Stewardship 2016: A Look Back
Transcription
Stewardship 2016: A Look Back
Stewardship INNER HARBOR BALTIMORE + MAY 23–25 # ST E WA R D S H I P 1 6 • P R O D U C TST E WA R D S CO N F E R E N C E .O R G 2016 A LOOK BACK A LOOK BACK AT STEWARDSHIP 2016 Stewardship 2016 brought together hundreds of professionals from over a dozen different industry sectors and throughout the value chain. A record number of attendees convened in Inner Harbor, Baltimore to talk about the challenges specific to their profession, including operations, regulatory compliance and how product stewardship programs contribute to business value. I n addition to networking with each other, product stewards also attended the conference to hear from key business leaders, including ExxonMobil VP Elissa Sterry, who outlined five areas where product stewards in any organization can positively affect the business. Many sessions dealt with how products stewards can go beyond compliance and impact the organization’s bottom line. Attendees heard about a framework for measuring product stewardship activities. They also heard about specific methods for finding and gathering the right data to drive product stewardship objectives. Product stewards also deal with emerging regulatory and compliance issues, so the conference included sessions addressing these topics. Attendees learned the latest about stewardship and www.ProductStewards.org compliance for nanomaterials from a panel that included attorney Lynn Bergeson. OSHA representative Maureen Ruskin talked with attendees about the agency’s latest guidance and future regulatory agenda. At the same time, Health Canada representative Amira Sultan briefed attendees on the country’s progress toward GHS implementation. Employing the best talent is key to a strong product stewardship program. Several sessions addressed the challenge of recruiting, developing and managing talent. Attendees heard about how 3M grooms its next generation of product stewards. They also heard from representatives from the PSRA, Johnson & Johnson and BASF with advice on how to identify and manage product stewards. 1 CONTENTS ExxonMobil VP Elissa Sterry Praises Product Stewardship . . . . . . . . . . . . . . . . . . . . 3 Use Data to Drive Product Stewardship Objectives . . . . . . . . . . . . . . . . . . . . . . . . . 5 No Data, No Market: Start Your REACH Registration Now . . . . . . . . . . . . . . . . . . . . .8 OSHA Rep Updates Product Stewards on GHS and Beyond . . . . . . . . . . . . . . . . . . . . 9 Canada Moves Closer to GHS . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 10 How Product Stewards at HP and Shell Report Key Metrics . . . . . . . . . . . . . . . . . . . 11 Integrating Product Stewardship at Abbott Vascular . . . . . . . . . . . . . . . . . . . . . . . . 13 Attracting the Next Generation of Product Stewards . . . . . . . . . . . . . . . . . . . . . . . 14 Experts Talk About Alternatives Assessment . . . . . . . . . . . . . . . . . . . . . . . . . . . . 15 Nanomaterials: Information for Product Stewards . . . . . . . . . . . . . . . . . . . . . . . . . 18 Methods for Dealing with Regulatory Nuance . . . . . . . . . . . . . . . . . . . . . . . . . . . 19 Green Chemistry: A Case Study in Transparency . . . . . . . . . . . . . . . . . . . . . . . . . . 20 We Ensure Market Access: The Business Value of Product Stewardship . . . . . . . . . . . . 21 Product Stewardship Talent Management at J&J and BASF . . . . . . . . . . . . . . . . . . 22 EXXONMOBIL VP ELISSA STERRY PRAISES PRODUCT STEWARDSHIP ExxonMobil’s mission is to expand energy supplies, deliver energy where it’s needed and unlock new sources of energy, said Elissa Sterry, global intermediates vice president. Product stewardship plays an integral role in fulfilling that mission. D uring a keynote address at Stewardship 2016, Sterry told attendees that product stewards at ExxonMobil are part of a group that’s often on the leading edge of developing new methods of assessing product risk. Although it’s a technical profession, good product stewards are also great communicators and have inherent leadership skills. Sterry outlined five areas where product stewards in any organization can positively affect the business. “I would like to encourage you to test your own participation in each of the five areas,” she said. “I encourage you to think about getting involved in those areas where you aren’t involved but you have an interest.” Product Safety Companies are responsible for making sure the products they sell are safe for intended use. To sell products with confidence requires testing and analysis. Sterry’s team works with toxicologists, and the product stewardship team is responsible for communicating www.ProductStewards.org the results with executives. Because the assessments can be complex, they require a unique skill set that product stewards bring. Compliance Sterry noted that compliance activities span a range of activities, from material selection to recordkeeping. It also involves tracking regulatory changes around the world. Regulatory Engagement Product stewards are uniquely qualified to engage in the development of regulations, something that industry doesn’t participate in as often as it should. Product stewards know from experience where existing legislation is lacking. 