CLOSING THE LOOP – Innovation for Product Stewardship at InterfaceNZ Lin Roberts & Richard MorleyHall

Interface Inc. - world’s largest manufacturer of modular carpet, a billion dollar company with production on four continents. InterfaceNZ, a small NZ owned co, represents Interface in NZ From the moment Ray Anderson experienced his “spear in the chest” in 1994, Interface has taken a far-sighted strategic approach to becoming a sustainable company First company in US to use The Natural Step Framework

Strategic planning using The Natural Step Framework A Awareness and understanding - what is sustainability, why is it important, why do we need to change? B Baseline – how unsustainable are we now? C Compelling vision / creative solutions - what will we look like when we are truly sustainable? D Down to action Copyright © 2007 The Natural Step

Backcasting from a vision of success Vision of a desired future Today B D C A Fitting within the conditions for sustainability Copyright © 2007 The Natural Step

Interface Vision “To be the first company that, by its deeds, shows the entire industrial world what sustainability is in all its dimensions: People, process, product, place and profits — by 2020 — and in doing so we will become restorative through the power of influence.” Mission Zero: our promise to eliminate any negative impact our company may have on the environment by the year 2020.

Interface – Commitments 1.Eliminate Waste: Eliminate all forms of waste in every area of business; 2.Benign Emissions: Eliminate toxic substances from products, vehicles & facilities; 3.Renewable Energy: Operate facilities with renewable energy sources – solar, wind, landfill gas, biomass and low impact hydroelectric; 4.Close the Loop: Redesign processes & products to close the technical loop using recovered & bio-based materials; 5.Resource-Efficient Transportation: Transport people and products efficiently to reduce waste & emissions; 6.Sensitising Stakeholders: Create a culture that integrates sustainability principles & improves people’s lives & livelihoods; 7.Redesign Commerce: Create a new business model that demonstrates & supports the value of sustainability-based commerce (eg Evergreen Lease) Source:

By 2020: All products either 100% closed loop recycled or 100% biodegradable Zero ecological footprint Zero waste Using most efficient transport available Recognised as leader in sustainable design Assisting others in the journey to sustainability Highly empowered & rewarded staff & stakeholders Financially sound InterfaceNZ Strategic Goals Providing sustainable design-led flooring solutions

In its 15 years climbing “Mt Sustainability”, Interface globally has… Cut greenhouse gas emissions by 82% Cut fossil fuel consumption by 60% Cut waste by 66%, saving $400 million Cut water use by 75% Invented & patented new machines, materials, & manufacturing processes Increased sales by 66%, doubled earnings, and raised profit margins

Closed Loop Manufacturing CO 2 Product Stewardship 100% take back in NZ Bio-mimicry – Random design = Low Installation wastage Interface strategy in action Copyright © Interface NZ Hybrid Cars Renewable Energy Zero Emissions i - design Climate Neutral

Developing a carpet tile take-back system in New Zealand 1.understanding current practice – how & why 2.developing options to shift the balance of practice towards stacking and return of tiles; 3.developing standard processes for handling returning tiles; 4.ensuring all sales staff understand & are motivated to achieve the objective; 5.ensuring potential users know about InterfaceNZ’s take-back system; 6.Monitor & improve

Current practice - toss in skip --- landfill But… customers taking more interest We pay all freight costs if you stack & get to our depot Where landfills prices aren’t puny, this is cheaper than landfill Sustainability is a core part of InterfaceNZ’s ethos & brand differentiation – all staff involved & bonus incentive Hard to know what proportion are being uplifted – any ideas?

Extending the system Taking competitors products Reuse is even better than recycling –15 year warranty – still plenty of life left in them if cleaned Graphlar backing – any ideas? Considering certification under Waste Min Act 2008