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Philips Gives Back

A Brighter Future for Dallas Independent School District

Prepared For:
The Dallas Chamber of Commerce
Business Gives Back Competition 2015

Prepared By:
Matthew Goodrich
Mesia Reed
Richard Tran

April 10th, 2015

Kyle Krupala
Ami Shah
Rudy Zolezzi

PHILIPS GIVES BACK

Table of Contents
Introduction ................................................................................................................................ 3
Background ................................................................................................................................. 3
Proposal ...................................................................................................................................... 4
Staffing ....................................................................................................................................... 5
Financials .................................................................................................................................... 6
Authorization .............................................................................................................................. 8
Targeted Questions and Answers................................................................................................. 9
Sources ..................................................................................................................................... 10

PHILIPS GIVES BACK

Introduction
Who We Are
Here at Philips, we strive to provide our customers with the highest quality products in
order to receive the highest satisfaction possible. Thats why our mission statement is: Improving
peoples lives through meaningful innovation (Vision and Strategy, 2015). We want our work
and our products to be worth our customers time and money. We want to be proud of what
weve done and know weve accomplished a better purpose than just making a profit.
As a company, one key factor we make sure we do not overlook is our impact on the
environment. Energy and green products are a rapidly growing sector in todays economy and we
strive to build upon these ideas of a green company. As Jim Andrew, Chairman of the
Sustainability Board and Philips Chief Strategy & Innovation Officer stated in 2013, our five
year 25% carbon reduction goal was met (Philips Green Products, 2013). We only strive to
continue down this path, which is evident through the implications of our proposal that is being
presented today. As a result of this proposal, thousands upon thousands of individuals in the
Dallas area will be affected and be able to see the benefits.
Our company, Philips, is implementing a green initiative project to help DISD schools
integrate improved electricity efficiency, at a discounted price, while providing increased student
performance and modern lighting.
Our Idea
Our proposal for you is simple. We would like to switch all of the light bulbs in Anne
Frank Elementary school from fluorescent light bulbs to high energy efficient LED light bulbs.
There are nearly 2,000 bulbs just in the classrooms of the school, and by switching them to more
eco-friendly ones, we can begin making an impact in the Dallas area for years to come (Khan,
2015). The benefits of switching are enormous and there is a lot of potential for expansion, just
in the Dallas Independent School District alone. Through the mere task of switching light bulbs,
we believe we can help improve the quality of life for those who live in Dallas overall.

Background
The Green Initiative
The green initiative, also known as going green, has become increasingly popular over
the last decade. As a result, it is receiving more attention from the general public and
government. The changing climate, combined with an increased concern for health and well
being, is the reason why this issue has grown so much. Everyone wants and should be able to
take a step towards a cleaner healthier life. One way we can go green in Dallas is to convert
fluorescent bulbs to LED bulbs in the Dallas Independent School District.
LED, also referred to as light emitting diode, is a type of light bulb technology that has
been on the rise over the past decade. LEDs are used in everyday life such as digital clocks and
traffic lights (Layton, n.d.). The point is, LEDs are all over and there is no plan for them to
disappear anytime soon. LEDs are known for being more efficient than incandescent light bulbs.
The energy efficiency comes from the lower wattage required by each LED bulb.
There are many reasons why we didnt choose LED bulbs over the cheaper alternative of
compact fluorescent lights bulbs, or CFLs. There are some significant differences between LEDS
and CFLs and their impact on the environment. Fluorescent light bulbs have a very toxic
chemical in them, mercury. Fluorescent bulbs are also not the most durable of bulbs, therefore
any significant agitation or breakage to the bulb could cause leakage of mercury. Whereas, LEDs