3 CONTINUED For example, when REACH was first being implemented, ExxonMobil actively provided guidance to meet the intent of the law efficiently. Solvents had been identified by the feedstock used to produce them – an outdated system, said Sterry. As a result, her team developed a new, simple naming convention to differentiate fuels from high-performing fluid. The system better informs producers and customers about the composition of products they’re buying. Ultimately, the OECD recommended that the naming convention be used for future regulations. New Product Development Product stewards can also provide great value in new product development. In Sterry’s group, product stewardship is integrated in the process. Doing so helps anticipate regulations and consumer concerns. In one instance, Sterry’s team recognized consumer concern over oil and gas drilling, so they developed drilling fluids for fracking operations that don’t require Aquatic Hazard labels under GHS. Advocacy Sometimes misinformation is a bigger challenge than regulations, she said. Product stewards help their companies by demystifying science and helping consumers make good choices. Risks can be potentially much higher if well-tested chemicals are replaced with less well-tested chemicals, for instance. Sterry said that customers will gravitate to suppliers who have a strong grasp of the regulatory environment. Increasingly she asks her product stewards to engage with the supply chain to explain the difference between hazards and true risk. Sterry said that customers will gravitate to suppliers who have a strong grasp of the regulatory environment. Increasingly she asks her product stewards to engage with the supply chain to explain the difference between hazards and true risk. www.ProductStewards.org 4 USE DATA TO DRIVE PRODUCT STEWARDSHIP OBJECTIVES Product stewardship helps ‘future-proof’ a company’s portfolio, but only if it anticipates customer requirements. That means building customer insights around environmental attributes that could turn into strong drivers. B ecause marketing departments and R&D focus on product performance, product stewards need data to show that environmental leadership also matters. John Ortiz, director of product stewardship at HP, offered strategies for gathering the right data. The government, NGOs, competitors and customers are all sources of data. For example, as more companies incorporate sustainability initiatives, they issue corporate sustainability reports. These are sources of information about what they’re doing in the marketplace. Safety data sheets and annual reports are also sources of competitor data. Eco-labels are another source of competitive analysis. If your competitors tout a certification, you can relay that back to senior management. “If you’re competitors are doing it, nobody really likes to be behind,” said Ortiz. Eco-labels also foreshadow future market access requirements. Take the individual performance attributes necessary to achieve www.ProductStewards.org the eco-label and compare how well you match to competitors. If regulators propose a rule around the attribute, competitors won’t argue with it and you’ll be behind. Showing design teams how far you are behind can influence changes, said Ortiz. Internal Data Companies can also generate data internally. For example, a team at HP gathers every customer inquiry about environmental attributes, whether it’s a consumer phoning the call center or an enterprise prospect whose RFP requests additional information. The team responds to the inquiries but also tracks and categorizes the requests “Most of you have some mechanism for receiving customer inquiries, but actually tracking and parsing the data — how many do you get, etc. — is trickier,” said Ortiz. 5 CONTINUED Insights from this data are folded into future product design. For example, the team received many inquiries about air emissions, so the company created documents to address the inquiries and made them available. Likewise, if an RFQ worth millions of dollars specifies certain requirements, product stewards will use that data to influence the design team. In packaging, for instance, the customer may not want polystyrene foam. “We might have to eat the cost to do a paper-based alternative, but now here’s the dollar value that could be lost, and showing that is powerful,” said Ortiz. He recommends incorporating a bid and tender tracker that shows revenue wins and losses. When you show the amount of dollars tied to an attribute, like packaging with paper instead of foam, “that’s extremely powerful stuff,” he said. What Works and What Doesn’t Ortiz also shared some practical advice for achieving buy-in from executives. He reiterated that speaking about compliance doesn’t affect change. When talking about possible regulations, for instance, executives want to know the likelihood they’ll be enacted, which can be hard for product stewards to quantify. Likewise, www.ProductStewards.org conversations about lifecycle analysis and carbon footprints have less impact on design teams than data about competitor products. Finally, environmental data is not a real driver in many customer focus groups, but if you look to leading-edge customers and extreme users, they will point in a direction you can show to marketing departments. When you show the amount of dollars tied to an attribute, like packaging with paper instead of foam, “that’s extremely powerful stuff,” [Oritz] said. 6 WHY DID YOU ATTEND? HERE’S WHAT SOME ATTENDEES HAD TO SAY ABOUT WHY THEY ATTENDED THIS YEAR’S STEWARDSHIP CONFERENCE: TIM BOTTS DIRECTOR OF REGULATORY AFFAIRS ECOLAB This was my first time attending Stewardship. My primary reason for attending was to benchmark what my team is doing compared to others. One session talked about preparing the next generation of product stewards. We have a lot of folks that fall into the millennial generation. We’re doing many of the things the speaker mentioned but a few that we aren’t that I plan to try. I was also able to build my product stewardship network. It was encouraging to learn there are others dealing with stewardship issues like me and they’re open to willingly share best practices. I don’t know where else you could go and be this immersed in stewardship. If you do stewardship