Energy management is no small effort -- or challenge at Eastman Chemical Co. The chemicals industry is the second-largest energy user among U.S. manufacturing sectors, so poor energy management can be costly. On the other hand, successful efforts to reduce energy usage by chemicals manufacturers can reap significant cost savings.
"Energy is a large cost for us. It is only natural that we focus attention on it," says Sharon Nolen, corporate energy-program manager for the $7.2 billion Kingsport, Tenn.-based producer of chemicals, fibers and plastics.
Like other large energy consumers, Eastman has long had a corporate energy program tasked with making the enterprise more energy efficient. Recently, though, the company has revved up its energy efforts. Signs indicate it is meeting with success.
Among the changes: In 2010 Eastman Chemical established a series of challenging environmental goals, one of which includes reducing its energy intensity by 25% over a 10-year period, with 2008 as the baseline.
That same year, the company made the decision to "reorganize and revitalize" its energy-management program, according to Nolen, who became manager of the energy program during the reorganization. She also is the first certified energy manager to hold the position.
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| Eastman Chemical Co. estimates it saved $7.5 million in 2011 with its corporate steam leak repair initiative. |
As part of the revitalization, the energy-management program introduced more structure, with specific expectations developed for each of Eastman Chemical's manufacturing sites.
The reorganization also changed the reporting structure of the energy-management team, moving it to a higher level within the organization. Nolen reports to the vice president and general manager of worldwide manufacturing support. The energy team also provides status reports to two higher-level groups, including the executive steering team.
The change in the reporting structure raised the profile of the energy-management program. "We gained more visibility and support. I think it was a key factor in getting better funding," Nolen says. (The energy-management program received an $8 million budget for energy improvements in 2011.)
