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Section III.

Sustainable Production and Consumption: Context and Practice



A.       Context: Understanding Sustainable Production and Consumption

       Agenda 21 made clear that changing consumption and production patterns is at
the heart of sustainable development. But what does it mean to make production and
consumption “sustainable”?

Trainer’s Note: Display slide III-2, which illustrates different terms that have been
used to describe demand-side strategies. If time allows, explain each term (or ask
participants to do so) and highlight the differences to illustrate how easily
misunderstandings can arise depending on the choice of language.

        As the Icebreaker Exercise in Section II illustrated, the terms “sustainable
production” and “sustainable consumption” can evoke a variety of reactions from
different people. In order to effectively discuss these ideas in this training course, it is
necessary to develop a shared understanding of the two concepts.

Trainer’s Note: Display slides III-3 through III-5 one at a time. Read each slide out
loud (or ask a participant to do so). After each slide, pause to ask if anyone has a
question about the contents.

        UNEP’s definition of “cleaner production” includes language about increasing
efficiency and reducing risk, whereas the United Nations Commission on Sustainable
Development’s definition of “sustainable consumption” emphasizes quality of life and
intergenerational equity. But both definitions share a focus on products/services rather
than on processes alone. This reflects a common emphasis on a comprehensive approach
to all phases of a product’s/service’s life cycle.

      To gain a deeper understanding of sustainable consumption and production, it
may be helpful to review the following points:

Trainer’s Note: Display slide III-6 and review.

     •   Sustainable consumption is about more than “consuming green.” “Green
         consumerism” has been criticized as a narrowly focused strategy of “providing
         eco-products for niche markets serving affluent consumers, supported by modest
         policy initiatives such as eco-labelling.” Sustainable consumption seeks to reform
         underlying consumption patterns and to use the demand side to leverage long-
         term social, economic and environmental benefits. (Robins 1999)
•   Sustainable consumption is about changing patterns, not “doing without.” A
         common misperception is that changing consumption patterns would be identical
         to forcing consumers to purchase fewer products and services (the level). The
         potential strength of the concept, however, is that it promotes different
         consumption choices, allowing consumers to satisfy their needs with better
         performing products or services that use fewer resources, causing less pollution
         and negative social impacts (the pattern). The concept stimulates product and
         technology innovation and opens up new consumption patterns based on
         performance and higher service content rather than on material contents. This
         creates space for consumption for the vast majority of the world’s population that
         does not have access to basic needs or is even struggling to survive. (UNEP 2002)

     •   Sustainable production and consumption will require “leapfrog change.”
         Sustainability will require the creation of new systems and businesses that
         fundamentally alter the current relationships between resource-consumption-
         waste and the creation of economic value. Incremental improvement to existing
         systems of production and consumption will not suffice. In building these
         systems, developing countries have the opportunity to put in place a performing
         economy and alleviate poverty without using outdated technologies and products
         – i.e., to “leapfrog” over the path taken by industrially developed countries.
         (UNEP 2002)

        Fundamental and dramatic changes are necessary to make production and
consumption sustainable. It will be difficult (if not impossible) to make these changes by
addressing consumption and production patterns separately. Their interconnectedness,
particularly around products and services, mandates a whole-system strategy. The
second half of this Section introduces tools for approaching consumption and production
as parts of a single integrated system.



B.       Practice: The Systems Approach to Production and Consumption

        The first half of this Section focused on putting sustainable production and
consumption in context. The discussion so far has been one-dimensional, that is, it has
examined consumption and production separately. This half of the Section will begin to
look at production and consumption as a multi-dimensional, integrated system.

Trainer’s Note: Display slide III-8, “Manufacturing System Schematic.”

        A classic manufacturing “system” schematic has inputs, a process, and outputs.
This is quite simplistic and represents what happens within the boundary of a
manufacturing facility. While it is very useful for production process focused work, it is
a very limited and linear model: raw materials in, products and waste out.

Trainer’s Note: Display slide III-9, “Schematic Presentation...”
Stepping back to take a more “macro” view reveals a slightly more sophisticated
system. This system, which looks at resource productivity, goes beyond the basic
manufacturing facility and includes extraction, distribution, consumption and waste
management. While it is more comprehensive, it is still nonetheless a linear system. It is
process-focused (i.e., focuses on processes within the manufacturing system) and only
hints at recycling.

Trainer’s Note: Display slide III-10 (Consumer Behavior Model).