as your job, you have to be here. www.ProductStewards.org “I DON’T KNOW WHERE ELSE YOU COULD GO AND BE THIS IMMERSED IN STEWARDSHIP. IF YOU DO STEWARDSHIP AS YOUR JOB, YOU HAVE TO BE HERE.” 7 NO DATA, NO MARKET: START YOUR REACH REGISTRATION NOW F or many companies, registering chemicals before the REACH deadline will not be an easy process, given the technical, legal and financial considerations. Additionally, a larger number of registrants and an increase in the number of specialty chemicals registered will present challenges. “For a large portfolio you need a lot of time. That’s why you need to start now with your activities,” said Sandra Meijer, director of business development at The REACH Centre. The deadline is May 31, 2018. It can take up to 30 weeks to complete a registration, even if everything goes smoothly. “There’s only a certain number of labs who can do some of these tests,” said Meijer, and some are already at capacity. Technical Considerations mechanism. Meijer also cautioned attendees not to run afoul of EU competition law. She referenced a list of Dos and Don’ts available at www.cefic.org. Financial Considerations Registration costs include the data sharing and ECHA fees. There can be ongoing cost and unforeseen costs as well. Depending on the testing required, the costs add up, especially if you are the only registrant. Ultimately whether to register or not is a business decision. If chemicals in your inventory haven’t been registered yet, you may need to take the lead and incur a large upfront cost. If the costs outweigh the benefits of being in the market, some companies may reduce their exports to less than one tonne or replace the substance with something else. Data gathering is a huge part of REACH. Competitors are expected to collaborate to develop one hazard data set for the chemicals. Though some hazard data may be compiled already, there are always gaps, said Meijer. You can potentially fill those gaps with read-across, waiving arguments and QSAR. If confidentiality is an issue, you can submit your uses separately from the lead dossier, but then you have to conduct your own safety assessment. The Wider Impact of REACH Legal Considerations Also, ECHA uses the data it gathers to see which chemicals need better controls. The agency may check the dossier to ensure that it’s scientifically sound. It may conduct an evaluation if it’s concerned about the substance, or it can ask registrants for more information. Depending on the results, ECHA could restrict a chemical, impose a ban or propose a reclassification, which could lead to other impacts. “Know your substances. Communicate with your fellow registrants in your supply chain,” Meijer advised. Every Substance Information Exchange Forum (SIEF), should have an agreement outlining how you’ll work together. It should express the obligations for each member and how you’ll share costs. It should also address potential refund mechanisms, in case more companies join the registration than anticipated. An ECHA regulation now stipulates that the agreement address whether or not there’s a refund www.ProductStewards.org “REACH registration is only the start of the process,” said Meijer. Registrants must update dossiers when new hazard data or new uses become available (if new members join, for example). Similarly, updates are required if your company changes names or size as a result of M&A activity. 8 OSHA REP UPDATES PRODUCT STEWARDS ON GHS AND BEYOND C ompanies should be in compliance with GHS labeling requirements by now. That said, OSHA continues to issue guidance. Maureen Ruskin, office director, office of chemical hazards at OSHA, talked about that guidance and shared updates on the agency’s regulatory agenda. Hazard Classification Guidance Ruskin reminded attendees that they should be labeling their containers with updated pictograms and including updated safety data sheets. There is some discretion for companies working through existing stock with old labels. By June 1, 2017, companies should have worked through all existing stock and only be using updated labels. OSHA published Hazard Classification Guidance to address how companies would make a hazard classification in general terms, how to identify chemicals with CAS numbers, where to look for data and more. The publication also addresses physical and health hazards and provides guidance along with the classification criteria. Each chapter covers a different hazard class, with criteria for the substance and a discussion on the criteria for mixtures. Highlighted Issues Guidance for the Weight of Evidence Ruskin talked about enforcement activity in the past couple years. Companies that triggered violations around hazard communications were mostly related to requirements that haven’t changed — if they didn’t have a written employee training program or updated safety data sheets, for instance. OSHA also published Guidance for the Weight of Evidence. This document, in its comment period at the time, explains HCS’ weight of evidence analysis requirements. “We have kept it strictly to how you can apply this to the hazard communication standard,” said Ruskin. The document addresses how to use authoritative evaluations. Another issue is the amount of information required on labels. In some cases, packaging is too small to include all the information. OSHA has looked to examples from the UN and issued letters of interpretation for what’s allowed when there’s not enough room. Ruskin pointed out that the signal word and the pictograms must go together, but the rest the information can be on a different part of the label, which provides companies with some flexibility. To summarize, evaluations are given greater weight for studies that are in humans or that can be readily translated to humans. Also