PCG Worldwide Blog

Posts Tagged ‘lighting’

Productivity and the Economic Value of Lighting

Tuesday, October 25th, 2011

 Lighting is for people so that they can see and be productive. It follows, then, that lighting system improvements that increase worker productivity can yield a high return on investment. Consider, for instance, the cost associated with an employee. Assume that the direct costs of the employee, including wages, taxes and benefits, are $60,000 per year. This means that the employee is paid almost $29 per hour, based on 40 hours per week and 52 weeks per year. Normal lost time due to holidays, vacations and sick time are part of the benefits.

A typical office worker requires about 100sqft of dedicated space, mostly actual work area and access to it. Modern lighting systems consuming energy at the rate of 1.0 W/sqft or less, operating 3,500 hours per year (work time plus cleaning and other non-working hours) cost about $40 per worker per year to operate, including energy and maintenance. The annualized owning cost for a typical office lighting system costing about $2.50 per square foot is about $30 per year. In other words, the total cost of owning and operating the lighting system is about $70 per employee per year, or the same as about 2.1 hours of employee labor cost, or about 1/10 of 1% of annual productive work hours.

Based on these values, an improvement to an ordinary lighting system that increases employee productivity is very quickly amortized. A 1% improvement in productivity throughout the year would realize a benefit to the employer worth $600 (0.01 x $60,000). Investing $600 per employee in improved lighting, if it provided that small increase in productivity, would produce a 100% return on investment forever. A more modest investment of about $300 per employee would return 200% forever. For reference, a first-quality office chair costs $600-$900. The potential return on investment is substantial for well-designed lighting systems.

But there are also savings to be had from lighting systems which use less energy. How should productivity be maintained or even enhanced while reducing lighting energy use? In new systems, there are a variety of options including enhanced daylighting. For existing installations, doubling the cost of a typical lighting system retrofit enables the addition of dimming or other controls and an opportunity to utilize better performing and more attractive design options that minimize bad lighting.

LED Performance Improving

Tuesday, April 26th, 2011

Human nature being what it is, we’re often swayed by the latest and greatest technologies. In lighting, the new wunderkind for the last several years has been light-emitting diode (LED) systems. They have been improving at breakneck speed. Nevertheless, because of the nature of LED systems, they currently work better for certain applications than others. With careful research, facility managers can find solid-state lighting (SSL) solutions that best meet an organization’s needs. But to blindly believe LEDs (or any type of lighting) are a silver bullet might lead to disappointment.

The good news, say experts, is that reports of poor performance are beginning to dwindle, especially as lamps and drivers are increasingly engineered as a single system. Ongoing government testing and the industry’s concurrent push to standardize performance have also helped.

About three years ago, the U.S. Department of Energy (DOE) established its Commercially Available LED Product Evaluation and Reporting (CALiPER) testing program. The tests pit SSL options against conventional lighting sources over the course of several months, evaluating light distribution, photometry and more.

The tests have had variable results. Some recent statistics:

More than half the SSL products subjected to CALiPER long-term testing will not provide 70 percent of initial light output at 50,000 hours and already exhibit significant color shift within the duration of the CALiPER long-term operation.

About one-quarter of the SSL products would not pass a simple 1,000-hour operational test: that is, they do not last as long as a traditional incandescent lamp.

In the other extreme, a few products show negligible lumen depreciation after more than 12,000 hours of operation — demonstrating that the potential for very long SSL product life appears to be achievable.

“CALiPER is a wonderful source of information for those who are considering LED lighting,” says Lindsay Audin, president of Energywiz, Inc. Audin says he regularly uses DOE test results to watch for trends and highlight products that will work best for his clients.

-Loren Snyder, 2.11

Shine in a Perfect Storm of Opportunity – Energy Savings!

Thursday, August 26th, 2010

Demographic, cultural, and socioeconomic events are colliding to produce the biggest changes experienced in the US, Canada, and many developed countries. As the tide shifts, online social networking is causing lighting businesses to rethink and repackage their “add value” messages to win business, form strategic alliances, and even recruit and retain staff of all ages. Staff, clients, suppliers, partners and others are turning to their most trusted lighting advisors to help sort through, among other topics: enery rebates, EPAct, LEDs, CCFLs, sustainability and green innovations. The question is: “Will they turn to you?” Rita Murray, leading lighting authority on social networking uses provocative, lively, fact-filled multimedia to show you how to turn your lighting business sales challenges into waves of lighting opportunities with fact-filled and practical automated solutions.

• Top five demographic and cultural dangers affecting the lighting industry and how this information can be put to work for you immediately.
• Increase your lighting influence, income, and success by updating your online presence with tools that make you shine even on a shoestring budget.
• Catapult your lighting business into a new dimension with proven lighting energy programs and ideas you can use immediately to improve your bottom line.

Call 405.447.2977 to schedule a Go To Meeting or keynote.