Tien Nong fertilizer factory – the first name of Tien Nong Industrial & Agricultural Joint Stock Company (Tien Nong JSC.) was established in January 4th, 1995. From the small factory with unique fused phosphate, Tien Nong JSC. now consists of three factories with the capacity of 150,000 tons per year to produce many types of fertilizers used for plants and soil. Tien Nong has invested to build a large scale fertilizer production industrial complex with 21.5 ha in area at Bim son – Thanh Hoa Industrial Park with the capacity of 350.000 tons per year. The RP project was applied at the Factory No. 3 where they have approximately 180 employees.

VNCPC’s experts and RP team had followed the suggested RP tools as provided in the RP toolkit CD. The main hotspots were for Ammonium Sulphate, Ammonium Chlorite, Urea and other fertilizers (as raw materials) at storage and production areas.

RP was first introduced to General Director of the company, then he encouraged to apply RP as demonstration project at Factory No. 3. Because RP methodology was new to management board, staff and workers, and chemical management was a sensitive matter to them, the VNCPC’s expert team used an indirect approach instead of direct one: (1) carrying out other RP-related aspect assessment (material, water, and energy assessment), then (2) training for key members of RP team, (3) integrating and applying RP tools during assessment of RP-related aspects and finally, (4) training for more participants from company based on their demand.

With the characteristics of fertilizer production in which Ammonium-contained materials are used at huge amount and producing within an open environment (materials processing on rotary trays, open conveyers, etc.), the NH3 generated from decomposing of those materials becomes the most dangerous threat for workers, equipment and even material loss.
Thanks to the application of RP approach and methodology, and RP tools, the company was able to build the inventory for using chemicals, raise awareness in chemical management, and implement some proposed RP and RP-related options. The project will be continued at the Factory No.3 and will be replicated at other ones, especially at the under-construction one.

NISHU Nam Ha., JSC – A good case for maintaining chemical management tasks

NISHU Nam Ha JSC – Nishu Nam Ha Joint Stock Company – was established and came into stream on 3^rd July 2007. This small sized enterprise has about 100 employees. The main business operations including: construction materials products, Nishu paint and surface coatings products, Import and Export line business products of company. The company has 2 workshops. One is to produce water-based paint and the other is to produce solvent-based paint. The second workshop is still under construction. So, the main produced output is the water-based paints.

VNCPC’s experts and RP team had followed the suggested RP tools provided in the RP toolkit CD. The hotspots were mainly for chemicals belonging to anti-mould, anti-moss and preservative chemical groups.

The RP project at this company was received the high commitment from top managers. Several members of RP team had been trained from another chemical management project. RP pilot project is another support project that they participated in. Thanks to training courses and practical RP tools, the RP team of the company responded to Chemical management tasks quicker and more effectively. Because of the above reasons, the RP project at this enterprise was to support them in maintaining the chemical management tasks, turning the chemical management aspects to a higher practical level via using RP tools, and integrating them into the management system (ISO 9000) that is existing at the company. More importantly, the new workshop for solvent-based paint products will be applied RP approach and methodology from the preparing equipment, arranging them, etc. to better risk reduction and prevention.

Chemicals at storages are in good order and condition

Self-invented stand for better handling/unloading chemicals.

Responsible Production was developed to improve chemical hazard management in small and medium sized enterprises. It is designed to increase overall safety and to reduce chemical emergencies and their environmental, social and economic impact by helping companies address the hazards and risks related to the manufacturing, processing and handling of chemical substances  in their operations.

As in many developing countries, where hazardous chemicals are manufactured, transported, repackaged and used, unsafe manufacturing and handling operations in SMEs in Vietnam, especially those in chemistry sector, have serious environmental and health consequences. To set up effective internal safety management approaches and to start a dialogue and ongoing communication with workers and nearby communities, Small and Medium Sized Enterprises (SMEs) need to be involved in initiatives involving other stakeholders, including larger companies, aimed at fostering chemical safety management and chemical risk information up and down the value chain.

– The first core activity to be carried out at the countries level was conducting a national need assessment study that includes analysis of the existing situation of SMEs with particular reference to their production efficiency and environmental impacts. The country assessment was undertaken to assess the industrial and SMEs profiles highlighting the main resource efficiency issues, and indicating the needs and suggestions of sectors for project implementation.