        Like production systems, consumption systems have been formally diagrammed.
This model shows the various “actors” affecting consumer behavior - technology,
economy, demography, institutions and culture. It depicts how they interact and indicates
potential outcomes.

Trainer’s Note: Display slide III-11, “Process-Focused Production and
Consumption.”

        Slides III-10 and III-11 depict process-focused or production-focused systems.
Production-focused strategies have a solid history of achievement and established
infrastructure, but they have two major drawbacks. First, consumption issues have drawn
attention to their limits. Second, production-focused strategies (like consumption-
focused strategies) reflect “a simplistic division into separate spheres of action:
production-focused (producers, processes, technology facilities) and consumer-focused
(needs, awareness, behavior).” (UNEP 2002a) This dualistic categorization does not
accurately reflect the complexity of existing social and economic structures.


Trainer’s Note: Display slide III-12, “Engineering View….”

       According to this “engineer’s view” of processes to meet human needs,
consumption and production operate in the same system, which is closed and non-linear.
The primary emphasis of this schematic, however, is still on process or production.
There is a high risk of focusing on only part of the whole system.

Trainer’s Note: Display slide III-13 (Elephant).

         Slide III-13 shows what might happen after introducing five blind men to
different parts of an elephant and asking them to describe the elephant. Each would have
a very distorted view of how the elephant really looks. Clearly, if the elephant decided
to move and each of the men had to react to the movement based on their perception of
what the elephant looked like, the probability of injury would be fairly high. This
illustrates the danger associated with seeing only a part of the big picture.
Trainer’s Note: Display slide III-14, “Product-Focused Production and
Consumption.”

        How do the parts of the production/consumption system come together? Products
are the clear connection between the production and consumption systems. The
production system produces products, which are then consumed by the consumption
system. Conversely, the consumption system consumes products that are produced by
the production system.

Trainer’s Note: Display slide III-15, “A Shift in Focus.”

       An emphasis on production and consumption focuses attention on the system’s
subparts. By contrast, an emphasis on products focuses attention on the whole system.
Moving past production-focused or consumption-focused subsystems to a broader and
more comprehensive product-focused system will involve a paradigm shift.

Trainer’s Note: Display slide III-16 (Complex System).

        It is common to think of production and consumption as discrete stages in a
product’s life cycle chain, with production (an industrial activity) preceding consumption
(a domestic activity). But production and consumption are inextricably interwoven. All
production consumes resources and energy: to produce something requires that
something must be consumed. Indeed, in terms of mass or weight, the largest volume of
materials consumed in a national economy is consumed not by individuals, but by
industrial production facilities, particularly those in the resource extractive industries.

        A closer look at the product-focused production/consumption system reveals that
each node in a product chain is both a production and a consumption node. There is no
one, single determining node; not one point that can be labeled as the point of
consumption (or the point of production, for that matter). The consumption that occurs at
any one node is determined by the production/consumption activities that precede it.

Trainer’s Note: Display slide III-17 (Mindsets and Mental Models).

        Looking at new systems is not always easy, especially if familiar “mindsets” and
schematics are used. Old mindsets can obscure attempts to deal with new paradigms (as
is the case for the two pilots “in the clouds” in slide III-17). What, then, is a mindset?
For that matter, what is a system?

Trainer’s Note: Display slide III-18, “Systems and Mindsets - Definitions.”

     There are many definitions for systems and mindsets. Slide III-18 provides
common points of understanding for the use of these terms in this training course.
Trainer’s Note: Display slide III-19, “Shifting Mindsets.”

        The graph in slide III-19 demonstrates the shift from dominant mindshifts to
emergent mindshifts. As the graph illustrates, it takes a period of time for mindshifts to
shift. Rarely is the shift instantaneous.

Trainer’s Note: Display slide III-20, “The Process of Changing Systems.”

        While it is critical to focus on shifting mindsets, it is important to remember that
the other major component in systems change is structural. In large part, structure refers
to the key actors, processes, and relationships between those parts of a system. A change
in mindset without a change in structure is not sufficient (and vice versa). Moreover,
incremental changes in one area tend to lead to incremental changes in the other. A small
change in mindset can lead to a small change in structure, which in turn can lead to
another small change in mindset, and so forth in an iterative manner.



Trainer’s Note: Display slide III-21 (Complex Cause and Effect).

         The production-consumption system is a complex system. As is usually the case
in complex systems, it is often difficult to see the relationship between cause and effect.
Frequently, a change in mindset or structure is distant from the change in behavior it
creates. This may make it difficult to attribute a direct causal link between an action or
initiative and a distant outcome.

