Ethan Allen Enters EFEC Program

September 20, 2011  by in UnCategorized   

By Home Furnishings Business in Green on September 21, 2011

Home furnishings manufacturer and retailer Ethan Allen (NYSE: ETH) will implement the American Home Furnishings Alliance EFEC environmental management system.

Ethan Allen will adopt program requirements for EFEC (Enhancing Furniture's Environmental Culture) into the company's existing Environmental Health and Safety Management System at its five domestic manufacturing facilities, including one upholstery plant, three case goods plants and one home accents plant. At the same time, the company will implement EFEC at two distribution centers and about 20 retail service centers.

Eventually, the company plans to extend the EFEC environmental management system into all of its company-owned retail locations, which currently number about 150. It will be the first application of the industry's environmental management program at the retail level.

"We are pleased to have our efforts recognized by the AHFA," said Ethan Allen Chairman, President and CEO Farooq Kathwari. "By implementing EFEC, we strengthen our continuing commitment to creating a safe workplace and protecting the natural environment for the benefit of our employees, the community and the company."

EFEC, which AHFA launched in 1999, requires companies to analyze and better understand the environmental impact of processes, raw materials and finished products on a facility-by-facility basis. As a result of this effort, EFEC-registered companies consistently experience measurable benefits, including better management of resources and raw materials; reduced energy, water and waste disposal costs; and improved overall operational performance and efficiency.

EFEC companies undergo an annual "maintenance audit" to ensure continual improvement at each registered facility. EFEC also has an impact on the local community, as companies reduce their water and energy consumption and improve recycling efforts. The program is in place at more than 50 furniture manufacturing facilities in 11 states.

Following implementation of EFEC, companies can choose to advance to AHFA's Sustainable by Design program, which provides a roadmap for implementing sustainable business practices throughout a company's global supply chain. It calls on companies to calculate a baseline carbon footprint and to develop strategies for reducing that footprint. In addition, Sustainable by Design companies must develop a social responsibility program that includes a code of conduct for all overseas suppliers.

Ethan Allen also plans to pursue Sustainable by Design registration.