Sustainability Spotlight Magazine
Making the invisible visible
Making 琀栀e invisible visible
I i report SUSTAINABILITY SPOTLIGHT | 2 SUSTAINABILITY SPOTLIGHT | 3 Seci 1: Quick wins in 8 A more sustainable sustainable manufacturing cuppa 12 Sustainability: Making the invisible visible Gamifying 4 sustainability 16 Sector carbonisation: Controlled environment agriculture Driving change: Technology with Defra In pursuit of perspectives from cobalt-free the Institute for 26 batteries Manufacturing 21 24 We explore how waste is one of the first areas manufacturing organisations should look to tackle. By prioritising From plastic waste to better homes in Nepal waste reduction, 42 organisations can build Collaborating Understanding Achieving net zero in a solid foundation for for impact industrial Scope manufacturing supply 31 3 emissions chains broader sustainability 36 46 e orts and long-term success in an increasingly eco-aware global market. *Images throughout this document are from Adobe Stock, unless otherwise credited.
I i reportSUSTAINABILITY SPOTLIGHT | 2 SUSTAINABILITY SPOTLIGHT | 3 Seci 1: Quick wins in 8A more sustainable sustainable manufacturingcuppa 12 Sustainability: Making the invisible visible Gamifying 4sustainability 16 Sector carbonisation: Controlled environment agriculture Driving change:Technology with Defra In pursuit of perspectives from cobalt-free the Institute for 26 batteriesManufacturing 2124 We explore how waste is one of the first areas manufacturing organisations should look to tackle. By prioritising From plastic waste to better homes in Nepalwaste reduction, 42 organisations can build Collaborating Understanding Achieving net zero in a solid foundation for for impactindustrial Scope manufacturing supply 313 emissions chainsbroader sustainability 3646 e orts and long-term success in an increasingly eco-aware global market. *Images throughout this document are from Adobe Stock, unless otherwise credited.
SUSTAINABILITY SPOTLIGHT | 4 Makin e “In even the very best companies, what was considered nvisible isible normal 20 years ago is now seen as absurd,” says Steve. “For example, factories would leave machines on overnight or over the weekend just to ensure the next job would be high quality. The best companies don’t do that anymore. At Toyota, an employee comes in a few hours early to ensure that the machines are operational for the shift. This practice saves them a lot of energy and money.” Examples like Toyota highlight that there is a growing focus on sustainability in industry, but many manufacturers still need convincing to change their practices, especially when they cannot see their waste. The case for industrial frugality A material world Energy waste often goes unnoticed, so it is an Manufacturing serves the purpose of producing important area of focus for Steve and his colleagues material goods for consumers, and industry has the in their work with industry. With renewable energy capacity to do so on a large scale. The sector’s history powering more than half of the electricity sold in of pollution and industry’s connection to consumerism, the UK, it is not self-evidently a sound priority, as however, may lead to the belief that manufacturing is Steve explains: “If a manufacturer exclusively relies incompatible with sustainability. This belief is incorrect on renewable energy, one might assume that there and fails to recognise that food, clothing, medicines, is little incentive for them to conserve energy, other building materials and other essential items are all than to save money. However, this is not entirely true. manufactured goods that we rely on. A sustainable Paradoxically, reducing energy consumption can be an industrial system is necessary to provide these goods to e ective strategy to reduce real CO2 emissions. When a global population of over 8 billion people. Achieving a manufacturer uses less energy, the overall energy sustainability cannot be delivered by closing down Studies show that people manage their spending more carefully when they pay by demand in the industrial system decreases. In the UK, industry, which is good news, but we must increase our renewable energy has become cheaper to produce than innovative thinking and implement solutions. cash rather than card. Cash is visible and tangible, and wasting it feels harder to do. fossil fuels, so it is more likely that fossil fuel providers will be impacted by lower demand than renewable “It is hard to come up with general sustainability energy providers will. Reducing the proportion of fossil recommendations for manufacturers because they Based on industrial sustainability work with countless In the 1980s some researchers believed that we had fuels in the energy mix therefore makes sense from an are so very di erent. We can’t say, ‘Do this to this manufacturers over many years, Professor Steve Evans, two centuries to tackle the issue of climate change, economic perspective.” type of machine, do that to your schedule, do this to of the IfM’s Centre for Industrial Sustainability (CIS), has but not everyone agreed with this prediction. Over compressed air.’ But there is hope, because what we concluded that this principle applies to other resources the following decades, the tireless e orts of those With a view of the whole resource system, a frugal find works consistently is to show people that waste is too. He regularly observes that electricity, compressed who dissented against this view helped to shift mindset is the only sensible option, according to Steve. happening. Each factory has its own toolkit for dealing air, water and surplus materials hide in plain sight in perceptions. Unfortunately, climate change continued Even on the materials side, there is work to be done with waste; we just need to show them that the waste is factories – in cables, tanks, pipes and skips – and are to worsen during this time because of a lack of to make that change: “Material waste should not be there. We find that we don’t have to teach them how to consequently wasted. However, when these resources consensus and inadequate action. We now face a the biggest challenge for manufacturers because it is identify changes that will improve the situation. They’re are made more visible, their perceived value increases, crisis that we are not prepared for, which demands a in their bins. You can physically see material waste if already good at that, and that is really quite important. resulting in more careful management. This is a positive large-scale transformation of our industrial systems. you bother, but most people don’t bother. Even in our We must teach them how to see the waste so that they development for the environment, the climate and the In 2011 Professor Steve Evans established the CIS at homes, waste tends to become psychologically invisible can tackle it,” says Steve. financial bottom line. the Institute for Manufacturing (IfM) to facilitate this once the bin lid goes down, so we need to be told to change, and he has since observed some promising look for it.”