– The second activity was to organize a regional workshop on Regional Workshop on PromotingResource Efficiency in Small and Medium Sized Enterprises (SMEs). The objectives of the workshop aimed to impart regional RE-CP experts/service providers with substantive and pedagogical knowledge and skills on promoting resource efficiency in SMEs (on the basis of the approach proposed in the draft toolkit); to validate the responsiveness and user-friendliness of the draft toolkit to users in developing countries. These being RE-CP experts and SMEs (more specifically SME directors and production managers); and to solicit input from the RE-CP service providers from the Region, for further development of the draft toolkit, training methodology and training manual

– After the workshop was organized, another training workshop for managers and staff from 12 selected SMEs was held in Hanoi. Main activities of this workshop are to introduce the draft toolkit to enterprises and how to use it in reality. Besides, staff from industrial enterprises were learn about the RE-CP methodology and also RE-CP options to use effectively water, energy, chemicals and improve safety at work.

– To apply the RE-CP methodology and the draft toolkit to enterprises, RE-CP assessment was implemented at 12 selected companies. This activity was followed the SME training workshop that trained key persons. The trained staff played a key role in approaching RE-CP at each company. There were 3 missions completed during 5 months from December of 2009 to April, 2010 in which RE-CP experts took part in RE-CP assessment at 12 SMEs.

– Between the second mission and third mission, an experience exchange workshop that allowed enterprises to share and exchange the experiences during implementation of pilot project demonstration at the enterprises were organized.

1. Country needs assessment report: This report was prepared to provide the basis for the development of thecountry programme on promoting resource efficiency in SMEs and identify the focus for the training andtechnical back-up support to be provided by the project “Promoting Resource Efficiency in SMEs in Viet Nam. The report includes eight chapters as follows:
   1. Chapter 1: Introduction- introduces the need assessment
   2. Chapter 2: Background – presents objectives, methodology of the need assessment
   3. Chapter 3: Economic and industrial context of the country where the industrial picture of Vietnam is shown under ownership structure, geographical distribution, and pollution status aspects. At the same time, theindustrial development strategy is reviewed and the situation in health and safety practices in industries isanalysed.
   4. Chapter 4: Environmental legislative and institutional framework and supporting schemes/programs. This chapter introduces the main legal documents and industrial framework in environmental management relatedto resource consumption and pollution control. It also presents some schemes/programs supporting CP/resource efficiency or energy conservation in Vietnam.
   5. Chapter 5: Overview of Small and Medium Enterprises, as well as SME development strategy, are compiled in this chapter. Resource efficient practice in SMEs is analysed and the framework for resource management in Vietnam in terms of resource management and resource pricing is reviewed.
   6. Chapter 6 Sectoral analysis – provides more in-depth information on the potential sectors in terms of economic and environmental importance as well as potential in resource efficiency of selected sectors: pulp and paper, textile, food processing, plastic.
   7. Chapter 7: Findings and Recommendations – provides findings on status of supporting resource efficiency approach and of SMEs, proposes measures to promote resource efficiency in small and medium enterprises at short term and long term levels.
   8. Chapter 8: Conclusion- highlights the key concluding points of the needs assessment

The country needs assessment report shall be a reference source for other projects as well as for researchers, policymakers, technical institutions, business and industry associations and interested companies.

1. Regional workshop on Promoting Resource Efficiency in Small and Medium Sized Enterprises: This workshop gathered 24 experts from Vietnam, Thailand, Sri Lanka, Indonesia and India. The workshop was held from 13-16^th of October, 2009 with three main objectives:
   1. To impart regional RECP experts/service providers with substantive and pedagogical knowledge and skills on promoting resource efficiency in SMEs (on the basis of the approach proposed in the draft toolkit);
   2. To validate the responsiveness and user-friendliness of the draft toolkit to users in developing countries. These users include RECP experts and SMEs (more specifically SME directors and production managers);
   3. To solicit input from the RECP service providers from the region for further development of the draft toolkit, training methodology and training manual.

At this workshop, a first draft version of the toolkit was presented and introduced to invited RE CP experts and created a very good impression and interest.

