Sustainable Manufacturing: Strategies for a Greener Future

May 27, 20244 mins read

Sustainability is not a fad that will disappear in a few years. It’s a benefit for business, people, and the planet as a whole.

Manufacturing companies that embrace sustainability initiatives can help create a better world and ensure a viable future. Not only that, but they can do so while increasing opportunities for both brand-building and driving revenue.

There are currently some proven practices manufacturing companies can embrace to quickly further sustainability, but before digging into those, let’s dig into sustainability in general. Specifically, how one the of the world’s governing bodies defines it.

The UN SDGs

In 2015, the United Nations introduced seventeen Sustainable Development Goals (SDGs) designed to enable companies to think forward about their impact on people and the planet in a sustainable manner. The seventeen SDGs are:

1. No poverty
2. Zero hunger
3. Good health and well-being
4. Quality education
5. Gender equality
6. Clean water and sanitation
7. Affordable and clean energy
8. Decent work and economic growth
9. Industry, innovation, and infrastructure
10. Reduced inequalities
11. Sustainable cities and communities
12. Responsible consumption and production
13. Climate action
14. Life below water
15. Life on land
16. Peace, justice, and strong institutions
17. Partnership for the goals

The United Nations has provided targets within each SDG for companies to measure progress in their reporting initiatives as they work toward these goals. Companies with transparent Environmental, Social, and Governance (ESG) reporting demonstrate they’re committed to sustainability and its impact.

Manufacturers can begin their sustainability journey by seeking ways to continuously improve their processes and specifying indicators to monitor and track these initiatives. As manufacturers make improvements, they can review the UN’s SDGs and determine what they are doing well and what they need to improve upon.

Four paths for manufacturers to improve sustainability

What kind of improvements are we talking about? Here are four simple ones:

1. Reduce Waste
In simplest terms, reducing waste is an effortless way to conserve resources and move toward a sustainable future. Recycling or implementing a closed-loop recycling process within a manufacturing facility will significantly reduce waste and be environmentally friendly. There are myriad ways to track waste reduction, such as by creating low-code applications (using Power Platform) to set goals and create reports, and even to integrate with recycling centers. Additionally, Dynamics 365 SCM can be leveraged to help optimize fleet management and reduce fuel consumption and waste.
2. Minimize Negative Environmental Impacts
Manufacturers can work toward minimizing their negative environmental impact by reducing their carbon footprint. Efforts toward reducing carbon footprint can be accomplished by implementing energy-efficient equipment, continuously improving processes through technology, and sourcing materials responsibly (Dynamics 365 SCM can play a major role in these efforts). Likewise, buying carbon offsets can help manufacturers quickly reduce their carbon footprint as they improve their efficiency and environmental impact. Manufacturers can demonstrate the impacts of such efforts through data visualizations created with Power BI.
3. Promote Responsible Production
Manufacturers must consider their production processes and how they impact people. Manufacturers will see increased employee engagement, throughput, and morale by promoting fair wages, clean work environments, and employee health and safety. Manufacturers must also be aware of the impacts within their extended supply chain, meaning that all aspects of their production operations, including suppliers, subcontractors, and co-manufacturers, are aware of their corporate social responsibility efforts and take action to ensure that they are promoting sustainability along with good working conditions.
4. Transparency and Accountability through Reporting
Manufacturers can work toward reaching their sustainability goals while providing transparency and accountability through publicly shared reporting initiatives, again leveraging tools like Microsoft’s Power BI to create data visualizations that make the case easy for all to understand. Clearly stating goals and reporting on progress toward achieving these goals helps a manufacturer preserve accountability, and accurate reporting of the initiatives shows transparency.
Sustainability for manufacturers can help ensure long-term viability of the business and planet while also enhancing your brand reputation.

By adopting and reporting on sustainability goals, manufacturers can drive toward a more sustainable future with significant financial and environmental benefits, a strategy that will positively affect consumer sentiment and build brand loyalty while also showing commitment to the environment and fair treatment of people.

Not sure where to begin with building a sustainable manufacturing company? Want to know more about how Microsoft technologies, custom applications, and Argano can help? Just contact us for a free assessment.

We’ll help uncover where you are currently in your move toward sustainability and dig into tools and tactics behind the KPIs that’ll help move you even further.