PHILIPS GIVES BACK

are the sturdiest of bulbs and can typically handle light jarring and bumping without receiving
any damage to the bulb (Compare, n.d.). Not only is mercury harmful to the environment, but if
exposed to the human body it can have a harmful impact on the individual. In addition,
fluorescent bulbs also use about twice as much energy and produce almost two and a half times
the amount of carbon dioxide emissions as LED bulbs (Compare, n.d.).
Benefits of Switching
There are many positive benefits that go along with switching from traditional light bulbs
to eco-friendly ones. Financially, the amount spent on electricity per year would decrease
significantly. Philips LED T8 Bulbs are 14.5 W, but are comparable to the 32 W traditional
fluorescent bulbs (Energy Efficiency of the Philips 434605 at Enervee, n.d.). Although the LED
bulbs are more expensive than fluorescent bulbs at the time of purchase, electrical costs would
not be nearly as high in the long run.
LED bulbs are also eco-friendly. For instance, the Philips LED T8 Bulbs have no
ultraviolet or infrared radiation and no mercury. In addition, they save more than 40% of energy
in comparison to the traditional, fluorescent bulbs that is currently in use in Dallas ISD schools
(Why InstaFit?, n.d.).
Enervee is an integrated product commendation platform for energy efficient products
that connects retailers, manufacturers, governments and utilities. According to the site, if in the
United States, all 2 billion light bulbs that were purchased were Philips LED T8 light bulbs, we
would save 78.7 billion dollars in electrical costs and reduce carbon dioxide emissions by
roughly 1.3 trillion tons (Energy Efficiency of the Philips 434605 at Enervee, n.d.).
In addition, research from LightingEurope, prepared by the German Electrical and
Electronic Manufacturers Association, finds evidence that LED bulbs also present health
benefits. Some of the potential health benefits include: increased employee or student
motivation, improved concentration and energy, mood support in wellness and dining areas,
reduced therapy times, and enhanced drug efficacy (Thorpe, 2014).
There are some schools in Denver, Colorado that have already implemented high
efficiency lighting in classroom and the effects were undeniable. The students claimed that their
school has become surprisingly pleasant and that the atmosphere is much lighter than it was
before the new lights were installed (Gronbeck, 2013).

Proposal
Anne Frank Elementary
Anne Frank Elementary contains roughly 40 classrooms and educates over one thousand
eager students. It serves as a perfect model for the future implementation of green illumination
across all school districts. The current light bulbs that Dallas ISD uses are the Sylvania
Fluorescent T8 bulbs. These last on average 25,000 hours, which is roughly 6.85 years if used 10
hours a day. Although these bulbs are inexpensive at $3.50 each, they release small amounts of
carbon dioxide, ultraviolet and infrared radiation in the air (32 Watt, 2015).
The Philips LED T8 bulbs last on average 50,000 hours, which is roughly 13.7 years if
used 10 hours a day. Thats twice as much as the fluorescent lights currently in use. Employees
at Anne Frank Elementary wouldnt have to purchase or replace the light bulbs as often as they
have been in the past. More importantly, the LED bulbs would not release any carbon dioxide,
ultraviolet or infrared radiation in the air, making the environment safer for those who frequently
attend or visit Anne Frank Elementary School.

PHILIPS GIVES BACK

If we were to replace all of the current bulbs in Anne Frank Elementary with Philips LED
T8 bulbs, the school will not only standout in its efficiency ratings but also in a step towards a
brighter future.

The Role Philips Plays


In order to give back, Philips is providing a discount to Dallas ISD for the new Philips
LED bulbs. The Philips LED T8 bulbs, originally $20 each, will be offered with a 20% off
discount for Dallas ISD. After the discount has been taken into effect, each LED bulb will cost
$16.
However, Philips will only provide the discount in exchange for the old fluorescent bulbs
currently in use at the school. After the exchange has been completed, the school will have saved
20% on the conversion from fluorescent to LED bulbs, and Philips will have nearly 2000
fluorescent bulbs. Philips will then donate these fluorescent bulbs to other schools, in Dallas ISD
or even other school districts which are low income.

Staffing
Administrative Responsibilities
The administrative staff at Anne Frank Elementary is responsible for the purchasing of
the schools materials, including light bulbs. If approved, this proposal would require the
administrative staff to stop ordering the current Sylvania T8 bulbs they are using, and begin
ordering the Philips LED T8 bulbs.
Following the completion of the project, the Dallas Chamber of Commerce would check
back with the administrative staff along with the maintenance staff after the school year has
begun, on September 1, 2015.
Logistics
In order to physically switch all of the light bulbs from fluorescent to LED light bulbs in
Anne Frank Elementary, we would need the help of the custodial staff of the school. According
to Aijaz Khan, Energy Manager for Dallas Independent School District, there are 40 classrooms,
with 12 fixtures per classroom, and each fixture contains 4 bulbs (Khan, 2015). If you multiply
40 classrooms by 12 fixtures by 4 bulbs, that would give us a total of 1,920 bulbs in each
elementary school.