they look for animal studies and how they were conducted along with the statistical power of the results. You might also have to do a conflict resolution if some studies are positive and some negative. www.ProductStewards.org The publication will likely be updated in the summer, with final publication in the fall. 9 CANADA MOVES CLOSER TO GHS Canada continues its progress toward GHS implementation. Amira Sultan, senior regulatory & risk management supervisor, Workplace Hazardous Materials Bureau at Health Canada, talked about the implementation’s current status. I n general, Health Canada is taking an approach similar to OSHA. It will release guidance documents and adjust them as needed. The agency is currently working on technical guidance to help manufacturers and importers to comply. The guidance document is targeted for release this year. The U.S. and Canada have a process for working out differences in their requirements. The Regulatory Cooperation Council (RCC) strives to implement a collaborative relationship to implement GHS. The RCC meets with an understanding that both countries’ regulatory processes will be respected and worker safety will not be reduced. “With implementation of the GHS in place in both countries, the workplace hazard communication regulations in Canada and the U.S. are now aligned,” said Sultan. Deadline and FAQs After May 31, 2017, manufacturers and importers are required to use the WHMIS 2015 label. Distributors and employers have more time to comply. Sultan reviewed some frequently asked questions the agency receives. In response to whether the initial supplier identifier must be identified, the answer is yes. An exception is that if the importer www.ProductStewards.org is using the chemical in its own workplace, it can leave the foreign supplier on the data sheet. In response to a question about whether suppliers can email a link to an SDS, the answer is no. You must send a hard copy or an electronic document directly. In other words, you could send an email with the SDS attached electronically, with the English and French versions separate. You could also send a USB drive or CD. However, you cannot provide the purchaser with a link where they have to download it. “With implementation of the GHS in place in both countries, the workplace hazard communication regulations in Canada and the U.S. are now aligned,” said Sultan. 10 HOW PRODUCT STEWARDS AT HP AND SHELL REPORT KEY METRICS Metrics are key to communicating the business value of product stewardship, but knowing what to measure has been an ongoing challenge. Much of the work that product stewards do is intangible or difficult to accurately quantify. For example, how do you quantify the economic impact of completing a regulatory submission faster than expected? Likewise, the diversity of businesses and geographic locations makes it difficult to establish cross-cutting metrics. S o how should product stewardship programs move forward? Members of the Product Stewardship and Regulatory Affairs Council (PRSA) proposed some answers to that question in a recent report. Measuring the Performance and Business Value of Product Stewardship outlines an overall approach to metrics program design and describes a broad menu of potential measures in two areas: core stewardship work and “business value” work. PRSA Program Director Rob Shimp gave an overview of the report and some suggestions for implementation. The first step is to be clear about your purpose of capturing data. Is it to improve the performance of the organization? To ensure you have the right people in the right jobs? Is it to quantify how product stewardship contributes to the growth of the business? Or to aggregate the overall health of the organization? “A good metrics program can be any one of these or all of these,” said Shimp. The key is to specify what www.ProductStewards.org you want to accomplish. “Otherwise you can choose any one of the thousand things to measure, but they may not be fit for the purpose,” he said. How HP Does It Kathy Brewer, senior program manager at HP, explained that gathering data wasn’t the problem. “We don’t lack for metrics,” she said. But HP’s chief supply chain officer wanted those metrics rolled up into a single metric that would indicate how the function was performing. Initially, Brewer’s team considered creating a weighted index, but she wasn’t sure that the final number would mean anything. A peer 11 CONTINUED reminded her that metrics are meant to trigger conversations and actions. If one performance area is doing well, but another is a red flag, a weighted average might hide that fact. Instead, he recommended using dashboards, and reporting the metrics that needed attention. “If everything’s good, you don’t need the conversation. If something is not going the way you want, trigger the conversation. That’s what we started looking at,” said Brewer. For their top level dashboard work, Brewer and team focused on lost and delayed revenue. They set dollar thresholds corresponding to green, yellow or red to reflect if products were delayed getting into a country, for example. Another metric is related to the company’s takeback operations. Brewer reports on the program’s financial standing. They also report on response rates to requests and inquiries that come in for customers from sales. The goal is to respond to those inquiries on-time. instance, the length of time it takes to issue an SDS is an indicator tied to operational excellence. The company uses a dashboard to visualize its performance. Another objective is to ‘master regulatory complexity.’ Visually, this metric is conceived as a tank that fills up. You set a target for number of ‘regulatory wins’ in a year and employees report on them. A ‘win’ isn’t too strictly defined, said Andrews. It could be for completing a regulatory submission sooner than expected, for example. The point is that if you set a target — say 20 per year — and you only have three at the 3rd quarter, then you might not be focused enough on the goal, and it triggers a conversation. Andrews also noted that the group’s dashboard includes comment fields. When reporting the data, the comments fields also help start conversations when necessary. How Shell Does It Jason Andrews, product steward at Shell LP, said metrics help the company’s business leaders have a sense of the group’s overall health. The data is designed for internal stakeholders to make decisions, rather than as a benchmarking exercises. The metrics are tied to specific company goals, including financial performance, operational excellence and others. The group looks at key performance indicators aligned with those objectives. For www.ProductStewards.org The data is designed for internal stakeholders to make decisions, rather than as a benchmarking exercises. 12 INTEGRATING PRODUCT STEWARDSHIP AT ABBOTT VASCULAR P roduct stewardship is not a standalone function. It works best when it’s integrated throughout the company. Kathleen Hall, group leader at Abbott Vascular, talked about the division’s trajectory toward an integrated program. The product stewardship program at Abbott Vascular includes six pillars: product parts and packaging evaluation, chemical evaluation, conflict minerals, supplier communications, emerging issues, and extended producer responsibility (EPR). As part of the design control process, R&D submits a list of materials it wants to use. When there are changes to existing products, they’re routed through product stewardship so the group can determine whether the materials are part of their restricted substances list. “We closed that loop for new products as well as existing products,” said Hall. The product stewardship group categorizes substances in three groups: critical use only, discouraged and vulnerable. Substances in the first category undergo a risk assessment. Chemicals that are considered vulnerable are on candidate lists or targets of NGO advocacy. They’re either designed out or watched carefully. They may undergo a risk evaluation to determine the long-term defensibility, the value of use versus the cost of future reformulation and so on. Also important is whether replacing the substance will cause a performance issue. After the evaluation is completed, you determine whether to reformulate and move away from the chemical or continue to use it. Gathering Composition Data Hall said it’s a challenge to obtain 100 percent material composition data from suppliers, which affects the risk evaluation. They’ve begun www.ProductStewards.org including the request in agreements so suppliers know it’s a requirement to do business with them. They’ve also signed NDAs in cases where 100 percent composition data was absolutely necessary. “It’s not the least expensive option, but it’s an option nonetheless,” said Hall. The company will also test materials, especially in new product development, to determine chemical exposure in their products. Tools Keep It Together A different challenge is the growing number of regulations and chemicals of concern. For medical devices specifically, Hall said it can be confusing to know which regulations and chemicals to worry about. To work it out, the company hired a consultant to list all applicable regulations, along with the relevant chemicals and their restrictions. The list is formatted as a color-coded spreadsheet that indicates the risk level, with categories like “concern,” “trending towards restriction” and “restriction.” Listings of chemicals are sortable by geography, regulatory listing, and hazard and restriction risk. The tool also links to the relevant regulations. Another benefit is that the tool is accessible to stakeholders who don’t work in product stewardship. They can look up a chemical and get the information directly without necessarily having to contact the product stewards. A new system also makes tracking material information more efficient. Different departments organized the information differently at their local level. Now the company integrates the corporate database so that users can see if materials are being used in a different product already. “It was important for us to be able to pull information that we already know,” said Hall, instead of having to go back to suppliers. 13 ATTRACTING THE NEXT GENERATION OF PRODUCT STEWARDS P roduct stewards come from varied backgrounds. So how do companies effectively recruit and retain talent in the field? 3M has a robust program designed to cultivate product stewards and make sure they have the necessary skills to be successful in their careers. Abbey Dahlgren, advanced regulatory affairs analyst at 3M, shared her story with Stewardship 2016 attendees. After graduating with a chemistry degree, Dahlgren worked as a product stewardship contractor with 3M and was eventually hired full-time. She currently works in the abrasives division. The development philosophy at 3M is that employees are responsible for their careers, said Dahlgren. But there are multiple ways to advance your knowledge and skills. On-the-Job-Training The majority of professional development comes from learning on-the-job while partnering and working with colleagues. At 3M, this is realized in opportunities to join projects with international teams, volunteering to lead a project or shadowing coworkers — sales people on the product lines you work with, for instance. The Global Product Stewardship Forum At 3M, Tech Forums are an internal program meant to bring employees with mutual interests together to discuss important issues and learn from one another. There are currently 41 self-assembled ‘grass-roots’ chapters, including nanotechnology, global product stewardship and so on. The Global Product Stewardship forum has a mission to create EHS&R leadership through training, development and networking, Dahlgren said. The forum meets monthly onsite and online. The Tech Forum also has 12 leadership committees that are centralized around one large event per year, which provides employees with the opportunity to interact with non-EHS employees and leadership. Another outlet to groom potential products stewards is the company’s New Technical Employee Orientation (NTEO). Dahlgren attended the NTEO and noticed they didn’t talk about EHS. She joined the committee and added EHS to the NTEO agenda, so now new employees are exposed to the group early on. Formal Learning There are opportunities for self-study through e-learning, as well as attending industry conferences. www.ProductStewards.org 14 EXPERTS TALK ABOUT ALTERNATIVES ASSESSMENT Alternative assessment tools are meant to evaluate the health and environmental safety aspects of chemicals, but they vary in their conclusions. The American Chemistry Council evaluated several tools to see how they differed when comparing the same chemicals, and to understand why they didn’t come to the same conclusions. T he demonstration study involved seven chemicals with wide-ranging properties. They were subjected to the assessments for each tool following the same protocols that a contractor using a tool would follow. After converting the scores so they’d be comparable across tools, the ACC found that for some chemicals the conclusions varied significantly. For instance, caffeine rated from ‘low’ to ‘very high.’ “How is that helpful to us,” said Ann Mason, senior director, Chemical Products & Technology Division at the American Chemistry Council. ACC found that the data-driven tools were more harmonious in their conclusions than list-based tools, perhaps because datadriven tools have more end points. Another issue was the way www.ProductStewards.org tools handled data gaps. For some, gaps were treated as neutral and others treated them as contributing negatively to the overall score. The marketplace is focused on safety and hazard information, said Mason, but ultimately it needs to push for more complete evaluations, including exposure and lifecycle assessments. Lifecycle Assessments Erin Mulholland, analyst at thinkstep, talked about conducting lifecycle assessments (LCA), which quantify all the resources used and emissions across all stages of a product’s lifecycle. ISO 15 CONTINUED standards offer a framework for conducting a lifecycle assessment. The first step is to ask what questions you’re trying to answer with the assessment. chemical for which you have no data. “It’s not like today you have a bad chemical, tomorrow you’re going to have a better one,” he said. Finding suitable alternatives can be a long-term process. Mulholland noted that you might only have data for one stage of the product’s lifecycle. To complete the assessment, you’ll need the material and energy inputs for the stages you don’t control. A consultant can help by providing a software model to fill the gaps. Instead, Plugge recommends looking for substitutes that are similar to the chemicals you’re worried about but not as much of a concern. If that’s not possible, then you’ll have to design something from scratch. He noted that no alternative is better, then you will have to conduct an exposure screening. LCA addresses potential environmental impacts but does not predict absolute or precise environmental impacts, said Mulholland. Also, the assessments do not say anything about the inherent hazard of the product. One of the challenges with LCAs is that the data can’t be used to assess exposure. The inventory data focuses on releases. It has no temporal dimension or concentration. Finding Substitutes Hans Plugge, senior toxicologist at 3E Company, reminded attendees that the ultimate goal is to reduce overall environmental and health risks. That said, there are always tradeoffs. When dealing with alternatives assessments, functionality is important. If you have data for one chemical, it’s pointless to replace it with a www.ProductStewards.org Hans Plugge, senior toxicologist at 3E Company, reminded attendees that the ultimate goal is to reduce overall environmental and health risks. 16 WHY DID YOU ATTEND? HERE’S WHAT SOME ATTENDEES HAD TO SAY ABOUT WHY THEY ATTENDED THIS YEAR’S STEWARDSHIP CONFERENCE: VICTORIA FEDOR PRODUCT STEWARDSHIP SPECIALIST The Lubrizol Corporation As product stewards, we like to know where there’s room for improvement. Learning best practices from other industries is hugely valuable. This was my second time attending. One thing that I picked up was the concept of the product stewardship audit. There’s not a standard procedure, but we are constantly doing audits, but is there a piece we’re missing? It’s something I brought back to our management team, and we might try to implement. I also made some new connections and met some new friends. There’s something for everybody at this conference, no matter what industry you come from. I would definitely recommend it to any product stewards. I will definitely continue attending. www.ProductStewards.org “I WOULD DEFINITELY RECOMMEND IT TO ANY PRODUCT STEWARDS. I WILL DEFINITELY CONTINUE ATTENDING.” 