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"Life Cycle Management" considers the product life cycle as a whole. Goal of this approach is to protect resources and maximize effectiveness during usage. This paper shows the existing approaches of LCM and discusses their visions.
"Life Cycle Management" considers the product life cycle as a whole. Goal of this approach is to protect resources and maximize effectiveness during usage. This paper shows the existing approaches of LCM and discusses their visions.
"Life Cycle Management" considers the product life cycle as a whole. Goal of this approach is to protect resources and maximize effectiveness during usage. This paper shows the existing approaches of LCM and discusses their visions.
Approaches and Visions Towards Sustainable Manufacturing
(keynote paper) E. Westkamper (I)*, Alting (I)**, Arndt (I)*** *Institut fur lndustrielle Fertigung und Fabrikbetrieb, Universitat Stuttgart, Germany **Department of Manufacturing Eng., Technical University of Denmark, Lyngby, Denmark ***Centre for Advanced Manuf. & Industrial Automation, University of Wollongong, Australia Abstract Thinking in terms of product life cycles is one of the challenges facing manufacturers today: efforts to increase efficiency throughout the life cycle do not only lead to an extended responsibility of the concerned parties. As a result, economically successful business areas can be explored. Whether new service concepts are required, new regulations have been passed or consumers values are changing, the differences between business areas are disappearing. Life Cycle Management (LCM) considers the product life cycle as a whole and optimizes the interaction of product design, manufacturing and life cycle activities. The goal of this approach is to protect resources and maximize the effectiveness during usage by means of Life Cycle Assessment, Product Data Management, Technical Support and last but not least by Life Cycle Costing. This paper shows the existing approaches of LCM and discusses their visions and further development. Keywords: sustainable industrial production, economy and ecology, assessment. 1 INTRODUCTION The past two hundred years of industrialization massive growth in prosperity and manufactured capital have been achieved. The origins of this worldview go back centuries, but it took the industrial revolution to establish it as the primary economic ideology. Human productive capabilities began to grow exponentially. What took two hundred workers in 1770 could be done by a single spinner in the British textile industry by 1812. With such astonishingly improved productivity, the labor force was able to manufacture a vastly larger volume of basic necessities like cloth at greatly reduced cost. This in turn rapidly raised standards of living and real wages, increasing demand for other products in other industries. Further technological breakthroughs pro life rated, and as industry after industry became mechanized, leading to even lower prices and higher incomes, all of these factors fueled a self-sustaining and increasing demand for transportation, housing, education, clothing, and other goods, creating the foundation of modern commerce [I]. Today weve confronted with typical five critical factors: 1. a rising consumption of natural resources, 2. the dramatic increase of world-population, 3. environmental impacts i.e. limited natural resources (energy, materials), 4. global communication networks based on standards and 5. an unstoppable worldwide globalization. Especially the Mega trend of globalization is accelerated by new technologies such in information and communication. Simultaneous they are a chance to maximize the use of technical products. Using the system dynamics model created by engineer Dr. J ay Forrester, professor at the Sloan School of Management at MIT, the authors predicted that, sometime in the next hundred years, if then-current trends in population growth, industrialization, and resource depletion continued unchanged, the world would face actual physical limits to growth [I]. Figure 1 : Demand for Life Cycle Management Production in our understanding covers all phases in the life of technical products: Manufacturing, Usage and Service and Recycling. To reduce the above mentioned problems with contributions of the production engineering new orientations and paradigms are required, which can support the defuse of the defiances. This can be on the one side the use of New Technologies and on the other side new methods for managing technical products in their hole life. This paper shows the existing approaches of Life Cycle Management and discusses their visions and further development. The goal of this approach is to protect resources and maximize the effectiveness during usage of technical products. 2 CHANGE OF PARADIGMS 2.1 Limits of Natural Resources In its report The Limits of Growth of 1972, the Club of Rome documented the exponential increase of the worlds population and subsequently of the natural resources which they predicted to be running low [2]. Although part of the forecast was taken back in their latest report The New Limits of Growth of 1992, the problem is still evident [3]. On the assumption that consumption remains constant, oil is going to run short in about 40 years, natural gas in 60 years and coal in 185 years (see Figure 2). the most frequently discussed anthropogenic effects (Figure 3). Although the regional impacts of the climate change are not to be anticipated, the predominantly majority of climatologic experts confirms that action is needed today to minimize the anthropogenic climate change. The Kyoto Protocol commits the Parties to individual, legally-binding targets to reduce their greenhouse gas emissions by the period 2008- 2012, adding up to a total cut of at least 5% from 1990 levels [4]. Figure 3: Global Temperature Changes (1861 - 1996) Source: IPCC, 1995, updated [5]. The share of carbon dioxide emissions of different sectors are shown in Figure 4. Figure 2: Reach of important resources. Source: Bundesanstalt fur Geowissenschaften und Rohstoffe (BGR), 1998 The limits of natural resources are related to the limited ability of the environment to absorb material streams without being harmed. The latter depends on the quality and quantity of the material streams and on the rate of their immissions. Substances affecting the global environment as well as persistent substances which accumulate in the environment are today considered to be the most harmful ones to the environment. Primary resources are required to provide for the input of material needed for the manufacture of technical products. To reduce the impact on the environment, secondary resources including refurbished parts and recycled materials can be used. Therefore its necessary to close the material cycle. 2.2 Influencing the Environment Global warming, which is caused by the emission of carbon dioxide and other relevant gases, is one of Figure 4: European Emissions of carbon dioxide in different sectors. Source: Air Pollution Corinair 1990 inventory, Environmental statistics 1996, European Union However, in comparison to the natural flows of carbon and its substances, the anthropogenic amount of carbon dioxide is low. The anthropogenic flow of industrial materials often exceed their natural circulation by far. Comparing the natural flow of Nickel, an important technical material, through environment with its circulation caused by industrial processes results in a twenty-fold increase of movement. Despite this ratio, the concentration of Nickel used in industry exceeds fifty %, while its natural concentration seldom exceeds five %. 2.3 Increasing World Population Nearly ten thousand new people arriving on earth every hour [I]. The Population Division of the Department of Economic and Social Affairs has finalized the 1998 Revision of the official United Nations world population estimates and projections. These population estimates and projections provide the standard and consistent set of population figures that are used throughout the United Nations system as the basis for activities requiring population information. Below are some of the highlights of these world population estimates and projections. - World population currently stands at 5.9 billion persons and is growing at 1.33 per cent per year, or an annual net addition of 78 million people. World population in the mid 21st century is expected to be in the range of 7.3 to 10.7 billion. The medium-fertility projection, which is usually considered as most likely, indicates that world population will reach 8.9 billion in 2050. - The world population reached the 6 billion mark in 1999 [6]. Past estimates and medium-, high- and low fertility variants of World population size is shown in Figure 5. Figure 5: World population size: past estimates and medium-, high- and low fertility variants, 1950-2050 (billions). Source: United Nations Population Division, World Population Prospects: The 1998 Revision, forthcoming [6]. Production and consumption of technical products in the world may follow the worlds population. But there is a lack in production as a base of welfare and consumption between the industrialized countries and the rest of the world. Under the influence of globalization of the markets for technical products, the fast exchange of technical knowledge and economic interests, there may be a strong growing volume of industrial manufactured products and the consumption of natural resources as well as environmental impacts. 2.4 Necessity for a Sustainable Development - Thinking in Terms of Product Life Cycles Life cycle management organizes the interaction of the life cycle partners to achieve the maximum benefit from each technical product. The three main fields influencing the activities of the partners are environment, regulations and standards, as well as the constraints of economy. To achieve the best practice, the partners have to cooperate and tap into the know-how of all parties at all life cycle stages. To minimize the risks and to secure the maximum result, all of them should be part of the value adding processes depending on the extent of the value they contribute. The present industrial production and consumption culture will experience changes such as increasing manufacturer responsibility, pollution and waste problems, and non-renewable resource consumption [8]. The term sustainability is often used to cover environmental issues. It was first defined in the Brundtland report [9]: Sustainable development meets the needs of the present without compromising the abilities of future generations to meet their own needs. Seamann [lo] concentrates on three responsibilities: the economic, social/societal and environmental responsibility. Accordingly, the term sustainable product design means to reduce environmental impacts throughout the life cycle of products by maintaining the companys position on the market and its place in society. Making the entire product life cycle part of the manufacturers responsibility or incorporating it into regulations is part of the development towards environmental protection. Environmental protection became part of legislative initiatives when environmental media as well as different industries recognized the problem shifting. In Europe and Asia regulations are becoming legally effective burdening the manufacturer with the responsibility for the complete life cycle of a product including the taking back and recycling of products. To support the product stewardship and to enforce environment- friendly product life cycles the automotive, appliance and electronic industries are forced by law or are preparing them in advance to take back and recycle their products. Only recently, the automotive and electronic industries in Germany have voluntarily committed themselves to fulfill these obligations. Figure 6: Development of initiatives and regulations of environmental protection The Technical Committee 207 of the International Standardization Organization (ISO) has published several guidelines and standards for product and production integrated environmental management. The guidelines for Life Cycle Assessment (LCA) are the first ones to recognize nation-wide the optimization of the product life cycle as one of todays challenging tasks. 