PHILIPS GIVES BACK

Fortunately, Philips makes upgrading to LED easy. The Philips LED T8 bulb fits into
existing linear fluorescent fixtures without any extra effort and utilize the existing ballasts, thus
requiring no rewiring upon installation (Why InstaFit?, n.d.).
Hypothetically speaking, it takes one person five minutes to switch the bulbs in each light
fixture (that holds four bulbs), that means that one person can switch twelve fixtures in one
single hour. If we wanted to make the switch entirely in one day over the summer, then we
could. It would take five members of the custodial staff of Anne Frank Elementary to remove
and replace all of the classrooms light bulbs in a single eight-hour work day in July of 2015.

Financials
Budget
The regular fluorescent T8 bulb is priced at $3.50 and is the bulb that Anne Frank is
currently using (32 Watt, 2015). Philips would like to replace these bulbs with the Philips LED
T8 Tube that is priced at $16. This value is reduced from $20 after the 20% discount Philips will
provide to Dallas ISD.

According to our calculations, there are approximately 40 classrooms in Anne Frank


Elementary, with 12 light fixtures in each classroom, and within those fixtures there are 4 light
bulbs in each. That brings us to a total of 1,920 light bulbs that need to be converted from
fluorescent to LED. Therefore, it would cost the school approximately $30,720 to replace all the
bulbs at once. Philips will be saving DISD $7,680 by providing the discount for the school.

PHILIPS GIVES BACK

Savings
After the initial investment has been made, Anne Frank Elementary will be saving on
electricity costs. In one month with the implementation of the new bulbs will save the school
$625.45. During the duration of the year, the school will be able to save $7,505.45. Given a 20
year period of having the original bulb, Philips will be saving the school $88,992, which includes
the cost of replacing the light bulbs one additional time, around year 14 when the first set burns
out (Energy Efficiency of the Philips 434605 at Enervee, n.d.).
These 20 year calculations include the cost of replacing the LED bulbs again in year 14.
Our investment would provide us a break even on cost in 4.09 years, or without discount in 5.12
years (Energy Efficiency of the Philips 434605 at Enervee, n.d.).

Expansion
The potential of expansion of this proposal, if implemented, is great. There are exactly
151 elementary schools in Dallas Independent School District today. Assuming the schools are
all of similar size to Anne Frank, we would save $13,437,792 million, net of all costs, in 20
years. These costs include the purchase of the Philips LED T8 bulbs one more time in year 14,
around the time we expect the first set of bulbs to burn out.
Philips would be saving Dallas ISD $1,159,680 by providing this discount for all the
elementary schools if every school decided to switch from fluorescent T8 to LED T8 bulbs.

PHILIPS GIVES BACK

Authorization
The Dallas Chamber of Commerce hereby authorizes Philips Gives Back to proceed with
their proposal, as presented on March 30, 2015. The Chamber of Commerce will agree to
increase Anne Frank Elementary School budget for light bulbs in the amount of $30,720, as per
the proposal. The Chamber of Commerce will also agree to remit funding for the project on July
1, 2015, and will follow up with administrative and maintenance staff at the school to ensure the
proposal was followed correctly.
Notarized Authorization Signatures
Dallas Chamber of Commerce

