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Innovative Trends in Operations and Manufacturing

Manufacturers are creating opportunities through increased efficiency. Johnson & Johnson instituted a ten-stage checklist for increased energy efficiency.

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Enhanced Best Practices (EBP), Corporate strategy for carbon emissions reduction

Manufacturers are creating opportunities through increased efficiency. Examples:
  • Efficient design of products
  • Cheaper power: From waste gas

Johnson & Johnson, a leading provider of health-care products instituted a corporate strategy for carbon emissions reduction, backed up by a ten-stage checklist for increased energy efficiency at all its facilities and a $40 million annual fund to support greenhouse gas emissions reduction projects.

Enhanced Best Practices (EBP) by Johnson & Johson

A cornerstone of this effort is the ten-stage checklist, known as Enhanced Best Practices (EBP). Adapted from the U.S. EPA's Energy Star standards, it includes 245 potential energy-saving facilities upgrades. Each of Johnson & Johnson's subsidiary companies is expected to implement all feasible upgrades that have a return on investment of less than five years.

When subsidiaries identify projects with a longer payback period, they can apply for financing from the $40 million annual fund, effectively removing two of the most common impediments to greenhouse gas (GHG) reduction projects: limited capital availability and short payback period requirements for capital investments.

Johnson & Johnson will also provide its Enhanced Best Practices materials free of charge to other interested companies.


Manufacturers are reworking their packaging to reduce costs and conserve natural resources by:
  • Using fewer and lighter materials
  • Increasing recycled content
  • Reducing the need for packaging

Managing Fleets to Save Both Money and Fuel

U.S. autos account for one-fifth of our global warming pollution. Any serious effort to stabilize the climate must include cutting vehicle emissions. Now fleet managers are achieving economic gains by:
  • monitoring their trucks' activities
  • tinkering with engines

Implement Solar-Powered Web Hosting and Server Centers

Affordable Internet Services Online, or, has achieved the first fully solar-powered data center through a creative blend of green design and leading-edge technologies. The 2,000-square-foot facility draws power from 120 solar panels, which supply electricity to both AISO's office and server farm.

Though located in the desert, a unique cooling system keeps the server room at a constant 65-70º F with minimal energy use. A water-cooled air conditioning system works in concert with natural air cooling. When the temperature outside drops to 50º F at night, a custom cooling exchanger blows in filtered outside air.

Maximizing server capacity in the has changed traditional operation of servers that assign one specific task per server, -- operating at less than 10% capacity. AISO uses virtualization software to allow one server to host multiple applications, achieving a 75% capacity.

Additional features include:

  • Solar tubes which pipe in natural light
  • Twelve-inch walls and high grade insulation
  • A green roof, currently in the design phase, that will further reduce its energy needs
The data center cost 60% more than a standard site to build, CTO Phil Nail says the investment is paying off. The company is saving approximately $3,000 a month in utility bills and has cultivated a loyal base of 15,000 clients worldwide looking for greener web hosting.

Read more about these innovations at Environmental Defense Fund

Edited by Carolyn Allen
| operations | manufacturing | green business | sustainable business development |


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