Trainer’s Note: Display slide III-22 (Before Beginning…).

        Some very thoughtful people have grappled with change issues. Paul Krafel’s
wonderful book, Seeing Nature, focuses on how the change process often is made
possible through a series of small steps rather than one big action. Krafel also points out
that while the path to achieving a goal is often difficult to discern, it should not be a
barrier to beginning the journey to achieving that goal. Albert Einstein reminds us that in
order to fix current problems we need to move beyond our current understanding and
“think outside the box” for solutions.

Trainer’s Note: Display slides III-23 and III-24.

      There are several existing examples of systems models for production and
consumption:

        Life-cycle assessment (LCA) is a process of evaluating the effects that a product
has on the environment over the entire period of its life. This well-known tool is used
with care because what can start as a simple assessment can ultimately become a major
study.
Life cycle management is an integrated approach to minimizing the
environmental burdens associated with a product or service over its life cycle. Unlike
LCA, which is an analysis tool, LCM is a management tool and is therefore more applied.

       UNEP has taken on the role of promoting a better understanding of Product
Service Systems, which entails “shifting the business focus from designing and selling
physical products only, to selling a system of products and services which are jointly
capable of fulfilling specific client demands.”

       Integrated Product Policy (IPP) uses a product life-cycle approach to help set
policy. The approach seeks to reduce the life cycle environmental impacts of products
from the mining of raw materials to production, distribution, use, and waste management.
The European Union has issued a “green paper” on IPP.

Trainer’s Note: This is a good time for the following short activity, if time allows:

Ask participants to call out current mindsets that they see as barriers to sustainable
production and consumption. Record their responses on a flip chart. Save the flip
chart for reference in Section VI, NCPC Roles and Opportunities.


       This Section established a common understanding of sustainable production and
consumption and provided a systems approach for further analysis. The next Section
provides the NCPCs with the opportunity to apply this new knowledge to their own
experiences with sustainable production and consumption.



REFERENCES and KEY RESOURCES:

Nick Robins. “Making Sustainability Bite.” Journal of Sustainable Product Design.
         1999.
UNEP. Cleaner Production: Global Status Report. 2002.
-------. Global Status Report on Sustainable Consumption. 2002.
-------. Proposal for a Work Programme on Promoting Sustainable Consumption and
         Production Patterns (Briefing Note For Distribution At WSSD). 2002.