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SUSTAINABILITY SPOTLIGHT | 4 Makin e “In even the very best companies, what was considered nvisible isiblenormal 20 years ago is now seen as absurd,” says Steve. “For example, factories would leave machines on overnight or over the weekend just to ensure the next job would be high quality. The best companies don’t do that anymore. At Toyota, an employee comes in a few hours early to ensure that the machines are operational for the shift. This practice saves them a lot of energy and money.” Examples like Toyota highlight that there is a growing focus on sustainability in industry, but many manufacturers still need convincing to change their practices, especially when they cannot see their waste. The case for industrial frugality A material world Energy waste often goes unnoticed, so it is an Manufacturing serves the purpose of producing important area of focus for Steve and his colleagues material goods for consumers, and industry has the in their work with industry. With renewable energy capacity to do so on a large scale. The sector’s history powering more than half of the electricity sold in of pollution and industry’s connection to consumerism, the UK, it is not self-evidently a sound priority, as however, may lead to the belief that manufacturing is Steve explains: “If a manufacturer exclusively relies incompatible with sustainability. This belief is incorrect on renewable energy, one might assume that there and fails to recognise that food, clothing, medicines, is little incentive for them to conserve energy, other building materials and other essential items are all than to save money. However, this is not entirely true. manufactured goods that we rely on. A sustainable Paradoxically, reducing energy consumption can be an industrial system is necessary to provide these goods to e ective strategy to reduce real CO2 emissions. When a global population of over 8 billion people. Achieving a manufacturer uses less energy, the overall energy sustainability cannot be delivered by closing down Studies show that people manage their spending more carefully when they pay by demand in the industrial system decreases. In the UK, industry, which is good news, but we must increase our renewable energy has become cheaper to produce than innovative thinking and implement solutions. cash rather than card. Cash is visible and tangible, and wasting it feels harder to do.fossil fuels, so it is more likely that fossil fuel providers will be impacted by lower demand than renewable “It is hard to come up with general sustainability energy providers will. Reducing the proportion of fossil recommendations for manufacturers because they Based on industrial sustainability work with countless In the 1980s some researchers believed that we had fuels in the energy mix therefore makes sense from an are so very di erent. We can’t say, ‘Do this to this manufacturers over many years, Professor Steve Evans, two centuries to tackle the issue of climate change, economic perspective.”type of machine, do that to your schedule, do this to of the IfM’s Centre for Industrial Sustainability (CIS), has but not everyone agreed with this prediction. Over compressed air.’ But there is hope, because what we concluded that this principle applies to other resources the following decades, the tireless e orts of those With a view of the whole resource system, a frugal find works consistently is to show people that waste is too. He regularly observes that electricity, compressed who dissented against this view helped to shift mindset is the only sensible option, according to Steve. happening. Each factory has its own toolkit for dealing air, water and surplus materials hide in plain sight in perceptions. Unfortunately, climate change continued Even on the materials side, there is work to be done with waste; we just need to show them that the waste is factories – in cables, tanks, pipes and skips – and are to worsen during this time because of a lack of to make that change: “Material waste should not be there. We find that we don’t have to teach them how to consequently wasted. However, when these resources consensus and inadequate action. We now face a the biggest challenge for manufacturers because it is identify changes that will improve the situation. They’re are made more visible, their perceived value increases, crisis that we are not prepared for, which demands a in their bins. You can physically see material waste if already good at that, and that is really quite important. resulting in more careful management. This is a positive large-scale transformation of our industrial systems. you bother, but most people don’t bother. Even in our We must teach them how to see the waste so that they development for the environment, the climate and the In 2011 Professor Steve Evans established the CIS at homes, waste tends to become psychologically invisible can tackle it,” says Steve. financial bottom line.the Institute for Manufacturing (IfM) to facilitate this once the bin lid goes down, so we need to be told to change, and he has since observed some promisinglook for it.”
SUSTAINABILITY SPOTLIGHT | 6 SUSTAINABILITY SPOTLIGHT | 7 Examples like Toyota highlight that there is a growing focus on sustainability in industry, but many manufacturers still need convincing to change their practices, especially when they cannot see their waste. Waste is just one part of the sustainability picture “Remember the hype around Google Glasses a few in industry, but because there is so much of it, it is a years ago?” Steve muses. “Imagine putting on a pair very important part. As Steve notes, it is also an easy in a factory and getting visual access to the energy place to start when a company wants to improve its use of machines in real time, say, as a symbol that environmental impact, and making sustainability easy is changes in size according to energy spend. Such instant crucial. With good and accessible data, it is even easier. visualisation of invisible waste could be a very powerful tool.” Drawing with data Dr Duanyang Geng recently completed his PhD at the Manufacturing a sustainable world IfM, under Steve’s supervision. Duanyang has been Industrial sustainability at the IfM goes beyond the working for years to understand how industry uses data work of the eponymous CIS. From using machine to conceptualise energy waste – one of manufacturing’s learning to tackle problems of wasted space on lorries most elusive and widespread forms of waste. For his to making sophisticated use of additive manufacturing thesis, he interviewed 30 manufacturers about their (3D printing), and helping SMEs to benefit from digital energy use, trying to establish what they perceive tracking tools, di erent groups are investing time Interested in energy waste to be and what they do to avoid it. working to manufacture a more sustainable world. In various ways, they are bringing to light what industry exploring how your “There is no such thing as energy waste in nature,” and consumers overlook or ignore, providing simple organisation can says Duanyang. “Energy waste is intimately linked to solutions for improvement. human industrial practices, so it is up to us to define reduce waste? what separates energy waste from energy use. My many “Not long ago, I had a lovely email from someone who interviews informed my working definition of energy works for a company that made some significant CO2 Visit the IfM Engage website to waste as whatever energy is used on top of what is and financial savings thanks to watching videos on get insights including reports, strictly necessary to produce something. The invisibility our research. We have not worked with this company, of energy adds complexity here – manufacturers can’t but they were able to make big changes based on the webinars and case studies. physically see the energy they use, so they don’t higher-level principles we have observed, which say automatically know where their benchmarks are. With that there is probably more waste energy, water and digital tracking software, the kilowatt-hours, £/$ and materials in your factory than you think. Go looking. CO2 equivalents can be made visible and translatable.” This company went looking, they found areas for improvement, and they improved,” says Steve. “It can be As Duanyang observes, digital tracking software has that easy, but it still needs to be done.” real potential to help manufacturers, but it remains an underused resource, especially in small and medium- sized (SME) manufacturers. Tracking tools can provide figures on energy use, temperature, downtime and more, which can be useful in themselves and also in creative translations.
SUSTAINABILITY SPOTLIGHT | 6 SUSTAINABILITY SPOTLIGHT | 7 Examples like Toyota highlight that there is a growing focus on sustainability in industry, but many manufacturers still need convincing to change their practices, especially when they cannot see their waste. Waste is just one part of the sustainability picture “Remember the hype around Google Glasses a few in industry, but because there is so much of it, it is a years ago?” Steve muses. “Imagine putting on a pair very important part. As Steve notes, it is also an easy in a factory and getting visual access to the energy place to start when a company wants to improve its use of machines in real time, say, as a symbol that environmental impact, and making sustainability easy is changes in size according to energy spend. Such instant crucial. With good and accessible data, it is even easier.visualisation of invisible waste could be a very powerful tool.” Drawing with data Dr Duanyang Geng recently completed his PhD at the Manufacturing a sustainable world IfM, under Steve’s supervision. Duanyang has been Industrial sustainability at the IfM goes beyond the working for years to understand how industry uses data work of the eponymous CIS. From using machine to conceptualise energy waste – one of manufacturing’s learning to tackle problems of wasted space on lorries most elusive and widespread forms of waste. For his to making sophisticated use of additive manufacturing thesis, he interviewed 30 manufacturers about their (3D printing), and helping SMEs to benefit from digital energy use, trying to establish what they perceive tracking tools, di erent groups are investing time Interested in energy waste to be and what they do to avoid it.working to manufacture a more sustainable world. In various ways, they are bringing to light what industry exploring how your “There is no such thing as energy waste in nature,” and consumers overlook or ignore, providing simple organisation can says Duanyang. “Energy waste is intimately linked to solutions for improvement. human industrial practices, so it is up to us to define reduce waste? what separates energy waste from energy use. My many “Not long ago, I had a lovely email from someone who interviews informed my working definition of energy works for a company that made some significant CO2 Visit the IfM Engage website to waste as whatever energy is used on top of what is and financial savings thanks to watching videos on get insights including reports, strictly necessary to produce something. The invisibility our research. We have not worked with this company, of energy adds complexity here – manufacturers can’t but they were able to make big changes based on the webinars and case studies. physically see the energy they use, so they don’t higher-level principles we have observed, which say automatically know where their benchmarks are. With that there is probably more waste energy, water and digital tracking software, the kilowatt-hours, £/$ and materials in your factory than you think. Go looking. CO2 equivalents can be made visible and translatable.”This company went looking, they found areas for improvement, and they improved,” says Steve. “It can be As Duanyang observes, digital tracking software has that easy, but it still needs to be done.” real potential to help manufacturers, but it remains an underused resource, especially in small and medium- sized (SME) manufacturers. Tracking tools can provide figures on energy use, temperature, downtime and more, which can be useful in themselves and also in creative translations.
