The CSR Newsletters are a freely-available resource generated as a dynamic complement to the textbook, Strategic Corporate Social Responsibility: Sustainable Value Creation.

To sign-up to receive the CSR Newsletters regularly during the fall and spring academic semesters, e-mail author David Chandler at david.chandler@ucdenver.edu.

Thursday, April 3, 2008

Strategic CSR - Alcoa

The article in the url link below highlights the progressive steps on issues related to recycling (largely in response to heavy criticism) being taken by the drinks industry (Issues: Environmental Sustainability, p171):

“Alcoa (NYSE:AA) announced [in January] that it has established a goal to raise the industry’s used beverage can (UBC) recycling rate in North America from its current 52% rate to 75% by 2015.”

In addition to the public criticism that is driving this effort, the steps by Coca-cola in recent months are also helping the industry see the positive financial benefits to reclaiming as much as possible of the raw materials necessary to make aluminum cans:

“Recycled aluminum is identical to smelted aluminum, except that it takes only 1/20 of the energy to make it. Less energy means reduced greenhouse emissions. And aluminum can be recycled over and over again, unlike many other materials. When an aluminum beverage can is recycled, it does something few other containers can do: it reappears back on the shelf, probably in 60 days or less, as a brand new soda can. That's because the can's aluminum materials are specially engineered for 100% recycling, with no waste and a minimum of energy input.”

What I was surprised at, however, was how little the baseline recycling rate had changed over the past 15 years and, therefore, how relatively high it had been in the past:

“In the U.S. aluminum beverage can market of over 1.5 million metric tons per year, about 800,000 tons of UBCs are currently being recycled. Wittbecker said that the U.S. recycling rate has fallen steadily from its high of 68% in 1992. In comparison, Brazil and Japan report phenomenal recycling rates of nearly 95% and 92%, respectively, and the global average is 60%.”

Take care
Dave

Bill Werther & David Chandler
Strategic Corporate Social Responsibility
© Sage Publications, 2006
http://www.sagepub.com/Werther

CSRwire Press Release
1.22.2008 - 02:20pm ET
Press release from: Alcoa Inc.
Alcoa Sets Goal to Raise North American Aluminum Beverage Can Recycling Rate from 52% to 75% by 2015
Call to Action for Aluminum Industry Leaders to Collaborate on Goal
http://www.csrwire.com/News/10787.html