  {"id":11125,"date":"2016-11-04T07:40:49","date_gmt":"2016-11-04T11:40:49","guid":{"rendered":"https:\/\/digital.hbs.edu\/platform-rctom\/submission\/can-heinz-catch-up-to-climate-change\/"},"modified":"2016-11-07T18:17:32","modified_gmt":"2016-11-07T23:17:32","slug":"can-heinz-catch-up-to-climate-change","status":"publish","type":"hck-submission","link":"https:\/\/d3.harvard.edu\/platform-rctom\/submission\/can-heinz-catch-up-to-climate-change\/","title":{"rendered":"Can Heinz Catch Up to Climate Change?"},"content":{"rendered":"<p><strong>Heinz Ketchup<\/strong><\/p>\n<p>\u201cAmerica\u2019s Favorite Ketchup\u201d is one of the most popular and recognizable condiments in the world, annually selling over 650 million bottles in 200 countries.<sup>1<\/sup> This eponymous brand of the H.J. Heinz Co. (now Kraft-Heinz), based in Pittsburgh, Pennsylvania, also holds one of the highest satisfaction scores among the food and beverage industry according to a recent American Consumer Satisfaction Index Poll.<sup>2<\/sup> However, the effects of global climate change are threatening to squeeze this ubiquitous product out of its enviable position. Not only are the raw materials of the product affected, but Heinz should also consider the overall energy cost and\u00a0long-term viability of producing\u00a0such a nutritionally deficient\u00a0food.<\/p>\n<figure id=\"attachment_11099\" aria-describedby=\"caption-attachment-11099\" style=\"width: 535px\" class=\"wp-caption alignright\"><a href=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Precip-1.gif\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-11099\" src=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Precip-1-300x225.gif\" alt=\"Precipitation Map\" width=\"535\" height=\"402\" srcset=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Precip-1-300x225.gif 300w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Precip-1-768x577.gif 768w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Precip-1-600x450.gif 600w\" sizes=\"auto, (max-width: 535px) 100vw, 535px\" \/><\/a><figcaption id=\"caption-attachment-11099\" class=\"wp-caption-text\">Precipitation Map<\/figcaption><\/figure>\n<p><strong>Crops and Climate Change<\/strong><\/p>\n<p>Ketchup relies first and foremost on the raw materials, namely tomatoes and high fructose corn syrup, needed to produce it. Unfortunately, global climate change affects the agricultural production of these two resources as well as several other mitigating factors. For one, the Earth\u2019s rising temperature has shifted rainfall patterns around the globe which results in\u00a0unpredictable weather systems\u00a0and severe droughts. California, as an example, had the driest year on record in 2015, and it also happens to be the number one producer of tomatoes in the US. To compound this issue, forecasts predict that \u201coverall demand for water may outstrip supply by 40%\u201d by 2030.<sup>3<\/sup> Drought can obviously affect plant yield and quality, but this negative effect is especially poignant in the case of tomatoes because\u00a0they require a relatively large volume of water for their size to ensure optimal growth.<sup>4<\/sup> Additionally, scientists blame rising sea levels and \u201can increase in the prevalence of hurricanes and other destructive weather events\u201d on the accumulation of greenhouse gases (GHG). This will affect all tomato producing regions, especially Florida, the number two tomato producer in the US. Another complication concerning changing weather patterns and rising temperatures is the potential for different pests and parasites to proliferate and attack crops in previously benign regions.<sup>3<\/sup> Rising temperatures can also \u201cheat stress\u201d tomatoes and limit their ability to create viable pollen which can lead to lower yields.