SUSTAINABILITY SPOTLIGHT | 8 SUSTAINABILITY SPOTLIGHT | 9 For manufacturers, there is Quic-i now a real opportunity to Sustainability be proactive in recognising strategies future challenges, taking from the IfM decisive action and making the most of opportunities. Sustainability initiatives: As part of the association, members work with the IfM what to do and how to do it to commission new projects in areas of mutual interest. Through increasing energy and resource e ciency, Topics identified as priority areas for the association the UK stands to gain £10 billion per year in additional include supply chain sustainability and Scope 3 profit for manufacturers (according to research from emissions, the path to net zero and the role of digital in the IfM). However, according to Professor Steve Evans, transforming sustainability. Director of Research in Industrial Sustainability at the A recent project focused on how to achieve quick IfM, the manufacturing industry has some way to go wins in sustainability improvements. The IfM talked to achieve these targets. He says: “Around 90% of the to practitioners from a range of global manufacturing resources processed to create goods are not reaching firms, as well as sustainable manufacturing experts, to the person for whom they are made; 50% of edible identify common success factors and best practices food is not eaten, and only about 50% full loading is in businesses that had achieved consistent, rapid achieved in freight trucks in the UK. sustainability improvements. “For manufacturers, there is now a real opportunity Small steps lead to longer-term gains to be proactive in recognising future challenges, taking decisive action and making the most of the Sustainability, when included as part of continuous Insights from the Institute for Manufacturing opportunities that will come from a global shift towards improvement objectives, can act as a foundation (IfM) show that not only are rapid sustainability sustainability. It’s a daunting task, but it’s one that for building a sustainability culture. However, it’s manufacturers should – and need to – address as the also important to note that any initiatives should be improvements achievable, they can also improve the sustainability imperative continues to grow. part of a larger (long-term) sustainability agenda to bottom line. avoid reverting to small improvements. “Even after a “Having agreed to pursue sustainability, maybe even step change, businesses can continue to implement setting a specific target, for many organisations the continuous improvements to optimise the system Increasingly, sustainability is moving from a “good exact pathway remains unclear. To help manufacturers and seek further sustainability improvements,” says idea” to a necessary part of doing business. As gain clarity about both ‘what to do’ and ‘how to do it’, Steve. “Rapid sustainability improvements resulting the cost of energy and materials rise and growing the IfM established the Sustainability Association to from continuous improvement initiatives can create an help businesses get the support they need to progress opportunity to justify larger sustainability projects or at numbers of consumers put sustainable shopping sustainability initiatives. least provide flexibility in the company budget.” and the environment high on their list of priorities, continuous improvements in sustainability can be the “Manufacturing organisations want advice on the best place to start with sustainability initiatives,” Steve adds. di erence between thriving or shutting up shop. “They want to know the best strategy for e ective returns and how to avoid common pitfalls.”
SUSTAINABILITY SPOTLIGHT | 8 SUSTAINABILITY SPOTLIGHT | 9 For manufacturers, there is Quic-i now a real opportunity to Sustainability be proactive in recognising strategies future challenges, taking from the IfM decisive action and making the most of opportunities. Sustainability initiatives: As part of the association, members work with the IfM what to do and how to do it to commission new projects in areas of mutual interest. Through increasing energy and resource e ciency, Topics identified as priority areas for the association the UK stands to gain £10 billion per year in additional include supply chain sustainability and Scope 3 profit for manufacturers (according to research from emissions, the path to net zero and the role of digital in the IfM). However, according to Professor Steve Evans, transforming sustainability. Director of Research in Industrial Sustainability at the A recent project focused on how to achieve quick IfM, the manufacturing industry has some way to go wins in sustainability improvements. The IfM talked to achieve these targets. He says: “Around 90% of the to practitioners from a range of global manufacturing resources processed to create goods are not reaching firms, as well as sustainable manufacturing experts, to the person for whom they are made; 50% of edible identify common success factors and best practices food is not eaten, and only about 50% full loading is in businesses that had achieved consistent, rapid achieved in freight trucks in the UK. sustainability improvements. “For manufacturers, there is now a real opportunity Small steps lead to longer-term gains to be proactive in recognising future challenges, taking decisive action and making the most of the Sustainability, when included as part of continuous Insights from the Institute for Manufacturing opportunities that will come from a global shift towards improvement objectives, can act as a foundation (IfM) show that not only are rapid sustainability sustainability. It’s a daunting task, but it’s one that for building a sustainability culture. However, it’s manufacturers should – and need to – address as the also important to note that any initiatives should be improvements achievable, they can also improve the sustainability imperative continues to grow.part of a larger (long-term) sustainability agenda to bottom line. avoid reverting to small improvements. “Even after a “Having agreed to pursue sustainability, maybe even step change, businesses can continue to implement setting a specific target, for many organisations the continuous improvements to optimise the system Increasingly, sustainability is moving from a “good exact pathway remains unclear. To help manufacturers and seek further sustainability improvements,” says idea” to a necessary part of doing business. As gain clarity about both ‘what to do’ and ‘how to do it’, Steve. “Rapid sustainability improvements resulting the cost of energy and materials rise and growing the IfM established the Sustainability Association to from continuous improvement initiatives can create an help businesses get the support they need to progress opportunity to justify larger sustainability projects or at numbers of consumers put sustainable shopping sustainability initiatives. least provide flexibility in the company budget.” and the environment high on their list of priorities, continuous improvements in sustainability can be the “Manufacturing organisations want advice on the best place to start with sustainability initiatives,” Steve adds. di erence between thriving or shutting up shop.“They want to know the best strategy for e ective returns and how to avoid common pitfalls.”
