1. Moving Up the Curve: Life Cycle Thinking at Eastman
Lauren Johnson
September 30, 2015

2. Agenda Introduction Eastman’s journey
Value created through life cycle assessment (LCA)
Summary

3. Eastman is a global specialty chemical company
Headquartered in Kingsport, Tennessee
2014 revenue of $9.5 billion to a variety of end-use markets
Approximately 15,000 employees and 50 manufacturing sites around the globe ►

4. Value creation from sustainability: Gaining momentum
Time
Value
Sustainable Innovation
Increased value
Value chain engagement
Improved footprint
Reduced footprint
Environmental stewardship

5. What is Life Cycle Assessment (LCA)?

6. History
1950s
Early development of life cycle concepts to quantify product economic costs
1969
Coca Cola applies life cycle concepts to quantify environmental impact of packaging choices
1970s
EPA and other agencies apply Resource & Environmental Profile Analysis (REPA) – modern LCA taking shape and framework developed – entry of LCA into public domain
1980s
Shift from source oriented to environmental impact oriented approach
1990s
Life Cycle Assessment (LCA) term coined at SETAC conference and LCA ISO standard developed
2000s
LCA use by public and private entities grows
2008
Eastman develops internal LCA capabilities
2015
Eastman completes LCAs on ¾ of products

7. LCA Team Strategy: Deliver value from Sustainability

8. Many Eastman organizations collaborate on sustainability projects
Image:
Image adapted from Thought Feast
© EMC Corporation 2014

9. Value Creation from LCA
How do customers and other stakeholders use quantitative sustainability info?
How has Eastman benefitted from LCA?

10. How do our customers use LCA information?
Environmental Product Declarations
Health Product Declarations
Leadership in Energy and Environmental Design (LEED)
Building Product Disclosure and Optimization credits
Purchasing decisions
GHG reduction and other sustainability targets
Images:

11. Value creation using LCA
Drive new business & customer insights
Deliver value to customers
Defend existing business
Attract new customers
Decrease costs
Enable processing innovations
Increase brand value
Data-driven sustainability
© PowerPoint Stock Image
Image adapted from:

12. Deliver value to our customers
Logistics footprint tool
Collaboration to determine best overall solution
Estimate greenhouse gas (GHG) emission differences between shipment options for customer scenarios
Enabled significant GHG emissions savings for large volume customers

13. Value creation using LCA
Drive new business & customer insights
Deliver value to customers
Defend existing business
Attract new customers
Decrease costs
Enable processing innovations
Increase brand value
Data-driven sustainability
© PowerPoint Stock Image
Image adapted from:

14. LCA supports strategy in the automotive market
… Provides
OVERALL superior ENVIRONMENTAL performance
REDUCE production of volatile organic compounds (VOC)
REDUCE GHG INTENSITY
REDUCE
ENERGY
CONSUMPTION
HIGH-SOLIDS SOLVENT-BORNE COATINGS
Chinese government mandated waterborne coating technology for all new OEM paint shops
Business asked for help from the LCA team
Cradle-to-panel study on waterborne and solvent-borne coatings technologies
Data collected with external consultants
Published in Paint and Coatings Industry Magazine (PCI)
Changed policy direction in China

15. Value creation using LCA
Drive new business & customer insights
Engage customers
Defend existing business
Attract new customers*
Decrease costs
Enable processing innovations
Increase brand value
Data-driven sustainability
© PowerPoint Stock Image
Image adapted from:

16. Value creation using LCA
Drive new business & customer insights
Engage customers
Defend existing business
Attract new customers
Decrease costs
Enable manufacturing innovations
Increase brand value
Data-driven sustainability
© PowerPoint Stock Image
Image adapted from:

17. Enable Manufacturing Innovations
Eastman GEM™
emollient ester
© Eastman 2015
Gate-to-gate LCA validates
sustainability advantages
of new process technologies

18. Value creation using LCA
Drive new business & customer insights
Engage customers
Defend existing business
Attract new customers
Decrease costs
Manufacturing improvements
Increase brand value
Data-driven sustainability
© PowerPoint Stock Image
Image adapted from:

19. It is critical for our industry to promote a scientific, risk based approach to product innovation and stewardship
LCA provides substantiation, specificity, and assessment of trade-offs
LCA is a platform for value-adding dialogue,
transparency, building trust
© Alexx Stuart 2015

20. Window Film LCAs
(seller of Eastman’s Llumar and Vista window films)
© Genesis Tinting 2015

21. Architectural Window Film LCA
Avoided life cycle environmental impacts

22. Architectural Window Film LCA
GHG emissions “break even” time (days post-installation)

23. Automotive Window Film LCA
© Llumar 2015

24. Value of LCA in Innovation
© Paul Yaroschak, Department of Defense, 2014

25. Summary
Life cycle assessment is a rigorous, quantitative and transparent tool used to assess aspects of environmental sustainability
LCA provides context for the environmental impact of a product, enabling value creation and informed decision making at any and all points in the value chain and along all phases of a product life cycle

26. Thank you

27. Questions?