Yi Yan
Western New England University
Stacie Chappell
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Henan Prosper Skins & Leather Enterprise Company, China's largest sheep fur tanning manufacturer, is contributing to sustainable development with an innovation to clean up waste water caused by traditional tanning processes. The company's efforts have reduced pollution, improved the health of a community, created thousands of jobs, and become the industry standard.
Henan Prosper Skins & Leather Enterprise has developed more than 70 innovative projects over recent years. The most important one is the "eco-tanning process," that eliminates chemical pollutants from the production process. It has become a world best-practice.
The leather tanning process traditionally uses a large amount of formaldehyde. It may also produce chromium, which can cause water pollution and harm human health. In 2004, in order to get rid of heavy metal pollution, the company hired a professional research and development team to review the production and processing sectors of company. As a result of the review, the company created a process that does not use formaldehyde.
The new process helps production line workers avoid direct contact with chemicals that are harmful to the human body. It also protects consumers from harmful substances used in products. An an example of a product made this way is the famous UGG boot.
Henan Prosper Skins & Leather Enterprise was established in Sangpo, Mengzhou, where almost every household is engaged in the sheep leather processing business. Mengzhou is home to the world's largest sheep chenille processing industry.
While the industry helped to boost the local economy; it also caused serious environmental problems. Production of sheep leather products created a large amount of chemical-rich waste water, exuding a pungent chemical odor and polluting almost every river in the city. The water, soil, air and health of residents was greatly damaged.
The issue caused problems for the public image of Henan Prosper Skin & Leather. They understood that without any action, the company would suffer more in the long-term. Moreover, as a model enterprise in the local community, Henan Prosper Skin & Leather felt a responsibility to protect the environment. As a result of these concerns, the company built waste water treatment facilities that cover an area of more than 20 thousand square meters. The facilities can process eight thousand tons of water a day, achieving zero pollution emissions. Henan Prosper Skin & Leather's waste water treatment facilities also enable the recycling of water resources in some processing sectors, reducing the amount of water consumed.
Many local family workshops have been inspired by Henan Prosper's environmental and operational models, which has motivated them to cooperate with each other and build scale companies. These newly formed companies have become capable of building waste water treatment facilities and purchasing efficient equipment. Through these combined efforts, the local sheep chenille processing industry is largely standardized and the local environmental pollution problems have begun to improve.
The "eco-tanning" innovation of Henan Prosper Skins & Leather Enterprise has influenced the local environment, socio-economic conditions, and the development of the enterprise itself.
First, the company has had a positive impact on local environmental recovery, advancing environmental technology and equipment. Many companies in this field are learning and exchanging information about environmental protection with Henan Prosper. Many media outlets also actively promote the company as a model for environmental protection.
Second, the company helps employees and local residents who have had health problems due to environmental pollution by offering free medical treatment and higher pensions for families. In order to help avoid future problems, the company also provides a free annual health checking for employees.
Third, the company provides a large number of jobs locally, which has greatly contributed to local economic growth and the well-being of local residents. The company promotes local and related industries and provides logistics and e-commerce, creating a lot of local employment opportunities. At present, Henan Prosper's employees reached 9,500 in Mengzhou. While in nearby towns a large number of people must leave their homes to work in coastal cities because of a lack of local jobs; in Mengzhouem, very few people go out to work because there are sufficient local job opportunities.
Finally, the new "eco-tanning process" improves the company's production capacity. At present, the company can process 45 thousand pieces of sheepskin every day. Product quality has also improved. For example, sheepskin products have become more flexible and comfortable. High quality standard certification allows the company to obtain more overseas orders. Most of the company's products are exported to many countries.
The innovations of Henan Prosper Skins & Leather Enterprise has brought a lot of business benefits. With a sustainable developing pattern, the company has obtained more business around the world. It has created a lot of economic interest through import and export trade. In addition, a portion of the company's tax liability is waived due to its contribution to environmental protection.
Due to increased business with more world-class brands, the company has also learned a lot about brand management and trending designs. Thus, the company's business is no longer limited to the processing of other brands. Henan Prosper Skins & Leather Enterprise has launched its own brand to expand the company's business.
With the increase in visibility, Henan Prosper Skins & Leather Enterprise drafted the national standards for the sheep chenille processing industry. Many companies in the industry have followed Henan Prosper's lead to establish a standardized production system and environmentally friendly production methods.
The company's environmental initiatives and employment opportunities have also had a positive impact on the community. The company's facilities can process eight thousand tons of waste-water everyday, achieving zero pollution emissions. Around nine thousand jobs have been created.
The company helps employees and local residents who have had health problems due to environmental pollution by offering free medical treatment and higher pensions for families.
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Yanan Zhang, General Manager