SUSTAINABILITY SPOTLIGHT | 10 Six sustainable actions you can take now 4. Start small: BE A CHANGEMAKER The IfM talked to practitioners from a range of A simple yet e ective variation is to approach teams global manufacturing firms, as well as sustainable that can look straight away at the di erence between manufacturing experts, to identify common success energy used on good days and bad days. Teams can IN SUSTAINABLE factors and best practices in businesses that had identify ideas and processes that have been proven achieved consistent, rapid sustainability improvements. to work as they have “been done before”. One MANUFACTURING The study revealed that using continuous improvement organisational sustainability example achieved over initiatives can be an excellent way of achieving rapid 15% in improvements remotely simply by identifying sustainability improvements, demonstrating that the and acting on performance variation in annual journey towards sustainable manufacturing doesn’t production and resource data. The Sustainability This is no small feat. The sustainability field is complex and fraught with uncertainty. And the rate of change is accelerating. have to be expensive. 5. Get people involved: Association is Organisational resistance to change can be significant and Wide engagement and commitment were found looking for leaders presenting a convincing case to the board can feel daunting. 1. Look at your existing resources: to be the most influential factors in achieving No organisation can improve without understanding rapid improvements and a successful sustainability who want to drive That’s why we’ve started the Sustainability Association. its current condition, so it is vital to first assess existing transformation in a company. Quick sustainability resources at surface level. While identifying current sustainable change In collaboration with world-leading researchers in the field waste may seem trivial, the research shows it’s very wins can be used to seek top management buy-in by communicating their success in achieving costs to new levels in and talented peers from dierent industries, the Sustainability important and is the first and most vital step towards savings, as well as environmental benefits. Association provides member companies with the right conservation. Choose three to four priority issues their manufacturing knowledge, right expertise and right network and identify target performance dimensions such 6. Recognise e ort and success: organisations. to accelerate sustainable change in their organisation. as energy/CO2, water, waste and/or potentially one Creating a working environment that recognises and other significant pollution challenge for your business. rewards e orts towards sustainability improvements Not only is reducing energy consumption good for can help employees at all levels to engage with sustainability performance, it also reduces costs, so this FIND OUT MORE AND JOIN THE ASSOCIATION: alignment with key business drivers helps sustainability sustainability challenges. It is critical to make employees feel important and at the heart of the engage.ifm.eng.cam.ac.uk/sustainability-association/ to quickly become mainstream. improvement process. 2. Don’t wait for a full sustainability strategy: Set realistic targets that are achievable in the short term to avoid discouragement and build confidence among employees and managers. It can help to start by Download the full report holding internal discussions on priorities and focusing on well-known issues and impact points. For example, • Discover ways manufacturers during interviews in the study, companies highlighted achieve rapid sustainability opportunities to switch processes and equipment o . improvements 3. Include sustainability KPIs: • Understand success factors What gets measured gets improved. Monitoring and barriers in progressing metrics that align with sustainability is key to driving sustainability initiatives sustainability improvements through continuous • Receive a checklist with 20 improvement. It’s enough to start small with KPIs, recommendations selecting a few that track the current sustainability to drive resource condition in a cell or facility, such as the use of e ciency electricity, water, coolant or the volume of materials waste. It’s also important to share these metrics often (ideally in real time) with key stakeholders, especially on the shop floor, so they can also seek improvements and start to drive those KPIs in the right direction.
SUSTAINABILITY SPOTLIGHT | 10 Six sustainable actions you can take now 4. Start small:BE A CHANGEMAKER The IfM talked to practitioners from a range of A simple yet e ective variation is to approach teams global manufacturing firms, as well as sustainable that can look straight away at the di erence between manufacturing experts, to identify common success energy used on good days and bad days. Teams can IN SUSTAINABLE factors and best practices in businesses that had identify ideas and processes that have been proven achieved consistent, rapid sustainability improvements. to work as they have “been done before”. One MANUFACTURING The study revealed that using continuous improvement organisational sustainability example achieved over initiatives can be an excellent way of achieving rapid 15% in improvements remotely simply by identifying sustainability improvements, demonstrating that the and acting on performance variation in annual journey towards sustainable manufacturing doesn’t production and resource data.The Sustainability This is no small feat. The sustainability field is complex and fraught with uncertainty. And the rate of change is accelerating. have to be expensive.5. Get people involved: Association is Organisational resistance to change can be significant and Wide engagement and commitment were found looking for leaders presenting a convincing case to the board can feel daunting. 1. Look at your existing resources: to be the most influential factors in achieving No organisation can improve without understanding rapid improvements and a successful sustainability who want to drive That’s why we’ve started the Sustainability Association. its current condition, so it is vital to first assess existing transformation in a company. Quick sustainability resources at surface level. While identifying current sustainable change In collaboration with world-leading researchers in the field waste may seem trivial, the research shows it’s very wins can be used to seek top management buy-in by communicating their success in achieving costs to new levels in and talented peers from dierent industries, the Sustainability important and is the first and most vital step towards savings, as well as environmental benefits.Association provides member companies with the right conservation. Choose three to four priority issues their manufacturing knowledge, right expertise and right network and identify target performance dimensions such 6. Recognise e ort and success: organisations.to accelerate sustainable change in their organisation. as energy/CO2, water, waste and/or potentially one Creating a working environment that recognises and other significant pollution challenge for your business. rewards e orts towards sustainability improvements Not only is reducing energy consumption good for can help employees at all levels to engage with sustainability performance, it also reduces costs, so this FIND OUT MORE AND JOIN THE ASSOCIATION: alignment with key business drivers helps sustainability sustainability challenges. It is critical to make employees feel important and at the heart of the engage.ifm.eng.cam.ac.uk/sustainability-association/ to quickly become mainstream.improvement process. 2. Don’t wait for a full sustainability strategy: Set realistic targets that are achievable in the short term to avoid discouragement and build confidence among employees and managers. It can help to start by Download the full report holding internal discussions on priorities and focusing on well-known issues and impact points. For example, • Discover ways manufacturers during interviews in the study, companies highlighted achieve rapid sustainability opportunities to switch processes and equipment o .improvements 3. Include sustainability KPIs: • Understand success factors What gets measured gets improved. Monitoring and barriers in progressing metrics that align with sustainability is key to driving sustainability initiatives sustainability improvements through continuous • Receive a checklist with 20 improvement. It’s enough to start small with KPIs, recommendations selecting a few that track the current sustainability to drive resource condition in a cell or facility, such as the use of e ciency electricity, water, coolant or the volume of materials waste. It’s also important to share these metrics often (ideally in real time) with key stakeholders, especially on the shop floor, so they can also seek improvements and start to drive those KPIs in the right direction.
