Operating SIA - Management
Outline
For an industrial area considered to be well managed, well organised and prepared to implement sustainability measures, a management structure is generally required. This structure needs to be endowed with clear mandates, an adequate budget line and should be in the position to define by-laws compulsory inside the industrial park (e.g. park charter, corporate social responsibility charter, environmental, occupational health and safety, social standards, etc.). Enforcement of such rules must be monitored (e.g. by Key Performance Indicators). All companies operating in the park have to agree to these given rules and sign respective documents.
Key Elements
Organisational structure:
The management units of industrial areas act as administrator and service provider responsible for all organisational and management features. The legal and organisational setup of these management units can differ considerably from each other. Depending on the existing context and policy framework management models may be: Public administration unit, private association, state-run company or private company.
Management style:
Management units of sustainable industrial parks should regard themselves as service providers rather than administrative units. This needs a clear understanding of the needs of the customers which are first of all the resident companies but also the municipal and state-level administration and the surrounding industry and population. In a pro-active approach, needs and demands are identified and solutions offered. This requires a permanent investigation of the political and economic framework conditions as well as the needs of the market and the companies.
Service offers:
Infrastructure and service provision is the most prominent role of a park management. In a holistic approach the management provides all types of infrastructure and logistics, supplies energy, water and goods, collects and treats effluents and waste and provides communication networks and social facilities. It acts as facilitator and moderator of networks of companies inside and outside of the park, and mediates in case of conflicts between resident companies, companies and government authorities and with the neighbourhood.
Supervision duties:
The park management monitors the performance of the resident companies regarding their environmental performance (noise, air pollution, waste and waste generation, energy and resource efficiency, protection of biodiversity), their occupational and health standards and their disaster risk management. It ensures that companies regard legal rules and regulations and enforces compliance in case of misbehaviour.
Business behaviour:
The management of the park needs to develop a business like behaviour. This requires a business plan bringing expenditures and revenues into balance. Revenues are expected from selling and renting the plots, from monthly operating/ service fees paid by companies and governmental funds for providing housing, education, health or other services to the community. To become economically successful it is important that the overall park concept is attractive for investors and the business community, that high-level services are offered at reasonable prices and that a lean and efficient management structure minimises the administrative overhead costs.
Communication and PR:
Social participation within the industrial area and with the local community is crucial for a smooth and successful operation. During master planning, participation of the public is important to make sure that the existing different points of view and concerns are considered. Starting from the agreed park vision, participation is needed during developing urban infrastructure concepts, business and marketing concepts, measures to achieve sustainability standards and for mitigating environmental risks. Once, the industrial area has been commissioned, stakeholder involvement which now includes also the residential companies, remains important for all expansions, adaptions and retrofitting measures. As elements of an optimised participatory process the park management should offer public consultation-hours, grievance forums on its webpage and make relevant park information available to the public to create transparency on all issues.
GIZ expertise
When managing industrial areas general management skills have to be interlinked with those skills related to the technical and administrative demands of industrial areas. GIZ through its various projects on industrial development has gained substantial experiences on the following topics:
-
Industrial Area Information Management System (IAIMS)
The implementation of the Sustainable Industrial Development approach in industrial areas requires comprehensive information. This includes technical data to be stored in a database (Industrial Area Information Management System) as well as geographical information to be stored and handled in a Geographical Information System (GIS).
-
Industrial Environmental Improvement Drive
On the eve of the World Environment Day, the Andhra Pradesh Industrial Infrastructure Corporation Ltd. (APllC), in technical cooperation with GIZ (IGEP), initiated the one month long (from 5th June to 5th July 2013) "Industrial Environmental Improvement Drive" (IEID) in about 75 selected Industrial Parks of APIIC spread across all 15 zones in Andhra Pradesh. The month long IEID took place in 2014 in about 58 selected Industrial Parks of APIIC spread across all its 8 zones in Andhra Pradesh. In 2016 it was organised by the Vapi Industries Association together with the Gujarat Pollution Control Board, the Gujarat Industrial Development Corporation, the Notified Area Authority, the Vapi Green Enviro Ltd. and the Lions Club of Vapi.
-
Jiangsu Provincial Circular Economy Public Service Platform
On May 28, 2015, Jiangsu Provincial Circular Economy Public Service Platform has officially been online. Suzhou Environmental Energy Exchange as a market operator, will enrich resources for circular economy enterprises, implement the service policy, and promote the system establishment and development for Jiangsu Industrial Symbiosis project. The main functions includes news release, resource sharing and background management.
-
Linkages Study
Linkages Study SP Sustainable Development
-
Monitoring SIA
Monitoring of various aspects (ambient pollution, risk management and disaster preparedness, occupational health and safety, energy and resource efficiency, etc.) is an important task of any park management. Multi-stakeholder monitoring teams have the advantage of creating transparency and putting the findings and resulting consequences on a multi-stakeholder base.
-
Pathways to industrial symbiosis in China
So far GIZ implemented several projects in China promoting concepts of industrial symbiosis. The tool presents a series of case studies and best practice examples generated by various projects.
-
Planning games
Role and simulation games are efficient instruments to make training more lively and participatory and to better understand a complex context.
GIZ supported the development of two such games dealing with the context of sustainable industrial areas.
Industropia is a role game in which participants learn about sustainability aspects of industrial areas. The game simulates a situation in which different stakeholders of an industrial area come together to sketch a sustainability concept for retrofitting and enlargement of their site. The game is supplemented by the presence of investors which are looking for industrial areas to locate their businesses. The game is based on the experience of the GIZ Sustainable Industrial Area Working Group which emerged from the sector network TUEWAS.
Game of Zones is a learning game based on the German Sustainable Building Council (DGNB) rating system for industrial sites applied in India. The objective of the game is to learn about the different sustainability concepts, identify synergies across categories and to discuss the concepts in a team and between groups. Recently the game was amended with a component for planning adaptation of existing industrial parks to the impacts of climate change.
-
PREMA ® – Profitable Resource Efficient Management
Through systematic integration of the non-product output (NPO) perspective and of environmental aspects in the company's management, the PREMA® concept and its instruments aim at achieving a triple win: improvement of economic competitiveness through cost savings, reduction of environmental impact through more effective use of raw materials as well as sustainable implementation of improvements through organisational learning, including improvement of workplace safety.
-
Resource Efficient Management of Chemicals in Textile and Leather Sector Companies
The objective of the handbook is to provide practical guidance to personnel of factories in the textile and leather sector who are involved in the implementation or upgradation of resource efficient management of chemicals in their respective factories.
The handbook contains worksheets, handouts, presentations as well as reading materials to provide a ready reference for the different steps of implementing chemical management systems elements and good chemical management practices.
The materials are arranged in form of training untils along the seven steps of "Resource Efficient Management of Chemicals" (REMC) cycle of change and closely follow the recommended structure and content of the Zero Discharge of Hazardous Chemicals (ZDHC) Chemical Management System Guidelines.
-
Stakeholder Dialogues
Social aspects can only be addressed if all stakeholders are involved in a participatory way. A suitable instrument is the stakeholder dialogue. Stakeholder Dialogues (SD) are used to moderate a discussion between relevant public and private stakeholders. Dialogue platforms offer a space to exchange interests or explain activities undertaken by one or the other actor.
Two forms of SDs have been implemented in GIZ projects:
- Community Dialogue Platform (CDP)
- Round Table (RT)
Both, Community Dialogue Platforms and Round Tables, shall create awareness and understanding between stakeholders, and ease potential stress and conflicts related to environmental impacts and pollution. SDs provide a basis for an interactive action planning between policy makers, community, companies and other stakeholders.