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Fall 2006























A publication of the CMS Forum; a project of the Chemical Strategies Partnership





Notes from the Forum
A message from the CMS Forum Director
Welcome to the Fall 2006 issue of the CMS Insider.

The 10th Annual CMS Workshop on October 25-27 in San Francisco is quickly approaching. Register by October 1st to receive the best rates. Don’t miss this opportunity to hear directly from customers and experts in the CMS field. Please visit our website to see the current agenda and register for the event.

In Viewpoints from the Field, researchers at IVAM summarize the findings of a recent study on the economic potential of Chemical Product-Services (CPS) in the European Union sponsored by the European Commission. The study concludes that CPS reduces chemical use by 5-30%, as well as decreases waste and risks associated with chemicals.  The European market for CPS is expected to grow to 10 billion Euros over the next nine years.

With REACH legislation scheduled to be passed by early 2007, CMS programs may be expanded to include preparation activities.  Learn the latest happenings in our REACH Updates section.

See you at the Workshop in October!

Warmest Regards,
Jill Kauffman Johnson
CMS Forum Director


Viewpoints from the Field
Chemical Product-Services in the European Union
By Jaap Kortman, et al., IVAM UvA BV

A study sponsored by the European Commission addresses the economic and environmental potential of Chemical Product Services (CPS) in the EU and the desirability of public intervention to improve the CPS market. From the information collected, the study concludes that CPS generally allows a reduction of chemical use of 5-30%, depending on the type of chemical and industrial application. In most cases, CPS markets are driven by customers’ attempt to increase efficiency in the value chain and to reduce costs; a joint attempt by suppliers to maintain or increase their markets; and/or environmental and occupational regulations. The study predicts that the potential market for CPS in the EU will be approximately 10 billion Euros in sales for the year 2015.

Read the Executive Summary
Download the Full Report



CMS Forum News
10th Annual CMS Workshop – Register by October 1st!
Join us for our 10th Annual CMS Workshop, CMS: A Decade of Results, a Future of Opportunities on October 25-27 in San Francisco.  Hear presentations from a wide variety of industries including aerospace, automotive, biotech, pharmaceutical, forest products, utilities, government and research. We look forward to seeing you there!

Lansing Case Study and Strategic Plan Available Online
Learn about CSP’s first pilot with a K-12 school funded by the EPA, to conduct a pilot project with Lansing School District in Lansing, Michigan. Lansing has selected Chemico Systems as its CMS provider. For details, read the Case Study and Strategic Plan developed by CSP as part of the pilot project.

View the Case Study
View the Strategic Plan


Member Focus
New Members:  Rinchem and EPCglobal join the CMS Forum
The CMS Forum would like to welcome its newest members, Rinchem Company, Inc. and the not-for-profit, EPCglobal.

Rinchem Company, Inc. is an expert in Chemical Management Services consisting of chemical and hazardous waste handling, transportation, public chemical warehousing and regulatory training & consulting. Rinchem will be presenting at the CMS Workshop in October in a session entitled “Rolling out an International CMS Program.”

EPCglobal is a not-for-profit, user driven organization focused on helping companies implement Electronic Product Code ™ (EPC)/Radio Frequency Identification (RFID) technology. In the Chemical arena, EPCglobal develops RFID technical standards (i.e. tag data standards, tag specifications) specific to the industry with full participation of CIDX and Elemica.

Haas TCM signs CMS contract with VeraSun Energy Company
Haas TCM recently signed a five-year agreement to provide Chemical Management Services to the VeraSun Energy Company (NYSE:VSE), the nation's second-largest ethanol producer. Under the terms of the agreement, Haas TCM will provide on site services along with its tcmIS® platform to manage the supply chain and use efficiency of bulk and packaged chemicals at its Aurora, SD facility. VeraSun has two ethanol plants with three more coming online by the end of 2008.

PPG Aerospace awarded CMS contracts with Delta Airlines and Northwest Airlines
PPG Aerospace Total Service Solutions group was successfully awarded two major CMS programs this summer.  These programs with Delta Airlines and Northwest Airlines encompass the process and inventory management of their entire chemical purchases across their respective global networks.

UTC wins Purchasing Magazine’s Medal of Professional Excellence
United Technologies Corporation was recently awarded Purchasing’s Medal of Professional Excellence for developing and sustaining a supply management culture throughout a successful, growing, yet decentralized global company. Specifically, UTC was noted for leveraging purchasing to maximize savings; working in a decentralized environment to share best practices; and not neglecting the indirect buy when consolidating spending. For details, read the articles.


Trendwatch
CMS Opportunities under REACH
By Steffen Erler, Chemical Risk Consultant

Complying with the forthcoming European REACH legislation will prove challenging. Beginning to think of an implementation strategy is crucial as pre-registration approaches.  CMS providers can serve as a resource in helping their customers prepare for REACH. They can help facilitate dialogue between customers and their downstream users. In addition, they can identify safer chemicals and demonstrate their advantages. Read more.