3 THE PRODUCT LIFE CYCLE Applying the life cycle to living creatures is an easy- to-understand concept which could be described as from womb to tomb [7]. Applying the same life cycle concept to man-made artifacts such as material products gives rise to the question as to what should be the starting point of the product life and what should be the end of the life. The most important stages of the product life cycle are manufacturing, servicehsage and recyclingheuse. To maximize the products performance, the life cycle has to be managed by use of rational methodologies. 3.1 Industrial Manufacturing of sustainable products On the way to sustainable development sustainable products are necessary. The power supply area shows already a structural change, which will also affect manufacturing engineering: reduction of energy consumption in manufacturing, usage and recycling processes - manufacturing technologies and systems for new (e.9. power supply) products There are a lot of new environmental-friendly Product-Technologies in early phases of the s- curve (Fig 9), which require industrialization: like the solar energies or fuel cells. Fuel Cells, in which the hydrogen is provided on a regenerative way, are one of the big future technologies. Fuel cell cars might have a share of the US market in 2010 of almost 4% with 608,000 cars. The share can even reach 7.6% (1,215,000 cars). 80% of them will be running on a Proton Exchange Membrane Fuel Cell (PEMFC). Already 2003 or 2004 there will be some 10,000 of them around. These are the key statements of a new study by Allied Business Intelligence. The greatest challenge is to industrialize the manufacturing processes and decrease the costs to a level suitable for mass production and lower than competitive technologies. For a massive breakthrough of new technologies entirely new manufacturing technologies will be necessary to enable cost-effective (mass-) production. Their powers run of the known s-curve shown in figure 9. - Figure 7: International standard of environmental management Life cycle integration tools and regulations help to optimize the ecological effectiveness of products. As these effects are compensated by higher consumption, initiatives like Agenda 21 or eco-taxes try to regulate the life cycle perspective in order to minimize ecological effects related to every day life. The international standards for environmental management are based on a holistic view of products life cycle. The foresight of all this influencing factors includes unknown future developments in all areas. But based on to days economy and paradigms it is evident that industrial manufacturers have to change their objectives. They are confronted with political decisions and increasing regulations on one side. On the other side there are new potentials for activation of value. The manufacturing industries have the potential for change and the responsibility for the development of a sustainable production as it is summarized in fig. 8. New Paradigm: Optimization of the Product Life Cycle Figure 8: New Paradigm for industrial Manufacturing There is the necessity to change the traditional objectives of manufacturing. Over hundred years industrial manufacturing was driven by increasing efficiency of the manufacturing resources (Material, Machine, Energy, Personal) and reduction of costs. Even in the future we have to reduce the costs and to increase the efficiency of resources but we have to take into account the whole product life cycle and the reduction of the consumption of the natural resources and impacts on the environment in the industrial manufacturing, usage and recycling. Industrial First Series Manufacturing Products with of Solar Cells fuel cells Figure 9: Effectiveness of new technologies dependence on time Task of manufacturing engineering in terms of sustainable development is therefore to push the necessary industrialization. This pertains the processes itself, a high level of automation and the necessary manufacturing technologies for it. The relevant industries are on the way to series production and in some cases they realized new factories or are in planning the manufacturing for this products. There is a demand for manufacturing R&D to support this developments by basics. It could be a strategy to increase the life time of technical products. This would be of course in opposite to the technical innovations. Of course the life time of products is now longer than years before. Its the consequence of better understanding of wear and critical influencing factors and new technologies. modern products. But this is limited by the fact of permanent technical innovation. 3.3 Application of New Technologies due to Product Life The effectiveness of a technical product is closely linked to the technical progress and also to the use of specific know-how for operation (choice of tools, adjustments, etc.). To enable longevity, the possibility for permanent upgrading has to be ensured including product operation at the limit of robust processes and system control. The crucial factors are mainly determined by the possibilities to exchange information and apply knowledge, and less by the mechanical design of the system [I I ]. 3.2 Life time A different point of view is needed today to evaluate a products life, making the length of product life the most important factor. The product life span compared to the technical progress has to be suitably and correctly interpreted. To this end the resources have to be used more effectively and the processes need to be optimized. Figure 11: Duration of product life versus technical progress. After the start of usage wear and attrition reduces the effectiveness of technical products as illustrated in the lower part of Fig.11. Technical development and innovations as well as new technologies increase the lack of effectiveness between used and new products. This conflict of loosing costs of opportunity has to be solved by the live cycle management taking into account possibilities for upcycling and changing the utilization and based on a permanent supervision of the efectiveness. Figure 10: Phases of life cycle of some typical products The Figure presents the life cycles of typical products. The four examples show the differences in the duration of life time of single life cycle stages. A manufacturing system can be operated up to twenty years if the technical possibilities for the compensation of attrition are applied. Accordingly, one fact becomes clear: the duration of life cycle stages, in particular the usage and the end stages of life, is determined by the product structure and particularly by the management of the life cycle activities. The increasing quality of products allowed substantial higher utilization of technical products. Automobiles usage time is increasing in fact. Even manufacturing systems allow much higher life utilization than years before. Own investigations on the life time utilization of machining centers had the result of nearly doubling hours of effective use. This may be an indicator for economic potentials of 3.4 Modeling the Product Life Cycle There have been defined different Models for the Product Life Cycle. In the industrialized view of technical products the main processes are: engineering, production with regard to the market requirements. Usage and the phases of deproduction, repair and maintenance, reuse and remanufacturing are to develop. Figure 12: Cycles of material and information flow When reviewing the requirements for a life cycle management, the needs of the analyst may vary somewhat depending on the specific phase in the life cycle of the products. To day we are able to model different processes in the life cycle of products - Engineering: Analysis of technical functions - Manufacturing: Optimization of processes and logistics - Usage: Technical behavior and utilization rates In the last few years the environmental focus in industry and legislation has shifted from production processes to products and their life cycles. The demands regarding efficiency, quality and environmentally sound manufacturing, usage and disposal of modern products are further increasing. The responsibility of the producer to support the usage of robust processes and to observe environmental regulations and restrictions during the life cycle stages of manufacturing, usage and disposal are intensifying [7], [13], [14]. A classic example being the requirements of waste management, which have become influencing factors in the design of products and processes. 3.5 Added Value in the Life Cycle For the above-mentioned reasons, a change of interest occurs regarding the optimization of costs and revenues in the product life cycle. Tasks deriving from this change are the assessment and accounting of the life cycle costs and benefits on the basis of the allocation of costs within the three stages manufacturing, usage and service and recycling and reuse. The manufacturing phase includes costs for engineering, material, manufacturing, sales and procurement as well as a benefit determined by the purchase price. It is evident that the value of products during the manufacturing phase is increasing on the starting point of cost for materials. A first evaluation is made by fixing the price. After starting the usage phase there is a first strong loss for wear and attrition. During this phase the total value can be summarized as illustrated in fig. 13. Losses in wear and attrition are to reactivate by means of upgrading and service. The normal usage and has to be supported by knowledge to activate more utilization potentials. The product life cycle offers a number of opportunities to reduce costs or even to increase utilization and effectiveness of products during their usage phase. The producer participates in activities during both usage and support phases. Due to the latter, the accompanying follow-up costs caused by usage, service and disposal or recycling activities, etc. are increasing. At the same time, however, new and potentially successful economic business areas can be explored. Accordingly, it is getting more and more important to increase the benefit in life cycle. Companies expand their After Sales Business to activate potentials in the manufacturer-customer relation with benefits for both: - - the user has the professional support by the customer the manufacturer has a close relationship for customer demands and profit for his service The offers of companies and especially in the area of machines are driven by so called user models in which the manufacturer offers not the machine or the technical product but only the functional usage based on his technological know how. Added Val ue of Techni cal Pr oduct s Value / _._ -. Added Val ue * New Technologies * Service *Technical Support L r T TI T, T, Time recycllngl reuse use and support manu facbmg Figure 13: The stages of value creation in the product life cycle The physical products are in this models owned by the manufacturer. There are between the fully operation by the customer and the manufacturer many different solutions like Teleservice or service consutancy which offer benefits and added value for both. Of course many question in the adding value are open. But Manufacturers have learned to calculate cost and benefit. The aim must be an economic product life cycle with an effective use of resources regarding material, knowledge and capacity for work. This optimization inevitably follows the rules of a sustainable industrial production and is based on the life cycle of products. 3.6 Taking Environmental Aspects into Account The entire industrial ecosystem will be covered, if every material and energy source used in the products life cycle is to be considered, including the products reuse, remanufacturing and recovery of materials and energy. Moreover, the harmful effects of emissions and waste dumped into nature due to the manufacturing process, use and disposal of products have to be assessed. Figure 15: Application of LCM methodologies Figurel4: Phases, processes and criteria of the product life cycle [I21 To ensure their future survival, industrial companies must understand the value criteria of different interest groups (share holders, customers, suppliers, employees, local community, national, international) and learn to communicate accordingly [ 7] . In the last few years, the environmental focus in industry and legislation has shifted from production processes to products in their life cycle. This is due to the fact that minimizing environmental effects in a life cycle phase may increase pollution in another and lead to the necessity of minimizing the overall environmental effects of our product consumption. 