FEMSA Comercio - OXXO

Sustainable Equipment Disposal Process

Authors

Belinda Montemayor Peña

Belinda Montemayor Peña

Ana Victoria Villegas

Ana Victoria Villegas

Roberto Gracia

Roberto Gracia

Jose maria Vidales

Jose maria Vidales

Rolando Gonzalez

Rolando Gonzalez

Jorge Trevino

Jorge Trevino

School

EGADE Business School Tecnologico de Monterrey

EGADE Business School Tecnologico de Monterrey

Professor

Consuelo Garcia-de-la-torre

Consuelo Garcia-de-la-torre

Global Goals

6. Clean Water and Sanitation 11. Sustainable Cities and Communities 12. Responsible Consumption and Production

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Summary

At the end of 2013, the company came up with the idea of having a “Sustainable Equipment Disposal Process”. In years prior to the implementation of this process, when the company wanted to get rid of used equipment such as refrigeration units, electronic devices or furniture they sold everything as a package or even pay to have someone to pick up the items.

However many of these items ended up not being properly disposed by third parties and sometimes hazardous material ended in sanitary fills, which now can be avoided through this process.

Innovation

Administration, maintenance, IT, construction and the sustainability team started with this process. Departments such as maintenance and IT were necessary to know which equipment could be reused and which ones should be disposed in a sustainable way.

This innovation is in line with OXXOs mission of Zero Waste policy, as it helps to reuse many of the equipment that OXXO would normally dispose of without knowing exactly where they could end.

It was an innovation mostly concerned in reducing the environmental effects and avoid risks of having equipment being disposed in not proper way.

Abraham mentions in the interview, “I hope that a sustainability team is not necessary in the future, as every single employee in every department should always think and act in a sustainable way”

Sustainable Equipment Disposal Process

Inspiration

The idea came up due to the enormous potential to make more sustainable the process of disposing of equipment. As the number of stores grow, more items are being disposed each day, therefore it was necessary for OXXO to create a new and sustainable process. Also as OXXO is trying to create an environmental and social impact, they saw a great opportunity to find a better use the items that OXXO wanted to get rid of.

Abraham also mentions “In 2013, a new regulation was established, NOM 161 of Semarnat regarding special wastes handling, so we also needed to comply with this new law.”

Overall impact

This innovation had a great impact as now OXXO has been able to reuse equipment or relocate equipment that was not being used. Also OXXO makes sure that the equipment that they want to dispose of, will be properly handled, so it will not end in places where it can cause environmental damages.

This program has also allowed OXXO to develop third parties individuals to create and regulate recycling companies, this helps OXXO know that the equipment that they will dispose of and sell will not end up harming the environment, and it also helps communities, as new jobs are being created to recycle these items or by reusing these items. In the short term it was complicated to coordinate with the different departments on how the items would be taken out of OXXO, and who were going to be the right partners (recycling companies) for this initiative. The creation of this process, with no doubt has helped OXXO to meet the NOM 161 law regarding the handling of especial wastes.

Business benefit

This process benefits the company as before this new procedure, OXXO usually paid to have the equipment be thrown away, and now there is more involvement of different departments which has allowed to recycle and reuse many of these items, and in cases that the item has no longer use, then, regulated recycling companies come and pay for most of these items. This also protects OXXO of breaking any regulation laws of SEMARNAT or other governmental institutions.

Social and environmental benefit

This process which helps achieve OXXO’s mission of “ZERO WASTE”, has enabled OXXO to develop new recycling businesses for third parties which has created new jobs in plenty of cities and towns around Mexico, benefiting plenty of communities. Also by ensuring that the equipment is being reused or disposed in proper ways, OXXO avoids having to buy new equipment in every case, which reduces the consumption of natural resources, and also by ensuring that the equipment will be disposed in a proper way OXXO knows that the disposed items will not end up harming the environment.

Interview

Abraham Garza, Sustainability Coordinator

Photo of interviewee

Business information

FEMSA Comercio - OXXO

FEMSA Comercio - OXXO

Monterrey, NL, MX
Business Website: https://www.oxxo.com/
Year Founded: 1890
Number of Employees: 5001 to 10000

OXXO forms part of Femsa Comercio. It is the first convenience store that has fulfilled the needs of their clients in Mexico and Colombia.