SUSTAINABILITY SPOTLIGHT | 12 A ore sustainable cu In 2020 Eastern Produce Kenya (EPK), one of the weather, when more thermal energy was required to country’s largest tea producers and exporters, invited remove surface moisture from the green leaf. the IfM to apply the Cambridge Sustain 8 to help refocus its e orts on reducing the amount of energy However, when the data (on good and bad days) used at its Chemomi and Kepchomo tea factories. was analysed and correlated with the weather, they found that the factories were having good days in wet Through online meetings and workshops carried out weather and bad days in dry weather. “So, we asked over the course of 12 months, the team worked with them to come up with the key reasons why they had EPK to identify where energy could be saved and how good days,” says Gary. “And the top three reasons Driving to make sustainability relevant and understood by the were things they could control. So, their usual mantra factory workers. about ‘it’s all about the weather’ didn’t apply.” Having sustainability established drivers for the good days, Gary and his Gary Punter, IfM Engage Industrial Associate, explains team were able to build on simple changes and include how the method (developed at the Institute for sta in the journey. at Kenyan tea Manufacturing’s Centre for Industrial Sustainability) makes energy saving easy to understand and apply Simple steps = big impact factories because it aligns sustainability with business success: Some of the straightforward actions immediately “The Cambridge Sustain 8 Method is eight simple steps impacted firewood and electricity improvements. that can be implemented over 12 months to deliver “Because fuel wood stored in the open has a high sustainability improvement with minimal investment. moisture content,” Gary explains, “we suggested First, by looking at factory data, the method identifies improving firewood storage by expanding covered the key drivers of the factory. We then help the factory wood storage areas. Steam usage was also reduced to pick the areas where sustainability aligns with by eliminating steam leaks and cleaning dust from business success.” radiators and heat exchangers. We also helped to The Institute for Manufacturing (IfM) Focus on the
SUSTAINABILITY SPOTLIGHT | 12 A ore sustainable cu In 2020 Eastern Produce Kenya (EPK), one of the weather, when more thermal energy was required to country’s largest tea producers and exporters, invited remove surface moisture from the green leaf. the IfM to apply the Cambridge Sustain 8 to help refocus its e orts on reducing the amount of energy However, when the data (on good and bad days) used at its Chemomi and Kepchomo tea factories. was analysed and correlated with the weather, they found that the factories were having good days in wet Through online meetings and workshops carried out weather and bad days in dry weather. “So, we asked over the course of 12 months, the team worked with them to come up with the key reasons why they had EPK to identify where energy could be saved and how good days,” says Gary. “And the top three reasons Driving to make sustainability relevant and understood by the were things they could control. So, their usual mantra factory workers. about ‘it’s all about the weather’ didn’t apply.” Having sustainability established drivers for the good days, Gary and his Gary Punter, IfM Engage Industrial Associate, explains team were able to build on simple changes and include how the method (developed at the Institute for sta in the journey. at Kenyan tea Manufacturing’s Centre for Industrial Sustainability) makes energy saving easy to understand and apply Simple steps = big impact factories because it aligns sustainability with business success: Some of the straightforward actions immediately “The Cambridge Sustain 8 Method is eight simple steps impacted firewood and electricity improvements. that can be implemented over 12 months to deliver “Because fuel wood stored in the open has a high sustainability improvement with minimal investment. moisture content,” Gary explains, “we suggested First, by looking at factory data, the method identifies improving firewood storage by expanding covered the key drivers of the factory. We then help the factory wood storage areas. Steam usage was also reduced to pick the areas where sustainability aligns with by eliminating steam leaks and cleaning dust from business success.” radiators and heat exchangers. We also helped to The Institute for Manufacturing (IfM) Focus on the
SUSTAINABILITY SPOTLIGHT | 14 SUSTAINABILITY SPOTLIGHT | 15 After 12 months, teams reported a 15%–30% reduction “This wasn’t about us coming in and telling them what The future is bright in thermal and electric energy consumption at both they need to do, then leaving. EPK had already been By engaging the local workforce, making sustainability sites. There was also a significant increase in tea engaging in various energy-saving activities. This was relevant and identifying simple steps that significantly produced per unit of fuel wood (kWh/m3). about walking alongside them, listening to them, and reduce energy consumption, the Cambridge Method is getting them involved. now in use at five EPK sites in Nandi Hills. “Now, there is the controlled start-up of machines after a power outage,” says Chris Ballard, Technical Director “For example, we encouraged the leadership team to Chris: “We have learnt that small actions lead to We have learnt of EPK. “No machines are left idle or running when not establish their targets, to establish local improvement tangible and significant improvements and that energy in use. There is also proper work output by employees teams to undertake surveys and implement their action saving can be achieved by involving all the personnel at that small actions who now understand that their work has a direct impact plans and provide recognition for all the hard work the shop-floor level.” on energy savings. The shop-floor teams appreciate the involved.” load-shedding regime and no longer see it as a limiting Gary: “Sustainability as a subject can feel large, not lead to tangible factor in withering operations. For Fred Oberi, a drier operator at Kepchomo Factory, engaging, and doesn’t often relate to individual day the changes have resulted in professional growth: “I was jobs. What we do with our methodology is to engage “We have also adopted a new way of covering firewood motivated to get involved since I was made to realise and signiocant in the yard, resulting in high firewood utilisation that my role as a drier operator was critical in sustaining the workers on their terms and in their language. We e ciency compared to previous years. Data on the company’s business as opposed to how I have bring it to life. improvements. electrical energy use is collected from each section of been perceiving it. In addition, the awareness of energy “Companies that find they have a gap between the factory. The data is compared between all factories, saving has improved my ability to avoid wastage of sustainability ambition/strategy and gaining highlighting ine cient sections of a factory that must important resources at work and on a personal level.” momentum/engagement with the factory shop floor be improved. would benefit from using the tool.” Chris Ballard echoes the crucial role that the IfM “These actions have led to significant energy savings at played in engaging the sta : “Everything was in place Chris concludes: “Since working with the IfM, everything both sites, and there has been an overall improvement mechanically, but the next step was to get the people we implemented has been continued. Shop-floor in factory performance across all areas,” says Chris. involved. Crucial to this was engaging the shop-floor workers now own the energy-saving culture. Some workers in the energy-saving plan. This worked because team members have now moved to other factories and How many cows have we saved? they are the ones who understand the operations EXPLORE Cambridge of every machine, since they are the users, and they are implementing these ideas in these factories. So, the Sustain 8 Gary explains that one of the key success stories has ideas and what we have learnt are spreading. We’re been getting the local team engaged in the changes understand the challenges and areas for improvement. working together e ectively and committed to bringing and making the sustainability gains relevant to their They are the ones who know possible areas for our customers tea that has a minimal impact on the Cambridge Sustain 8 is an context. “We engaged the factory workers on their improvement, and therefore they had to own the environment.” organisational engagement terms and in their language. We did this by converting process first. programme focused on making energy into something recognisable: not gigajoules, but significant sustainability ‘How many cows can you buy with the savings?’ This “The shop-floor teams took the project as their own and gave us all a laugh but e ectively equated to how much not a ‘Cambridge University’ project. Engaging the sta improvements with minimal energy had been saved. It brought understanding to the created ownership of the process and how the process investment. By bridging the gap room – that energy wasn’t something intangible. By the directly impacted their personal lives,” says Chris. between corporate objectives end of the project, they worked out that they had saved and sustainable practices on the 2,000 cows – the size of the president’s herd!” “We’ve been working on factory e ciency for many years,” Chris continues. “So, it’s not just something factory floor, this approach has Gary recognises that local e orts have been mirrored that’s happened. The IfM clarified precisely what we been successfully implemented by a strong commitment from EPK HQ to try something should be doing, focusing on, and getting the factory in numerous factories, yielding new, as well as supportive managerial and technical personnel involved. measurable savings within just one leadership on the ground in Kenya: “The open and year of implementation. positive culture of the Kenyan factory management “We knew where all the problems were, but it’s getting and factory sta , coupled with our empathy and intentions turned into action, which is challenging, and understanding of ‘real’ factory challenges and simple that is where the IfM helped.” methodology, meant we could see impactful changes almost immediately.
