Human civilisation has been treated to harrowing events recently. Learning from hardships, pitfalls and short-sightedness is a great way to make the best of hard times. The manufacturing industry is rebounding from supply chain issues, which makes now an ideal moment to study what’s been going wrong and prevent similar situations in the future. Sustainability in manufacturing is the answer to recovery because it’s equally good for business outcomes and the planet. Here are several reasons why it’s essential for the supply chain right now.
The Consumer Class Is Growing Quickly
The word “sustainability” means doing something in a manner that won’t have to change much through the years to stay stable — or remain possible.
For example, some people say topsoil management has not been done in a way that guarantees successful crops beyond a few decades from now. This is forcing a change in the agricultural community’s methods to feed the globe. It’s not enough just to meet quotas or make ends meet today — people need more deliberate planning for the future in every aspect of manufacturing, from agriculture to general manufacturing.
Manufacturing must commit to sustainability alongside agriculture because its methods and chosen materials can’t keep producing at their current levels beyond the next few years if things don’t change. The consumer class could reach 5.2 billion people by 2030. It’s possible to chase customer dollars this generation without forsaking future generations — or profitability — but it requires a sustainable mindset.
Climate Risks Are Risks to Profitability
There is a clear business case for shaping one’s company around sustainability and ecology-mindedness. To put it simply, risks to the climate are risks to profitability.
In fact, nations and companies are beginning to reveal how many ways corporate activities are impacted by changing climates and inequitably distributed resources. The United Nations has noted how worsening natural disasters have stifled economic recovery in the Philippines following the coronavirus pandemic.
In these uncertain times, companies should assert control over the factors within their grasp. That starts by realising how all industries impact climate change and resource degradation — which in turn causes risk exposure for those same businesses.
Close the loop and recognise where accountability needs to happen. Then, use the productivity, profitability and resource-saving benefits of sustainability to get out of the financial rut of the last few years.
Sustainability Means Doing More With Less
The supply chain is reeling because several unanticipated factors forced manufacturers and suppliers to maintain operations or even scale up their operations with faltering supplies of materials, work, and time. These disruptions included a barely over global pandemic and ongoing struggles to fill open positions with the available labor.
The Organisation for Economic Co-operation and Development (OECD) wants the business community to understand the fragilities of the global supply chain demonstrated by COVID-19 are an indication of things to come. The fallout from COVID-19 underscores why sustainability and climate resilience were becoming top priorities among decision-makers even before the outbreak.
The goals of just-in-time manufacturing dovetail perfectly with the goals of maximising sustainability for the planet, including:
- Designing products requiring less energy and raw material to fabricate.
- Reconfiguring workflows and facilities to require less labour and human transport.
- Moving manufacturing and distribution closer to the customer so processes require less time and energy for fulfilment.
According to the OECD, one takeaway for sustainability-minded businesses is to avoid reaching for the quick fix. Labour shortages and pandemics have forced adaption — including investments in new technologies and practices. Don’t fix problems unearthed by the pandemic with unsustainable solutions. The OECD encourages spending on truly “green” solutions rather than locking organisations into emission-heavy processes delivering gains today at the cost of real sustainability down the road.
Climate and Business Goals Align
There is a long list of additional areas in which climate-focused goals align perfectly with the aims of the business community. Here are just a few more of those areas:
- Using less packaging and employing naturally recurring materials reduces waste and is less costly over time.
- Reusing materials in production and workflows reduces demands on natural resources and saves money.
- Using nontoxic build materials and additives pays overtime in the form of healthier employees and customers.
- Finding a less-wasteful manufacturing and finishing process — like those that use less water — is good for the bottom line and reduces the company’s ecological footprint.
Engineers and auditors can walk through many other sustainability goals, such as zero-carbon certifications and green design in facilities.
Sustainable Manufacturing Naturally Abhors Waste
Before climate change became a crisis, the asymptotic pursuit of sustainability in business went by different names. One is “lean manufacturing.”
Values and investments are changing, spurred partly by recent supply chain, labour, productivity, geopolitical and other challenges. Manufacturing can rebuild back better by putting the planet first.
