Engagement 2016

January 6, 2017

CSPA convenes in Fort Lauderdale for annual meeting.

Diverse topics, spanning from global chemical regulations to local school cleaning programs, offered something for everyone at the Consumer Specialty Products Association (CSPA) annual meeting. “Engagement 2016” returned to the scenic Fort Lauderdale Harbor Beach Marriott from Dec. 5-7 where an assortment of division sessions and workshops connected marketers, retailers, formulators, researchers and other industry players to share ideas and information. The event also honored outgoing president Chris Cathcart’s 17 years of service to the association as well as the late Doug Fratz, a leading scientist and the longest-serving CSPA employee.

Extreme Efforts

The meeting kicked off with keynote speaker Alison Levine’s advice on “The Art of High Impact Leadership.” A world-renowned adventurer who served as the team captain of the first American Women’s Everest Expedition, she scaled the highest peak on every continent and skied to both the North and South Poles—an accomplishment known as the Adventure Grand Slam, which fewer than 40 people in the world have achieved. As leading speaker of Engagement 2016, she shared lessons learned from various scenarios and explained how they apply to business and beyond.

Levine’s advice is to not follow common business protocol: ignore the system and welcome mistakes. This credo has led Levine to The New York Times bestseller list for her book “On the Edge: Leadership Lessons from Mount Everest and Other Extreme Environments,” a business tome that translated her extreme adventure experiences into corporate leadership lessons. This know-how also extends to the military: from 2009 to 2013, she was an adjunct faculty member at West Point specializing in leading teams in extreme environments. Currently, she is a motivational speaker and emphasizes that although you can’t control the environment, you can manage how you react to it!

“Getting to the top is optional,” she told a packed room of CSPA meeting attendees. “It’s about the lessons you learn along the climb. Push yourself out of the comfort zone and give yourself freedom to fail! You may not be the best climber to get to the peak—just relentless in getting there! Remember, there will always be more mountains in the future.”

Honor Role

At the general session, representatives from the association’s 250 member companies re-elected William Auriemma, president and CEO of Diversified CPC International, Inc., as chairman.

“Bill Auriemma has done an outstanding job as board chair over the past year and our members look forward to his steady leadership as CSPA transitions to a new president and CEO,” said Cathcart, CSPA president and CEO, who retires this month. “Bill will be instrumental in working with my successor and with the innovative leaders on the board of directors to move our industry forward on public policy issues.” 

Also elected during the general session were the 2017 board officers and members to the board for terms expiring in 2019. CSPA officers are elected by active members and serve a term of one year. 

The Charles E. Allderdice, Jr., Memorial Award was presented posthumously to D. Douglas Fratz. The award is given annually to an industry leader who has made outstanding contributions to the consumer specialty products industry. With CSPA for 36 years, Fratz managed corporate advocacy efforts with government regulators and non-governmental organizations on aerosol and air quality issues. He died suddenly on Sept. 27 at Holy Cross Hospital in Silver Spring, MD.

Cathcart said Fratz’s ability to distill critical information on policies affecting consumer products was unsurpassed. 

“We could always count on Doug to quickly analyze policy proposals and to lead the aerosol industry forward,” he said. “He was respected by aerosol industry leaders worldwide for his deep knowledge of issues and he was admired by everyone for his generosity of spirit.”

Fratz joined CSPA in 1980 as associate director of scientific affairs. Most recently, as the association’s senior science fellow, he managed the work of hundreds of technical representatives serving on a dozen committees and task groups focused on safety, health and environmental issues related to aerosols. In 2009, he began a project to catalog all the chemicals used in consumer and institutional products. That list eventually became the Consumer Product Ingredients Dictionary, now in its third edition and used as a reference in laboratories worldwide.

Meanwhile, the Chairman’s Award went to Robin Gentz, director of Government Affairs for North America at The Clorox Company.

Gentz was honored for her leadership in the consumer packaged goods industry and for her service on numerous CSPA committees, task forces and working groups for the past several decades. She has chaired or co-chaired the association’s State Government Affairs Advisory Committee for 16 years. 

“Robin personifies collaboration and engagement, consistently encouraging others to get involved in association activities and to work cooperatively for the industry,” said Auriemma. “We can always count on her to represent industry’s best interests.”

Gentz joined Clorox in 1978. She directs, formulates and leads government affairs public policy issues management at the local, regional, state and federal levels on proposed legislative and regulatory initiatives. 

State of the Association

It’s been a banner year for CSPA, said Cathcart in his final “State of the Association” report. This year, the association engaged the consulting firm McKinley Advisors in a “long term strategic planning process” for the future. The study showed that CSPA’s advocacy efforts are successful due to its collaboration with a sundry group of stakeholders and a high membership retention rate.

“Our diversity continues to be our strength,” said Cathcart. “This was demonstrated in a number of efforts we undertook on behalf of our members this year.” 