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Section iii

  • 1. Section III. Sustainable Production and Consumption: Context and Practice A. Context: Understanding Sustainable Production and Consumption Agenda 21 made clear that changing consumption and production patterns is at the heart of sustainable development. But what does it mean to make production and consumption “sustainable”? Trainer’s Note: Display slide III-2, which illustrates different terms that have been used to describe demand-side strategies. If time allows, explain each term (or ask participants to do so) and highlight the differences to illustrate how easily misunderstandings can arise depending on the choice of language. As the Icebreaker Exercise in Section II illustrated, the terms “sustainable production” and “sustainable consumption” can evoke a variety of reactions from different people. In order to effectively discuss these ideas in this training course, it is necessary to develop a shared understanding of the two concepts. Trainer’s Note: Display slides III-3 through III-5 one at a time. Read each slide out loud (or ask a participant to do so). After each slide, pause to ask if anyone has a question about the contents. UNEP’s definition of “cleaner production” includes language about increasing efficiency and reducing risk, whereas the United Nations Commission on Sustainable Development’s definition of “sustainable consumption” emphasizes quality of life and intergenerational equity. But both definitions share a focus on products/services rather than on processes alone. This reflects a common emphasis on a comprehensive approach to all phases of a product’s/service’s life cycle. To gain a deeper understanding of sustainable consumption and production, it may be helpful to review the following points: Trainer’s Note: Display slide III-6 and review. • Sustainable consumption is about more than “consuming green.” “Green consumerism” has been criticized as a narrowly focused strategy of “providing eco-products for niche markets serving affluent consumers, supported by modest policy initiatives such as eco-labelling.” Sustainable consumption seeks to reform underlying consumption patterns and to use the demand side to leverage long- term social, economic and environmental benefits. (Robins 1999)
  • 2. Sustainable consumption is about changing patterns, not “doing without.” A common misperception is that changing consumption patterns would be identical to forcing consumers to purchase fewer products and services (the level). The potential strength of the concept, however, is that it promotes different consumption choices, allowing consumers to satisfy their needs with better performing products or services that use fewer resources, causing less pollution and negative social impacts (the pattern). The concept stimulates product and technology innovation and opens up new consumption patterns based on performance and higher service content rather than on material contents. This creates space for consumption for the vast majority of the world’s population that does not have access to basic needs or is even struggling to survive. (UNEP 2002) • Sustainable production and consumption will require “leapfrog change.” Sustainability will require the creation of new systems and businesses that fundamentally alter the current relationships between resource-consumption- waste and the creation of economic value. Incremental improvement to existing systems of production and consumption will not suffice. In building these systems, developing countries have the opportunity to put in place a performing economy and alleviate poverty without using outdated technologies and products – i.e., to “leapfrog” over the path taken by industrially developed countries. (UNEP 2002) Fundamental and dramatic changes are necessary to make production and consumption sustainable. It will be difficult (if not impossible) to make these changes by addressing consumption and production patterns separately. Their interconnectedness, particularly around products and services, mandates a whole-system strategy. The second half of this Section introduces tools for approaching consumption and production as parts of a single integrated system. B. Practice: The Systems Approach to Production and Consumption The first half of this Section focused on putting sustainable production and consumption in context. The discussion so far has been one-dimensional, that is, it has examined consumption and production separately. This half of the Section will begin to look at production and consumption as a multi-dimensional, integrated system. Trainer’s Note: Display slide III-8, “Manufacturing System Schematic.” A classic manufacturing “system” schematic has inputs, a process, and outputs. This is quite simplistic and represents what happens within the boundary of a manufacturing facility. While it is very useful for production process focused work, it is a very limited and linear model: raw materials in, products and waste out. Trainer’s Note: Display slide III-9, “Schematic Presentation...”
  • 3. Stepping back to take a more “macro” view reveals a slightly more sophisticated system. This system, which looks at resource productivity, goes beyond the basic manufacturing facility and includes extraction, distribution, consumption and waste management. While it is more comprehensive, it is still nonetheless a linear system. It is process-focused (i.e., focuses on processes within the manufacturing system) and only hints at recycling. Trainer’s Note: Display slide III-10 (Consumer Behavior Model). Like production systems, consumption systems have been formally diagrammed. This model shows the various “actors” affecting consumer behavior - technology, economy, demography, institutions and culture. It depicts how they interact and indicates potential outcomes. Trainer’s Note: Display slide III-11, “Process-Focused Production and Consumption.” Slides III-10 and III-11 depict process-focused or production-focused systems. Production-focused strategies have a solid history of achievement and established infrastructure, but they have two major drawbacks. First, consumption issues have drawn attention to their limits. Second, production-focused strategies (like consumption- focused strategies) reflect “a simplistic division into separate spheres of action: production-focused (producers, processes, technology facilities) and consumer-focused (needs, awareness, behavior).” (UNEP 2002a) This dualistic categorization does not accurately reflect the complexity of existing social and economic structures. Trainer’s Note: Display slide III-12, “Engineering View….” According to this “engineer’s view” of processes to meet human needs, consumption and production operate in the same system, which is closed and non-linear. The primary emphasis of this schematic, however, is still on process or production. There is a high risk of focusing on only part of the whole system. Trainer’s Note: Display slide III-13 (Elephant). Slide III-13 shows what might happen after introducing five blind men to different parts of an elephant and asking them to describe the elephant. Each would have a very distorted view of how the elephant really looks. Clearly, if the elephant decided to move and each of the men had to react to the movement based on their perception of what the elephant looked like, the probability of injury would be fairly high. This illustrates the danger associated with seeing only a part of the big picture.
