These days, all things green are occupying a prime place in the public consciousness, and those same core issues manufacturers have been dealing with forever -- energy use and waste reduction, pollution prevention, supply chain management and environmental compliance reporting -- have been given a green makeover. Now everyone, from your most valued suppliers to your biggest customers down to your employees, shareholders and consumers, is demanding that you reduce your global footprint -- and that's not even taking into account the footprint looming government regulation may leave on your income statement.
Addressing the desires of these disparate interest groups has never been more important. Luckily, there's a number of tools, services and ideas available to help manufacturers face these challenges, many of which are coming from the same sources -- your customers and your employees, and even the government -- demanding that you reduce your environmental impact in the first place.
And the best part is, you already know the process -- in many ways, green is just a new twist on the old game of continuous improvement.
Energy Kaizens
"One of the first things I do is ask, ‘If tomorrow your electricity price doubled, your gas price doubled, and carbon output was being taxed at $20 per ton, would you still be in business?'"
So says Toledo, Ohio-based energy consultant Peter Garforth, one of a crop of business consultants who are helping manufacturers devise expanded energy and carbon risk management strategies.
At Louisville, Ky.-based energy consultancy Summit Energy, vice president Jason Miller and manager of energy sustainability John Hoekstra have never been busier as their clients look to get a handle on the new energy environment. "If you look at sustainability as a whole, the drumbeat that we've heard from our clients has definitely increased in the last 18 months," says Miller.
According to Miller, this new corporate rhythm results primarily from the pounding Summit's clients are taking on operating income as energy prices skyrocket, as well as jockeying for position in the conga line of corporate social responsibility. Although he admits that this latter reason has led to a rise in energy audit sales, Miller is quick to stress that these "green audits" are not public relations events -- at their core they are essential business activities that just happen to have an extra marketing bonus these days. "We're helping our customers balance environmental objectives with financial or economic sustainability as well," he says. "And we're giving them something they can talk about to the community in which they operate."
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