And 2016 was indeed productive for members of CSPA, some were even at the White House when modernization of the Toxic Substances Control Act (TSCA) finally became a reality. Once again, the association earned the Partner of the Year Award from the EPA’s Safer Choice Program. In the face of a public health crisis, CSPA also worked with the Environmental Protection Agency (EPA) to provide guidance on insect repellents effective against the Zika virus as well as organizing corporate donations to the Centers for Disease Control (CDC) for Zika Prevention Kits. And, CSPA led the Pesticide Registration Improvement Acts (PRIA) Coalition, a consortium of trade associations, non-government organizations and state government officials to agreement on developing pesticide registrations. 

“As I look ahead to 2017, I believe the association is well positioned for a new administration, a new Congress and for your incoming CSPA president,” said Cathcart. “We have a strong organization with excellent affiliate programs and are well-respected in both federal and state agencies. However, our future challenges will undoubtedly come from advocacy groups at the state level seeking more ingredient communication and chemical use restrictions. We are staffed for this, but will need to keep a close eye on resourcing.” 

He continued, “As I complete my tenure with CSPA, I want to thank all of the hundreds of member volunteers, the board members and the staff who have made these 17 years possible for me. I have always felt CSPA is an association that successfully ‘plays above its position’ and I am grateful to have had a part in its success.” 

Upon his retirement, Cathcart plans to spend more time with his family, enjoy sailing and motorcycling and pursue volunteer interests with the National Air & Space Museum and Angel Flight. 

He joined CSPA as its president in January of 2000. During his tenure at the association, Cathcart initiated the formation of Product Care, the industry’s product stewardship program; the founding of the Alliance for Consumer Education, the association’s non-profit educational foundation for which he is a member of the Board of Trustees and serves as secretary; and established the Association’s Air Care Division, which represents air fresheners and other air care products. 

Cathcart serves in various other capacities within the industry, including as president of the Association’s insurance company, Consumer Specialties Insurance Company (CSI). Under his leadership, CSI has doubled its number of insured. He is also on the board of directors and secretary of the Consumer Aerosol Products Council and is a board member of the Canadian Consumer Specialty Products Association.

Prior to joining CSPA, Cathcart worked for the National Association of Chemical Distributors, beginning in March of 1992 as vice president and general manager. He was named executive vice president in September of 1993, and president and chief operating officer in 1998. From 1990 to 1992, he served as president of the Hazardous Materials Advisory Council, and from 1981 to 1990 he served in various management positions with the Chemical Manufacturers Association, now known as the American Chemistry Council. From 1974 to 1981, he served in both military and civilian government positions.

“We are grateful for the many contributions that Chris Cathcart has made to the consumer and institutional products industry as president and CEO of CSPA for the past 17 years,” noted Auriemma. “He is the consummate professional who has led a strong and successful association that is recognized nationally for its willingness to collaborate on challenging policy issues. He leaves behind an impressive legacy.”

Worldwide Impact

CSPA also monitors global issues—such as the recent Brexit decision and Asian export regulations. The International Affairs Advisory Committee met to discuss “The Brexit Impact & Different Forms of Asia REACH (Registration, Evaluation, Authorization and Restriction of Chemicals).” 

Overall, there is a cloud of uncertainty around Brexit—the UK’s split from the European Union—as well as confusion about how it may impact the chemical industry, both in the UK and EU, and industry experts agree it’s going to take more than a few years for the dust to settle on this big decision. Until then, both marketers and formulators should pay attention to the varied forms of chemical regulation in Asia. 

Robert Kiefer, general manager, REACH24H Consulting, led the discussion and also had a cabana in the outdoor networking portion of the conference to share updated information on Asia REACH. According to Kiefer, there is a lot of crucial information for formulators involving the Asian region. For example, the “Taiwan inventory” as well as “Thailand inventory” are both important, he told Happi. 

Thailand is developing a national chemical inventory similar to other countries and a REACH-like registration scheme (Thailand REACH) for new chemical substances and priority existing chemical substances. The Thailand Department of Industrial Works (DIW) released a preliminary inventory of existing chemical substances in August 2016 and combined the hazardous substance list and the latest hazardous chemical notification list, among other items. The existing chemical nominations were closed on Dec. 31, 2016. After the closure of nomination, chemicals not listed on the existing chemical inventory are considered to be new, and a notification is required. 

With Thailand REACH, the regulatory requirements for hazardous substances in the national chemical inventory almost remain unchanged (for example, notification of production/import volume, hazards, licenses based on different hazardous substance types). The only difference is that chemical substances in the inventory must be screened.

Taiwan’s new and existing chemical substances registration under TCSCA/OSHA is another important new chemical regulation that imitates EU REACH regulations. 

However, despite many similarities, Taiwan TCSCA and EU REACH are different in many aspects. The EU REACH regulates articles by “substances of very high concern” (SVHC) list SVHC list and restricted substances list while Taiwan requires companies to apply for permits or approval for toxic chemical substances.

