Being Green Can Turn Into Green

Greenstream Initiative Is Environmentally Responsible As Well As Lucrative

A famous talking frog named Kermit once declared, “It isn’t easy being green.” He may have been right. But when it comes to planet Earth, it’s the environmentally sound thing to do.

The fact is, many consumers have already embraced the “green” movement in their daily lives through the use of hybrid vehicles, recycling of various materials, even shutting lights off when they leave a room. Industry has not been quite as enthusiastic about jumping on the green bandwagon, largely due to financial considerations. Such an effort requires revising and retooling manufacturing processes, as well as re-educating workers, all at substantial cost. And frankly, the payback – the satisfaction of contributing to the health of the planet – isn’t quite enticing enough to encourage such a significant investment.

To their credit, firms in a number of industries have actually investigated more environmentally friendly manufacturing methods and products. Energy companies, for instance, have spent great time and effort developing alternative fuels that are corn- or sugar-derived (biodiesels, ethanol, etc.). These substitute products however, will lead to overuse and eventual exhaustion of different resources, in turn affecting the food industries.

Of course, when it comes to conserving resources, there’s no better strategy than recycling – using materials that have already been produced rather than depleting any resources to produce new ones. What’s more, the new materials generated through alternate production methods may not be as green or environmentally friendly as we would like them to be – another huge upside to the recycling effort.

There are few areas where recycling has a more dramatic effect than in the plastics industry. The vast majority of plastics can be recycled; the only question is how easily. Plastic recycling tends to fall into two categories: preconsumer and post-consumer. Most manufacturers focus on the pre-consumer variety; that is, utilizing the scrap generated during the manufacturing process and reincorporating it in to their processes, an approach that has been in existence for quite some time. (“Pre-consumer” is defined as anything that happens in the supply chain before reaching the end user, i.e., manufacturers, distributors, value-added resellers).

While manufacturers have become increasingly active participants in the green game, distributors have spent most of their time on the sidelines—an unfortunate reality since recycling is a means to maximize profitability while reducing waste. In fact, the part of the downstream usage chain where recycling can be most effective is at the distributor level. Furthermore, distributors can be an integral link in a process that we refer to as the “greenstream.”

At Acrilex, the greenstream is defined as the multi-level model that “demonstrates eco-awareness and responsibility at all levels of the materials chain, including manufacturing of raw materials, distribution, utilization, consumption, reuse, disposal and recycling. Deciding which processes take place at which level to ensure the most eco-friendly and responsible approaches to being green should, in fact, be determined by where a company fits within this greenstream. These approaches are still emerging, and the models for the greenstream are still evolving as awareness and cooperation grows”.

Our own experience is an excellent example of this philosophy. Acrilex transforms plastic sheets and plastic products into parts and end products that are purchased by our customers; in the process, we are generating waste. Since we don’t have a use for that waste internally, it would typically find its way into landfills, as it would with most distributors. This scrap can instead be reused as part of the pre-consumer movement.

While the greenstream approach has a positive impact on the environment, there are other reasons that we participate in this initiative. The excess material and scrap that we generate can be sold back to manufacturers (or to specialty plastic recycling companies, who will then sell it to the manufacturers themselves). In doing so, we have created a new revenue stream, a welcome addition in this struggling economy. So recycling plastic scrap is not only environmentally responsible, but it can translate to cold, hard cash. In other words, being green can lead to green.

It’s not only scrap that can become an integral part of a distributor’s greenstream process. Many distributors have excess inventory and damaged goods that manufacturers won’t take back as product; consequently, the distributor is forced to dispose of this excess in already-overcrowded landfills. By recycling it as scrap, the distributor can turn useless items into added revenue, while providing the manufacturer with much-needed raw material – all with virtually no environmental impact.

It’s a simple formula: every pound of plastic that you recycle is one less pound of raw material you need to utilize, resulting in one less pound of scrap in a landfill.

It should be noted that distributors are in a unique position to take advantage of both sides of the greenstream chain. Collecting their own scrap and selling it back to manufacturers or third-party companies is one side; but distributors also have the opportunity to position themselves as a resource to companies further down the supply chain.

For example, many end users, such as plastic fabricators, sign shops, display and fixture manufacturers, have scrap of their own that they may want disposed of, but either they do not know where to send it or, more likely, are not willing to expend the time and money to set up a comprehensive recycling program. As a value-added service, distributors can offer to pick up this scrap from resellers, end users, even their customers who need a way to get rid of their mistakes, prototypes and excess materials. In doing so, the distributor not only acquires more scrap for sale (additional revenue), but further solidifies its business relationship with that company. What’s more, by removing waste the customer would otherwise have to pay to dispose of, the distributor helps the customers become part of the greenstream, even if the customer company itself would not be considered “green” by manufacturing standards.

Of course there are some energy costs associated with the collection, sale and distribution of scrap (cost of gas to transport the material, labor to collect it, etc.). But these are minor compared to the potential revenue that can be generated and the positive impact on the environment.

