Why Is Sustainable Manufacturing Growing in Popularity? Here Are 6 Key Reasons

Hi Sismanity!

Did you know that if a factory can reduce energy use by 10 to 20 percent simply by patching process “leaks,” the impact can be felt immediately on the profit and loss statement? That’s why sustainable manufacturing is on the rise.

Source: https://phitomas.com/sustainable-manufacturing-and-the-path-to-a-greener-future/

Sustainable manufacturing is no longer a catchphrase. It’s a strategic necessity for companies looking to survive and thrive. Here are six key reasons why this topic continues to be a hot topic in the industry, along with what the Manufacturing Systems Laboratory can learn and test.

1. Environmental regulations and standards are becoming stricter

Many countries and markets demand compliance with environmental standards and emissions reporting. Standards like ISO 14001 encourage companies to systematically reduce their environmental impact and improve operational compliance [1]. For labs, this means that experiments measuring environmental footprints (energy per unit, material loss) are becoming research topics directly relevant to industry needs.

2. Long-term efficiency = real cost savings

Energy-saving interventions and process optimization often yield a rapid return on investment. Energy efficiency and waste reduction are two tangible ways to lower the costs of sustainable production [2]. In the lab, conduct before/after experiments on mini-production cells to quantify kWh per unit and cost-per-unit after process improvements.

3. Consumer and investor pressure on ESG aspects

Consumers are increasingly choosing environmentally friendly products, and investors are factoring ESG into financing decisions. Companies that fail to adapt risk losing market share and access to capital [3]. Labs can formulate case studies of sustainable practice communications that link technical changes on the production floor to measurable ESG metrics.

4. Industry 4.0 accelerates the implementation of sustainable solutions

Sensors, IIoT, and analytics enable real-time energy and material monitoring so improvements can be made more quickly and data-driven [4]. In the laboratory, sensorization modules on small lines, digital twins, and energy dashboards form an experimental package that teaches the monitoring-to-action cycle.

5. Circular economy opens up new business opportunities

Circular manufacturing practices transform waste into raw materials or new products, thereby turning costs into potential revenue streams [5]. For the lab, create a material flow experiment that tests the reuse/recycle loop at the production cell level and measures its impact on cost and material efficiency.

6. Supply chain resilience and resource risks

Dependence on scarce resources or fragile supply chains is pushing companies to design processes that are more efficient and resilient, while also being more environmentally friendly [6]. Laboratories can run what-if scenarios on digital twins to assess trade-offs between alternative material use, costs, and emissions.

What can the Manufacturing Systems Lab do concretely?

1. Create energy-sensor lab modules: measure energy consumption on a small production unit, implement simple controls, and compare kWh/unit before and after.
2. Digital twins for process design evaluation: run what-if simulations to replace materials or add recovery steps.
3. Circular loop experiments: test the feasibility of material reuse at the prototype level, measure output quality and costs.

OEE + energy dashboard integration: combine quality and energy metrics to understand the performance-sustainability trade-off.

Sustainable manufacturing touches on regulatory, financial, technical, and corporate reputational aspects. The Manufacturing Systems Lab is strategically positioned to teach, experiment, and demonstrate quantitative evidence that sustainable practices are a feasible and profitable path.

Reference

[1] International Organization for Standardization, “ISO 14001: Environmental management systems,” https://www.iso.org/standard/60857.html.

[2] McKinsey & Company, “Fueling sustainable development: The energy productivity opportunity,” https://www.mckinsey.com/ (insight pages).

[3] World Economic Forum, “Making Manufacturing Sustainable by Design,” https://www3.weforum.org/docs/WEF_Making_Manufacturing_Sustainable_by_Design_Report.pdf.

[4] McKinsey & Company, “Transforming advanced manufacturing through Industry 4.0,” https://www.mckinsey.com/capabilities/operations/our-insights/transforming-advanced-manufacturing-through-industry-4-0.

[5] Ellen MacArthur Foundation, Circular Economy resources, https://ellenmacarthurfoundation.org/.

[6] United Nations Industrial Development Organization, Medium Term Programme and ISID resources, https://www.unido.org/.

Author: Mohammad Hilmi Hidayatullah

Editor: Brian Arga Prasidio Putra

Check out the full news on our social media:

– Website: https://www.its.ac.id/tindustri/laboratorium-sistem-manufaktur/
– Instagram: @sismanity
– Linkedin: https://www.linkedin.com/company/manufacturing-systems-laboratory-dtsi-its/
– Youtube: SISMANITY ITS