Supply Chain Optimisation: Making Manufacturing More Sustainable

Delivery

This report comes in PPT.

Key findings

Sustainability is among the top priorities for companies

67% of companies globally in Euromonitor International’s Sustainability Survey 2023 indicated they have sustainability initiatives in place, with around one third of respondents stating that their company plans future investment in sustainability and product design changes.

Both external and internal factors are supporting sustainability initiatives

External pressure from consumers, legislators and competitors is driving investment in sustainability initiatives. At the same time, companies expect financial benefits, cost savings and improved employee satisfaction from sustainability investments.

Energy-intensive manufacturing sectors have the greatest impact on the environment

Analysis of industry’s cost structure indicates that energy-intensive sectors and the ones using large quantities of energy or resource-intensive B2B goods in their production processes have the greatest impact on the environment. A shift to cleaner energy, greener alternatives and adjustments in production processes can help to significantly reduce the overall environmental impact of the manufacturing sector.

Digital tools, automation and production improvements will help to improve sustainability

Improved production efficiency, greater supply chain transparency and elimination of transportation bottlenecks are expected to help achieve sustainable manufacturing goals in the long term. Such production changes help to improve resource efficiency and, at the same time, contribute to lower operating costs.

Better communication and collaboration are needed to reach sustainability goals

Lack of consumer willingness to pay more, financial constraints and internal problems, such as a lack of corporate vision, are identified as key hurdles for sustainability initiatives. Improved communication with consumers and better collaboration within the company can help to alleviate some of the challenges when implementing sustainability initiatives.