4 LIFE CYCLE MANAGEMENT AS AN APPROACH TO ORGANIZE THE PRODUCT LIFE CYCLE Life Cycle Management (LCM) considers the product life cycle in a holistic way with the aim of achieving the products maximum performance. Life Cycle Engineering (LCE), Technical Support, Life Cycle Assessment (LCA), Life Cycle Costing (LCC), and last but not least Product Data Management (PDM) are means to accomplish the protection of resources and maximize the effectiveness of usage. The purpose of LCE is to design products in compliance with the key issues of sustainable development. The most efficient use of modern technical products demands the knowledge and know-how of the manufacturer while making use of Technical Support i .e . modern com mu nicat ion networks, teleservice and teleoperations. To discover the potentials for ecological improvement, LCA uses data of the physical product life cycle for evaluation. The life cycle assessment provides quantitative basic data for a sustainable product and process management in accordance with public pressure and, last but not least, economical constraints [ 5] . All these activities must follow the law of maximum economy. LCC assesses not only the life time but also the costs of operation and other costs more efficiently but also leads to higher economic effects. According to the current common agreement, cost-efficient solutions should also be environmentally sound. Nevertheless, LCC and LCA are still used independently. The main reason being the history and the different dimensions of the two concepts. However, their integrated application would lead to a great reduction of cost and required time. Precise data of high evidence are the prerequisite for life cycle activities and for assessing ecological and economical aspects. PDM throughout the whole life cycle supports short access time and less redundancy if a well organized and structured field of data provision is realized. As researchers of the University of Stuttgart has shown, Life Cycle Management must be divided in four spheres of activities as depicted in Figure . Figure 16: Fields of activities in Life Cycle Management The fields Design for Life Cycle (DFL), Life Cycle Evaluation (LCE), Life Time Management (LTM) and Product Cycle Management (PCM) result from the evaluation of existing Life Cycle Management methods and tools and depend on their contribution as well as their moment of use in the product life cycle. Industry today shows an increasing interest in this classification and especially in the development of methods and tools which can be implemented in their business activities. Thus, the four topics will be discussed in detail as relevant high-potential fields for research activities in the following paragraphs. The Benefit of a Life Cycle Management Today, the ecological and economical optimization of products often has different incentives, as the perspective of the system product is differently defined. While ecological optimization includes all life cycle stages of the product, an economical optimization is often limited to the responsibility of the manufacturer. Life Cycle Management extends the efficiency of products to the entire life cycle. Minimized overall cost as well as maximized benefits are congruent with minimized ecological impacts through maximized functionality. This corresponds with the idea of sustainability. LCM is thus a precondition for a sustainable development. Once the appropriate infrastructure has been set up and the right strategy has been developed, the potential benefits of the Life Cycle Engineering for all partners in the product life cycle, e.g. the manufacturer, the buyer or operator and the recycler, are enormous. Life Cycle Management offers the advantage of reduced expenses through the avoidance of unnecessary processes. At the same time, the processes are more life cycle oriented and more flexible and the performance of the product increases. The development of life cycle management will focus on the reduction of time needed and of costs for tools. Thus, decisions during the product development and the usage can be made quicker. Having this in mind, the integrated application of tools such as life cycle cost accountings and life cycle assessments can essentially contribute to the minimization of expenses and, thus, facilitate the development of sustainable products. 4.1 Life Cycle Assessment Life cycle assessment is a methodology for assessing the environmental impacts and resource consumption associated with the existence of products throughout their entire life cycle - from cradle to grave, from the extraction of resources over production, distribution and use to disposal and recycling. History of life cycle assessmeni At the onset of environmental assessment of products back in the late 1960s and early 1970s, the life cycle assessment methodology was developed with strong inspiration from the already existing substance flow analysis. The first studies applying a life cycle perspective on a process system took place in the USA, focusing on environmental impacts from different types of beverage containers [15]. The name used for the assessment technique then was Resource and Environmental Profile Analysis (REPA). Environmental awareness at that time was heavily influenced by the strong focus on resource depletion presented a few years earlier by the report: Limits to growth to the Club of Rome [2] and by the experience of the first global oil crisis in 1973. Furthermore, the knowledge of the environmental consequences of anthropogenic activities was still too rudimentary to allow a quantitative assessment of the impacts caused by the emissions from the product system. The focus in REPA was thus mainly on the consumption of energy and other resources. The concept of environmental assessment of products lead a quiet life throughout most of the 1970s but experienced a revival in the mid 1980s when much public attention in Europe was directed at the extensive use of resources for packaging of products. Several national studies were performed of the resource consumption and environmental emissions for different beverage container systems (such as beer cans and milk containers) in various European countries [16], [17], [18]. This is a subject that still attracts quite some LCA-activity today. In some of these packaging studies, it proved difficult to obtain reproducible results and conclusions. The same question sometimes received opposite answers when examined by different researchers. The reason was that data and methods applied varied at crucial points between the different studies. This was unsatisfactory, and it spurred a more systematic development of the methodological basis for the environmental assessment of products. From the end of the 1980s up till today, interest and activity in life cycle assessment has grown very strongly, and an increasing number of different and often very complex products and systems have been assessed. The last decade of the 20th century has thus seen the emergence of a strong interest in the environmental impacts associated with the products that surround us and by which we obtain the many services that our civilization relies upon. This interest has been accompanied by the development of methods for environmental assessment of products [19], [20], [21], [22], [23]. Overviews and summaries of published LCA studies may be found in [24], [25], [26]. International development and harmonization of LCA methodology Accompanying the growing activity within the field of life cycle assessment, much attention has been paid to the development and harmonization of a sound methodological basis. The international scientific society of environmental chemists, SETAC (Society of Environmental Toxicology and Chemistry) started work on life cycle assessments in 1990, and has since then been the international forum for discussion of the methodological basis of the LCA. Although the discipline was still young and under development, the development of international standards for life cycle assessment was initiated in 1993 under the auspices of the International Standards Organisation (ISO). A general standard for the LCA area with IS0 number 14040 was issued in 1997, and more detailed standards for the different phases of the LCA are in a process of adoption these years. The standards deal with: 4 - 14040: Principles and framework - issued 1997 - 14041: Goal and scope definition, inventory analysis - issued 1998 - 14042: Life cycle impact assessment - draft international standard (end 1999) - 14043: Life cycle interpretation - draft international standard (end 1999) Application . Identification of improvement potentials for products and processe . Support of the decision making in the purchasing . Creation of environment ratios . Ecology-oriented communication . Maketing Characteristic features of LCA Life cycle assessment is distinct from other environmental analytical techniques in various aspects. The most prominent characteristic features of LCA are listed below. Focus on functions The object of a life cycle assessment is the fulfillment of a certain function and the product that is studied is defined by what is needed to fulfill this function. In practice, life cycle assessment is most often environmental assessment of products and as such its object is all the processes that are needed for the product to run through its life cycle from cradle to grave. Here lies an important difference from other environmental assessment schemes like environmental risk assessment of chemicals (ERA) or environmental impact assessment of major human activities like construction works (EIA) which focus on individual processes or groups of processes confined in space and time. Raw W materials m A A Figure 17: Life cycle of a product. Transportation processes are shown by a circumscribed T, waste treatment processes are shown by a circumscribed W. Holistic in time and space This agglomeration of processes, often separated from each other in time as well as in space, is referred to as the product system. A product system will often be global in the sense that it includes processes, typically in the use or disposal stage, that can take place in any part of the world. It may also span over decades or even centuries from the onset of the first resource extraction processes to last emissions from the land filling of waste. The environmental impacts attributed to the product will thus often be aggregated over both time and space. Holistic in environmental impacts covered The holistic nature of LCA is also extended to its environmental assessment element. In principle, it attempts to cover the product or services contributions to all environmental impacts which are recognized as being of significance today. In addition, impacts on the resources and sometimes also the working environment are included as assessment parameters. Potential impacts rather than effects It follows from the characteristics of LCA presented in previous sections, that the impacts on environment, resource base and working environment that are calculated for the product system are potential impacts. Whether they result in actual impacts and effects depends on if, how, where and when the individual processes of the product system are drawn upon in the life course of the product. LCA i s for comparisons The focus on the product and its somewhat fictitious product system and the aggregation of impacts over time and space makes the results of an LCA difficult to interpret in absolute terms. LCA is developed and used for comparative analysis of alternatives - is there any environmental difference between A and B and how large is it? Phases of LCA In accordance with the present consensus within SETAC and in agreement with the current I S0 14040 standard, the life cycle assessment consists of the following phases: Figure 17: The general framework of life cycle assessment according to I S0 14040. Iterative procedure Although described as consisting of four consecutive phases, life cycle assessment is an iterative procedure where experience gathered in a later phase may serve