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Organizations can now take an enterprise-wide approach to significantly reduce the per-site costs of implementing ISO 50001 and getting the results certified to Superior Energy Performance. The deep and continuing energy savings typically achieved with an ISO 50001 energy management system (EnMS) become more accessible when multiple sites within a company share a common EnMS that is managed by a “Central Office.”
The enterprise-wide approach promotes consistency, leverages resources, and accelerates implementation—as documented in the case studies of four multinational companies:
|6 sites||3 sites||3 sites||19 sites|
|$3.6 million annual energy cost savings||$4.1 million annual energy cost savings||$9.4 million annual energy cost savings||$1.8 million annual energy cost savings|
View the Enterprise-wide Fact Sheet and the paper, “ISO 50001 and SEP Faster and Cheaper – Exploring the Enterprise-wide Approach,” for more details on benefits.
Expand Savings Enterprise-wide
The enterprise-wide approach to ISO 50001 and SEP certification increases energy savings while reducing the level of effort and implementation costs at each site. Typically, a central office provides tools, training, and resources to individual sites, tailoring responsibilities to take advantage of existing corporate and site-level expertise.
3M, Cummins, Nissan, and Schneider Electric used this approach to implement ISO 50001 at 30 U.S. sites and certified to SEP the resulting improvements in energy performance, worth a total of $18.9 million. These performance improvements provide ongoing energy cost savings that average about $600,000 per year per site, with nearly three-quarters of those savings typically provided from low- or no-cost actions.
The enterprise-wide approach significantly cut the per-site cost of ISO 50001 implementation and SEP certification at these four companies. The central office function enables the use of “sampling,” which reduces the number of sites that need to be audited for ISO 50001 certification. In sampling, third-party auditors verify ISO 50001 energy management systems at a selected subset of the implementing sites (details in ISO 50003). On average, the companies reduced training costs by $12,000, internal labor by 0.8 annual full-time person equivalents, internal and external consultant costs by $3,000, and third-party certification costs by $4,000.
The multi-site approaches described in the enterprise-wide case studies improved average annual energy performance at the 30 participating facilities by five percent—which is significantly above the average (EIA) rate of improvement for U.S. manufacturing overall (under business-as-usual conditions).
Cummins’ first site to become ISO 50001 and SEP certified (using a single-site approach) saved $716,000 in annual energy costs. With the enterprise-wide approach, Cummins certified three sites and expanded energy cost savings to $4.1 million annually. The company leveraged corporate procedures, tools, and training to reduce implementation and labor costs at each site. Using the enterprise-wide strategy, 3M reduced its implementation timeline by six months and one full-time staff person—relative to its single-site experience. In comparison to the single-site implementation experience at Schneider Electric, that company cut its implementation period in half with the enterprise-wide approach. Nissan simultaneously certified three sites to ISO 50001 and SEP (including one recertification), saving close to 1,600 billion Btu as a result.
Who is ISO 50001/SEP Enterprise Intended for?
The ISO 50001/SEP Enterprise-wide approach works best for organizations with one or more of the following characteristics:
- An established corporate energy goal;
- An existing energy management program;
- Implementation of ISO 50001 at one site;
- Experience with ISO management systems, such as ISO 9001 or ISO 14001;
- Multiple sites that can benefit from sharing best practices.
Tools Supporting the Enterprise-wide Approach
Two of the companies, 3M and Cummins, centrally developed their own suites of tools for use by their sites. Cummins has generously agreed to share an external version of its Energy Review Tool through DOE to assist other companies. The Microsoft Excel®-based tool takes users step-by-step through the ISO 50001-required process for conducting an Energy Review, setting an Energy Baseline, and establishing meaningful Energy Performance Indicators.
In addition, DOE shares more information on ISO 50001 and SEP tools, expert guidance, training, and other resources.