17 NANOMATERIALS: INFORMATION FOR PRODUCT STEWARDS L ynn Bergeson, managing partner at Bergeson & Campbell, started working with nanotechnology a decade ago, when it was unclear how the U.S. regulatory framework would approach them. There was tremendous interest in leveraging R&D and finding appropriate standards that incentivized research. The goal was to use existing frameworks without having to create new laws. The good news is that concerns about potential hazardous elements have subsided, she said. Existing governing frameworks have aptly managed the risk while optimizing the technology. “We have stewarded this technology in a way that should all make us proud,” she said. That said, the use of nanochemicals and materials does invite potential legal and stewardship issues, but there is a robust body of work readily available. Organizations have found ways to identify and manage hazards that nanomaterials might pose. How governance systems will address concerns as issues evolve is a question. The good news, said Bergeson, is that the governance systems globally are elastic enough to adapt. Product stewards are already suited to dealing with nanomaterials. The processes that stewards use to asses and manage risk is the same to assess risk for nanomaterials. Dell suggested including different physical properties of the nanomaterials on the SDS, including particle size, shape and aspect ratio, and crystallinity, specific surface area and dispersability. In other words, when you have information, provide it. Organizations have found ways to identify and manage hazards that nanomaterials might pose. Linda Dell, senior manager at Ramboll Environ, said that a product stewardship program is about risk assessment, risk management and risk communication. There are many promising applications of nanotechnology. To see some of the ways it’s changing the world, visit nano.gov. www.ProductStewards.org 18 METHODS FOR DEALING WITH REGULATORY NUANCE Regulations vary from country to country, despite the existence of overarching frameworks. There is no single, unified way to meet all the regulations, but there are methods for dealing with regulatory nuance efficiently and strategically. Kerrie Canavan, consultant at Environmental Resources Management (ERM), shared some of those methods with Stewardship 2016 attendees. F or example, language barriers can sometimes be a challenge. For example, some Serbian regulations have no English translations. In those instances, you need to partner with local subject matter experts to assist with the registration. Data requirements will differ from jurisdiction to jurisdiction, so Canavan suggested starting with the most demanding registration. Then when you seek to register with less demanding jurisdictions, you’ll already be prepared. If data isn’t collected and managed properly, the registration is at risk. A robust IT system also facilitates registration in multiple jurisdictions. If data isn’t collected and managed properly, the registration is at risk. In other words, the data quality affects the quality of the registrations. A good IT system will also be adaptable. Canavan also encouraged the industry to get involved in rulemaking. It’s in the industry’s best interest to support collaboration between governments and to make rules and regulations understandable. www.ProductStewards.org 19 GREEN CHEMISTRY: A CASE STUDY IN TRANSPARENCY P roduct stewardship has an active role in helping AkzoNobel market green products. The company adopted transparency and collaboration as guiding principles as it integrated its product stewardship and marketing functions. Ed Bisinger, the company’s regional PSRA manager, presented a case study to illustrate how it works. As a backdrop to the case study, Bisinger explained that product stewardship is embedded in the company. Business managers are responsible for implementing product stewardship, using the company’s continuous improvement tool. The tool is designed to tell the business leaders where they are currently. They have to explain how they’ll improve and in what timeline. The company also reviewed all the substances in its portfolio with a GHS classification and scored them based on toxicity, ecological concern and public perception. Substances were deleted from the portfolio when possible. Those that couldn’t be deleted underwent a detailed risk assessment. Based on the risk assessments, the company prohibited the use of some and restricted the rest to specific conditions that were shown to be safe. The company also prioritizes green chemistry initiatives. It participates in the GC3, a group effort to accelerate green chemistry solutions and increase transparency in the value chain, said Bisinger. The challenge was to identify a phosphatereplacement that worked and was safe from a human and environmental standpoint. The company developed a molecule that met the requirements. Testing showed that it had an excellent safety profile, said Bisinger. The company provided its customer with copies of all the studies and reports. “They came to the conclusion that this product was safe,” he said. Unfortunately, there was a glitch. The customer conducted its own testing and found that the molecule wasn’t biodegradable. Initial testing showed that it was biodegradable in Europe but not in the U.S. After more testing, it was apparent that the microorganisms hadn’t acclimated to the U.S., but that it would adapt the necessary metabolic pathways. The companies presented the study results at numerous conferences and shared the full report with the EPA. The EPA voiced a different concern, about a possible hazard. Rather than conduct a lengthy study, AkzoNobel worked with the agency to develop a new assessment approach that involved a short-term study that has been previously validated by the FDA for pharmaceutical use. The molecule was shown to be safe, and the company presented the methodology at a number of conferences. The Case Study When it was tasked with developing a new automatic dish washing liquid, AkzoNobel committed to a transparent and collaborative process with its customer, the EPA and NGOs. www.ProductStewards.org 20 WE ENSURE MARKET ACCESS: THE BUSINESS VALUE OF PRODUCT STEWARDSHIP Businesses