SUSTAINABILITY SPOTLIGHT | 14 SUSTAINABILITY SPOTLIGHT | 15 After 12 months, teams reported a 15%–30% reduction “This wasn’t about us coming in and telling them what The future is bright in thermal and electric energy consumption at both they need to do, then leaving. EPK had already been By engaging the local workforce, making sustainability sites. There was also a significant increase in tea engaging in various energy-saving activities. This was relevant and identifying simple steps that significantly produced per unit of fuel wood (kWh/m3).about walking alongside them, listening to them, and reduce energy consumption, the Cambridge Method is getting them involved.now in use at five EPK sites in Nandi Hills. “Now, there is the controlled start-up of machines after a power outage,” says Chris Ballard, Technical Director “For example, we encouraged the leadership team to Chris: “We have learnt that small actions lead to We have learnt of EPK. “No machines are left idle or running when not establish their targets, to establish local improvement tangible and significant improvements and that energy in use. There is also proper work output by employees teams to undertake surveys and implement their action saving can be achieved by involving all the personnel at that small actions who now understand that their work has a direct impact plans and provide recognition for all the hard work the shop-floor level.” on energy savings. The shop-floor teams appreciate the involved.” load-shedding regime and no longer see it as a limiting Gary: “Sustainability as a subject can feel large, not lead to tangible factor in withering operations.For Fred Oberi, a drier operator at Kepchomo Factory, engaging, and doesn’t often relate to individual day the changes have resulted in professional growth: “I was jobs. What we do with our methodology is to engage “We have also adopted a new way of covering firewood motivated to get involved since I was made to realise and signiocant in the yard, resulting in high firewood utilisation that my role as a drier operator was critical in sustaining the workers on their terms and in their language. We e ciency compared to previous years. Data on the company’s business as opposed to how I have bring it to life.improvements. electrical energy use is collected from each section of been perceiving it. In addition, the awareness of energy “Companies that find they have a gap between the factory. The data is compared between all factories, saving has improved my ability to avoid wastage of sustainability ambition/strategy and gaining highlighting ine cient sections of a factory that must important resources at work and on a personal level.”momentum/engagement with the factory shop floor be improved.would benefit from using the tool.” Chris Ballard echoes the crucial role that the IfM “These actions have led to significant energy savings at played in engaging the sta : “Everything was in place Chris concludes: “Since working with the IfM, everything both sites, and there has been an overall improvement mechanically, but the next step was to get the people we implemented has been continued. Shop-floor in factory performance across all areas,” says Chris.involved. Crucial to this was engaging the shop-floor workers now own the energy-saving culture. Some workers in the energy-saving plan. This worked because team members have now moved to other factories and How many cows have we saved?they are the ones who understand the operations EXPLORE Cambridge of every machine, since they are the users, and they are implementing these ideas in these factories. So, the Sustain 8 Gary explains that one of the key success stories has ideas and what we have learnt are spreading. We’re been getting the local team engaged in the changes understand the challenges and areas for improvement. working together e ectively and committed to bringing and making the sustainability gains relevant to their They are the ones who know possible areas for our customers tea that has a minimal impact on the Cambridge Sustain 8 is an context. “We engaged the factory workers on their improvement, and therefore they had to own the environment.”organisational engagement terms and in their language. We did this by converting process first. programme focused on making energy into something recognisable: not gigajoules, but significant sustainability ‘How many cows can you buy with the savings?’ This “The shop-floor teams took the project as their own and gave us all a laugh but e ectively equated to how much not a ‘Cambridge University’ project. Engaging the sta improvements with minimal energy had been saved. It brought understanding to the created ownership of the process and how the process investment. By bridging the gap room – that energy wasn’t something intangible. By the directly impacted their personal lives,” says Chris.between corporate objectives end of the project, they worked out that they had saved and sustainable practices on the 2,000 cows – the size of the president’s herd!”“We’ve been working on factory e ciency for many years,” Chris continues. “So, it’s not just something factory floor, this approach has Gary recognises that local e orts have been mirrored that’s happened. The IfM clarified precisely what we been successfully implemented by a strong commitment from EPK HQ to try something should be doing, focusing on, and getting the factory in numerous factories, yielding new, as well as supportive managerial and technical personnel involved. measurable savings within just one leadership on the ground in Kenya: “The open and year of implementation. positive culture of the Kenyan factory management “We knew where all the problems were, but it’s getting and factory sta , coupled with our empathy and intentions turned into action, which is challenging, and understanding of ‘real’ factory challenges and simple that is where the IfM helped.” methodology, meant we could see impactful changes almost immediately.
SUSTAINABILITY SPOTLIGHT | 16 SUSTAINABILITY SPOTLIGHT | 17 Because the groundwork was done by the consortium in terms of identifying technology aligned to business and sustainability needs, some impressive results are already becoming visible. The S3 Consortium have already been able to track a saving of 38 tonnes of carbon emissions though smarter processes. “As a business there are great correlations between wasted e ort, wasted time and higher emissions. Tackling overproduction, stock rotation GAMIFYING processes and end-of-production waste were all key factors that led to the reduction,” says Tom. But Raynor Foods want to go much further. “This is just sustainability a starting point, and we are expecting the savings to grow through gamification. We’re aiming to be net zero by 2030, which is a deliberately ambitious target. But it’s got to be because we’re running out of time, and if Delivering worker nobody starts moving the dial quite quickly, we’re all engagement for going to be in a really unpleasant place,” says Tom. environmental impact Smart people and gamiocation The company knew that the only way to do this was to get the entire workforce on board. “Because it’s only through an engaged workforce that we’re going to deliver these things. We want to make sustainability more relevant and personal to them. One area we hope to move the needle on is making the invisible – things Raynor Foods, the 2023 British Sandwich highly innovative high-tech response linking employee One of the most impressive pieces of technology is the like CO2 emissions – visible, to motivate sta to find Association Manufacturer of the Year, and the recognition and rewards to measurable KPIs in Ultra-Wide Band Mesh, developed by Software Imaging. ways to reduce waste they can’t necessarily see,” says largest supplier of sandwiches to the NHS, sustainability performance – known as the S3 Project. It is e ectively an invisible mesh that covers the entire Tom. enterprise and can locate a digital link within 5 to 10 have always been a leader in sustainability. In The aim of the S3 Project is to create a digital cm. “It is e ectively the backbone of our whole project,” With the data in hand and an awareness of the changes 2009 they pioneered the carbon footprinting twin factory using state-of-the-art technology to says Tom Hollands, Innovation and Technical Director at that needed to be made, the challenge was to convey of sandwich products, and they have track carbon emissions in food manufacturing. By Raynor Foods. this information to the workforce in a way that would an extensive track record of sustainable incorporating aspects of gamification to motivate the engage them on a personal level, and to encourage the innovation delivering projects, including workforce, and real-time carbon monitoring, the aim “You can associate links with a piece of equipment, or behaviours and values that Raynor Foods want to live is to demonstrate carbon reductions. The project has to people, or to processes. And because we flooded the by as an organisation. eliminating non-biodegradable plastics and three main elements: smart people, smart processes whole area, and it’s got a very granular accuracy, you creating the IntenseTM tomato, which cut and smart factory. can do some fantastic things with the technology that To this end, they approached the IfM, part of the waste and increased product life. we’re only starting to discover now. You can add the University of Cambridge, who have been leading the Smart factory and smart processes links to scaled waste bins, which allow you to associate development of a gamification programme to make To maintain this position and push the boundaries The foundations of the S3 project have already been the amount of waste with a process. You could also add improvements in sustainability. The system, which of sustainability, Raynor Foods saw an opportunity established, with the University of Lincoln leading links to doors on room-sized fridges and freezers to allows employees to earn points that transform into a to tackle arguably their biggest challenge to date – much of the work. They analysed what improvements highlight if they are open,” says Tom. variety of rewards and benefits, is the most advanced how to motivate everyone in the company, from the were needed in terms of CO2 reduction, discovered and innovative such system in the food industry. shop floor upwards, to work towards improving its what digital tools would be needed to accomplish “These links enable you to geolocate people to a sustainability performance. To achieve this, Raynor these reductions, and were then involved in developing process. If you measure the process from a CO2e “It’s an engagement and education tool that allows Foods, in collaboration with a consortium made up of and deploying these tools. These included a highly performance perspective, you can assign performance us to motivate and achieve behavioural change, while the Institute for Manufacturing (IfM), the University sophisticated set of sensors connected to game links to individuals and teams who work in that area, even if making the work fun and valuable for the employees” of Lincoln and Software Imaging, came up with a attached to pieces of equipment or worn by employees. they only work in the area for 30 minutes.” explains Ergün Güngör, Research Associate at the IfM.
