Course Reflections

Before V515, my experience with sustainability at Kelley was twofold: an excellent class on Environmental Sustainability & Business Strategy taught by Jeff McMullen, and a one-day session on the marketing benefits of sustainability. While McMullen's was a very useful class focused on exploring both sides of the sustainability debate from the eyes of a corporate manager, the marketing class was gimmicky and showed how for most businesspeople 'sustainability' is little more than a buzzword to be tacked on to a marketing campaign. Through the course of my studies in Supply Chain, I started to realize the incredible potentials out there for large industrial corporations to streamline their efforts, foster more efficient operations, and save some money in the process.

I took V515 this semester because I wanted to learn about the basic concepts of sustainability from the  point of view of government and 3rd party actors. Immediately I noticed a difference in the way this was approached compared to Kelley. The Roseland book contained lots of great ideas for sustainable communities, but there was very little discussion of the actual costs of these great initiatives. Over and over, the same cities were highlighted (Portland, Toronto...) and I could only think to myself- sure, you can do this in a place where there is pre-packaged political will for it. But most real-world sustainability managers have to build an economic case for their initiatives, be it in the policy or the business world, and I wish this class had pursued that line of thinking a bit more (perhaps this is something covered in other SPEA courses).

It was the sessions focused on Indiana that were most interesting to me, because it is a place where sustainability is not yet taken for granted. Discussing the challenges and compromises with the Energy Master Plan, seeing Bill's library in rural Indiana, and working on the walkability project for the city were great ways to see about sustainability in action in our own backyard. And it isn't easy! Frankly, there are only so many government grants out there, and I feel very strongly about needing to better be able to translate the language of sustainability into something that is of clear value to all, no matter their philosophical or political leanings.

All in all, it was a great class, and after a year at Kelley it really helped to reinvigorate me as to the possibilities out there. My next step is most likely working for a large industrial firm in supply chain, and I am optimistic about bringing a passion for sustainability to that role in some way. Perhaps more importantly, I want to incorporate many of the class learnings into my own life, and I now feel more confident to be able to make the changes I need to be a role model and more involved in my community.

Thank you!

Errol Packard

Final Project Thoughts- Personal and Community Food Sustainability

At the beginning of the semester, I set out to learn more about the role of local food sustainability through the study of food distribution networks and supply chains. This led me to the IU Campus Garden, where I spent a few hours on most Tuesdays working and harvesting vegetables for the campus dorm cafeterias (and also for my own personal consumption). I had conversations with several players in the local food community, and learned about the difficulties  in getting a distribution center off the ground. I regret that I did not have more time to research this more closely, as I do think there are great opportunities for a city like Bloomington for such an initiative. In the future I would like to visit functioning local food distribution centers, and definitely plan to do this when I make the move to a larger city after graduation.

For me, even more important than learning about the organizational side of food sustainability was learning about the personal impact of working in a garden on a regular basis. Other than helping my Mom out with her tomatoes and cucumbers as a child, until this year I had basically zero experience with gardening. Working at the community garden this semester taught me about the discipline needed for basic tasks such as watering, trimming, weeding on a regular basis. But it also gave me an appreciation for truly fresh food, such as salads with spinach and arugula, sauteed chard, or the fried green tomatoes that often graced my plate.

The project led me to believe that if our food system is going to change, major organizational changes to the distribution network are of course necessary. But before that, it is crucial to give people the opportunity to experience gardening in their own lives, whether at home or in a community or school garden. This is not only a great source of food, but it is a great educational experience that gives awareness of how important (and delicious) local food is. I am not totally sold on the important of certified organic or other labels, but I do believe local food is important to both the social and economic sustainability of communities.

Thanks to my experience in the project, I  now will work to keep gardening in my own life, as well as working to make it a part of whatever community I end up in. This class has been a wonderful way to see how all the dots connect on the journey towards sustainable communities, and I am forever indebted.

Sincerely,

Errol Packard

Millennials & Home Ownership

During the "future-Bloomington" drawing activity in class last Tuesday, one of our group members brought up the fact that our generation is less interested in owning homes than our parents or grandparents. We discussed how this trend could have a major effect on the way cities look in the future, and specifically on the role of rental housing in building sustainable communities.

Home ownership by age bracket
Source: US Census/npr.org

Indeed, according to US Census Data from 1990-2010, there has been a gradual but steady decline in  home ownership among the millenial generation. This has most likely been excacerbated by the 2008 housing crisis, but one can see the slow decline in the graph above starting as early as 2004, supposedly in the middle of the housing boom. According to a survey by US real estate giant Trulia, millennials are 15% more likely than adults to rent versus buy (although, I am a bit skeptical of both the motivations and results of this survey).