Printed Name

Signature

Date

Signature

Date

Signature

Date

Signature

Date

Signature

Date

Signature

Date

Signature

Date

Philips Gives Back Team

Mathew Goodrich

Kyle Krupala

Mesia Reed

Ami Shah

Richard Tran

Rodolfo Zolezzi

PHILIPS GIVES BACK

Targeted Questions and Answers


What are we asking of the Dallas Chamber of Commerce?
In summary, we are asking the Dallas Chamber of Commerce to approve a increase in
Anne Frank Elementary Schools budget for light bulbs and provide a contribution to the school
in the amount of $30,720. This initial investment, although it appears steep, will break even in
only 4 years and begin saving the school thousands and thousands of dollars in the long run in
electricity costs.
Is there a variance or difference in brightness?
Yes, there is a slight variance or difference in the brightness of the LED bulbs in
comparison to the fluorescent bulbs; however, it would not be noticeable in the classrooms of
Anne Frank Elementary. An LED T8 bulb emits 110 lumens/watt, whereas a fluorescent T8 bulb
emits 87.5 lumens/watt (32 Watt, n.d.). Although this seems like a significant difference,
students and employees in Anne Frank Elementary would not be able to tell because the
classrooms are small and the light from the LED bulbs do not have to travel very far. If we were
switching the bulbs in a stadium or larger area, the variance in brightness between the bulbs
would be much more obvious.
What would Philips do if the school receives damaged or defective LED bulbs?
Philips strives to keep their customers happy. In order to do so, Philips has a five-year
guarantee on their light bulbs. If, at any time, the school has a broken bulb, they can exchange it
for a new one at no cost from Philips. It does not matter whose fault the broken bulb is, Philips
will honor the guarantee regardless.
Why is this method of going green better than other options out there?
There is no perfect way of going green. However, here at Philips, we believe our biggest
impact on the green movement would be seen through the products we made especially for it. By
switching from fluorescent T8 bulbs to LED T8 bulbs in the Dallas Independent School District,
we would not only be helping the environment and the health of those in the Dallas area, but we
would be saving Dallas taxpayers millions of dollars in the process.
So why havent we done this before?
The reason why our economy hasnt already switched as a whole to a more eco-friendly
nation can be justified through many different means whether it be economical, governmental,
and many others. However, the real truth behind our reason for inaction can be found in the
culture of America itself.
Americans lack one key quality as a culture and that quality is long-term orientation or
pragmatism (What About China?, 2015). Americans are generally skeptics when it comes to
everyday life, which is in many cases a good thing because eventually you will typically make
the right decision. However, the problem with this is that eventually going green is not
something this generation of Americans care enough to do.
Yes, there is a rather large initial investment that tends to scare people off. However,
when the big picture is laid out to you going green is in fact beneficial not only to our
economy but also to our everyday life. Many other countries, in addition to the United States,
itself have capitalized on many of the benefits of switching to green energy over the years (What
About China?, 2015).

PHILIPS GIVES BACK

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Sources
32 Watt 48" T8 Bi-Pin Base 4100K Cool White. (n.d.). Retrieved April 9, 2015, from
http://www.elightbulbs.com/Sylvania-21999-FO32-741-ECO-Straight-T8-FluorescentTube
Compare: LED Lights vs CFL vs Incandescent Lighting Chart. (n.d.). Retrieved March 25, 2015,
from http://www.designrecycleinc.com/led comp chart.html
Energy Efficiency of the Philips 434605 at Enervee. (n.d.). Retrieved April 9, 2015, from
http://enervee.com/lightbulbs/130984449_philips-434605
Gronbeck, Mhttps://www.dropbox.com/s/iof7ulcc7hw2uhn/Proposal.pdf?dl=0n.d.). LED
Classroom Lighting Improves Childrens Education. Retrieved April 9, 2015, from
http://newswire.net/newsroom/pr/00071697-classroomlighting.pdf
Khan, A. (2015, March 24). Personal Interview.
Layton, J. (n.d.). How LED Light Bulbs Work. Retrieved March 25, 2015, from
http://science.howstuffworks.com/environmental/green-tech/sustainable/led-lightbulb.htm
Philips' Green Products Make up Almost Half of Total Sales. (2013, February 28). Retrieved
April 10, 2015, from http://www.theclimategroup.org/what-we-do/news-andblogs/philips-green-products-make-up-almost-half-of-total-sales-1/
Thorpe, D. (2014, August 11). Switching to LED Lighting: The Health, Financial and
Environmental Benefits. Retrieved March 25, 2015, from
http://sustainablecitiescollective.com/david-thorpe/315416/switching-led-lighting-healthfinancial-and-environmental-benefits
What About China? (n.d.). Retrieved March 25, 2015, from http://geert-hofstede.com/china.html
Why InstantFit? (n.d.). Retrieveed March 25, 2015, from
http://www.lighting.philips.com/us_en/lightcommunity/trends/tled/why-instantfit.wpd
Vision and Strategy. (2015, March 25). Retrieved April 9, 2015, from
http://www.usa.philips.com/about/company/missionandvisionvaluesandstrategy/index.pa
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