SUSTAINABILITY SPOTLIGHT | 16 SUSTAINABILITY SPOTLIGHT | 17 Because the groundwork was done by the consortium in terms of identifying technology aligned to business and sustainability needs, some impressive results are already becoming visible. The S3 Consortium have already been able to track a saving of 38 tonnes of carbon emissions though smarter processes. “As a business there are great correlations between wasted e ort, wasted time and higher emissions. Tackling overproduction, stock rotation GAMIFYING processes and end-of-production waste were all key factors that led to the reduction,” says Tom. But Raynor Foods want to go much further. “This is just sustainability a starting point, and we are expecting the savings to grow through gamification. We’re aiming to be net zero by 2030, which is a deliberately ambitious target. But it’s got to be because we’re running out of time, and if Delivering worker nobody starts moving the dial quite quickly, we’re all engagement for going to be in a really unpleasant place,” says Tom. environmental impact Smart people and gamiocation The company knew that the only way to do this was to get the entire workforce on board. “Because it’s only through an engaged workforce that we’re going to deliver these things. We want to make sustainability more relevant and personal to them. One area we hope to move the needle on is making the invisible – things Raynor Foods, the 2023 British Sandwich highly innovative high-tech response linking employee One of the most impressive pieces of technology is the like CO2 emissions – visible, to motivate sta to find Association Manufacturer of the Year, and the recognition and rewards to measurable KPIs in Ultra-Wide Band Mesh, developed by Software Imaging. ways to reduce waste they can’t necessarily see,” says largest supplier of sandwiches to the NHS, sustainability performance – known as the S3 Project.It is e ectively an invisible mesh that covers the entire Tom. enterprise and can locate a digital link within 5 to 10 have always been a leader in sustainability. In The aim of the S3 Project is to create a digital cm. “It is e ectively the backbone of our whole project,” With the data in hand and an awareness of the changes 2009 they pioneered the carbon footprinting twin factory using state-of-the-art technology to says Tom Hollands, Innovation and Technical Director at that needed to be made, the challenge was to convey of sandwich products, and they have track carbon emissions in food manufacturing. By Raynor Foods.this information to the workforce in a way that would an extensive track record of sustainable incorporating aspects of gamification to motivate the engage them on a personal level, and to encourage the innovation delivering projects, including workforce, and real-time carbon monitoring, the aim “You can associate links with a piece of equipment, or behaviours and values that Raynor Foods want to live is to demonstrate carbon reductions. The project has to people, or to processes. And because we flooded the by as an organisation. eliminating non-biodegradable plastics and three main elements: smart people, smart processes whole area, and it’s got a very granular accuracy, you creating the IntenseTM tomato, which cut and smart factory.can do some fantastic things with the technology that To this end, they approached the IfM, part of the waste and increased product life. we’re only starting to discover now. You can add the University of Cambridge, who have been leading the Smart factory and smart processeslinks to scaled waste bins, which allow you to associate development of a gamification programme to make To maintain this position and push the boundaries The foundations of the S3 project have already been the amount of waste with a process. You could also add improvements in sustainability. The system, which of sustainability, Raynor Foods saw an opportunity established, with the University of Lincoln leading links to doors on room-sized fridges and freezers to allows employees to earn points that transform into a to tackle arguably their biggest challenge to date – much of the work. They analysed what improvements highlight if they are open,” says Tom.variety of rewards and benefits, is the most advanced how to motivate everyone in the company, from the were needed in terms of CO2 reduction, discovered and innovative such system in the food industry. shop floor upwards, to work towards improving its what digital tools would be needed to accomplish “These links enable you to geolocate people to a sustainability performance. To achieve this, Raynor these reductions, and were then involved in developing process. If you measure the process from a CO2e “It’s an engagement and education tool that allows Foods, in collaboration with a consortium made up of and deploying these tools. These included a highly performance perspective, you can assign performance us to motivate and achieve behavioural change, while the Institute for Manufacturing (IfM), the University sophisticated set of sensors connected to game links to individuals and teams who work in that area, even if making the work fun and valuable for the employees” of Lincoln and Software Imaging, came up with a attached to pieces of equipment or worn by employees. they only work in the area for 30 minutes.”explains Ergün Güngör, Research Associate at the IfM.
SUSTAINABILITY SPOTLIGHT | 18 SUSTAINABILITY SPOTLIGHT | 19 Discovering motivating factors Creating KPIs that deliver worker engage- A voyage of discovery Becoming a
SUSTAINABILITY SPOTLIGHT | 18 SUSTAINABILITY SPOTLIGHT | 19 Discovering motivating factorsCreating KPIs that deliver worker engage-A voyage of discoveryBecoming a
SUSTAINABILITY SPOTLIGHT | 20 SUSTAINABILITY SPOTLIGHT | 21 Secti 2: Drivin change IN PURSUIT OF COBALT-FREE BATTERIES We examine the latest technologies impacting organisations’ sustainability strategies, now and in the future. The increasing demand for electric vehicles Embracing a multidisciplinary approach has led to an increase in the demand for Multidisciplinary research is proving to be a game cobalt, which is used in Li-ion battery changer in advancing electrochemical energy storage cathodes. However, concerns about the research. Professor Michael de Volder, who leads the environment, ethics and the challenges IfM’s Nanomanufacturing Group, believes this approach is paving the way for the creation of devices that can inherent in cobalt production are motivating deliver quick and e cient electrical energy: “When I researchers to explore alternatives. started working on batteries about 10 years ago, they Head of the Institute for Manufacturing’s seemed to be a simple set of anodes and cathodes Nanomanufacturing Group, Professor Michael plunged in an electrolyte. However, I quickly realised de Volder, sheds light on the pioneering that the simple battery schematics we learned at school are deceptively simple, and the operation of a modern e orts to eliminate cobalt from electric battery is nothing short of a chemistry and engineering vehicle batteries, o ering a glimpse into a miracle. This explains why the invention of the Li-ion more sustainable era for electric mobility. battery was awarded the Nobel Prize in 2019.”
SUSTAINABILITY SPOTLIGHT | 20 SUSTAINABILITY SPOTLIGHT | 21 Secti 2: Drivin change IN PURSUIT OF COBALT-FREE BATTERIES We examine the latest technologies impacting organisations’ sustainability strategies, now and in the future. The increasing demand for electric vehicles Embracing a multidisciplinary approach has led to an increase in the demand for Multidisciplinary research is proving to be a game cobalt, which is used in Li-ion battery changer in advancing electrochemical energy storage cathodes. However, concerns about the research. Professor Michael de Volder, who leads the environment, ethics and the challenges IfM’s Nanomanufacturing Group, believes this approach is paving the way for the creation of devices that can inherent in cobalt production are motivating deliver quick and e cient electrical energy: “When I researchers to explore alternatives. started working on batteries about 10 years ago, they Head of the Institute for Manufacturing’s seemed to be a simple set of anodes and cathodes Nanomanufacturing Group, Professor Michael plunged in an electrolyte. However, I quickly realised de Volder, sheds light on the pioneering that the simple battery schematics we learned at school are deceptively simple, and the operation of a modern e orts to eliminate cobalt from electric battery is nothing short of a chemistry and engineering vehicle batteries, o ering a glimpse into a miracle. This explains why the invention of the Li-ion more sustainable era for electric mobility. battery was awarded the Nobel Prize in 2019.”