I am pretty confident that even when the economy recovers, our generation will continue to bear the housing crisis in our memory and be less inclined to pursue the American Dream of home ownership with such passion as our parents. Perhaps our inclination towards renting also can explain phenomena such as Zipcar? Why take out a hefty loan on top of those you already have, when you can use a car only when you need it for a fraction of the price?

Based on these changing attitudes, one can imagine the communities of the future utilizing mixed-use zoning with a higher proportion of rental properties. 

Project Update #3

What dead basil looks like

Last week was the first frost of the year. While covering with a blanket was enough to save most of the plants, basil in particular was a hard hit casualty of the early cold. I learned that basil is very sensitive to frost, so we had to pull up all the plants and try to salvage what green leaves we could for drying and handing off to RPS. Unfortunately, most of the basil leaves had turned a purplish grey color, and had to be thrown in the compost.

Michael Simmons

In other garden news, we recently had a visit from local garden guru Michael Simmons, who taught our Garden Corps group about how to install a drip irrigation system. Currently the corps member take shifts to garden by host or bucket, but the plan is to install a comprehensive drip system by early spring to save both water and labor and still meet all the watering needs of the plants in the garden. In addition to being a patient and effective teacher, Mr. Simmons inspired us all with his cowboy-aesthetic fashion.

Lastly, this week I sat down to speak with Steve Swihart, president of the Bloomington Independent Restaurant Association (BIRA). Following up on my discussion with the Local Growers' Guild, I wanted to get an understanding of how local restaurants view local food, and their attitude to a potential local food hub and distribution network.

According to Steve, the most important thing to restauranteurs is a steady and reliable supply of food, and that would be the most important element of a local food hub. So,  if there were a product that for some reason couldn't be fully supplied on a given week from a local farmer, it would be up to the food hub to source that product, even if from conventional wholesalers. Currently 50-75% of BIRA members are interested in local food sourcing, but without the guarantee of a steady supply it just would not be practical economically for them. Right now Steve is working to get accurate forecasts of the type of demand the food hub could anticipate for local restaurants, but otherwise it is 'wait-and-see' until the food hub is up and operational. BIRA is optimistic about the benefits more local sourcing, both for the boost to restaurant quality and branding through fresher ingredients, and for the contribution to the local economy. Steve cited a study that 82 cents of each dollar go back to the community when a local product is bought, as compared to 51 cents from a national outlet. So although there is slightly more cost upfront, a local food hub could certainly have benefits for many stakeholders in the region.

Green Procurement & the US Government

In Chapter 13, Roseland writes about Green Procurement as one example of a holistic government policy tool to mitigate climate change, and the example of the Environmentally Preferably Purchasing (EPP) program developed by the EPA. As a budding supply chain wonk, I knew I wanted to dig a little deeper into the details and history of the program.


The history of green procurement by the U.S. government goes back as far as 1976, when Congress passed the Resource Conservation and Recovery Act (RCRA), which sought to protect human health and the environment while reducing the already existing volume of waste.


The first formal green purchasing program was signed into existence in October 1993 under President Bill Clinton, and created an EPA comission by executive order to establish guidelines and metrics for government purchasing, with an initial emphasis on using products with a high level of recycled material, making use of the findings of the first Energy Star  project in 1992. This commission worked with industry and labor groups to explain the role of green procurement and build consensus on how to work more effectively. The program was updated in 1998 to expand into stronger language on waste reduction activities: "Pollution that cannot be prevented should be recycled; pollution that cannot be prevented or recycled should be treated in an environmentally safe manner. Disposal should be employed only as a last resort."

A third executive order by Clinton in 2000 strengthened language of obligation to every government department agency to be proactive in leading environmental management. The goal at this point was for the federal government to become an example for not only state and municipal governments, but also the private sector.

Although leadership from the executive branch was markedly weaker during the Bush administration, the EPA was quite active during the 2000s in establishing guidelines (ex: guide to Buying Green Online)  and incentives (ex: the Federal Electronics Challenge)  for green procurement for the federal government.

Interestingly enough, the Department of Defense  has been one of the most active government agencies in pursuing green procurement strategies along with energy efficiency and waste reduction initiatives overall. This may seem like strange political bedfellows, but think about it: if you are running a large military base in a hostile country, you have a real reason to want to be off the grid in the case your supply lines are broken. Broaden that scope, and you are thinking about energy as a national security issue. This has led to the DoD taking a aggressive stance on innovating and deploying renewable energy technology and even net zero waste efforts.