  • 4. Trainer’s Note: Display slide III-14, “Product-Focused Production and Consumption.” How do the parts of the production/consumption system come together? Products are the clear connection between the production and consumption systems. The production system produces products, which are then consumed by the consumption system. Conversely, the consumption system consumes products that are produced by the production system. Trainer’s Note: Display slide III-15, “A Shift in Focus.” An emphasis on production and consumption focuses attention on the system’s subparts. By contrast, an emphasis on products focuses attention on the whole system. Moving past production-focused or consumption-focused subsystems to a broader and more comprehensive product-focused system will involve a paradigm shift. Trainer’s Note: Display slide III-16 (Complex System). It is common to think of production and consumption as discrete stages in a product’s life cycle chain, with production (an industrial activity) preceding consumption (a domestic activity). But production and consumption are inextricably interwoven. All production consumes resources and energy: to produce something requires that something must be consumed. Indeed, in terms of mass or weight, the largest volume of materials consumed in a national economy is consumed not by individuals, but by industrial production facilities, particularly those in the resource extractive industries. A closer look at the product-focused production/consumption system reveals that each node in a product chain is both a production and a consumption node. There is no one, single determining node; not one point that can be labeled as the point of consumption (or the point of production, for that matter). The consumption that occurs at any one node is determined by the production/consumption activities that precede it. Trainer’s Note: Display slide III-17 (Mindsets and Mental Models). Looking at new systems is not always easy, especially if familiar “mindsets” and schematics are used. Old mindsets can obscure attempts to deal with new paradigms (as is the case for the two pilots “in the clouds” in slide III-17). What, then, is a mindset? For that matter, what is a system? Trainer’s Note: Display slide III-18, “Systems and Mindsets - Definitions.” There are many definitions for systems and mindsets. Slide III-18 provides common points of understanding for the use of these terms in this training course.
  • 5. Trainer’s Note: Display slide III-19, “Shifting Mindsets.” The graph in slide III-19 demonstrates the shift from dominant mindshifts to emergent mindshifts. As the graph illustrates, it takes a period of time for mindshifts to shift. Rarely is the shift instantaneous. Trainer’s Note: Display slide III-20, “The Process of Changing Systems.” While it is critical to focus on shifting mindsets, it is important to remember that the other major component in systems change is structural. In large part, structure refers to the key actors, processes, and relationships between those parts of a system. A change in mindset without a change in structure is not sufficient (and vice versa). Moreover, incremental changes in one area tend to lead to incremental changes in the other. A small change in mindset can lead to a small change in structure, which in turn can lead to another small change in mindset, and so forth in an iterative manner. Trainer’s Note: Display slide III-21 (Complex Cause and Effect). The production-consumption system is a complex system. As is usually the case in complex systems, it is often difficult to see the relationship between cause and effect. Frequently, a change in mindset or structure is distant from the change in behavior it creates. This may make it difficult to attribute a direct causal link between an action or initiative and a distant outcome. Trainer’s Note: Display slide III-22 (Before Beginning…). Some very thoughtful people have grappled with change issues. Paul Krafel’s wonderful book, Seeing Nature, focuses on how the change process often is made possible through a series of small steps rather than one big action. Krafel also points out that while the path to achieving a goal is often difficult to discern, it should not be a barrier to beginning the journey to achieving that goal. Albert Einstein reminds us that in order to fix current problems we need to move beyond our current understanding and “think outside the box” for solutions. Trainer’s Note: Display slides III-23 and III-24. There are several existing examples of systems models for production and consumption: Life-cycle assessment (LCA) is a process of evaluating the effects that a product has on the environment over the entire period of its life. This well-known tool is used with care because what can start as a simple assessment can ultimately become a major study.
  • 6. Life cycle management is an integrated approach to minimizing the environmental burdens associated with a product or service over its life cycle. Unlike LCA, which is an analysis tool, LCM is a management tool and is therefore more applied. UNEP has taken on the role of promoting a better understanding of Product Service Systems, which entails “shifting the business focus from designing and selling physical products only, to selling a system of products and services which are jointly capable of fulfilling specific client demands.” Integrated Product Policy (IPP) uses a product life-cycle approach to help set policy. The approach seeks to reduce the life cycle environmental impacts of products from the mining of raw materials to production, distribution, use, and waste management. The European Union has issued a “green paper” on IPP. Trainer’s Note: This is a good time for the following short activity, if time allows: Ask participants to call out current mindsets that they see as barriers to sustainable production and consumption. Record their responses on a flip chart. Save the flip chart for reference in Section VI, NCPC Roles and Opportunities. This Section established a common understanding of sustainable production and consumption and provided a systems approach for further analysis. The next Section provides the NCPCs with the opportunity to apply this new knowledge to their own experiences with sustainable production and consumption. REFERENCES and KEY RESOURCES: Nick Robins. “Making Sustainability Bite.” Journal of Sustainable Product Design. 1999. UNEP. Cleaner Production: Global Status Report. 2002. -------. Global Status Report on Sustainable Consumption. 2002. -------. Proposal for a Work Programme on Promoting Sustainable Consumption and Production Patterns (Briefing Note For Distribution At WSSD). 2002.