Global Compact International Yearbook Ausgabe 2013

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Grundfos Making a sustainable business of sustainability By Hanne Joergensen, Grundfos Pump manufacturer Grundfos has faced up to its role in industrial energy overconsumption and the resulting CO 2 emissions. The company’s response has been to rehabilitate its products from being energy offenders to becoming a genuine part of the solution. In the spirit of the Global Compact, Grundfos has also taken an active role in advocating the role of business in promoting greater environmental responsibility and developing environmentally-friendly technologies 122 Global Compact International Yearbook 2013
Good Practice Environment “A cap starting at the 2008 levels will allow us, in the long run, to head toward our ultimate goal of becoming emissions-neutral.” Karen Touborg, Manager, Group Environment, Health & Safety From humble beginnings in rural Denmark, the Grundfos Group has grown to become the world’s largest pump technology manufacturer with a presence in 55 countries. More than 16 million pump units roll off its production lines each year. In fact, it is fair to say that wherever you are in the world, you are never too far from a Grundfos pump or related product. Uniquely placed to make a difference Grundfos has always been progressive in terms of corporate sustainability and responsibility. It has an established set of business principles, a clearly communicated set of policies and strategies, and an organization dedicated to executing these strategies globally. When it comes to the practical application of these strategies, Grundfos naturally focuses on its key product: pumps. With good reason: Pumps actually represent one of the best opportunities to immediately curb global energy expenditures and carbon emissions. This is because pumps are working behind the scenes everywhere in our daily lives: from supplying water to domestic shower and kitchen facilities to moving any kinds of liquids in industrial complexes and processes. But even many Grundfos employees were surprised by the findings of a series of recent studies. These weighed up exactly how much of an impact pumps have on global energy resources and, implicitly, carbon emissions. And this is what they found: Pumps account for 10 percent of the world’s electricity consumption. At the same time, 20 percent of current global CO 2 emissions come from the value chains in which Grundfos does business. Pumps account for 10 percent of the world’s electricity consumption. However, if every pump operator switched to high-efficiency pump systems, the world could immediately cut 4 percent of its electricity consumption – an amount equal to the residential electricity consumption of 1 billion people. For Grundfos this information in the wider context of global warming has accelerated rather than prompted its many sustainability-focused initiatives. Long before carbon emissions or green legislation entered the general consciousness, Grundfos was exploring more energyefficient products. Pumps: already proven and present The result of Grundfos’ early interest in energy efficiency is that unlike many more high-profile sustainable-energy technologies, energy-efficient pumps are a proven reality. And, according to one estimate, if every pump operator switched to high-efficiency pump systems, the world could immediately cut 4 percent of its electricity consumption – an amount equal to the residential electricity consumption of 1 billion people. Grundfos Director of Sustainability, Pernille Blach Hansen, sums up her company’s view of the responsibility of industrial companies like itself: “Our energy usage continues to increase at an astonishing rate. Listening to most scientists and forecasts, we need to act now in order to reduce CO 2 and create sustainable living patterns. We have the technologies needed – we just need to start using them, especially within the larger industrial sectors. They have a huge responsibility and societal obligation to lead the way.” Over the last decade, Grundfos has accepted its responsibility as a contributor to the world’s runaway energy consumption and the carbon emissions resulting from it. It now actively pursues a future in which its products and policies exemplify corporate sustainability at work. Getting its own house in order first Complying with corporate social responsibility calls for a change in habits within organizations of all sizes. In Grundfos’ case, the company has applied its aspirations to its own operations. That has included a cap on carbon emissions, with the company pledging to never exceed its 2008 CO 2 output. Karen Touborg, Manager, Group Environment, Health & Safety, adds that “a cap starting at the 2008 levels will allow us, in the long run, to head toward our ultimate goal of becoming emissions-neutral.” Since 2009, ongoing efforts have ensured that all pump installations have been audited and, if necessary, replaced with high-efficiency pumps. More than 1,000 pumps have been replaced in Grundfos’ Bjerringbro headquarters’ factories alone, with the resulting energy reductions ranging from 27 to 82 percent. Global Compact International Yearbook 2013 123
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