Under the regulation of China REACH, notification bodies (manufacturers or importers of new substance in China, or foreign companies selling new substance to China) must submit new chemical substance notification dossier to Chemical Registration Center (CRC) of MEP for new chemical substances which are not listed on Inventory of Existing Chemical Substance in China (IECSC) before they enter into Chinese Market, otherwise there will be strict penalties imposed for non-compliance.

Since its implementation, MEP Order 7 (China NCSN) has been receiving greater attention. Non-Chinese exporters (including Hong Kong, Macau and Taiwan) are not allowed to register directly but rather required to appoint a China-based representative to complete the registration.

In Korea, the Act on Registration and Evaluation of Chemicals of Korea (also known as K-REACH) was passed on April  30, 2013 and fully came into force on Jan. 1, 2015. It is regarded as the first REACH-style chemical regulation adopted in an Asian country. K-REACH manages new chemical substances, existing chemical substances and downstream products by prescribing the requirements for registration, hazard evaluation and risk assessment. It uses the only representative (OR) concept and allows non-Korean companies to register through an OR on their behalf. The Ministry of Environment (MoE) is responsible for the registration and evaluation of chemical substances under K-REACH.

Stateside Advancements

What do schools and sports teams have in common? (Un)Common Partnerships, according to CSPA, as more and more consumer and institutional products companies are teaming up to advance sustainability in homes, schools and sports. Retired Edmonton Oiler Andrew Ference, a Stanley Cup champion, is known as an “eco athlete” and is leading a movement to make sports greener. 

“In regards to uncommon partnerships, for a hockey player to be a room like this, it’s a pretty good start,” he joked about his participation in the CSPA annual meeting.

In 2007, Ference established the NHL Players Association Carbon Neutral Challenge, the first major environmental initiative in professional hockey. Through this initiative, he encouraged more than 500 players to go carbon neutral, creating a cultural shift across the league, he said. 

This year, Ference received the 2016 Environmental Leadership Award from the Green Sports Alliance and joined the Green Sports Alliance’s board of directors. The Green Sports Alliance is a collaboration of more than 300 sports teams and venues from 14 countries and 20 sports leagues. It offers a Green Cleaning Playbook guide to help sports venue operators develop a greener cleaning program as well as an online “greening advisor” with special sections for the MLB, NBA, NFL and USTA, to name a few.

“It makes a big difference in the bottom line,” said Ference about the alliance. “It’s rarely the environmental narrative that leads it but the business angle.”

The Green Cleaning Network is another unit that promotes environmentally responsible formulation and packaging. The network aims to bring together and facilitate the sharing of information among a wide spectrum including schools and universities, healthcare facilities, government and commercial office buildings and others.

Rochelle Davis, president and CEO of the Healthy Schools Campaign, was present to discuss this growing connection. According to Davis, her group is also working as a link between suppliers and institutions to provide education on smart methods of keeping sanitary. For example, finding solutions to remove graffiti from walls. Davis commended the diversity of certification programs such as Green Seal, UL ECOLOGO and the EPA’s Safer Choice program. She recommends the website Greencleanschools.org, which offers five steps to green cleaning: prepare the school, identify green cleaning products, introduce green equipment and supplies, adopt green cleaning and training procedures and share the responsibility. There are almost 300 recommended products in the Green Clean Schools Product Directory online. 

“Education is the great equalizer,” she said, noting that her organization’s involvement with CSPA has helped both leverage knowledge and support the mission of cleaner schools.

Air Supply

Aerosol spray will be the most dynamic closure type for beauty and personal care to 2020, thanks to its wide usage across all beauty categories, according to data from Euromonitor International. By 2020, it is set to grow by 21% in volumes and reach five billion units by the end of the period. 

However, surface care, driven almost exclusively by North America, is experiencing slight declines as many brands switch to non-aerosol formulations and as a result, switch from aerosol spray closures to trigger closures. 

One of the quandaries facing both ingredient and formulation designers is proving more sustainable solutions within the fragrance realm. 

According to Patrick Foley, chief science officer of P2 Science, in regards to future trends in air care products, “The technical challenges that formulators face are diverse and evolving as product applications continue to evolve and pressure is placed simultaneously on performance, safety, sustainability, convenience and cost across the board.”

In air care, for example, there are a number of delivery mechanisms being used such as aerosols, gels and candles; just as there are a number of different environments to be served, he noted. 

“These considerations alone make the formulators’ job extremely involved. Add to this regulatory, safety and sustainability demands, not to mention regional preferences, and you really have your work cut out for you,” he said. “With all of this said, the innovation in air care has been exceptional.”

Foley observed that consumers want their products to work “fast and be uncomplicated.” On the aroma side, innovation is always the trend, he added. 

“There is a huge amount of R&D going into fermentation and biorefining technologies that is allowing for nature identical and/or biorenewable molecules to be accessed at a reasonable price point. These molecules are often more sophisticated, more sustainable, and/or safer from a toxicity standpoint. Those are a lot of exciting wins to be had, given rising customer expectations and increased regulatory scrutiny,” concluded Foley. “I think the industry has its eyes wide open to this phenomenon and is doing everything it can to accelerate adoption of the best ingredients.”• 

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