At Acrilex, we have a number of different levels of recycling, all stemming from our dual role as both a plastic manufacturer and a distributor. As distributor, we handle multiple types of plastic. Some of our scrap - excess sheet scrap, the skeleton remains that come off our CNC routers - are placed on skids, palletized and stored. We warehouse this scrap until we can maximize the economics of shipping it out (i.e., make it the most worthwhile for the buyers by maximizing their fuel consumption and minimizing their shipping costs).

Another thing we do is pack all of our cutoffs in gaylord boxes. We’re relying on previously used gaylord boxes that are usually from other polymer suppliers. Our gaylords are reused and our skids are reused so that we don’t have to purchase (or dispose of) either item.

The final form of our scrap is plastic sawdust - predominantly acrylic - that is generated during our plastics application process. (This is an area that certainly requires more industry-wide attention, given that over 80 tons of plastic sawdust that Acrilex generates each year is not getting into landfills). It’s accumulated by our dust collectors and picked up by a manufacturer who utilizes it as filler for the product they’re extruding.

Further, as a manufacturer, unused waste monomer will be polymerized, or solidified, and resold as scrap for recycling. This eliminates the chemical hazard while providing material for recycling; no dumping is required. Additionally, excess sheets of Acriglas (damaged sheets or ones that cannot be sold) have an aftermarket in recycling or as inexpensive, unusual sheet goods overseas.

It should be noted that many companies will group all their scraps together and send them out en masse; that is, all dissimilar polymer scrap being lumped together in the same containers. This doesn’t necessarily help the greenstream because at some point somebody is going to have to reprocess or re-sort it just to categorize it, thus reducing the overall value of the scrap. What’s more, contaminants will often end up in the scrap material that can ultimately pollute the greenstream. Therefore, one of the most critical things a distributor, or anyone recycling materials, can do is categorize their scrap.

How does a company begin establishing an effective greenstream initiative? The first element in the process is for distributors to ask themselves if they care about creating a more environmentally responsible profile. Let’s face it: distributors are not compelled by any regulations to be part of the green movement unlike manufacturers, for example, who are required to use a certain percentage of recyclable materials. Frankly, some distributors might feel as it they are absolved of any environmental responsibility or any need to advance the green movement. There are no requirements for any of their own materials because they’re not going directly to the consumer; as a result, they are not compelled to provide avenues for the consumers to be able to recycle.

However, if a distributor does have the requisite social conscience, the next step is to figure out what your company is going to gain financially. As far as the distributor is concerned, it’s a volunteer program, and most businesses won’t volunteer unless there is an economic advantage. Thus it’s vital for the company to determine how much scrap it produces, the possible value of that scrap in an aftermarket scenario, whether the distributor has the resources, as well as the will, to establish efficient collection, storage and transport processes, and whether the distributor’s own customers can participate. By doing so, valuable new revenue streams can be created. These revenue streams are particularly attractive as they are derived from materials and product that have already been paid for.

Aside from the recycling of scrap, which is certainly a focal point of the greenstream initiative, Acrilex engages in a number of other initiatives to be a “greener” manufacturer, distributor and fabricator. What’s more, we have found ways to not only conserve energy but to increase productivity at similar energy expenditure. We have also changed out our thermostats to zone our heat more efficiently, as well as recalibrating our temperature monitoring and sensors. In addition, we have installed steel doors to section off areas of the plant – shipping and receiving in particular – to further reduce energy consumption (the doors roll up as needed).

Even our trucks contribute to our green efforts. The leased trucks that we use are kept in excellent operating condition, ensuring that they produce fewer carbon emissions. Plus we are constantly investing in the newest, most sophisticated machinery, allowing us to complete more work in the same period of time. All of these approaches are geared towards one primary objective: finding ways to decrease costs for ourselves and our customers while increasing energy efficiency, which ultimately adds revenue to everyone’s bottom line. None of this should suggest that Acrilex is entirely green. However, we are constantly looking for ways to be greener in our daily operations. It is an ongoing effort, one that is never really complete and one that we take quite seriously. Making our company more “green-friendly” – as well as helping our customers to do the same – will remain a top corporate priority, regardless of the economic climate. In fact, the worse the economy, the bigger the payoff can be realized by adopting a green frame of mind.

Clearly, the greenstream initiative can be a profitable avenue for any company that is willing to do what is necessary to travel down that path. Perhaps more importantly, however, a greenstream approach can help give the planet a new lease on life. It may not be easy. But the alternative, in the end, is going to be a lot harder to deal with.

Written by Dan Rustin, Acrilex Corporation.

For more information, contact Dan Rustin, Acrilex, Inc., 230 Culver Avenue, Jersey City, NJ 07305, 800-222-4680, Fax: 201-333-1237, E-mail: drustin@acrilex.com, Web: www.acrilex.com.