as feedback leading to modification of one or more earlier phases. Normally, a screening LCA is performed first to identify the most important elements of the product system, the main environmental impacts and the most decisive assumptions in the scope definition. The screening is followed by more detailed analysis of the identified key figures of the LCA. Goal and scope definition For the later interpretation of the LCA results, it is essential that the decisions which determine what kind of LCA is performed, defining the scope of the study, be explicitly stated in the assessment report. Any LCA report should start with an explicit declaration of the goal and scope of the study. The goal definition describes the purpose of the study and the decision process to which it shall provide input of environmental information. The definition of the goal serves in the later interpretation to qualify what types of questions the results of the LCA can be used for answering and, inherently, what types of questions it cannot answer. The scope of the study must also be defined as regards the object of the study - the functional unit, the product system, the criteria on which the assessment shall be based, the time scale of the study, the technological scope and principles for allocation of dividing environmental impacts from processes with multiple outputs Inventory analysis For each of the processes that have been identified as pertaining to the product system during scope definition, information is collected on the input and output (environmental exchanges) and possibly on the internal interactions with an operator if working environment is to be included in the impact assessment. In general, the collection of data is based on mass balances for the process over a longer period of time. It is important to ensure in this way that the data is representative of the average functioning of the process and that irregularities in the service like start-up and closure, cleaning of equipment etc. are included. The data is reported as the process environmental exchanges per functional unit. In the reporting of the inventory, the exchanges are generally aggregated and presented for the different life cycle stages as well as for the entire life cycle. Life cycle impact assessment For the life cycle assessment to be able to support decisions, the data in the inventory must be interpreted. The interpretation must be based on the available background knowledge of the environment, resources and working environment, and it must show which of the exchanges are significant through their impacts and potential effects on the protection areas, and how great their contributions can be. It is the task of the impact assessment phase to interpret the inventory results into potential impacts on what is referred to as the protection areas of the LCA, i.e. the entities that we want to protect by performing and using the LCA, i.e. human health, ecosystem health and the resource base. The impact assessment phase of LCA normally proceeds through four steps: - Classification where the impact categories are defined and the exchanges from the inventory are assigned to impact categories reflecting their ability to contribute to different problem areas (what is the problem for this environmental exchange?). - Characterization where the contribution(s) of each exchange is modeled quantitatively and the contributions aggregated within each impact category converting the classified inventory into a profile of environmental impact potentials, resource consumptions and possibly working environment impact potentials (how big is the problem?). - Normalization where the different impact potentials and resource consumptions are expressed on a common scale through relating them to a common reference, in order to facilitate comparisons across impact categories (is that much?? - Weighting where weights are assigned to the different impact categories and resource consumptions reflecting the relative importance they are assigned in this study in accordance with the goal of the study (is it important?) Interpretation In the interpretation phase of life cycle assessment the results are interpreted along the lines of the defined goal and in accordance with the limitations defined by the scope of the study. Sensitivity analyses are performed and the outcome of the interpretation serves as recommendation to the decision makers, who will normally weigh it against other decision criteria (like economic and social aspects). Reporting and critical review Product systems are often very complex systems and apart from this complexity, life cycle assessment involves a series of choices and assumptions that may render the outcome dubious or at least intransparent to people outside the study. It is therefore a requirement from both SETAC and I S0 that there shall be a transparent and sufficiently detailed presentation of results, data, methods used, assumptions made and inherent limitations of the study to allow the reader to understand the complexities and trade-offs inherent in the study. Apart from this it is recommended, and for some applications required, that a critical review of the study be performed by an independent third party. The review can be performed either after the study is finalized or during the study in interaction with the group doing the LCA study. The review report must be included in the reporting of the life cycle assessment. Industrial applications (elements of life cycle management) Throughout the history of LCA and up till today, industrys principal application of LCA has been as a decision support tool in the development of new products [27], [28], [29], [30], [31]. The use of the tool in product development serves the purpose on the one side of creating an overview of the environmental impacts from the existing product or product range and identifying the environmental hotspots - those processes or activities that cause the main impacts in a life cycle perspective. On the other side LCA is used for comparing alternative solutions in the development of the new product and for making "what-if" simulations to help decide which product changes are preferred from an environmental point of view. As one of the largest projects of its kind, the EDlP project (Environmental Design of Industrial products) was performed at the Technical University of Denmark in collaboration with five major Danish industrial companies, the Confederation of Danish Industries and the Environmental Protection Agency from 1991-1996. The EDlP project combined the development of LCA methodology with the adaptation for use in product development within the electromechanical field [33], [34], [35]. A general conclusion based is that success in integrating environmental considerations in product development requires participation of two types of qualifications: - product development expertise managing the product development process and integrating the environmental priorities among the other priorities - life cycle assessment expertise identifying and quantifying the environmental impacts throughout the life cycle of the product and assessing the improvements obtained through different design solutions. These skills may be working interactively together or the work of the environmental specialist may be done off-line in relation to the development process depending on the scope and the ambitions of the project. The conclusion is supported by similar work at other departments [36], [37]. Another important point is that the integration of environmental considerations must find its place among the many other priorities considered in the development of a new product. Design Safety Durability I Product development - Technology 2 Environment - entire life cycle costs / u Standards f t Legislation - all relevant impacts Figure 18: The environmental performance of the product must find its place among many other priorities in the prod u ct development process . Even from an environmental point of view, the environmental performance of the product should not be weighted more strongly than to the extent that it contributes to the competitive ability of the product. After all, no reduction in the stress on the environment is obtained unless the product sells and replaces other, less environmentally sound products in the market. Like other tools, LCA must be adapted according to the resources and requirements for the application, it serves in the industry. A number of researchers within manufacturing engineering have developed different adaptations of the tool for materials and processes. Good examples are [37], [38], [39]. At the Technical University of Denmark, three different approaches to the use of LCA in product development have been developed. EDlP -t he detailed interactive approach The necessity of the dual expertise when integrating environmental considerations into new products resulted in deliverables of the EDlP program aimed at two different target groups: the environmental specialist [23], [34] and the product developer [40]. In EDIP, generalized paradigms and schemes were developed for the interaction between the two groups at different points of the product development process supplemented by a collection of case studies covering a range of electromechanical products to serve as examples and inspiration [23]. Before the onset of the development project a detailed life cycle assessment is performed for one or more reference products - existing products chosen to represent processes (technologies and materials) in the life cycle of the new product. A database covering the major part of the life cycle of the new product is thus compiled in advance giving the environmental specialist of the development team a good understanding of the environmental aspects potentially involved in the new product. The life cycle assessment of the reference products helps the development team to focus on the environmental hot spots of the product life - those characteristics of the product that cause the most significant contributions to the overall environmental loading from the product. Obviously, this is vital knowledge in the specification of a new and more environmentally friendly version of the product. The database developed on the reference products is built into the EDlP PC-tool which also contained a modeling- and an impact assessment module [41]. With this tool the environmental specialist can model the product life cycle and simulate the environmental consequences of changes. These tools enabled the environmental specialist to provide quick answers to most of the questions emerging from the product development process - mainly questions regarding improvement potentials: - - how much better is it? Is the improvement significant in an overall product perspective? how much is it theoretically possible to attain (how far are we from the theoretical limits)? An example of the use of the EDlP PC-tool is shown in Figure. The thorough life cycle assessment allows very detailed changes to be assessed and when the product is ready for the market it provides documentation of the environmental improvements that have been obtained. This information is useful which solution is the best here, A, B or C? for claims in marketing, for environmental declarations and for obtaining ecolabels for the new product. Figure 19: Environmental impact profile comparing two alternative ways of producing the same component by the EDlP PC-tool. Also working environment and resource profiles are generated for the comparison. For strategic company purposes, the developed product model also allows very easy simulations of changes in some of the conditions of the products life cycle: - what does it mean if the export is re-oriented towards other markets (with different energy generation and disposal systems)? - what will happen if we choose to take the product back after ended use? The MECO approach - simplification through focusing The full EDlP approach is time-consuming and when establishing the environmental basis for design choices it is hence useful to start the exercise with a one-page qualitative LCA to focus the further work. The MECO approach was developed in the EDlP program [23] as a tool for simplification and structuring (inspired by other similar approaches e.g.