Of course, one must remember that the DoD is one of the country's largest energy consumers, using roughly 80% of federal government energy purchases. Within that the Air Force in particular boasts a large chunk, so perhaps we should pay extra attention and expect a lot more from green procurement policies of future administrations.

Project Update #2

Radish greens: underrated

Is late September the official rainy season in Bloomington? I spent a few hours at the IU Campus Garden weeding in the rain this past Tuesday, until lightning reared its head and I was forced to head inside and spend my time sanitizing equipment (not as fun). Once the thunder subsided I headed back out into the drizzle with some other volunteers to help harvest vegetables for the RPS cafeterias. We had quite a nice haul: 5 large tubs worth of tomatoes, spinach, arugula, kale, chard, leeks, and radishes. After meeting the RPS required quota, we were allowed to head back out in the rain and sample some for ourselves. I don't normally like arugula, but right out of the ground it is delicious- very mild yet spicy. That night I prepared some fresh radishes using a new recipe- did you know radish greens are edible and oh so tasty!?

This morning I sat down and spoke with Jodee Ellett of the Bloomington Local Growers Guild  to talk about her efforts to build a distribution network for local food in the region. Right now, the best ways that local farmers can get their products to market is through farmers' markets, or by connections to individual restauranteurs- generally higher class operations such as FARM or Tallent who can pay the higher prices for local food at smaller volumes.

The other option for local growers is to sell to a conventional wholesaler such as Troyers, Piazza, or US Foods, who pay very low prices. The idea of a local distribution hub would be to act as a wholesaler for local farmers who might not be able to meet mass orders of a product by themselves, but combined with others could provide local restaurants and institutions with the fresh, healthy produce they are looking for.

And they are, in fact, looking for it. According to Jodee, many members of BIRA (the Bloomington Independent Restaurants Association)  would love to source more local food as a way to support the community as well as differentiate themselves from chain restaurants. Using local food improves your quality, and also your brand. However, aside from the upscale restaurants, most either cannot afford local food or cannot deal with the uncertainty of supply availability.

The distribution hub, planned to go online in spring of 2013, would hopefully solve some of these problems by pooling supply in order to reduce variability, and decreasing operating costs per order because higher volumes and economies of scale. Even though costs to the buyer would decrease, Jodee is confident that the farmers will still be getting paid the same or better prices compared to conventional wholesalers, in part because of the use of volunteer labor to begin with. But, if volumes became large enough there is even potential to someday turn a profit.

I have reached out to two other local food distribution organizations that have served as models for the Local Growers Guild: Green Bean Delivery in Indianapolis and Grasshoppers Distribution in Louisville KY. Hopefully I will get a chance to visit one of these sites and write about it in a future blog post!

GreenBiz Executive Network

This past week, for the second year in a row I got a chance to volunteer at the GreenBiz Executive Network, a semi-annual meeting of sustainability managers working at Fortune 500 companies across the company. At the two day meeting each manager presents about some initiative or program they have successfully implemented in the past year, followed by Q&A and discussion. I was impressed by the wide range of industries present, and the honesty and openness with which the participants were able to talk about the challenges they face, including quite a good deal of 'dirty laundry'. 

In order to create this environment of openness, all attendees sign a waiver promising not to attribute specific ideas or policies to the companies implementing them. So, for confidentiality's sake, in this post I will not be naming the companies.

Some examples of ideas presented:

• An industrial electronic controls company presented  their use of 'personal control'. Each employee is able to adjust heating/cooling to their own comfort in their cubicle or office, which it turns out saves a significant amount of energy over a centralized system. One might think that allowing employees to crank it to their liking would increase energy usage, but a study the company did shows that employees are at their cubicle a surprisingly little amount of time, and the control system shuts off automatically when the cubicle is vacated. 
• An aerospace manufacturer described its work with waste reduction. In the aerospace industry, orders are highly customized, expensive, relatively few in number. Because of this, there is less focus on waste reduction during the production process than with more commoditized products- normal ,mass quality control systems like Six Sigma  don't work as effectively. However, this customer found a large opportunity for waste and cost reduction in packaging. Instead of the normal pallet/box, the sustainability team developed a large dolly that takes the product of the assembly line, loads onto the truck, is delivered to the customer, then is returned in a loop that is totally waste-free from a packaging perspective. The manager talked about how for such a conservative company and industry, small successes like this are important for convincing the company to adopt a culture of sustainability and take on larger initatives.
• A paper manufacturer discussed its transformation to a 'fiber innovation' company, acknowledging trends toward less paper consumption because of digitization of information and environmental awareness. The company is investing significant amounts into biomass energy research, and currently 75% of energy needs for its manufacturing and office facilities are powered by biomass. They are also going into the business of 'personal care' (e.g. adult needs diapers).
• An apparel retailer described an opposite problem from most manufacturers: their relatively young employee base is excited and engaged about sustainability, but their customer base for the most part does not show interest. So instead of championing sustainable products, efforts towards sustainable operations and vendor management have been the focus, and mostly out of the public eye. The manager talked about successes they have had with ongoing dialogues with key suppliers, many of whom are in developing countries where just starting to monitor energy consumption can be seen as a success. 

