CASE 2 - AMKOR

8/7/2019 CASE 2 - AMKOR

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CASE 2

GREENING THE BUSINESSPARTNERS-

AMKOR TECHNOLOGYPHILIPPINES

PRESENTED BY:Dizon, Richard Dean S.Galang, Jervin N.Quindo, Vanessa D.

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OU TLINE OF PRESENTATI O N

Background of the CompanyActivities and O perations in the CompanyAnalysis

y

Environmental Aspects and Impactsy Relevant Environmental Policies and LawsContinual Improvement

y Business Partners in the Supply Chainy Employee Participationy Community InvolvementRecommendation

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Background of the

Company

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In 1956, Hyang Soo Kim initially incorporated thecompany in Korea as Anam Industrial Co. Ltd.

In 1968, Amkor was established and grew to be theworld·s largest semiconductor packaging and test

company.

Background of the Company

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Anamµ was coined from Aµ for Asia and ´ namµ whichmeans south

Amkorµ was indicative of the countries from which itsowners came, namely America and Korea


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Amkor·s services and products support all levels of electronics

y P C·s / Workstationsy Automotive/Industrial componentsy Office equipmenty Telecom/Cellular/ P ager componentsy Semiconductor technologiesy IC packaging


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Amkor received its ISO 14001 certification inSeptember 1997 from SGS International

y SGS is the company which provides ISO 14001:2004Environmental Management System certificates. It

does not appear to stand for anything.


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A ctivities andOperations in the

Company(that may pose EnvironmentalIssues/Problems)

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A ctivities and OperationsD ealing with many types of raw materials(chemicals such as solvents, acids, paints, inks and thinner, wafer die,lead frames, molding compounds, epoxy and gold wire)

Utilizing non-renewable resources (such as metals)

Excess resources and supplies (expired mold pellets)

Industrial use of water for its operations

Energy consumption and air emissions duringproduction

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A ctivities and OperationsP resence of environmental hazards(odor produced during the production of melamine in the mold operations)(use of benzene which had acetone)

P roduction of solid wastes

P roduction of sludge from wastewater treatment

P ackaging of outputs/finished products

Shuttle buses for transportation (by service providers)

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A nalysis

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Environmental A spects andtheir corresponding

Environmental Impacts

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AS PECT S IMP A CT S

Raw materials

and Water

-Depletion of natural

resources

Gas/Oil/Electricity(during production,

transportation and distribution)

-Air Pollution

-Depletion of FossilFuel

Hazards(during acquisition of materials

and production)

-Threat to PublicHealth and Environment

Air Emissions -Air Pollution

Solid Waste(during production and disposal)

- Land/Water/AirPollution

Locality(Paliko Creek)

-Threat to publichealth and environment

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R elevantEnvironmental

Policies and Laws

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R epublic A ct No. 8749Philippine Clean A ir A ct of 1999

SEC. 13. Emission Charge System .

y The D epartment shall impose on and collectregular emission fees from dischargers aspart of the emission permitting system. Thesystem shall encourage the industries andmotor vehicles to abate, reduce, or preventpollution.

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R epublic A ct No. 8749Philippine Clean A ir A ct of 1999

SEC. 16. P ermits.

y The D epartment shall have the authority toissue permits as it may determine necessary forthe prevention and abatement of air pollution.

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R epublic A ct No. 9275Philippine Clean Water A ct of 2004

SEC. 13. W astewater Charge System .

y The D epartment shall implement awastewater charge system in all managementareas including the Laguna Lake Region andRegional Industrial Centers through thecollection of wastewater charges/fees.

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R epublic A ct No. 9275Philippine Clean Water A ct of 2004

SEC. 14. D ischarge P ermits .

y The D epartment shall require owners or operatorsof facilities that discharge regulated effluentspursuant to this Act to secure a permit to discharge.

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R epublic A ct no. 9003Ecological S olid Waste Management A ctof 2000

SEC. 30. P rohibition on the Use of Non-Environmentally Acceptable P ackaging.

y No person owning, operating or conducting acommercial establishment in the country shall sellor convey at retail or possess with the intent to sellor convey at retail any products that are placed,wrapped or packaged in or on packaging which isnot environmentally acceptable packaging.

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R epublic A ct no. 9003Ecological S olid Waste Management A ctof 2000

SEC. 47. Authority to Collect Solid W aste ManagementFees.

y The local government unit shall impose fees in

amounts sufficient to pay the costs of preparing,adopting, and implementing a solid wastemanagement plan prepared pursuant to this Act.The fees shall be based on the following minimumfactors:

(a) types of solid waste;(b) amount/volume of waste; and(c) distance of the transfer station to the wastemanagement facility.