<sup>4<\/sup><\/p>\n<p><strong>A Variety of Solutions <\/strong><\/p>\n<p>Heinz is proactive in addressing these effects of climate change and the imminent threat it poses to its most important resources. Using traditional breeding techniques, Heinz produces and continually refines the HeinzSeed which is a non-genetically modified hybrid seed that, according to Heinz, produces a higher yield, requires less water, and is more resistant to disease. In order to combat inefficiencies in the seed to plant transition, Heinz centralizes and initially manages the first growth stage of the tomatoes in the controlled environments of greenhouses so that only the best and healthiest seedlings are delivered to farmers. The company further saves on water usage by employing an innovative watering technique called drip irrigation. This style of irrigation, compared to the traditional furrow systems, uses a more precise system of water delivery that reduces water runoff and evaporation, uses less than 50% of water normally required, but still produces 30% more yields. In addition to these agricultural improvements, Heinz is limiting its carbon footprint by utilizing post-consumer recycled content and redesigning their bottles to minimize total overall weight by over 2500 tons per year.<sup>5<\/sup><\/p>\n<p><a href=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Heinz-chart.gif\"><img loading=\"lazy\" decoding=\"async\" class=\"wp-image-11097 alignleft\" src=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Heinz-chart-300x136.gif\" alt=\"heinz-chart\" width=\"636\" height=\"288\" srcset=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Heinz-chart-300x136.gif 300w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Heinz-chart-768x347.gif 768w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Heinz-chart-600x271.gif 600w\" sizes=\"auto, (max-width: 636px) 100vw, 636px\" \/><\/a><\/p>\n<p>Although Heinz has proactively addressed some of the problems or future concerns of climate change, there are still options available to ensure the long-term viability\u00a0of its raw materials and to minimize its carbon and environmental footprint. It would require a substantial capital investment, but the long-term benefits of a robust hydroponics infrastructure could mitigate almost all the above concerns addressed with climate change. Factors that are extremely variable and uncontrollable in a traditional agricultural setting can be precisely controlled using hydroponics which would result in higher yields and require no pesticides and minimal fertilizer. Natural sunlight could still be used and supplemented with light that could potentially be provided by solar panels. Hydroponic buildings can also use the vertical space to minimize land and soil usage. Water loss is also minimized.<sup>6<\/sup> To further save on water consumption, Heinz could also explore the recent findings of the Agricultural Research Service which found a nearly water free way to peel tomatoes. The new technique utilizes infrared energy to loosen and then peel the tomatoes without using the traditional method of water mixed with chemicals such as sodium or potassium hydroxide. Not only is less water consumed, but there are no water disposal or treatment costs.<sup>7<\/sup><\/p>\n<p><a href=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Infrared.png\"><img loading=\"lazy\" decoding=\"async\" class=\" wp-image-11098 aligncenter\" src=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Infrared-300x232.png\" alt=\"infrared\" width=\"576\" height=\"446\" srcset=\"https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Infrared-300x232.png 300w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Infrared-768x594.png 768w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Infrared-600x464.png 600w, https:\/\/d3.harvard.edu\/platform-rctom\/wp-content\/uploads\/sites\/4\/2016\/11\/Infrared.png 771w\" sizes=\"auto, (max-width: 576px) 100vw, 576px\" \/><\/a><\/p>\n<p>Climate change poses a legitimate threat to crops, especially Heinz\u2019s precious tomato because of its susceptibility to heat and its relatively large consumption of water. \u00a0However, Heinz Ketchup\u2019s commitment to sustainable energy and innovative agricultural techniques should position it well in the uncertain and unpredictable future of pending climate change. Heinz is going green (let\u2019s just not make the ketchup green again \u00e0 la EZ Squirt).<\/p>\n<p>Words: 797<\/p>\n<p>Written Sources:<\/p>\n<p><sup>1<\/sup> \u201cHeinz Products,\u201d Heinz Products website, <u><a href=\"http:\/\/www.heinz.com\/our-food\/products.aspx\">http:\/\/www.heinz.com\/our-food\/products.aspx<\/a><\/u>, accessed November 2016.<\/p>\n<p><sup>2<\/sup> \u201cBenchmarks By Company,\u201d American Customer Satisfaction Index website, <u><a href=\"http:\/\/www.theacsi.org\/index.php?option=com_content&amp;view=article&amp;id=149&amp;catid=&amp;Itemid=214&amp;c=H.J.+Heinz+&amp;i=Food+Manufacturing\">http:\/\/www.theacsi.org\/index.php?option=com_content&amp;view=article&amp;id=149&amp;catid=&amp;Itemid=214&amp;c=H.J.