It was a truly eye-opening experience to hear this room of around 20 sustainability managers talk about how these programs work at their company. Some were clearly passionate about sustainability, some realized the importance for marketing their company, and some were obviously doing it because their boss told them to. But I sense there is a wide array of attitudes within corporate sustainability, and a first step to making an impact in my own career is to understand those attitudes so I can help influence change wherever I do end up after school.

Regarding Toilets

In Chapter 5, Roseland discusses ways that our society uses water, and potential opportunities for conserving that water. I started thinking about one of the most consistent ways that we use water everyday: the toilet. According to the US Geological Survey, the average toilet uses 3 gallons per flush. At an average of 3 times a day, you are looking at 3285 gallons a year, probably the largest single culprit of water waste in your home (unless you are taking really really long showers).

So.. what are some ways to reduce toilet water? One method that popped up on several internet searches was to use a plastic bottle to convert your toilet to a low flush toilet. Watch this handy video below:

According to the video, this easy method can save 25% of the water with every flush, bringing your yearly output down to around 2464 gallons. Still a lot, but better.

Now, let's say you are willing to spend some dough on a toilet upgrade. What are your options? First is a dual flush toilet, that lets you choose your level of water output in a "binary fashion" between large and small, for obvious reasons. My first exposure to dual flush toilets was my first time to Japan, where all toilets have dual flush options (along with many other options, such as seat heating and bidet functionality, but we won't get into that here). Apparently the technology was first invented by an Australian!

大=big, 小=small

Although dual-flush is certainly not the standard in the U.S. yet, a quick look around online shows a range of dual-flush toilets available, generally around $400-800. That is a pretty hefty investment for a young homeowner, with a payback period of around 3-5 years, depending on the source. However, there is also a DIY approach to dual flush. Conversion kits are available for as low as $30.

So, let's do the math once again. If one converts to a dual-flush toilet, either by new model or DIY, let's assume two flushes per day are of the smaller quantity variety. With the changes our daily output comes to an average of 6 gallons a day, which with the low-flow conversion (plastic bottle) above turns into about 4.5 gallons a day, for an annual output of about 1640 gallons. Still a significant number, but about 1/2 as much as when we started, and for only $30 and at max a few hours of work!

Project Update #1

The Campus Garden on a beautiful misty Friday morning.

I have decided to focus the scope of my personal project, and concentrate on learning about the local food supply chain in a hands-on way. At the Big Red Eats Green Festival I had the chance to speak with some representatives from the IU Campus Garden initiative and wanted to get involved, so I went to my first workday last Friday. I spent the morning weeding, watering trees, and picking a lot of tomatoes of several varieties!

Just a small sample of the yellow cherry tomatoes I picked. Sweet like candy!

In addition to the tomatoes, I also harvested basil, kale, lemon cucumbers, bell peppers, and a whole watermelon to take home with me. There was also swiss chard, but I didn't take that as my wife hates swiss chard (she claims it tastes like beets.

Freshly picked watermelon! 

After the harvest, I sat down with Sara, the Campus Garden coordinator, to talk about ways to get involved with the garden outside of the regular workdays. The garden as a good relationship with  the IU RPS (residential programs & services), and contributes the bulk of its produce to be used in the dining halls. The biggest challenge in this program is making sure all food goes through correct sanitation procedures before delivery. We talked about possibly formalizing a process to make this easier for volunteers and increase the efficiency of food coming from the garden to the dining halls. 

In addition to food from the campus garden, there is a push to source more local food to the dining halls and student union in general. It is one thing when the food is free, but another when the campus has to purchase local food from outside farms. Sara said this can get tricky and there are sometimes complications and disagreements regarding pricing and regulations (for example, what level of organic certification is required?), but offered to put me in touch with one of the people managing this program. With my particular interest in supply chain and vendor management, I am very curious to see what the specific issues are involved in sustainable sourcing on the local level. 

So, it was a successful visit, and I look forward to not only getting more involved with the campus garden this semester, but also doing some research into the food supply chain of the IU RPS. Stay tuned for more!