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R epublic A ct No. 6969Toxic S ubstances and Hazardous andNuclear Wastes Control A ct of 1990

SEC. 8. P re-Manufacture and P re-ImportationRequirements.

y The manufacturer, processor or importer shallsubmit the following information: the name of thechemical substance or mixture; its chemicalidentity and molecular structure; proposedcategories of use; an estimate of the amount to bemanufactured, processed or imported; processingand disposal thereof; and any test data related tohealth and environmental effects which themanufacturer, processor or importer has.

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R epublic A ct No. 6969Toxic S ubstances and Hazardous andNuclear Wastes Control A ct of 1990

SEC. 13. P rohibited Acts.

y a) Knowingly use a chemical substance or mixturewhich is imported, manufactured, processed or

distributed in violation of this Act or implementingrules and regulations or orders;

y d) Cause, aid or facilitate, directly or indirectly, inthe storage, importation, or bringing intoP

hilippines territory, including its maritimeeconomic zones, even in transit, either by means of land, air or sea transportation or otherwise keepingin storage any amount of hazardous and nuclearwastes in any part of the P hilippines.

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Continual

Improvement(S trategies / A ctions of theCompany)

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P rinciple:

y An organization should review and continuallyimprove its EMS with the objective of improving its overall environmental

performance.

EM S

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A . Greening of BusinessPartners in the S upply

Chain

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A SU PP LY CHAIN is a system of organizations,

people, technology, activities, information andresources involved in moving a product or servicefrom supplier to customer.

Business Partners in theS upply Chain

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AN INTREGRATED SUPPLY CHAIN

INBOUNDLOGISTICS

Vendor

Raw andvirgin

materials

Supplier

Recycled,reused

materialsand parts

Newcomponents

and parts Storage

PRODUCTION

Fabrication

AssemblyProcessing

OUTBOUNDLOGISTICS

OutputDistributionWarehousingPackaging

Transportation

WasteDisposalTreatment

Use

Disposal

Reverse LogisticsReusable, recyclable

materials and components

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Organizing many awareness seminars

Training business partners by organizing regularsupplier/vendor audits on-site

Guiding them through the documentation process and

recommending programs to meet legal requirements

How did the company do this?

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Customer P ressure ² releasing purchase orders withdetailed environmental requirementsGreen P urchasing

y P hilippines· control listy P hilippine Inventory of Chemicals and Chemical

Substances· list of hazardous chemicalsy D etailed Material Safety D ata Sheety Giving checklist (legal compliance, MS D S,

emergency preparedness, and progress inenvironmental initiative programs)

y

Revision code and Incoming Quality Assurance

Inbound Logistics

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Inbound Logistics

Coordinating with suppliers for possible need forreformulation

Requesting for change of chemicals/raw materials

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Production Phase

Reduction programs:

y Chemical/Water Reduction P rogram

y Solid Waste Reduction P rogram

y Sludge Reduction P rogram

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Contractors help in the disposal of different kindsof waste:

y Sludgey Used batteriesy Solid Wastey Oil Wastey Solventy Molding compoundsy Solder dross

Outbound Logistics

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B. Ensuring EmployeeParticipation in

A chieving a GreenS upply Chain

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Employee ParticipationP articipation in the EMS development process

Initiation of One- P oint Lesson

D esignation of ´ Earth Monthµ for the company

D edication of one column in the company newsletter,

Quality Circuit

Encouraging its employees to be environment-friendly

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in Greening the S upply

Chain

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Community InvolvementInviting government agencies and officials for clean upoperations and conducting meetings

y

Permanent watcher and cleaner

y Barangay ordinances

y Trolley bins

y Monitor other companies that dumped wastes on thecreek

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Recommendation

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F or Inbound logistics

Updating regularly on the latest list of hazardouschemicals

Arranging funds to help their suppliers for EM P

Encouraging the suppliers to use plastic containersand glass bottles

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F or Production phase

Continuous on-site application of 3R·s

Input substitution whenever possible

Improving housekeeping practices

Investing on the utilization of renewable energy

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F or Outbound logistics

Green P ackaging / Environment P ackaging

Environment-friendly Transportation

Green Marketing

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F or R everse logistics

If applicable to the field of business, the company canstart a program on giving discounts to those

customers who return packaging and other valuablematerials that can be utilized in the productionphase and also by its suppliers.

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END OF PRESENTATIONEND OF PRESENTATION

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