Consumers care what chemicals are in the products they purchase, and companies are listening.
I read a lot about chemicals, regulations and tools used to identify and track chemicals in products and supply chains. I follow different industries, and have put together what I consider to be, important trends in Chemicals Management. These trends should be considered by any company as they address chemicals in products and supply chains.
Transparency
Transparency is the “New Green.” Consumers want to know what chemicals are in their products. Many companies are working closely with their manufacturers to get a better understanding of chemicals used in products and supply chains. There are tools that can help. The U.S Green Building Council is a leader in promoting transparency. For example, the Health Product Declaration (HPD) form facilitates the accurate reporting of product contents and each ingredient’s relationship to human and ecological health. The HPD defines the critical information needed to support accurate supply chain disclosure by manufacturers and suppliers. It helps building designers, owners and other users make informed decisions about the materials they choose.
Regulations
Regulations are not going away. In fact, the international chemical output was valued at $4.12 trillion in 2010. The penetration of chemical-intensive products into national economies is increasing, which means more regulations. Just look at the enormous rise in the manufacture and sale of computers, cell-phones and apparel. These are all chemical intensive products. Keeping up with Registration, Evaluation, Authorization and Restriction of Chemicals REACH (and its different country iterations), the anticipated reform of the Toxic Substances Control Act, TSCA and U.S. State regulations will continue to be an enormous challenge for companies.
Stakeholder Engagement
Stakeholder engagement works! Whatever the industry, there is ample opportunity to work together to identify common solutions to large complicated challenges. Zero Discharge of Hazardous Chemicals, ZDHC an apparel and footwear coalition, recently developed and aligned on one Manufacturing Restricted Substance List MRSL.
BizNGO, a group of businesses and environmental groups working together for safer chemicals and sustainable materials, published a new tool called the Chemical Footprint Project CFP.
Collaboration reduces complexity, aligns on similar language and tools, incorporates everyone’s viewpoint and focuses on big issues that need a holistic approach to solve.
Social Media Campaigns Work
Social Media is a powerful tool. It can provide valuable publicity and can improve a company’s corporate reputation. Social media and concerned citizens can also encourage a company to make changes that result in safer consumer products by replacing chemicals of concern with safer alternatives.
Kraft agreed to remove yellow food dye 5 and 6 from its American version of Mac & Cheese after a Change.org petition was started by food blogger Food Babe.
Revlon agreed to remove two long chain parabens, and a formaldehyde-releasing chemical from its products, after a petition signed by over 100,000 consumers and organized by the NGO Environmental Working Group was presented to the company.
Innovative Solutions
An interesting new innovation called chemical leasing is gaining some momentum. Several large companies such as Coca-Cola, Ikea and GM have leased chemicals based on a new business model promoted by the United Nations Industrial Development Organization. By leasing chemicals, companies can improve their operational efficiency and focus on climate change, water management, environmental pollution and waste management. I expect to see lots of additional innovative solutions in the years to come.
What are the impacts to your business?
Questions to consider:
- Do you know what chemicals are in the products you sell or manufacture?
- How are you keeping up to date with the regulatory landscape?
- Are you involved in stakeholder initiatives?
For help with any issue associated with chemicals, contact Amanda Cattermole at (415) 412 8406 or Amanda@cattermoleconsulting.com. We can help you develop powerful solutions to protect your company and brand reputation and result in safer products manufactured in cleaner supply chains.
Tips and Insights is published bi-monthly and contains information to help you make informed chemical management decisions. Each post highlights a particular topic and includes questions you may want to consider for your business.