Dow Chemical Company (A): The WRAP Program
Summary
This case study abstract describes the development of Dow Chemical's WRAP (Waste Reduction Always Pays) program at its Louisiana Division. Originating from a 1981 energy contest to secure capital during oil price shocks, the program evolved to target waste reduction and yield improvement. Driven by internal cost-saving goals and external pressures from a 1985 congressional inquiry and environmental groups, WRAP implemented a system of capital rewards for projects meeting specific ROI and savings thresholds.
Key insights
- The WRAP (Waste Reduction Always Pays) program was established to provide economic benefits to the company by reducing pollution in production processes, resulting in major cost improvements and reduced pollution levels while influencing company culture.
- The WRAP program evolved from an energy contest initiated in 1981 by the Louisiana Division to secure small-scale capital investments (initially $10,000 to $200,000) during a period of oil price shocks and corporate financial conservation. The program later expanded to include yield improvement and waste reduction, eventually becoming known as Energy/WRAP.
- Between 1987 and 1992, the composition of winning projects shifted; energy-based projects decreased from 90 to 74, while WRAP projects increased to 54 by 1992.
- Financial requirements for project qualification changed over time: the initial required return on investment (ROI) of at least 100% was later lowered to 30%, with a minimum savings requirement of $10,000.
- The implementation of WRAP in 1986 and 1987 was influenced by external pressures, including a 1985 congressional committee request for an emissions summary, pressure from environmental groups, and the development of SARA Title III reporting requirements.
Cite the original document
- APA
- World Resources Institute (n.d.). Dow Chemical Company (A): The WRAP Program. https://pdf.wri.org/bell/abstracts/case_1-56973-140-3_abstract_version_a_english.pdf
- Chicago
- World Resources Institute. Dow Chemical Company (A): The WRAP Program. n.d. https://pdf.wri.org/bell/abstracts/case_1-56973-140-3_abstract_version_a_english.pdf.
- Wikipedia
- {{cite report |author=World Resources Institute |title=Dow Chemical Company (A): The WRAP Program |url=https://pdf.wri.org/bell/abstracts/case_1-56973-140-3_abstract_version_a_english.pdf |access-date=17 August 2026 |via=Climate Insights Directory}}
- BibTeX
- @techreport{worldresourcesinstitutenddow, author = {{World Resources Institute}}, title = {{Dow Chemical Company (A): The WRAP Program}}, institution = {World Resources Institute}, url = {https://pdf.wri.org/bell/abstracts/case_1-56973-140-3_abstract_version_a_english.pdf}, urldate = {2026-08-17}, note = {Indexed by Climate Insights Directory} }
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