[35]). The four letters in the MECO acronym are chosen to cover aspects in the products life cycle that are directly influenced by decisions made by the product developer and that together represent all causes of environmental impacts along the life cycle. M stands for Materials, E for Energy, C for Chemicals and 0 for Other aspects (like life time of the product and risk of accidents in the working environment). Along the other axis are the stages of the products life cycle as Extraction of raw materials, Manufacturing, Use and Disposal. In the comparison of two alternatives, each life cycle stage is analyzed qualitatively for all four aspects to reveal if any significant differences can be expected between the two alternatives. Anticipated differences are noted in the relevant cell. Unless the alternatives differ widely in choice of technology and materials, most of the cells will normally be empty (i.e. no significant difference is expected). Indeed, sometimes the MECO analysis alone will provide sufficient basis for making the decision. Then, the environmentally best alternative can be chosen from qualitative knowledge of the life cycles alone. However, often there are trade-offs i.e. situations where alternative A seems better in some aspects or life cycle stages and alternative B seems better in other. When this is the case no decision can be made from the MECO results alone but the analysis has helped identify those parts of the life cycle where differences occur. This knowledge can be used in two different ways: It identifies those aspects where alternative 6 is environmentally inferior to alternative A. If other arguments favor alternative B, the design team may focus their attention on the identified aspects of the life cycle to see whether alternative B can be improved here to match alternative A also in the environmental performance. A more detailed environmental assessment as described under Section 2.1 is required to support the decision but it can now be limited to those parts of the life cycle where differences occur and the total work load thus reduced considerably. The merits of the MECO approach is that it forces the development team to think through the full life cycle of the alternatives it covers all environmental and resource impacts through the causing agents: material choices, choice of energy requirements and choice of chemical use along the life cycle yet it is simple and quick and excellent for creating an overview. Simplifying through generalizing - the product family approach Many small and medium sized companies do not have environmental specialists in-house to enter the product development team. Here, the cost of the detailed interactive approach may be prohibitive for an environmental effort in product development. For these companies a product-family approach is developed in collaboration with the Confederation of Danish Industries and the Danish Environmental Protection Agency applying the detailed EDlP life cycle assessment method to one or more generic (reference) products representative for the product family. A product family, here, is operationally defined as a group of products which are so similar in their environmental characteristics that those environmental design recommendations that can be given for the group as a whole are sufficiently specific and detailed to be of real value to the product development process. Examples of product families are ventilation systems, light fittings and vacuum cleaners. The results of the assessment are used for identifying the environmental improvement potentials and priorities for the products belonging to the family. In the product-family approach focus will be on the most important environmental impacts from the life cycle. The recommendations will in general be less specific than in the detailed interactive approach described earlier but they will be available for many companies that otherwise would be prevented from undertaking an environmental design process. Though the results for the individual product may be less far-reaching it is thus anticipated that at a societal level, application of the product family approach will create at least as large environmental improvements as the detailed approach. Apart from the product development function, the Product family project may also create recommendations to other actors within the products life cycle, notably authorities responsible for the legislation surrounding the product and for the systems through which the product will ultimately be disposed. Other industrial applications With the life cycle perspective on the product it is obvious for a company to start looking more at the environmental performance of other actors of the product chain - the suppliers of components and materials, the actors responsible of the distribution and sale of the product, the customer and user of the product and the operators of the waste treatment system that will eventually dispose of the product and possibly recycle parts hereof. In some companies, later years have thus seen the propagation of the life cycle perspective from product development to most of the other activities undertaken by the company and several industries are now working on an integration of the life cycle perspective in their environmental management system. Examples of environmental reporting on the companys activities and responsibilities in a life cycle perspective are given by [42] (moulded paper products), [43] (pharmaceuticals and enzymes), [44] (insulation products) and [45], (electrical engineering). Administrative applications Many industrialized countries adopted their first environmental legislation in the early 1970s and for the first two decades the authorities focused most of their attention on the regulation of the problematic and hazardous chemicals and industrial installations. Through introduction of first cleaning technologies and later cleaner technologies in industry this effort was in many cases successful. While many local environmental problems were solved through regulation, the growing flow of materials and energy and the generation of waste continued to draw attention to problems like global warming (mainly related to our use of fossil fuels), acidification (caused by combustion processes for energy generation), photochemical ozone formation (to a large extent caused by fugitive emissions of volatile organic compounds from our transport and energy sector). The causes of these emissions and often also their sources are of a multiple and rather diffuse nature which means that they can not be regulated through focus on the installations causing them. They are created due to our fulfilment of our needs, and a logic way for the authorities to address them is therefore to focus the attention on the physical manifestations of this fulfilment - the products that we use. These products can be seen as responsible for their share of the emissions originating in the processes that enter into the product systems. In this perspective the products are the agents causing many of the diffuse contributions that sum up to some of the most serious environmental problems which face todays society [23]. Several industrial countries including the European Union are discussing or have already implemented product-oriented environmental policies [46], [47], [48], [49], [50] aiming at reducing impacts from the products through a range of different measures: Ecolabelling or environmental declarations of products based on a life cycle assessment and thus reflecting the full environmental impact of the product. In Europe there are several national ecolabelling schemes and a common EU scheme covering a range of different product types Green public procurement guiding public purchasers in taking environmental considerations into account Ranking of products according their impacts on the environment and the resource base with a view to guide future regulation Take-back responsibility for certain product types (e.g. cars and electronics) making manufacturers liable to take their products back after ended use thus motivating them to design and construct the products with their disposal in mind. A future authority use of LCA may be to introduce a green taxation of products. An environmental tax which reflects the full environmental costs (including externalities) that the product inflicts on society throughout its life cycle will cause the market to move towards the consumption of more environmentally friendly products [48]. Authorities can also use the holistic assessment principle of LCA in the environmental assessment of major societal action plans, of legislation or more specifically of different ways of providing services like transportation, electricity generation, beverage packaging or waste treatment [23]. 4.2 Life Cycle Engineering Design for Life Cycle Manufacturers are becoming responsible for the environmental performance of their products throughout their life cycle (product stewardship). Life cycle engineering (product design) aims to integrate environmental issues and parameters into product development throughout the life cycle of a product. Manufacturers must greatly reduce the use of raw materials and the impact on the environment, while preserving or improving the functionality of the products. The latter must include the possibilities of Life Time Management including Telesupport or the chance to upgrade the product during usage. Additionally, construction materials have to be chosen which bring about a decreased environmental burden and apart form that, the operations of the life cycle partners have to undergo examination i.e. those of the manufacturer, user or recycler. Aspects such as maximized effectiveness, use of renewable materials, use of material-saving manufacturing processes, improved logistics, energy consumption or the design disassembly have to be taken into account. When it comes to design and engineering activities for products and processes including a better protection of our environment, Eco-design has become a frequently used slogan. Innovative Eco- design solves the challenge of combined ecological and economic tasks not by finding a more or less satisfying compromise between conflicting aims but by developing new solutions with progress and advantages on both sides. Manufacturing and use have already seen considerable progress both in the past and recently to improve the environmental behavior of a product during the life cycle stages. On the one hand, the costs of the manufacturer or user are reduced if waste or too much energy consumption is avoided. On the other, the costs are reduced if laws such as those to reduce emissions from factories, cars, etc. are observed. Eco-design to improve the environmental product behavior during the third phase of recycling and remanufacturing has gained in interest and importance in the past few years. The designer can improve the suitability of a product for recycling (but also its environmental features regarding the manufacturing and use) by using the opportunities and making the right decisions in three design areas: selection of materials, designing of product structure, designing of joinings. Design for Disassembly and Remanufacturing very often helps assembly and manufacturing, too. In this context, Design for Environment (DFE) provides feedback from end of life issues to product development. DFE solutions described in this article include requirements from all phases of a product life cycle. Thus, the designer meets an interdisciplinary challenge with environmentally sound material processing, manufacturing, refurbishing, recycling, disposal and logistics to be considered. This interdisciplinary approach will guarantee that DFE will not only support Design for Environment but also Design for Economics. In the research project SFB 392: Development of environmentally sound products at the Technical University of Darmstadt, an information model, an allied database and a design system environment are being developed. The information model is divided into the areas of raw material, semi- products, forming, cutting, plastics, use, recycling and disposal in accordance with the life cycle phases. The core of this information model contains a product data model covering all development phases as developed in IS0 10303. The resulting information model integrates product and environmental data within the concept called Cooperative Object Modeling Technique (COOM) and thus is the basis for supporting the designer with environmental knowledge [51]. Another approach at the TH Darmstadt not only records the generally available environmental knowledge of processes and products in the life cycle phases but also specific environmental knowledge derived from the analysis of exemplary products and companies, e.g. the useful life of certain products. An efficient computer support is realized in order to properly support the design world, to fulfill the overall research conditions and to control the high com plexi ty of the environmental know1 edge. The design environment gives the designer an efficient access to the required knowledge. The design environment is based on an open integration platform, which permits a flexible co-operation of the instruments of the design environment like Computer Aided Design (CAD), Simulation and Computer-Supported Cooperative Work (CSCW) WI, WI. The research project SFB 392 has developed a system-architecture to modeling the product life cycle based on the three layers application system, communication bus and Product Data Management- Systems, which is shown in Figure. Kimura et al. propose a methodology for design and management of a closed product life cycle , based on the idea of product usage modes and product life cycle scenario, where life cycle simulation plays an important role [54]. Figure 20: System-Architecture for Modeling the Product Life Cycle [55]. Based on simultaneous engineering approaches, an integrated and interactive procedure of designing products and product life cycles has been developed at the University of Technology in Aachen [56]. Cooperation between experts of different departments or enterprises concerned in the product life cycle is supported by an information and communication system. 