+Heinz+&amp;i=Food+Manufacturing<\/a><\/u>, accessed November 2016.<\/p>\n<p><sup>3<\/sup> Rebecca M. Henderson, Sophus A. Reinert, Polina Dekhtyar, and Amram Migdal, \u201cClimate Change in 2016: Implications for Business,\u201d HBS No. N2-317-032 (Boston: 性视界 Business School Publishing, 2016), p. 4.<\/p>\n<p><sup>4<\/sup>Walthall, C.L. et al, \u201cClimate Change and Agriculture in the United States: Effects and Adaptation,\u201d USDA Technical Bulletin 1935, February 2013, <u><a href=\"http:\/\/www.usda.gov\/oce\/climate_change\/effects_2012\/CC%20and%20Agriculture%20Report%20%2802-04-2013%29b.pdf\">http:\/\/www.usda.gov\/oce\/climate_change\/effects_2012\/CC%20and%20Agriculture%20Report%20%2802-04-2013%29b.pdf<\/a><\/u>, accessed November 2016.<\/p>\n<p><sup>5 <\/sup>\u201cHeinz &#8211; Sustainable Agriculture,\u201d\u00a0Heinz website, <u><a href=\"http:\/\/www.heinz.com\/sustainability\/supplychain\/sustainable-agriculture.aspx\">http:\/\/www.heinz.com\/sustainability\/supplychain\/sustainable-agriculture.aspx<\/a><\/u>, accessed November 2016.<\/p>\n<p><sup>6<\/sup> \u201cHydroponics,\u201d Mission 2015: Hydroponic Agriculture, <u><a href=\"http:\/\/web.mit.edu\/12.000\/www\/m2015\/2015\/hydro_agriculture.html\">http:\/\/web.mit.edu\/12.000\/www\/m2015\/2015\/hydro_agriculture.html<\/a><\/u>, accessed November 2016.<\/p>\n<p><sup>7<\/sup>Wood, Marcia, \u201cPeeling Roma Style Tomatoes the Eco-Friendly Way,\u201d <em>USDA ARS Online Magazine Vol. 63, No. 1<\/em>, January 2015, <u><a href=\"https:\/\/agresearchmag.ars.usda.gov\/2015\/jan\/tomatoes\">https:\/\/agresearchmag.ars.usda.gov\/2015\/jan\/tomatoes<\/a><\/u>, accessed November 2016.<\/p>\n<p>Image Sources (in order presented):<\/p>\n<p>Callery, Taylor, \u201cHeinz,\u201d <a href=\"http:\/\/www.globalyodel.com\/yodels\/heinz\">http:\/\/www.globalyodel.com\/yodels\/heinz<\/a>, accessed November 2016.<\/p>\n<p>\u201cPrecipitation Maps,\u201d Western Regional Climate Center,\u00a0<u><a href=\"http:\/\/www.wrcc.dri.edu\/precip.html\">http:\/\/www.wrcc.dri.edu\/precip.html<\/a><\/u>, accessed November 2016.<\/p>\n<p>\u201cHeinz &#8211; Sustainable Agriculture,\u201d\u00a0Heinz website, <u><a href=\"http:\/\/www.heinz.com\/sustainability\/supplychain\/sustainable-agriculture.aspx\">http:\/\/www.heinz.com\/sustainability\/supplychain\/sustainable-agriculture.aspx<\/a><\/u>, accessed November 2016.<\/p>\n<p>Li, Xuan, \u201cEfficient Infrared Heating for Tomato Peeling,\u201d Tech Briefs,\u00a0<u><a href=\"http:\/\/contest.techbriefs.com\/2010\/entries\/sustainable-technologies\/1094\">http:\/\/contest.techbriefs.com\/2010\/entries\/sustainable-technologies\/1094<\/a><\/u>, accessed November 2016.<\/p>\n<p>&nbsp;<\/p>\n","protected":false},"excerpt":{"rendered":"<p>Heinz Ketchup \u201cAmerica\u2019s Favorite Ketchup\u201d is one of the most popular and recognizable condiments in the world, annually selling over 650 million bottles in 200 countries.1 This eponymous brand of the H.J. Heinz Co. (now Kraft-Heinz), based in Pittsburgh, Pennsylvania, [&hellip;]<\/p>\n","protected":false},"author":1765,"featured_media":11126,"comment_status":"open","ping_status":"closed","template":"","categories":[],"class_list":["post-11125","hck-submission","type-hck-submission","status-publish","has-post-thumbnail","hentry"],"connected_submission_link":"https:\/\/d3.harvard.edu\/platform-rctom\/assignment\/climate-change-challenge-2016\/","yoast_head":"<!-- This site is optimized with the Yoast SEO plugin v27.3 - https:\/\/yoast.com\/product\/yoast-seo-wordpress\/ -->\n<title>Can Heinz Catch Up to Climate Change? - Technology and Operations Management<\/title>\n<meta name=\"robots\" content=\"index, follow, max-snippet:-1, max-image-preview:large, max-video-preview:-1\" \/>\n<link rel=\"canonical\" href=\"https:\/\/d3.harvard.edu\/platform-rctom\/submission\/can-heinz-catch-up-to-climate-change\/\" \/>\n<meta property=\"og:locale\" content=\"en_US\" \/>\n<meta property=\"og:type\" content=\"article\" \/>\n<meta property=\"og:title\" content=\"Can Heinz Catch Up to Climate Change? - Technology and Operations Management\" \/>\n<meta property=\"og:description\" content=\"Heinz Ketchup \u201cAmerica\u2019s Favorite Ketchup\u201d is one of the most popular and recognizable condiments in the world, annually selling over 650 million bottles in 200 countries.1 This eponymous brand of the H.J. Heinz Co. 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