Big Red Go Green

I like food, and when given the opportunity to eat something and write about it for class credit, you better believe I am going to show up! Last Friday I checked out the Big Red Go Green Food Fair to learn about some of the restaurants serving locally grown food, and campus initiatives to learn more about the local food movement.

Big Red Go Green Food Fair

The first restaurant I ate from was the Upland Brewery. Sadly they were not serving beer, but I did have a sample of a delicious mozzerela caprese sandwich, for only a dollar!

Upland Brewery Caprese Sandwich

Next, I visited the booth of the IU Community Gardens. I have been wanting to try my hand at gardening for a while now, and it could work well with my class project. So, I am planning to start volunteering there next week. Keep tuned for more blog posts about that.

IU Community Gardens: Campus Garden Initiative

One of my first memories of Bloomington was the Dean of the business school telling us incoming MBAs that his favorite restaurant was Restaurant Tallent. After looking at the pricey menu once, I never thought I would have a chance to sample their goods- well I was wrong!

I had myself a delicious BBQ squash sandwich and watermelon limeade.  

It was nice to see some of the more well known local restaurants out, but I would have liked a little more information on CSAs and where to buy local ingredients myself, other than the usual suspects like the farmers' market and Bloomingfoods. I suppose that will take a bit more research!

Reactions to 'Plight and Prospect'

Whenever I visit a new town or city, I always find myself asking my hosts why there is a city there. Did their city grow up because of a bay or river useful for shipping? A particularly fertile tract of farmland? A crossroads of railroad or highway to serve as a logistics hub? Or is it a city like Phoenix Arizona, for which one can find little reason for it to exist for natural reasons?

Some examples from my own life: Minneapolis, where I lived for 3 years prior to moving to Bloomington, grew up as a milling town around St. Anthony Falls. This is the only major waterfall on the entire Mississippi River, which combined with good farmland nearby made Minneapolis into the grain milling capital of the country starting in the 19th century. The city is still home to such food business giants as General Mills, Pillsbury (since bought out by GM), and Cargill. So say what you will about these corporate behemoths, at least they have a "natural" reason to be where they are.

I spent my high school years in Champaign Illinois, which was basically a swamp until the railroad arrived in the 1850s. The need for a stop on the new rail line caused the town to drain most of the swamps, getting rid of most of Champaign's forested areas. Now, aside from a few areas of town Champaign is mostly forest-less aside from a few nature preserves and protected areas. It should also be noted that Champaign is on top of a major aquifer, and surrounded by prairie that serves as prime farmland thanks to the glacial soil. So one wonders why people chose to settle in swampland?

McHarg discusses how human settlements should ideally grow up around terrains that are naturally suited towards these settlements, and how these areas should be developed according to their natural processes. So, Minneapolis and Champaign would be examples of what McHarg would consider "good" and "bad": Minneapolis grew up around a river and used that resource responsibly, while Champaign took swampy forested land and transformed it into something supposedly more fit for human settlement.

If natural or physical capital were taken into consideration when planning a city, perhaps a place like Champaign would look much different, and the swamps that were drained could play a role in water storage, especially given their pivotal point between surface water and a aquifer. Or maybe Champaign could have been a center of aquaculture, especially considering the recent introduction (and potential commercialization?) of Asian Carp into Illinois.

Introduction

Hello! I am an MBA student at the Kelley School of Business at Indiana University, majoring in supply chain management. My interest in sustainability & 'green business' has led me to take some courses at IU's School of Public Environmental Affairs (SPEA)  to learn more about how to integrate the concepts of sustainability into my career and personal life. One of these classes is SPEA V515 Sustainable Communities, which looks at the micro-economic and philosophical aspects of sustainability for cities, communities, and in one's own life.

One of the reasons I chose to study supply chain in business school is that I am continually fascinated by where stuff comes from, and love to attempt to unravel puzzles of figuring out our globalized world. This is by no means groundbreaking work, but for my SPEA V515 personal project I would like to look at the foods I eat on a weekly basis and try to break down where they come from!

A little about my current eating habits: I am no locavore, and I do not eat strictly organic food. I have a tendency towards organic produce from the farmers' market or local co-op, but more out of a appreciation for the taste/freshness than out of ethical leanings (I suppose the ethics are a fringe benefit?). I love meat as one piece of the entire food pyramid, but currently my wife & I are taking a break from it and trying to eat vegetarian for the fall, mostly for health reasons.

Because my diet consists of local, non-local organic, and industrial foods, I thought this blog might serve as a way to compare and contrast the different supply chains. Who knows, some industrial foods might not be so bad for the environment. Some 'organic' products may be not so great. I am interested to see what comes up, and perhaps it will serve a a catalyst for a diet transformation in my own life.