Clayton, Dubilier & Rice – Sarah Stern – 2012

Goals 

Sarah Stern was paired with Clayton, Dubilier & Rice, a private investment firm with approximately $13 billion under management and sixteen active portfolio companies, to evaluate energy efficiency opportunities in its portfolio.

Solutions

After an initial assessment of all 16 companies, three companies were identified for further analysis because they seemed to have high potential for improving energy efficiency. 

Sarah also created a tool – “The CD&R Energy Efficiency Playbook” – to help portfolio company facilities managers identify and evaluate energy efficiency projects on their own.

Potential Impact

Stern’s analysis identified opportunities for lighting upgrades and demand response programs, with potential annual savings of nearly $600,000 across the three companies. 

At one company, Stern identified a pilot project at one facility that revealed $50,000 of annual savings on an investment of $75,000, or a 1.5 year payback. A survey of the company’s facilities showed that more than a third of its nearly 100 warehouses could implement similar projects, suggesting potential annual savings of more than $500,000, five million kilowatt hours, and 3,500 tons of carbon dioxide emissions – the same as taking nearly 700 passenger vehicles off the road.