2Sustain

Is your company missing out on cost savings because you’re not using resources efficiently? Could managing resources more efficiently help you realize other benefits, as well? A new report by EEF, the manufacturers’ organization, and Barclays Commercial Bank suggests the answer to both questions is an unqualified “yes.”

The 40-page report, titled “Resource Efficiency: Business benefits from sustainable resource management,” outlines how successful resource efficiency can create significant advantages for your company. I’ll give you a few examples. By using resources more efficiently you can:

• reduce costs

• increase the utility of materials, energy, and water throughout the value chain

• position yourself for more cost effective compliance with existing (and impending) regulations

• gain competitive advantage through product differentiation

• enhance your corporate reputation

• create strong supplier relationships, which in turn, help reduce supply chain risks

A good discussion about greening procurement processes and supply chains begins on page 25, and it focuses on these three points:

• Procurement decisions that help reduce unnecessary waste in the supply chain can significantly impact your company’s ability to be resource efficient.

• You can realize cost savings by choosing suppliers that are more resource efficient, or encouraging suppliers to be more resource efficient.

• Working with suppliers to improve their resource efficiency can strengthen business relationships and mitigate supply chain risks.

This report is the first in EEF’s "Manufacturing Your Future" series, and I’m looking forward to reading more about their insights into sustainable manufacturing processes.