure the initiative features achievable, specific and measureable goals. Keep the goals visible on your site. Honestly communicate about any setbacks in authentic tone. 4. Use social media.  Communicate through multiple digital platforms; blogs, Facebook, YouTube and Twitter for people have different media preferences. 5. Partner with a third party. Form alliance with regional non-profit to increase credibility to the company’s efforts. You can benefit through the greater experience of from the non-profit organization by getting an opportunity to blend networks and customers. 6. Seek publicity. There is a greater opportunity to seek or get media coverage for the company. Send out messages about contests, events and seek to motivate the players you support to aim for competition that attract positive coverage. 7. CSR reports. Use charts, photos and stories in quarterly newsletters and annual reports to inform your stakeholders and shareholders and develop appeal. (Fernández‐Kranz & Santaló 2010) 3.1.1 Recommendation Review and update CSR initiative after every three years to determine appropriate costs, partners, human resource needs and bottom line goals. 4.0 Conclusion The survival and viability of company’s operation to the future depend on how it incorporates strategic goals in its planning and development. Gorilla Company focus on sustainable and cost-saving solutions will help reduce the cost of production and possibly help to leverage CSR initiatives to boost the image of the company, promote revenues and success. References Alliance for Water, 2011, ‘Efficiency Saving Water - Tips for Commercial, Industrial and Institutional Water Use’, Accessed [15 May 2015] from http://www.home-water-works.org/. Fernández‐Kranz, D, & Santaló, J 2010 ‘When necessity becomes a virtue: The effect of product market competition on corporate social responsibility’, Journal of Economics & Management Strategy, 192, 453-487. Hussey, K, & Pittock, J 2012 ‘The energy-water nexus: managing the links between energy and water for a sustainable future’, Ecology and Society, 171, 31. Lang, D J, Wiek, A, Bergmann, M, Stauffacher, M, Martens, P, Moll, P, ... & Thomas, C J, 2012, ‘ Transdisciplinary research in sustainability science: practice, principles, and challenges’, Sustainability science, 7(1), 25-43. NHS Supply Chain, ‘Supply chain cost reduction’, Accessed [15 May 2015] from www.supplychain.nhs.uk/suppliers/. Palm, J, & Thollander, P 2010 ‘An interdisciplinary perspective on industrial energy efficiency’, Applied Energy, 8710, 3255-3261. Read More