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Managing Envir onmental Innovation 81
life cycle” has been the primary focus of recent efforts at ecological
footprint assessment, environmental labeling, standard-setting, and
performance evaluation.
It is no wonder then, that product teams are often puzzled by the
increasingly widespread use of life-cycle assessment (LCA), which
seeks to quantify the “cradle to cradle” impacts of the physical life
cycle. (Chapter 9 describes various approaches to LCA.) While relevant
to environmental sustainability, this type of life-cycle assessment may
be quite unrelated to the business decisions addressed by product
development groups, in which life-cycle analysis focuses on cost and
performance trade-offs. For example, the increased cost of making a
product more durable may be offset by reduced warranty costs. On the
other hand, the durability of a product may decrease its recyclability;
for example, high-strength, multilayer composite materials are diffi-
cult to reprocess for secondary uses. Ultimately, the design decision
framework must have a “return on investment” perspective, with envi-
ronmental costs and benefits explicitly included. Chapter 10 describes
how companies can practice an integrated life-cycle management
(LCM) approach, based on the business life cycle depicted in Figure 5.2.
Collaborating with Stakeholders
The broad life-cycle scope of DFE includes many activities that are
beyond the direct control of a product manufacturer, including up -
stream supplier operations and downstream customer behaviors.
Therefore, it is only natural that companies who are developing DFE
strategies should seek the advice and assistance of external stake-
holders, including business partners, customers, communities, envi-
ronmental groups, and even regulatory agencies (see Chapter 3). The
trend toward sustainability reporting and increased transparency of
environmental strategies has paved the way for in-depth stakeholder
involvement and collaboration. The following are only a few exam-
ples of such practices:
• Intel has worked closely with its customers to develop eco-
efficient, reusable packaging for transporting microchips
through the different stages of manufacturing and assembly
(see Chapter 11).
• Coca-Cola has teamed with other food and beverage com -
panies to encourage more rapid development and adoption
of sustainable refrigeration technologies (see Chapter 15).
• General Motors works with the U.S. EPA’s Green Suppliers
Network to encourage environmentally beneficial practices
on the part of automotive suppliers.
• FedEx Express collaborated with Environmental Defense to
introduce hybrid delivery trucks in North America, help ing
to stimulate the market for hybrid technology (see Chapter 19).