1. SME training workshop: 12 companies from various industrial sectors (pulp and paper, dyeing, cement, plastic processing, seafood processing, metal finishing, sugar cane, granite tile flooring) were selected to participate in the pilot program. Two participants from each company were invited to the training workshop (including a management representative and a technical staff person). These participants played a key role in implementing project related activities in the companies. The workshop took place from 16-20^th of November, 2009 in Hanoi. At this workshop, a new revised version of the draft toolkit was introduced and tested by participants from invited SMEs. RECP experts who had been trained at the previously held Regional workshop assisted other participants in using the toolkit. The following are the objectives of the SME training workshop that were successfully achieved:
   1. To disseminate the concept of RE, its approach and options to save resources and improve efficiency in the following thematic areas: water, energy, chemical, materials and waste;
   2. To introduce enterprises to RE concepts and tools by applying the RE toolkit, emphasizing potential benefits to be obtained from more efficient production processes, such as reduced costs, increased profits, and higher competitiveness;
   3. To share the experiences and lessons learned from the actual implementation of RE among SMEs;
   4. To obtain advice from national experts on how to address the actual situations that SMEs are facing; and
   5. To build up the detailed work plan for implementing the next steps of the project.

1. RECP assessment at 12 selected enterprises: 12 companies from various industrial sectors were divided to 2 groups: (1) companies that had previously applied CP assessments and (2) companies that had not applied CP assessments yet. Companies taking part in the pilot industrial exercise had approximately five months to carry out RECP assessments with direct support from RECP experts coordinated by the VNCPC. The companies belonging to the first group had a longer time in applying RECP assessments. Some of them had received financial support from others project allowing for the implementation RECP options with high investment costs.

The RECP assessment phase and the implementation of some of the selected improvement options were initiated right after the conclusion of the SME training workshop. Key focal persons in each company met together with RECP experts for 3 working sessions on site as shown in the figure below:

Enterprises followed several steps whilst carrying out the RECP assessments with some modifications to better fit their own existing situation:

1. Steps for team building and gaining management commitment: Building of RECP teams included production group leaders, technicians, production managers and factory manager. All members were introduced to the benefits of the programme and implementation via the toolkit.
2. Measuring, defining, collecting and analysing data: Data was collected from accounting notebooks, statistics, and interviews with technicians, checking parameters on the machines, checking measurement equipment, and using handheld equipment for quick measurement.
3. Integrating current systems and management program: In companies with international management standards (ISO 9000, HACCP), this program was integrated with the management program.
4. Support and commitment of top management: The management board committed to apply RECP methodology. Management representatives participated in the RECP workshops and engaged in the activities that led to the implementation of the RECP assessments.
5. Encouraging the involvement of labour force: Production group leaders and technicians took part in the program.

In general, 12 companies have implemented 279 RECP options out of 323 proposed options (approximately 86% of RECP options have been implemented). The RECP options have been categorized into 6 groups: (1) Organizational options covering factors that have direct bearing in the efficiency of the factory including factors such as production planning, working procedures, and training of personnel; (2) Product specifications and design optionscovering aspects related to changing the specification and/or design of a product in order to have a better yield with the same or improved functionality; (3) Materials acquisition and management options covering possible changes that could be made on material selection procurement and handling of inputs that are required for the production process; (4) Process control and modifications including specific improvements that could be made in controlling the relevant process parameters and the related modifications that could be made to improve the efficiency of the industry; (5) Technology substitution containing the specific areas where there is a need to invest on acquisition of new technologies in order to address significant bottlenecks for moving towards a higher resource efficiency level; (6) Safer production and accident prevention including specific areas and practices where actions need to be taken in order to promote safer production and prevent or reduce the potential for industrial accidents.

Total investment of all 12 enterprises as updated in April 2010 was approximately 7,630 million VND (400,000USD) and saved an estimated 5,160 million VND per year (271,000USD/year). In particular, Dong Nam Paper., JSC invested only 30 million VND (1,600USD) to repair the insulation layer of a steam system and isolate edges of rollers, and saved 200 million VND (10,500USD/year) by saving cashew nut shells. Nguyen Tan Trading and Production Private Enterprise invested 7 million VND (370USD) to cover the insulation for heated cores and saved 103 million VND per year (5,400USD/year) by saving on electricity consumption. Other benefits from implementing RECP included saving more than 4,000,000 m³ of water per year, reduced electricity consumption by 43 million kWh per year, saving more than 350 tons of coal per year and more than 5,614 tons of raw materials consumption of all types.

1. Experience exchange workshop: this workshop was held on 24^th of March, 2010 in Hanoi between the second and third expert support missions of RECP assessment at enterprises. In this workshop, management representatives as well as staff from companies taking part in the pilot industry exercise shared their experiences and lessons learnt during the application of RECP methodologies and the toolkit at their companies.

