“Sustainability” should be a “significant driver” behind “digital transformation”

Manufacturers need to put more emphasis on so-called sustainable practices rather than just focusing on the banal objectives of efficiency and productivity improvements, according to InfinityQS Global Channel Programs Director Jason Chester.

After COP26 it became clear that the actions needed to fix climate change are now becoming a serious priority among world leaders, Chester said.

“ While the event made headline news across the globe, we must not lose sight of the growing impatience towards waste, ecological damage, and the overuse of precious natural resources caused by consumerism and industrialisation. We only must bear witness to the images of swathes of decimated forests, polluted rivers, and burgeoning piles of plastic waste to know society is heading towards a tipping point in attitudes”, he said.

Chester said that manufacturers should by now be acutely aware that the spotlight will increasingly turn on them, not only by governments but by consumers and society at large. Now is the time that every manufacturer – from global brand icons to small single plant operations – recognise that “sustainable” manufacturing operations are critical to their future success and reputation.

InfinityQS’s drive towards optimising manufacturing efficiency and productivity was no longer centre solely around performance and profit but equally revolve around sustainability, with sustainable practices being at the forefront of any manufacturer’s digital transformation strategy Chester said.

Chester said: “The past 18 months have seen manufacturers experience a period of uncertainty, with the pandemic and Brexit revealing widespread supply and demand chain fragility as well as the global semiconductor shortage limiting operations across the automotive sector. And with inflation beginning to rise sharply, more uncertainty and volatility is surely yet to come. However, sustainability could be the biggest challenge yet.

“Coverage on climate change is dominating TV screens resulting in consumers and brands paying attention to the environmental impact of products and services. The rise of social media has made it easier for consumers to express their concerns on climate change, with some even organising boycotts against organisations in extreme circumstances. This pressure towards responsible and sustainable manufacturing is only going to grow and it will be increasingly difficult for organisations to be transparent as to their response.”

Chester said that having a productive and efficient production system has always been an important aspect of manufacturing operations, with the aim being to secure profits, growth, and stakeholder value. Yet, if a product does not meet the correct specification it goes to scrap, waste or for rework.

“ While many manufacturers recognise that has a negative impact on performance, the unused resources that go into making that product in the first place is also wasted, whether human resource, machinery or tool wear, energy and natural resources or input materials. While this approach to quality is important to ensure organisations continue operating well and keep their customers happy, their mindset must evolve to also understand how that waste could impact the environment”, he said.

With global leaders having discussions and setting goals on how to reduce the impact of climate change, the same cannot be said within the manufacturing industry. A recent survey revealed two-fifth of UK manufacturers are operating without a sustainability policy. Often manufacturers have quoted cost and time to be a barrier to achieving a more sustainable operation but with the right technology, it is possible.

Chester said: “There is major potential for manufacturers to use technology to their advantage. For example, during the Covid pandemic, factories across many countries were closed or at reduced capacity due to lockdown restrictions. This provided the optimal time for manufacturers to invest in their digital transformation initiatives – which many did. Those that chose to invest did so because they knew it would enhance operations and increase efficiency, which eventually would increase profits. This same technology can and should now be used to make sustainable operational decisions. Utilising new technology allows manufacturers to unravel the complexity in their processes and give them the visibility to ensure they can make those decisions at every level within their operations.”

Phew.