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Special Feature - Economic (Business) Performance

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Comprehensive solutions to meet the management challenges of low carbon footprint

Companies today face strong pressure to reduce CO2 emissions from factories, offices, stores and logistics centers to support efforts to stop global warming. With amendments to the Energy Conservation Law enacted in April 2009, regulations imposed on the office/factory level have changed to those on the company level. Many companies that were previously exempt from regulation are now required to take measures to save energy.

Return on carbon (ROC), a new index measuring CO2 emissions against profi t levels, is expected to become as important a management indicator as return on equity (ROE) and return on assets (ROA). Without question, reduction of CO2 emissions has become a critical issue that will determine whether a company can sustain its business.

Most companies in Japan have already taken measures to reduce carbon emissions and are looking for additional ways to increase energy efficiency and lower carbon emissions further. To respond to the increasing requirements of contributing to a low-carbon society, Omron launched its CO2 reduction solutions business in fiscal 2009. For some time, Omron has offered an energy monitoring system that enables customers to check energy usage in real time. Use of this system in Omron facilities and at customer sites has provided valuable insights into energy efficiency improvements. Omron’s new CO2 reduction solutions include a wide range of services based on expertise gained from these systems, including visualization of energy usage and CO2 emissions; pre-deployment discovery of points needing improvement; and suggestions and onsite implementation of improvement measures. The CO2 reduction solutions business will support environmentally conscious business management by providing executives through frontline staff with unified and shared data on energy usage.

Omron set up a new organization called “Environmental Solutions Business Headquarters” to specialize in this business. This division is working to create new environmental solutions by drawing on sensing and control technologies that Omron has developed and refined in many production sites.

CO2 Reduction Solutions Applications

Reducing CO2 emissions through the CAPD (Check-Act-Plan-Do) improvement cycle

The key to Omron’s CO2 reduction solutions is implementation of a CAPD (Check-Act-Plan-Do) cycle to solve problems, rather than the conventional PDCA cycle. The first step is to understand the current status and identify areas for improvement. This involves examining equipment drives, motors, lights, and air conditioners in factories and offices, as well as transport usage, such as travel distance and load weights, all of which are considered major factors in CO2 emissions. Based on the data obtained, points for improvement are identified by estimating how much impact can be expected by taking measures in specific places. Optimal points for measurement of data are then narrowed down and sensors are installed in the selected points, depending on the type of equipment or facility. The sensors provide various types of environmental data, including electricity and gas consumption, temperature and humidity, and cleanliness. From this data, Omron can identify unevenness and inefficiency in energy usage. Omron can then suggest effective solutions tailored to each customer’s worksite for improvements in equipment and equipment operation. The next step is to verify the effects of the suggested improvement measures and then implement the effective measures. This is followed by analysis and evaluation of measured data and incorporation of the data into operations manuals at the client site.

CO2 emissions can be reduced by implementing the CAPD cycle for improvement, starting from visualization of points needing improvement, to verification of improvement measures, to onsite implementation of effective measures. By combining the collected environmental data with a customer’s production data, and analyzing uneven or inefficient production process and energy usage, it is possible for businesses to increase productivity while reducing CO2 emissions.

To effectively address environmental conservation, it is essential for corporate executives and staff members work together. By centrally managing environmental data gathered onsite and sharing the data across the company from top executives to frontline workers, the entire company can be involved in everything from investment decisions and determination of priorities by executives to the implementation of onsite improvements.

Company-wide Environmental Data Visualization and Improvement Cycle

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