1. PRE-SME National web portal : Project description, outcomes and achievements at country level have been consolidated into a specific portal which is hosted Vietnam National Cleaner Production Centre’s website:http://www.vncpc.org

The PRE-SME toolkit builds upon existing knowledge and tools but focuses on making the content aligned with the specific needs and organisational capabilities of SMEs in developing countries and economies in transition. It was first piloted in Ethiopia and Vietnam and adapted versions can also be found on their respective NCPCs and UNEP websites.

This manual addresses the following topics:

• Explanation of basic concepts including: Resource Efficiency, life cycle thinking, dematerialisation, decarbonisation, the ‘Plan-Do-Check-Act’ (PDCA) cycle, benchmarking, cleaner production, safer production and integrated management systems
• The PDCA cycle as a basis for continuous improvement
• Five thematic modules for detailed assessment (water, energy, materials, waste, chemicals)
• Benchmarking and benchmarks for different sectors and units
• Relevant international laws, restrictions, standards
• Guidance for planning a Resource Efficiency programme
• Appendices including: slides for trainers, exercises for workshops, worksheets samples for practical work with companies and Internet resources

The handbook can be download by click here

The Workshop will be conducted through a combination of a set of presentations, group work and discussions. It will include the following main activities:

Day 1

1. An introductory and welcoming session in which UNEP will present the Joint UNIDO-UNEP programme on RECP and the overall aim of the project and training workshop.
2. Presentation by AREC/ASSIST on the general structure and schedule of the Regional workshop with a brief introduction of AREC/ASSIST.
3. Self-introduction of the workshop participants with a very brief presentation on their experience and expectations from the workshop.
4. An introductory presentation on the basic concept of Resource Efficiency with a particular emphasis as to why SMEs in Developing countries need to develop and implement resource efficiency programmes.
5. Presentation of the draft toolkit including its SME-focussed pedagogical approach i.e. the overall structure and its key elements (this will include presentation of slide-shots for each basic element and example of tools included)
6. Explanation of the PDCA-methodology which forms the basis for implementing continuous improvement and the different approaches used for benchmarking resource efficiency improvement.
7. Presentation of benchmarking procedures, data sources, methods and caveats. Small exercises are used to highlight a number of key messages on benchmarking on plant and unit level.
8. Presentation of the thematic module on water with a focus on the specific tools that could be used in developing and implementing water efficiency programmes.

Day 2

1. Presentation of the Thematic Module on Energy with a focus on the specific tools that could be used in developing and implementing water efficiency programmes.
2. Group Exercise on water and energy modules with a purpose of validating the usefulness of the proposed tools by SMEs and identifying possible improvements.
3. Feedback from the group exercise on water and energy and consolidation of points for improvement.

Day 3

1. Presentation of the thematic modules on materials, chemicals and waste with particular focus on areas of potential improvement in SMEs operations on the specific tools that could be used.
2. The participant will be subdivided into smaller groups with each of the group particularly carrying out specific exercises in one of the three thematic areas with a possibility of covering more than one if time allows.
3. Presentation of the outcome and feedback from the group exercise with a purpose of consolidating the lessons to be drawn.

Day 4

1. Presentation of the proposed structure and content of the Industrial Training Manual for SMEs that is to be prepared on the basis of the toolkit.
2. Group exercise on developing an effective industrial training manual on promoting resource efficiency in SMEs in the Region.
3. Presentation of the outcome form the group exercise and compilation of the inputs provided towards developing an effective industrial training manual.
4. Concluding discussion on the further refinement of the Toolkit and development of the Industrial Training Manual for SMEs. The main points which will be addressed include:

• Impressions on the overall generic toolkit including its adequacy for the Vietnamese SMEs and RECP service providers
• A discussion on positive and the negative aspects of the draft toolkit, including what is missing,
• What should be included in a printed version
• Impressions on the toolkit’s pedagogical approach: how should trainers (service providers) present the toolkit to SMEs; how should trainers explain the concept of RE to SMEs
• What should be included in the PRE-SME training manual
• What should be the structure of the industrial (SME) training
• Which national elements are required to service the needs of Vietnamese companies, consultants, and other stakeholders

The training materials can be downloaded from the following links:

PRE-SME Achieving Operational Efficiency and Performance Excellence

PRE-SME Plan-Do-Check-Act (PDCA)

Benchmarking

PRE-SME – Thematic modules

PRE-SME Exercises

Introduction of the Toolkit

PRE-SME – Industrial manual contents