Sustainability is rapidly becoming one of the most important topics in manufacturing. A 2022 study by the Manufacturing Leadership Council found that 68% of executives said they were implementing extensive, corporate-wide sustainability strategies, and 58% of respondents said sustainability was essential to future competitiveness. As more companies announce their plans to improve sustainability and hit specific milestones, it will create a feedback loop where consumers expect more eco-friendly practices, spurring even greater investment in sustainability.
Many sustainable manufacturing plans are focused on reducing carbon emissions and converting to renewables, such as vegetable ester-based fluids. However, manufacturers can create more impact by taking a holistic view of the product life cycle and implementing improvement projects along the value chain. This won’t just help the environment — all the upgrades made toward sustainable manufacturing will help improve companies’ bottom line and achieve rapid long-term ROI. Here’s what you need to know.
Taking the Long-Term View on Sustainable Manufacturing
Sustainable manufacturing is an approach to production that minimizes waste, curbs environmental impact, conserves resources, and promotes social responsibility. Manufacturers achieve this by adopting processes and technology that conserve more energy, switching to supplies and materials made of renewable resources, and modifying operations to produce less (and eventually zero) pollution. The ultimate goal of sustainable manufacturing is to build a completely circular economy, free of waste.
Manufacturers who adopt sustainability policies already enjoy lower energy consumption and fewer disposal costs, translating to increased machine uptime, higher throughput, reduced operating costs, and even improved worker retention. But these short-term benefits pale compared to the long-term cost savings of investing in sustainable practices. Over the course of years and even decades, investing in sustainable manufacturing practices can help improve profit margins by:
- Staying ahead of regulatory compliance. Manufacturers who adopt sustainable practices before governments make them mandatory are better positioned to comply with future regulations, avoiding penalties and potential disruptions in operations that could hurt revenue.
- Enhancing brand reputation. With end users increasingly concerned about environmental and social issues, manufacturers who adopt and promote sustainable practices can increase brand favorability, translating into higher sales and increased market share — both key drivers of long-term profitability.
- Gaining competitive innovation advantages. Sustainability technology has advanced enough that eco-friendly products often perform better than their conventional counterparts. For example, the bio-based TRIM® HyperSol™ 888NXT provides excellent lubricity and cooling while being part of the USDA BioPreferred catalog. Innovations like this can provide a competitive edge in the market and help manufacturers stay ahead of their competitors.
- Creating greater supply chain resilience. By reducing dependence on non-renewable resources or sourcing from suppliers with their own ESG targets to reduce carbon emissions, companies can mitigate supply chain disruption and ensure a more stable flow of materials and goods.
- Allowing more access to capital and investment. Many investors now consider sustainability practices a key factor when making decisions about where to place their funds. Manufacturers with strong sustainability performance may attract more investment capital and enjoy better financing terms from lenders, enabling more growth without cutting into profit margins.
Starting the Journey to Sustainable Manufacturing With Master Fluid Solutions
Sustainable manufacturing has advanced considerably over the past few decades, but the industry needs more innovations before achieving a circular supply chain. Making an operation more sustainable begins by switching as many materials as possible to renewable resources — even when it comes to basic supplies like metalworking fluid.
Products like TRIM OV 2200 dramatically reduce your environmental footprint with advanced formulas that swap petroleum for eco-friendly, bio-based ingredients. In fact, the entire high-quality TRIM catalog helps manufacturers consume less cutting fluid without sacrificing quality, further improving sustainability.
Get in touch with the team to learn more about how Master Fluid Solutions can serve as your shop’s sustainability partner.