4.3 Product Cycle Management Repair serves to more or less extend the useful life of a product while remanufacturing is the basis of its next full life cycle. Regarding ownership, a repaired product will return to its original owner, while remanufactured products are anonymous and ownerless like new products before they enter their customers ownership. Today and in the future, environmentally responsible product recycling starts with careful preparation and disassembly processes to recover most of the fractions, valuable parts or materials and/or hazardous components and substances, so that they will not end up in a mixed toxic and non recyclable fraction [57], [53]. Throughout the whole life cycle of a product the processes i.e. parts production, product repair, units remanufacturing, and parts recovery from obsolete products are not just connected by obvious streams of hardware, but they also add value to each other by transferring and sharing technological know-how about manufacturing, repairing and remanufacturing, and by exchanging experiences among each other and with the design engineers about reasons for product failures, etc. Technologies of Recycling Recycling breaks up the building structure of the product in order to recover the materials. Complex technical products are characterized by a high percentage of metal materials. Their recycling as scrap is often connected to the metallurgical process of the production. The reprocessing of complex technical products aims at the separation of metal scrap. The individual processes have to do with the reprocessing of raw materials and are adjusted to the recycling sphere. The separation of ferrometals represents a typical process chain, beginning with the crushing in shredder mills. This is due to the fact that cars take up a predominant share in used complex technical products. Heavy scrap is often crushed by means of scrap cutters or breaker. The separation of light metals and semi-precious metals mainly focuses on aluminum and copper (see Figure). Copper can be separated by several technologies, e.g. the manual separation or eddy current separators. Aluminum scrap is often separated by swim-sink-technologies due to its significant density. materials are recycled via pyrolysis or by fine grinding of scrap. The recycling of technical polymers can be done in several ways which lead to different recycling products. An original recycling of polymers, however, is very demanding, which is why a manual disassembly and separation of the polymer scrap is usually required. Technologies of Remanufacturing When a product is defective, i.e. too much worn out or damaged to perform properly, and the question is how to put it back into service, repairing or remanufacturing are immediately considered. Thus, the user avoids the expenses of buying a new product and of having to dispose of the old one. Especially in the heavy duty sector, remanufactured engines prove both that they are reliable and durable as well as flexible. They have often run for hundreds of thousands of miles during their first service period and after a professional remanufacturing process they are ready for the next half million miles. Regarding flexibility, an engine returning from its first life cycle in a truck, might well do its next duty in a compressor or power generator [591. The remanufacturing process itself takes place in a factory environment. It is organized as an industrial process, so that it can benefit from the advantages of series production. It is carried out in five key- steps, which are shown in Figure . During each step, especially during reconditioning and reassembly, adequate quality assurance measures are applied. Figure 22: Key-Steps of Remanufacturing Integration of Assembly and Disassembly Disassembly is a labor cost intensive process. It is necessary to separate hazardous substances before complex technical products are recycled by recycling technologies [60]. Figure 21 : Cycle of aluminum cast alloys [58] Growing shares of electronics in complex technical products have led to the development of special reprocessing technologies for the recycling of precious and semi precious metals. Copper Advantages and Potentials * Disassembly used as timebuffer to raise the f l en~b~l ~Pj of assembly * lob ennchment, increasedresponsibiliPj * Integrationof repair and maintenance * Useof worker's know~how for assembly, disassembly andrepair * Di rectuseofknow~howfor designingnew products * Flexible workingprocesses Figure 23: Integrated planning system - working systems for assembly and disassembly Disassembly is an obligatory part of some recycling processes and of all remanufacturing technologies. It has to be carried out, even if parts or subassemblies only have to be cleaned and tested. However, the cost intensive disassembly, which also requires assembly, has to be compensated by adequate returns from fractions, materials or parts recovered from the product [66], [57]. The integration of assembly and disassembly in manufacturing lines is a future-oriented approach in order to reduce the costs by using automated assembly technologies for disassembly. This approach requires joinings technologies allowing assembly and disassembly to be carried out by the same tool set [61], [62], [63], [64]. Logistics and Life Cycle Product liability and responsibility are getting important at the end of the life of high tech products, especially in one of the fastest growing markets i.e. in communication electronics. Complex recycling networks for taking back, upcycling, recycling and downcycling must be planned and implemented. Logistics will be one of the essential aspects because of its expensiveness. Up to 50 % - 70 % of the total waste management costs can allocated to logistical costs. cossper ""It Figure 24: Optimization transportation distance Tlanspolfaflon C l u d TransportatmnDistance D's'ance of collecting time and Innovative upcycling networks can create profits out of this cost dilemma. But not only the cost dilemma of the end of life cycle can be solved, the costs for spare parts can also be reduced significantly. Even new markets such as international low cost markets for remanufactured products can increase revenues and profit. The consumer will profit - total cost of ownership can drop significantly with multi-life upcyclable products. New questions arise such as: Which products or subassemblies are suitable for which markets? Which parts should be reused and which materials should be recycled? Quality Aspects of Reuse and Recycling (Prof Kimura, Tokyo) Examining the different process steps of repairing and remanufacturing and the characteristics of products derived form these processes, there are some significant differences regarding overall quality and warranty accompanying a repaired or a remanufactured product. Quality requirements during recycling are important especially for the reprocessing of polymers in order to ensure constant properties of parts made of recycled plastics [67]. Remanufactured products reach the customers with the same quality level, performance, endurance and warranty as a new product. 4.4 Life Time Management Modern manufacturing systems are more complex in terms of functionality and structure. Only those users able to manage this complexity can operate such systems. Using the knowledge and know-how of the manufacturer the product can be used much more efficiently. "Technical Support" of the manufacturer makes use of modern communication networks, teleservice and teleoperations. Since the responsibility for a manufacturing system remains in the hands of the producer for a longer period of time, he/she gets the opportunity to explore new business areas to make further profit. The share of gross value added in future products will rise due to the inclusion of software for the controlling device and the process management. This implies the chance of upgrading and adapting the product to the technical progress at slighter costs by exchanging the software. Thereby, the traditional classification of business processes into "manufacturing", "usage and service" and "recycling" will soon become obsolete. Up to 30% of the funds quota of the German mechanical engineering industry result from after sales services. In the future, the producer will take the role of an operator and recycler, too. The service of the manufacturer includes diagnosing the product and related processes as well as maintaining and repairing the system. The manufacturer could possibly lease the product and thus only sell the added value. This example is not utopian, as we already know from the activities of some manufacturers of copy machines and automobiles. A higher benefit during some life cycle stages requires increased expenditure in operating these systems, and obviously leads to a longer working life. By means of changing the operation strategy, which is supported by an adaptable system design, the technical progress is continued without the recurring substitution of short-life systems. Telesetvice Activities Supporting the Product Life Figure 25: The elements of a holistic telesupport It is increasingly becoming difficult for manufacturers of complex technical products and equipment to stand out amongst competitors only on the basis of their products. Therefore, it is of growing importance to offer additional services for the running and maintenance of products. Extensive support through the manufacturers technical service department has always been an important criterion for clients wishing to invest in a particular product. However, it is especially difficult for small and medium-sized businesses to offer these services world-wide and at the same time guaranteeing short reaction times. Teleservice offers one way to escape this dilemma. The use of teleservice started in a rudimentary form about twenty years ago when machine tool manufacturers would communicate instructions to operators via phone. The concept today has remained more or less the same, now using analogue connections and a modem. However, more flexibility has been introduced through the development of computer-based controlling, which has made it possible for controlling tasks to be distributed from a central computer to decentralised components right down to the actor/sensor level. Global Information and Communication Networks Information supply and communication among the different partners within the product life cycle is a crucial aspect. Information has to be provided regarding materials and components or information about