How to achieve sustainability standards in manufacturing?
SMBs in the process manufacturing sector often lack the resources and infrastructure needed to comply with environmental regulations and sustainability standards. This can be especially difficult for industries such as chemical manufacturing, where compliance is necessary to protect public safety and the environment.
What are the challenges of adopting a sustainable approach?
COST OF COMPLIANCE
Sustainability standards require infrastructure investments, like pollution control or sustainable manufacturing practices. This can financially burden SMBs with tight budgets and difficulty securing funding.
LACK OF EXPERTISE AND KNOWLEDGE
Environmental regulations are complex and constantly evolving, making it difficult for SMBs to keep up with the latest requirements and best practices. As a result, many may be unaware of the latest regulations and standards or lack the expertise required to implement them effectively.
COMPLEX SUPPLY CHAIN
Many businesses in this sector rely on complex supply chains that span multiple countries and involve numerous suppliers and partners. This makes it difficult to ensure that all suppliers comply with environmental regulations and sustainability standards and that products are manufactured in an environmentally responsible manner.
CUSTOMER DEMAND
While many consumers are increasingly concerned about environmental sustainability and may prefer to do business with companies that prioritize sustainability, companies may struggle to meet these expectations without significant investments in infrastructure and expertise.
Strategies for achieving environmental and sustainability goals
Achieving environmental compliance can be a challenging task for SMBs, but there are practical strategies that they can adapt to meet these expectations. Here are some of those strategies:
- CONDUCT AN ENVIRONMENTAL AUDIT
Before conducting an environmental audit, it is essential to identify areas of non-compliance with environmental regulations and assess the potential environmental impact of hazardous materials used in production. The audit should cover all aspects of operations, including production processes, waste management, and energy usage. - DEVELOP AN ENVIRONMENTAL MANAGEMENT PLAN
The company should develop an environmental management plan (EMP) outlining its steps to achieve compliance and setting targets and timelines for implementing these steps. It should cover all areas of operations, including procurement, production, packaging, transportation, and waste management. - INVEST IN ENERGY-EFFICIENT TECHNOLOGIES
Investing in energy-efficient technologies is one of the most effective ways to achieve environmental compliance. Process manufacturing is energy-intensive, and reducing consumption can significantly impact the environment. Invest in LED lighting, high-efficiency motors, and variable frequency drives to reduce energy consumption and carbon footprint. - ADOPT SUSTAINABLE PRODUCTION PRACTICES
Sustainable production practices include reducing waste, recycling materials, and using renewable energy sources. Companies can reduce waste by implementing lean production techniques and recycling materials such as water and packaging. They can also use renewable energy sources like solar and wind power. - MONITOR AND MEASURE ENVIRONMENTAL PERFORMANCE
Companies should set up a system for monitoring and measuring their environmental performance, including energy consumption, waste production, and greenhouse gas emissions. Review regularly and adjust operations as needed.
How ERP systems can help manage environmental compliance
ERP systems are essential for process manufacturing companies to manage their operations, optimize processes, and gain a competitive advantage in the market. An ERP can also assist in achieving their environmental and sustainability goals. Here is how an ERP can help achieve environmental and sustainability goals:
RESOURCE OPTIMIZATION
An ERP system can help companies identify areas of wastage and inefficiency by providing real-time data on resource usage. For example, a company may use an ERP system to track the usage of raw materials and identify areas where material waste can be reduced.
IMPROVED ENERGY EFFICIENCY
An ERP system can provide real-time data on energy consumption in production processes, which can be used to identify areas where energy usage can be reduced. By optimizing energy usage, companies can not only reduce their environmental impact but also reduce their energy bills.
ENVIRONMENTAL COMPLIANCE
By tracking environmental data and reporting it in real time, an ERP system can help companies ensure that they meet regulatory requirements. For example, an ERP system can provide real-time data on emissions, which can be used to ensure compliance with environmental regulations.
SUSTAINABLE SUPPLY CHAIN MANAGEMENT
By tracking suppliers’ environmental performance and sustainability practices, companies can make informed decisions about whom they do business with.
For more insights on how to face the most pressing challenges in process manufacturing , download our ebook.
