Green Manufacturing: The Business Benefits Of SustainabilityApril 8, 2022
Green manufacturing refers to the renewal of manufacturing processes and the construction of eco-friendly operations in the industry. The goal of green manufacturing is to reduce waste and pollution while also finding ways to enhance equipment design so that both the equipment and the manufacturing process have higher production efficiencies.
Many manufacturing companies are now aspiring to become Sustainable businesses and to achieve this they are choosing “Green Machines” instead of conventional means.
A great example of this is the Waterjet cutter. As opposed to traditional mechanical cutting systems, Waterjet cutting does not require cooling or lubricating oils. This eliminates the need to dispose of chemically contaminated chips. Furthermore, unlike thermal procedures like plasma or laser, waterjet does not emit any harmful gases during the cutting process.
Promoting Green Manufacturing is more than just helping the environment, it can be of great advantage to businesses. However, in the manufacturing world, it is advantageous to focus on both green and sustainability. Let’s take a look at some of the Business benefits of Sustainability in terms of Green Manufacturing.
- Improved Brand Image
Establishing a green brand image requires time and a variety of methods since it reflects the entire business, not just one product or campaign. According to a survey of more than 53,000 U.S. consumers, the Natural Marketing Institute concluded that 58 percent of customers evaluate a company’s ecological impact when deciding where to buy products and services and are more inclined to buy from organizations that follow sustainable practices. Nowadays, increasing brand recognition by “doing good” is becoming the foundation of advertising campaigns, and establishing your organization as a climate hero can change the perception of your manufacturing brand, which can be crucial to the overall success of your company.
- Tax Benefits
Manufacturers who proactively adopt more sustainable changes can take advantage of a number of federal and state tax credits and rebates. Switching to green manufacturing practices can help your company qualify for such tax breaks.
- Make Shareholders Happy
Sustainability can not only help you save money, but it can also help you make more money. McKinsey investigated 40 organizations in 2014 to better understand sustainability concerns and offer practical ideas on how to “extract value from sustainability.” In their report, they concluded, that a study conducted by Deutsche Bank found that companies with strong environmental, social, and governance ratings outperformed the market in the long run. These claims are substantiated by share price calculations: “An investment of $1 in a value-weighted portfolio of high-sustainability firms at the beginning of 1993 would have risen to $22.60 by the end of 2010, compared to $15.40 for the portfolio of low-sustainability companies.”
- Increased Productivity
Advances in sustainability are a collective effort. A culture of teamwork and constant progress is developed when employees work together to identify and implement green and sustainable initiatives. Employees are incentivized to work harder when they are engaged and have a sense of pride in their company. In addition, sustainable brand practices lend themselves to efficient operations that streamline effort and conserve resources, as a result, reducing operating costs while also increasing staff productivity.
How are manufacturers going “Green”?
- Alternative Energy
An energy audit is a simple and cost-effective approach to begin making your facilities more environmentally conscientious. In this, a company starts by investigating total energy consumption in order to pinpoint wastage, then comes up with the best strategies to overcome the losses. This can also include minor adjustments–such as energy-efficient lighting or replacing old motors– that can have a significant payback. For example, switching to LED lighting can be a good place to start for many organizations. In comparison with traditional incandescent bulbs, LED bulbs use 25 to 80 percent less energy and last 25 percent longer. When an entire facility switches to LED lighting, energy costs can be significantly reduced.
- Reduce Waste
This is probably the most straightforward and obvious technique to implement sustainable habits. Businesses can also conduct a waste check to guarantee that no valuable materials are being discarded as some raw materials may also be recycled and reused in different projects. Reducing a facility’s overall waste saves money and improves efficiency over time.
Many facilities are embracing more sustainable, eco-friendly practices to lessen the industry’s ecological impact. These “green” measures help organizations reduce expenses and increase productivity and are not only good for the environment but also help businesses generate more revenue.