service concepts, product structure and operating strategies. An example being modern control concepts, which have simplified the linking on to telecommunication networks, so that technical products can be controlled or inspected from a long distance. Through Teleservice, the product manufacturer is able to support the client in the provision of up-to- date technical information about the product by allowing access to technical documentation and providing instructions of how to manage maintenance problems. This is useful both for reference and training purposes. In addition, information concerning technical disturbances, quality control etc. can be passed from the operator back to the manufacturer for diagnosis and analysis. For example, if technical documentation support is required for the identification of spare parts, then it should be possible for the ordering department of the manufacturer to access the parts by mouse click. Applications such as video transmission help overcome language barriers and are just as essential as online access to multimedia, technical documentation within the Internet. Holistic Structures of Documents and Data in the Product Life Cycle (Product Data Management) The close cooperation of all business partners involved in the products life cycle is a prerequisite for optimizing the design and operation of a product. To this end, it is necessary to organize the management of the configuration and the documentation in a way which considers all needs of the different life cycle partners. The organization of documentation and data is essential for a clear and unambiguous product configuration at all stages of the life cycle, as well for realization of efficient technical support processes within the life cycle management. It is necessary for all activities performed by different life cycle partners in different phases of the product life cycle that the same data are available. Figure 26: Demand for information compared to actual availability in product life Appropriate strategies, methods and tools must be applied to reduce the lack of information at early stages of the product life cycle. Here, qualified activities and systems have to enable the transfer of know-how and information, for example with the help of communication networks based on reference models and simulation tools in order to anticipate life cycle data such as system behavior or activities with a high degree of reliable information. An integrated information model is the technical key factor in determining the success of technical support processes. It is a life cycle-wide information reservoir including complete product data but also data which are not directly related to the product but necessary for a competent consultation in technical support processes. In order to design such an integrated reference model the process chains which represent all tasks to be performed in a product life cycle have to be identified, while considering the different life cycle views of the life cycle partners. After process chains have been identified, the related documents and data are allocated. The use of continuos document classification codes for all life cycle partners is advisable. The definition of cooperation processes allows to connect the separated life cycle views of the partners. In general, there are three types of cooperation processes, namely the process linking manufacturer and product user, the one linking manufacturer and recycler and the one linking recycler and product user. The description of these cooperation processes includes the references between the supporting and the supported processes, the documents which are needed and generated, and the detailed description of the process. Most of the documents exchanged among the partners should be stored in the integrated information model. Documents used for the process but not important for other partners are stored in data structures of the owner [65]. Figure 27: Holistic data life cycle models After the informational needs of the cooperation processes have been determined, the integrated information data model can be prepared. To this end, the detailed identification of data transferred with the documents in the cooperation processes is important. Fundamental challenges in terms of information consistency, redundancy, reliability, efficiency and security have to be mastered. Reference models for life cycle phases of the different life cycle partners and for the documents and data allocated to processes in these phases as well as models of useful cooperation processes can help to accelerate the agreement about life cycle management between the partners and the implementation of an integrated information model. Used products often provide information about failure behavior, effective operating time, etc. or can be used as an input for recycling plans, in case identically used products show heavy deviations caused by usage influences. Life cycle data can be stored and complemented using smart labels and the approach of the green port to bring back the usage information into the development processes as well as to provide life cycle data for the organization and planning of recycling activities. To trail and identify the product in its life cycle can be achieved by using data like time and place of production, events like refurbishment and guarantee information. Smart Labels of Philips Sem icond u ctors cont ai n i nte I I ig ent and programmable information. 4.5 Life Cycle Evaluation The second field of activity within LCM is the sphere of Life Cycle Evaluation. Here, the Life Cycle Assessment (see Chapter 4.1) as well as the Life Cycle Costing must be applied to identify what economical and ecological impacts result from manufacturing, operating and recycling a product. Life Cycle Costing - Evaluation of Life Cycle Activities An increased budget during the design and construction phase leads to a higher product quality and results in a prolonged working life and a higher benefit of the product. Considering the product life cycle as a whole, not only the life time but also the costs of operation and other costs can be assessed more effectively and with a higher economic benefit. An example being the share of different materials used in the manufacturing system which are considerably influencing the allocation of cost and revenues in the product life cycle. In the future, the additional responsibility for a systems disposal means to calculate up to 5% of the replacement value of the system for recycling and/or waste removal. In future times, the designer and manufacturer of manufacturing systems will have an increasing responsibility in developing systems and devices suiting the demands of the whole life cycle. The complete development process is of uttermost importance for the future product. Errors made during the development will directly affect the life cycle profit. According to a recent study done by McKinsey, a six month delay in development will reduce the profit by 33%. The evaluation of the resulting benefit calls for a new method to account costs and revenues in the life cycle of the products. By means of the Life Cycle Costing (LCC) method, the costs of production, installation, usage and disposal are analyzed, so that a minimum of the total cost and a maximum of benefit is achieved. This optimization process supports the adaptation of the life cycle processes by observing the demands and constraints of the life cycle management. The allocation of costs and revenues are given to verify the saving. Thus, reference numbers can be derived and cost rates determined. By evaluating the variability and sensitivity, the potentials to maximize the benefit are shown. The life cycle cost accounting has to prove the thesis that longevity of products including the permanent upgrading of the operating system is ecologically and economically useful. The structures of costs and revenues of the life cycle justify the operation of new innovative products or system concepts, possibly of new operational and maintenance concepts and/or new financing models and cooperation forms. Figure 28: Main steps and the results of life cycle costing Systems and services are analyzed by means of permanently monitoring the life cycle costs and benefits. In a broader sense, the results are applied to determine, and if necessary, to increase the suitability of the unit and its sub-units during the life time or life cycle. Figure 69: The cost and benefit trends in the product life cycle There are different influences causing costs or benefits to increase or decrease, as outlined in Figure 6. Observing the constraints and regulations of environmental-friendly and quality-orientated manufacturing processes leads to increased expenditures [7], [68] during the production phase, whereas low costs of manufacturing (e.9. wages, energy) result in decreased life cycle costs. Increased expenditures are necessary to derive a greater benefit from products or systems during service and usage, whereas lower cost for operation result in decreased expenditures [69]. The same constellation applies to the reuse and recycling phase. The cost inducing factor is expressed in the share of reusable product parts and components while decreased expenditures for recycling and deposition processes result in lower life cycle costs [701, [711. 5 CONTRIBUTION OF IMS 5.1 Introduction Up to this point a global picture of the current and some future issues of Life Cycle Management and Assessment have been presented. Many if not most manufacturing research projects today consider environmental and life cycle issues either implicitly or, increasingly, explicitly. Examples thereof are found in the Global IMS (Intelligent Manufacturing Systems) Research Program, now in its 5ith year after an initial development period of about the same length. The IMS program was conceived by 0 and could be argued to be a ClRP initiative, with many ClRP members actively involved in its projects. The following briefly summarizes this program concentrating on LCM and environmental aspects. 5.2 Outline of IMS Program The IMS initiative is essentially aimed at realizing the sustainable globalization of manufacturing industry in view of increasingly accelerating technological advancement, based on the organization, systematization and exploration of past technological manufacturing for future global use. This objective must be based on cooperation among industrial nations, the development of "next generation" techniques, human and environmental sustainability, and on the cooperation of academics, researchers and industry in all phases of research and development as illustrated in Figure [73], [72]. The three circles conceptually represent the interrelationship of the four kinds of research, i.e. basic, pre-competitive, competitive and post- competitive research (the "research circle"), with the "academic interest" circle and the "industrial interest" circle together with their typical timeframes. .'.. -.. __.. - ..-__ ..