When working with the world’s largest retailer, you come to expect the unexpected. But what’s truly exciting is to help drive the unexpected.
Last year, Environmental Defense Fund (EDF) worked with Walmart on a goal to reduce 20 million metric tons of greenhouse gas (GHG) emissions from its supply chain and product lifecycles over the next five years. This innovative program reaches beyond Walmart’s operations and into its vast supplier base and extensive product offerings.
Because of the program’s scope, Walmart has been creative in finding ways to meet its climate goal by working on a multitude of unique projects. The projects highlighted below not only tackle reductions in four very different products but also find reductions in various stages of the products’ lifecycles.
Showerheads
One of the efforts appearing on shelves in Walmart stores right now is a showerhead that reduces water use (and, of course, the hot water and energy used to heat that water). By redesigning a basic product and following up with proper marketing and product placement, Walmart can change water use in millions of homes across the world. This project has the potential to cut millions of tons of GHG emissions annually and significantly reduce the consumption of one of our most precious resources, water.
Eggs
Walmart’s ability to drive change is also evident in its grocery department. The nation’s largest grocer is testing an egg etching program where tracking, product, and expiration information will be etched on to individual eggs. This additional information will allow Walmart to replace the broken eggs in a carton instead of throwing out entire cartons due to a few broken eggs. While this project is based on a relatively simple concept, the potential environmental gains are staggering. This process could eliminate the unnecessary disposal of over one million eggs a day, save one billion gallons of water annually, and reduce GHG emissions by 100,000 metric tons a year.
This project proves that sustainability is a win-win for business as well – egg etching can potentially reduce production costs for Walmart by $50 million a year. It also demonstrates that there are carbon reduction opportunities throughout the production process (from the chickens, their feed, transport, and the energy in each of those components).
Light bulbs
Another effort focuses on getting the highly successful American compact florescent light bulb (CFL) project implemented in Mexico. In the United States, private label CFLs were created and aggressively marketed by Walmart to drive sales. CFLs have proven to be environmentally superior and more cost effective than many alternative lighting products. Now Walmart is strategically marketing CFLs in Mexico and looking for similar success abroad.
Clothing Labels
In January 2011, Walmart changed the care label on millions of clothing products to specify that they be washed in cold water. With the quality of laundry detergents available today, washing in cold water has proven to be effective as, and more energy efficient than, using hot water. This is another way that Walmart is utilizing its products and its influence to change consumer behavior and help its customers embrace energy savings. If only 5 percent of Walmart customers follow the new instructions and wash their laundry in cold water, this project could realize GHG reductions of 2 million metric tons a year. Customers could also save up to $124 a year on their energy bills.
When you’re working with a global retailer that serves 200 million customers a week, getting even a small percentage of consumers to change their behavior or purchase environmentally preferable products will lead to significant greenhouse gas savings. Some changes are relatively simple, while others are more complex. In the end, when you team innovation up with Walmart’s scale, any effort can have a potentially profound ability to impact behavior and reduce emissions.
This content originally appeared on Greenbiz.com
3 Comments
If Walmart has a goal to reduce 20 million metric tons of greenhouse gas (GHG) emissions why doesn't it adopt a more sustainable business model instead of claiming credit for the genuine efforts of some of its customers. Putting water-saving shower heads, CFLs, and clothes washable in cold water on their shelves does not seem like a meaningful commitment to greenhouse gas savings. Why don't they take steps themselves to curb the energy waste associated with shipping cheap goods halfway around the planet; goods that, on average, end up in a landfill in less than 12 months. Why not buy American-made goods locally and sell them in locations that do not require jumping in a car to shop.
The illogical nature of this EDF-endorsed scheme is epitomized by the egg etching piece. How will writing on an egg suddenly allow Wallmart employees to replace the broken eggs in a carton? Why don't they do it now using eggs of similar size, grade, and sell-by date? The though that Walmart is currently throwing away one million eggs a day is worse then revolting. More green washing from your friends at Walmart and EDF.
Hi Clifford,
Thanks for taking the time to comment about my blog. You’ve made points on a few different issues – I’ll tackle your comments, question by question. My first point below is one crucial to understanding the dynamics of our partnership with Walmart:
-EDF does NOT take any money from Walmart, period. This helps us keep our independence, lends our comments credibility, and gives us the power to speak negatively when Walmart is not doing good. The GHG project I talk about in this blog is an area where Walmart is doing great things –they’ve taken a real leadership role here.
-A GHG reduction goal and a complete change to the business model of the world’s largest company are two very different things. As we move forward, we’re working on ways to address some of the fundamental threats to the environment that exist within our 21st century consumer economy. Unfortunately, a lot of your concerns do not only sit with Walmart – they sit with virtually all producers, retailers, and consumers today.
-Walmart’s customers shop at Walmart because of everyday low prices. With this project, Walmart is leveraging a large customer base that is not necessarily at the forefront of sustainability and is inserting green opportunities. By driving their product offerings, negotiating and influencing the way their suppliers do business, and educating and providing their customers opportunities on sustainability, Walmart is making a difference. It’s Walmart that is putting in the resources to make this projects happen. Wouldn’t it be a waste for Walmart to ignore the sustainability wins that come with engaging 200 million weekly customers?
-The egg etching piece is not illogical – it’s brilliant innovation. As I say in my post, etching product information on eggs “ will allow Walmart to replace the broken eggs in a carton instead of throwing out entire cartons due to a few broken eggs.” Without the individual egg specific information, grocers are required to throw away eggs to protect consumers. You ask why this isn’t already being done by Walmart? I think that’s the wrong question. I’d ask “How do we get every grocery store in America to etch this crucial information onto eggs?” The Whole Foods, Krogers, and Safeways of the world can learn a thing or two from WMT’s work on eggs.
-There is absolutely no green washing in Walmart’s efforts to reduce the GHG footprint in its supply chain and products’ lifecycles. This project is real and is resulting in actual and measurable carbon reductions.
- Andy
Andy, you sound like a Walmart ad. Did you know that?
You fail to address my points and I understand why. EDF's stance is indefensible.
Again, they are trying to mask the unsustainable nature of their enterprise by including a few green products in their lineup and then making headlines about it. Instead, why don't they come up with a business model that can meet consumer needs without them having to jump in their car and drive? Why aren't they sourcing locally instead of exploiting cheap labor halfway around the globe? How is "everyday low prices" good for the consumer when the stuff in in a landfill within a year?