Manufacturing is Moving to a Cleaner, Greener Future
The manufacturing industry alone accounts for
20% of the total greenhouse gasses emitted*
With countries enforcing climate change policies and eco-conscious business operations becoming a global priority:
Manufacturers are being pushed to implement climate-positive changes
Job seekers are prioritizing eco-conscious workplaces and companies
And consumers are actively choosing products with the lowest carbon footprint
The Numbers Speak for Themselves
The Need of the Hour: Visibility and Analysis
Manufacturers are eager to lower their carbon footprint but are facing challenges in tracking and analyzing relevant data:
39% of companies feel hindered by a lack of climate impact data from the different areas of manufacturing
A further 15% cite the lack of tools to derive insights from available data as an impediment
The search for functional models and best practices that can be shared across industries and scaled across different company sizes is underway.
Tackling Emissions, One Scope at a Time
Scope 1
Direct emissions from operational fuel combustion
Scope 2
Indirect emissions from company's energy usage
Scope 3
Indirect emissions from the supply chain and product lifecycle
5 Key Findings
45% of surveyed manufacturers are already tracking their direct (Scope 1) and indirect (Scope 2) emissions
70% manufacturers said that tracking Scope 3 emissions is the hardest and are yet to start, with the exception of the automotive and aerospace industries
Digital technologies are key to tracking and reducing emissions, as they inherently enable transparency and accelerate decision making
Top three impediments to carbon neutrality action:
- Inability to measure all factors of emissions
- Lack of resources and budgets to tackle goals
- Unclear roles & ownership within the company
Top three goals of companies for the next 5 years:
- Improving energy efficiency
- Reducing carbon footprint
- Making eco-conscious operational updates
The game changer in sustainability and cutting greenhouse gas emissions is digital.
Katie McGinty
Vice President & Chief Sustainability, Government and Regulatory Affairs Officer at Johnson Controls
Sustainability Begins at Home
How well are manufacturers equipped to tackle their own emissions and realize their sustainability goals?
Notably, companies of all sizes, across industries, say that
sustainability goals, including carbon footprint, are part of the company's culture and best
practices.
Key Areas of Focus
Top initiatives by manufacturers to reduce carbon emissions over the next 3-5 years
Roadblocks on the Journey to Sustainability
20% of respondents said that they have no dedicated entity or budget to drive and meet their sustainability goals. This lack of funding and ownership snowballs into a variety of issues:
Automotive & Aerospace: Ahead of the Curve
The automotive and aerospace industry are not only keeping up with Scope 1 & 2 initiatives, but are leading the charge in tracking Scope 3 emissions
Thinking Outside the Unit
Tracking Scope 3 emissions requires looking upstream and downstream to identify specific and granular emissions drivers
Notably, more than 70% of the companies said it was moderately or extremely difficult to track the carbon footprint of the product once it was sold
Putting Net Zero Within Reach
While upstream and downstream emissions present a real challenge, adopting the right technologies can help manufacturers meet them head-on and unlock a host of benefits, like:
A Panel Discussion on Carbon Neutral Manufacturing
A Panel Discussion on Carbon Neutral Manufacturing Join Jasmeet Singh, Head of Manufacturing at Infosys, in conversation with Katie McGinty, Vice President & Chief Sustainability, Government and Regulatory Affairs Officer, Johnson Controls and Danielle Merfeld, VP & Chief Technology Officer, GE Renewable Energy on how manufacturers can lead the journey to sustainability and deliver on carbon neutral goals, in this webinar organized by the Manufacturers Alliance.
Manufacturers Alliance Foundation and Infosys Issue Industry Progress Report on Carbon Neutral Goals
This report shines a light on where U.S. manufacturers are today and how they can continue to support sustainability and growth.
Stephen Gold
President and CEO of Manufacturers Alliance
Providing visibility and insights from manufacturing operations data is key to accelerating progress on sustainability goals.
Jasmeet Singh
Executive Vice President and Global Head of Manufacturing, Infosys
Download our Joint Report to Navigate Your Journey to Sustainability