-- ,..' ,/'. '.. /' Research '.. Pre- n Short-Tern I I NOW Figure 30: Research ,,Acadustrialism" (Based On 0). The ,,practical" objective of the IMS program is to provide a platform for integrating this overall picture in terms of manufacturing technology, which can obviously only be achieved by the far-reaching cooperation between government, academia and industry, i.e. by an appropriate degree of what has been called "acadustrialism" [74], on a world-wide basis. This means that competition must be accompanied by the sharing of manufacturing know how must be globally distributed and not be allowed to stagnate in any particular (industrialized) country. The objectives of the IMS program, as well as the "Technical Themes" under which IMS projects must fall, implicitly contain many references to LCM/A, and are shown in Table 1 and Table 2, respectively. In 1997 these were supplemented by the list of issues and topics shown in Table 3, to be addressed in order to more effectively realize the original themes, and by concentrating on the 5 core issues of manufacturing today, including environmental sustainability [75]. A. to enable greater sophistication in manufacturing operations; B. to improve the global environment; C. to improve the efficiency with which renewable and non- renewal resources are used; D. to create new products and conditions which significantly improve the quality of life for users; E. to improve the quality of the manufacturing environment; F. to develop a recognized and respected discipline of manufacturing which will encourage the transfer of knowledge to future generations; G. to respond effectively to the globalization of manufacturing; H. to enlarge and open markets around the world; and I. the advancement of manufacturing professionalism worldwide by providing global recognition and establishing an educational discipline for manufacturing. Table 1 : Objectives of IMS Program Total product life cycle issues Future general models of manufacturing systems Intelligent communication network systems for information processes in manufacturing Environment protection, minimum use of energy and materials Recyclability and refurbishment Economic justification methods Process issues Clean manufacturing processes that can minimize effects on the environment Energy efficient processes that can meet manufacturing requirements with minimum consumption of energy Technology innovation in manufacturing processes Improvement in the flexibility and autonomy of processing modules that compose manufacturing systems Improvement in interaction or harmony among various components and functions of manufacturing StrategylPlanninglDesign tools Methods and tools to support business process re- engineering Modelling tools to support the analysis and development of manufacturing strategies Design support tools to support planning in an extended enterprise or virtual enterprise environment HumanlOrganisationallSocial issues Promotion and development projects for an improved image of manufacturing Improved capability of manufacturing workforce/education, training Autonomous offshore plants (integration of supplementary business functions in subsidiaries) Corporate technical memory - keeping, developing, accessing Appropriate performance measures for new paradigms 5. VirtuallExtended Enterprises issues - Methodologies to determine and support information processes and logistics across the value chain in the extended enterprise Architecture (business, functional and technical) to support engineering cooperation across the value chain e.g. concurrent engineering across the extended enterprise - Methods and approaches to design cost/liability/risk and reward to elements of the extended enterprise - Team working across individual units within the extended enterprise Table 2: Detailed technical Themes for full scale IMS program. - lssuel Topic 1. To meet user demands a. b. C. d. e. f. 9. h. Users needs identification Rapid product-servicing and repair Easy-to-maintain and repair product design Operator training Operator information access Operator friendly, morale-boosting working environments Life-cycle design and planning User-driven standards for electronic communications and industrial software 2. To improve quality a. b. c. d. e. 3. To reduce cost a. b. Production planning optimisation c. Rapid Manufacturing system set-up d. High-speed material processing and parts assembling e. Rapid roduct inspection and inspectionless manufacturing f. Yield improvement g. Improved material supply and bandling practice h. High-reliability manufacturing machines i. Extended concepts of virtual factory to resource industries (Mining, forestry, etc.) j. Heavy duty mobile robots 4. To minimize load on environment Reduced variation in shape, size and quality of materials and composites Improved processi ng/assem bl ing accuracy High Performance advanced materials and parts utilisation On-line Product monitoring during its life-cycle (especially lager products such as big machines and complete plants) Improved involvement of line operators in quality decisions Rapid product development and design a. b. Use of environmentally-friendly materials c. Environmentally friendly manufacturing processes d. Product materials selection for sustainable growth e. Easy-to-recycle, easy-to-disassemble product design f. Improved environment monitoring 5. To provide universal benefits a. Global benefit distribution b. Improved quality of working life c. Product quality and certification on international basis Table 3: Issues and Topics to be Adressed for improvec Manufacturing . Plan for re-manufacturing (not merely recycling) Other details on the IMS Program such as regional, collaborative, financial and legal issues are available in great detail through many publications by its Inter Regional Secretariat (IRS) and website (www.ims.org) and need not be given here. As at 12/99 18 full project proposals were listed, one is complete and 14 were fully endorsed. Collectively over 250 companies and over 200 research institutions were active at that time, distributed over Australia, J apan, the EU, USA and Switzerland. Another 44 project abstracts existed, and Korea was about to join. Various estimates put the overall value of the IMS projects at $US 1B in 2000, and up to $5B by 2005 [73]. 5.3 LCMlA and ESD Issues within IMS Different degrees of industrialization in various regions of the world have led to varying degrees of com mi t ment to E nvi ron ment al Sustainable Development (ESD). However the international standards on environmental management now provide direction to national efforts. For instance the adoption of these standards in Australia is shown in Table 4, as one example of many LCM/A and ESD initiatives at both government and industry levels (eg [761, [771, [781, [791, POI. Table 4: International Standards on Environmental Management (Revised 99-07-29) Abbreviations EMS Environmental Management Systems EA Environmental Auditing EL Environmental Labels and Declarations EPE Environmental Performance Evaluation LCA Life Cycle Assessment EAPS Environmental Aspects of Product Standards NP New Project WD Working Draft DIS Draft International Standard FDlS Final Draft International Standard A recent study aimed at assessing the degree to which individual IMS projects plan to address environmental issues, as emphasized in both the Objectives and Technical Themes as per the IMS Terms of Reference, led to the following findings 0, 0, based on the (16) full project proposal texts: (a) Potential for Project Portfolio to address IMS Objectives: the results of an assessment team ranking each of the 16 projects shown in Table 5 against each of the 9 IMS objectives is shown in Figure, indicating that a medium potential to address environmental aspects exists. HIPARMS - Highly Productive and Reconfigurable Manufacturing System HMS - Holonic Manufacturing Systems HUMACS - Human Machine Coexisting System HUTOP - Human Sensory Factors for total Product Life Cycle IF7 - Innovative and lntellegent Field Factory INCOMPRO - Integrating Virtual and Real Factory for intelligent Composite Product Manufacturing INTELLIWOOD - Intelligent Manufacturing of Wood Products using Color, X-Ray and Computer Tomography 12 13 14 15 16 I I based Quality Control MISSION - Modelling and simulation Environments for Design, Planning and Operation of Global Distributed Enterprises MMHS - Metamorphic Material Handling NGMS - Next Generation Manufacturing Systems Project RPD - Rapid Product Development SIMON -Sensor Fused lntellegent Monitoring System for machining Figure 31 : Assessment of the IMS Project portfolio against the IMS objective (b) Distribution of Project Portfolio across IMS Technical Themes: the first two Themes (see Table 2) were split into environmental and business aspects of product life cycle and process issues respectively; each project was then assessed against each of the seven Theme areas with the result as per Fig F3, showing that, on the whole, issues of environmental protection and sustainability are relatively poorly addressed in the technical content of the project portfolio. - Naturally this must be viewed in connection with the (already existing) major effort needed, per se, to establish global research projects of the IMS type, with partners reluctant to have to conform to even more restrictions. and ESD issues will not be appropriately addressed in IMS projects. The strong emphasis on environmental matters in both the Objectives and Technical Themes of the IMS Terms of Reference is as yet not reflected in the current documentation for the establishment, monitoring and review of IMS projects, although this represents a golden opportunity to steer the whole IMS Program (and hence much of the worlds manufacturing technology research?) into an environmentally sustainable direction. Indeed, this again raises the philosophical base underlying the IMS Program [83], [78]: What are, ultimately, its benefits? No doubt the answer has to be not only those resulting to its participants, but to mankind as a whole (and in particular to the third world countries), with which the preservation of our natural environment is closely interwoven. Life Cycle Management in its widest sense and environmentally sustainable manufacturing are the cornerstones of these benefits. 6 CONCLUSIONS The life cycle management concept must be advanced to serve as an integral part of engineering, operation and recycling/disposal processes. Basic means must be provided for technical support, product data management, and Figure 32: Distribution of the IMS project portfolio against Technical Themes evaluation and assessment of economic and ecological parameters or values. Simultaneously 5.4 The Future? with further regularities and international standards, Based on this preliminary study it is recommended it is necessary not only to provide the tools to that without Some explicit environmental support the life cycle processes but also to establish requirements at the project proposal stage, LCM/A the technical as well as organizational conditions. The future shows that beside the existing methods and application of the life cycle management another decisive trend is emerging. The evaluation and assessment of life cycle oriented criteria and the function oriented selection of suitable products must be done by involving the product user. Regarding the added value as the key element of this determination process, the maximum benefit by means of applying well suited products is the target of optimization. Manufacturer are responsible for their products over the complete life cycle. Furthermore the industry has a responsibility to provide manufacturing technologies for sustainable products, such as in solar and hydrogen technologies, and a energy-system, which is based on renewable energies. One of the greatest challenge is to decrease the costs to a level suitable for mass production of sustainable products. Future development of LCA methodology is therefore predominantly foreseen within the area of life cycle impact assessment, where much still remains to be done, particularly for those impact categories, where no internationally accepted systems exist for their quantification. This is the case for all the regional and local impacts and in particular for the impacts of toxicological or ecotoxicological nature. Developments are also foreseen for the weighting step where the different impact categories and resources are compared and their relative importance quantified. Systematic frameworks for representation of different stakeholder views will be developed and default weighting factor sets provided. Also work on the expression of sustainability targets in weighting factors for LCA is underway. As regards applications, the interest among authorities in the product perspective on environmental impacts is expected to increase and spread from the few western countries currently applying it to the rest of the world. In parallel, more industrial companies will develop product-oriented environmental policies an integrate the life cycle perspective in all their environmental management activities so the perspective will change from the current focus on product development to a wider focus on the major part of the activities and decisions of the company. At this, the objective of the accompanying IMS program is to provide a platform for integrating this overall picture in terms of manufacturing technology. Obviously this can only be achieved by the far- reaching cooperation between government, academia and industry on a world-wide basis. Competition must be accompanied by the sharing of manufacturing know how. 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