Study Asks if Green Chemistry Drives Profits … or Just Good PR

GreenBiz.com

Initially motivated by government regulations and public relations concerns, more companies are now turning to "green" chemistry as a way to increase the bottom line. A newly proposed market study from Kline & Company will seek to quantify this development in the chemicals industry. “The obvious benefits of green chemistry are good PR and the avoidance of fines for pollution offenses, but there's little industry data to indicate really to what extent companies are benefiting financially," says Mitch Halpern, director in Kline's Chemicals and Materials consulting practice. Kline’s study will examine chemical processes, end products, and conservation of carbon in determining how green chemistry practices will affect the bottom line. Read more.

Senate Panel Weighs Toxic Chemicals Law
Los Angeles Times

At the first Senate hearing in more than a decade to review the nation’s toxic chemicals law, the Bush administration agreed with chemical industry representatives that the 30-year-old statute was strong enough to protect public health. However, many environmental scientists say the EPA cannot know whether the risks are acceptable because the chemical industry is not required by law to provide enough data, particularly on the potential effects of many chemicals on children and fetuses. Read more.

Top Chemical Picks Outperform Competitors by 122%
GreenBiz.com

Innovest, the financial analyst firm, has released its most recent report on the Chemical Sector. As the only investment research firm that currently identifies chemical product risk prior to incident, the Innovest report examines how product liability is likely to be a significant driver of volatility over the next several years. In addition to product liability, the report takes a look at the European Chemicals Policy (REACH), as well as a first-time look at emerging markets exposure. Read more.

Chemicals industry moves ahead with R&D agenda
Euractive.com

While most of the attention in Brussels is focused on the REACH proposal, industry is moving on with a multi-million euro innovation plan aimed at taking it closer to environmental sustainability.  The European Union unveiled in late August a proposed “action plan” that would boost sustainable chemistry, industrial biotechnology and chemical engineering research, development and innovation in Europe. Read more.

Protecting Public Health, Increasing Profits and Promoting Innovation by Benchmarking Corporate Governance of Chemicals in Products
GreenBiz.com

In coming years, companies are likely to face increasing pressures to remove toxic chemicals from consumer products. These pressures will stem from new scientific knowledge and media and political attention. On the other hand, innovative, entrepreneurial companies can gain competitive advantage, increase profits, and grown shareholder value by systematically reviewing chemicals in their products, working with their suppliers to reduce or eliminate product toxicity, and responding creatively to the growing demand for environmentally preferable goods. This paper reviews these developments, identifies innovative corporate programs to reduce product toxicity, and offers a governance framework of benchmarked “best practices” that investors may use in screening investments, managing portfolio risk, and engaging in shareholder actions. Read more.





members
Founding Member
Haas TCM

Members

EPCglobal New!

Rinchem Company, Inc. New!

AVChem
Castrol Industrial North
America
Chemico Systems
Chemical Safety Corporation
DaimlerChrysler Corporation
Dana Corporation
Delta Air Lines
Dolphin Software
Fisher Scientific
General Motors Corporation
Henkel Chemical Management
Houghton International
Illinois State University
Illinois Waste Management
and Research Center
PPG Industries
Raytheon Company
Rockwell Collins
Seagate Technology
Society of Tribologists and
Lubrication Engineers
Solution Recovery
Services
SAIC

United Technologies Corp.

Waste Management




Upcoming Events
10th Annual CMS Workshop
CMS: A Decade of Results, A Future of Opportunities
October 25-27, 2006
San Francisco, CA


2006 Event Highlights
CMS Forum members and the Chemical Strategies Partnership speak at or participate in many conferences each year. A list of these for 2006 include:


Indoor Air Quality Tools for Schools National Symposium
January 12-14, 2006
Washington, DC


AF&PA Chemical and Product Stewardship Committee Meeting
March 7, 2006
Washington, DC

12th Annual PIBA Conference
March 9, 2006
Union City, California


California Chemical Policy Symposium
March 16-17, 2006
Oakland, CA


Environmental Sustainability Panel
April 12, 2006
Harvard Business School
Cambridge, MA

AIHA Conference
May 13-18, 2006
Chicago, IL

Adding Value with Chemical Management Services
April 26, 2006
Bradford, UK


10th Annual Green Chemistry & Engineering Conference
June 26-30, 2006
Washington, DC

International Conference on Eco-Industrial Parks
July 13, 2006
Seoul, Korea

Campus Safety Health and Environmental Management Association (CSHEMA) 2006
July 15-19, 2006
Anaheim, California

Training on the European Union's REACH Proposal
September 13, 2006
Foster City, CA

EPA Office of Solid Waste's 2006 WasteWise and NPEP Annual Conference: Partnering for Sustainability
October 19-20, 2006
Washington, DC


The Net Impact 2006 Conference
October 27-29, 2006
Northwestern University Evanston, IL


14th Annual Region 9 Tribal / EPA Conference
November 3, 2006
San Francisco, CA

Northeast Waste Management Officials' Association (NEWMOA)
December 12-14, 2006
Austin, TX








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