rely on product stewardship for market access. When regulatory noncompliance delays product shipments, it directly affects the bottom line. But executives rarely see the business value of product stewardship. It’s up to product stewards to help them understand, said Mitch Fonda, global compliance and stewardship at Waters Corporation. He shared how his company integrates product stewardship by stressing the function’s business value. First, product stewards must learn to talk differently about what they do. Business leaders aren’t interested in conversations about chemistry and materials. Nor do they care about the nuances of regulatory compliance. What they care about is getting products to market seamlessly. After talking to business leaders at Waters, Fonda and his colleagues had an epiphany. “All of this stuff to them is an import issue. They don’t care where it comes from. They can’t care about SDS or RoHs,” he said. When products are stuck at borders, the company’s reputation and revenue is at stake. Preventing that scenario is the value proposition of product stewardship. “[Product stewardship] is how we get our goods unencumbered around the world, and it’s for every single country that we go in,” said Fonda. www.ProductStewards.org To convince executives, Fonda showed them that a typical order can result in more than 80,000 border crossings, and more than 800,000 data points. He showed a map to illustrate how a product gets produced. When they asked about the data points, he showed a list of the regulations, health/safety permits, documentation, declarations and export controls involved. Product stewardship at Waters is part of Global Operations as a reflection of its role in moving products around the world. Over time, Fonda’s group has become a knowledge center, connecting disparate groups that don’t typically work with each other, from engineering to procurement to marketing and sales, to legal. “We can talk to anyone anywhere about any product and we know as much or more than they do,” said Fonda. 21 PRODUCT STEWARDSHIP TALENT MANAGEMENT AT J&J AND BASF What does a career in product stewardship look like? To explain how companies hire and retain stewardship talent, three panelists at Stewardship 2016 discussed what companies can do to enable product stewards to grow professionally. R ob Shimp, program director at the Product Stewardship and Regulatory Affairs Council (PRSA) opened the discussion by referencing a PRSA report. The objective was to identify consistent themes and language that companies can use to describe the responsibilities of product stewards. Another objective was to identify best practices for hiring and retaining product stewardship employees. Product Stewardship has evolved, so that the function involves many responsibilities and a growing list of expectations from customers, NGOs and other stakeholders. One theme links them all: “We’re ultimately a multi-disciplinary group that has to cross boundaries and translate what we do into relevant business content,” said Shimp. In other words, incoming product stewards must be good integrators and collaborators. Talent management is necessary because product stewards lack a clear functional identity or obvious academic credentials. Product www.ProductStewards.org stewards from outside the organization lack business knowledge, so helping new hires through the learning curve more quickly can aid in talent management. The report suggests ‘branding’ the function by linking product stewardship at your company to its societal role — making sure products are safe for humans and the environment. Some employees are motivated by the opportunity to work across functions and business units, so that’s another approach to recruiting talent. How J&J and BASF Manage Talent At Johnson and Johnson, the talent management process starts with planning at the beginning of the year. Performance reviews 22 CONTINUED are conducted mid-year. Succession planning and year-end performance reviews take place at the end of the year, said Al Iannuzzi, senior director, environment, health, safety, & sustainability. Iannuzzi also described the career ladders for product stewards at Johnson and Johnson. To develop skills and experience, stewards can work on short-term projects, development projects, or stretch assignments outside of their typical responsibilities. The development process also includes robust succession planning. They identify critical positions on the tem and conduct cross-training so if a person leaves, the gaps are filled. At BASF, the product stewardship group is about 75 employees in North America and 10 to 15 contractors, said Kara Sparks, director of product stewardship & regulatory affairs, North America. She said there’s an expectation at BASF that employees will need coaching in order to perform better over time. To develop skills and experience, stewards can work on short-term projects, development projects, or stretch assignments outside of their typical responsibilities. The development process also includes robust succession planning. The development process takes many forms and many possible pathways, said Sparks. The goal is to put people where they want to be. For example, there’s an ‘expert’ path, where employees can rise to the VP level but not be pushed into running a business. www.ProductStewards.org 23 SEE YOU NEXT YEAR AT Stewardship Tampa, Florida | Nov. 2–4, 2017 ProductStewardsConference.org #Stewardship17 2017 ABOUT THE PRODUCT STEWARDSHIP SOCIETY The Product Stewardship Society provides resources, professional development, and networking opportunities to enable product stewardship practitioners to promote responsible design, development, and management of products throughout their lifecycle. Learn more at www.ProductStewards.org.