SUSTAINABILITY SPOTLIGHT | 22 SUSTAINABILITY SPOTLIGHT | 23 The manufacture of batteries involves many complex operations. In particular, the manufacturing processes used for the battery electrodes have a more profound impact on the battery operation than previously assumed. Michael explains: “For instance, using the same active materials on the anode and cathode, changing the manufacturing process can influence how fast the battery can be charged or discharged and the overall energy and power density of the battery pack. More interestingly, manufacturing steps can also influence the lifetime of the battery and, therefore, its sustainability. “However, modern batteries are such complicated ecosystems that optimising manufacturing by itself, without considering how this influences [the] chemical and physical processes taking place, is meaningless. This is exactly what makes batteries so exciting to study – they force you to understand disciplines that engineers don’t usually engage in much.” that replace cobalt with nickel and manganese: “One While the EV industry is gradually embracing cathodes “As part of another grant, we are looking at how Collaborating across departments in Cambridge and such group of materials, which the automotive industry with lower Co content, according to Michael, either manufacturing processes a ect the lifetime of these other UK universities, and fostering partnerships with has increasingly adopted, are lithium nickel manganese the latest versions are not in use or their capacity is batteries. This work is sponsored by a £2 million ERC industries and research centres, the group’s work cobalt oxides (NMCs),” says Michael. “Over time, various intentionally limited to slow down the degradation Consolidator Grant, on which I am the PI. This grant addresses the intricate challenges of advancing battery generations of NMCs have been developed with a process because of stability concerns. looks specifically at the development of scalable technology. The same multidisciplinary ideology is decreasing amount of Co and an increasing amount continuous processes for manufacturing better battery reflected in Michael’s research group composition, of Ni content. In the most recent generations of these Balancing act: low-cobalt cathodes electrodes and bridging the so-called Valley of Death which consists of engineers, material scientists, materials, up to 90% less Co is used in the cathode than Given these challenges, the mission is to reduce cobalt between academic research and industry. These new chemists and physicists. the original LiCoO2 formulation that won the Nobel content without compromising battery longevity. manufacturing processes impact not only battery Prize.” In the spirit of multidisciplinary research, the IfM’s lifetime but also their energy and power density,” says Challenges of cobalt-free batteries Nanomanufacturing Group is working on a number of Michael. However, the shift to cobalt-free cathodes comes with di erent projects with partners from around the UK. Lithium-ion (Li-ion) batteries are the dominant a trade-o . While these cathodes are cost-e ective Finally, Michael’s group is part of a £14 million multi- technology used in the manufacture of electrical and more eco-friendly, they can deteriorate more university Faraday Institution grant headed by the vehicles (EVs) because of their high energy density The most significant project related to this research quickly than their traditional counterparts, posing new topic is a multi-university £22 million grant from the University of She eld on the development of next- and rechargeability. Therefore, research focused on sustainability challenges. generation batteries that are entirely cobalt-free. battery technology plays a significant role in developing Faraday Institution, headed by Professor Clare Grey in the Department of Chemistry. Michael leads one The group is focused on developing and optimising solutions to mitigate climate change. “They tend to deteriorate faster than their traditional manufacturing steps to suit these new material of the three project work packages, working with counterparts,” Michael explains. “Compared to colleagues from the University of Warwick, Imperial chemistries and aligning their performance more closely A shift towards electric vehicles poses a significant formulations with higher Co content, these batteries with the requirements for their commercial adoption. challenge to the mining industry, particularly the College London, Newcastle University, University experience quicker capacity fading, which means College London, the University of Birmingham, the mining of crucial battery elements such as cobalt, they need to be replaced more frequently, ultimately The group’s research findings will contribute to the nickel and manganese. Cobalt (Co), in particular, is University of Oxford, the University of She eld and reducing their overall sustainability. This is a major the University of Southampton. He explains: “We are manufacture of batteries to help mitigate climate a cause for concern because of the environmental concern, as the reduced lifespan of the batteries change without creating new environmental challenges and ethical issues associated with mining it, including looking at degradation processes that are a result of leads to their disposal in landfills, which ultimately incompatibilities between classic electrolytes and new by relying on unsustainable materials. Michael is unsafe working conditions, environmental pollution undermines the environmental benefits of using cobalt- optimistic that the landscape holds significant promise. and child labour. Although cobalt is necessary for cathodes with very low cobalt content. The team is free cathodes.” looking at developing better cathodes and the anodes “The journey towards cobalt-free batteries aligns enhancing battery stability and lifespan, its high cost with the commitment to combat climate change and and the associated issues have prompted researchers to of batteries. underscores the pivotal role of advanced manufacturing investigate alternative cathode chemistries. in shaping a cleaner and more energy-e cient Researchers have developed new cathode chemistries landscape.”
SUSTAINABILITY SPOTLIGHT | 22 SUSTAINABILITY SPOTLIGHT | 23 The manufacture of batteries involves many complex operations. In particular, the manufacturing processes used for the battery electrodes have a more profound impact on the battery operation than previously assumed. Michael explains: “For instance, using the same active materials on the anode and cathode, changing the manufacturing process can influence how fast the battery can be charged or discharged and the overall energy and power density of the battery pack. More interestingly, manufacturing steps can also influence the lifetime of the battery and, therefore, its sustainability. “However, modern batteries are such complicated ecosystems that optimising manufacturing by itself, without considering how this influences [the] chemical and physical processes taking place, is meaningless. This is exactly what makes batteries so exciting to study – they force you to understand disciplines that engineers don’t usually engage in much.” that replace cobalt with nickel and manganese: “One While the EV industry is gradually embracing cathodes “As part of another grant, we are looking at how Collaborating across departments in Cambridge and such group of materials, which the automotive industry with lower Co content, according to Michael, either manufacturing processes a ect the lifetime of these other UK universities, and fostering partnerships with has increasingly adopted, are lithium nickel manganese the latest versions are not in use or their capacity is batteries. This work is sponsored by a £2 million ERC industries and research centres, the group’s work cobalt oxides (NMCs),” says Michael. “Over time, various intentionally limited to slow down the degradation Consolidator Grant, on which I am the PI. This grant addresses the intricate challenges of advancing battery generations of NMCs have been developed with a process because of stability concerns. looks specifically at the development of scalable technology. The same multidisciplinary ideology is decreasing amount of Co and an increasing amount continuous processes for manufacturing better battery reflected in Michael’s research group composition, of Ni content. In the most recent generations of these Balancing act: low-cobalt cathodeselectrodes and bridging the so-called Valley of Death which consists of engineers, material scientists, materials, up to 90% less Co is used in the cathode than Given these challenges, the mission is to reduce cobalt between academic research and industry. These new chemists and physicists.the original LiCoO2 formulation that won the Nobel content without compromising battery longevity. manufacturing processes impact not only battery Prize.” In the spirit of multidisciplinary research, the IfM’s lifetime but also their energy and power density,” says Challenges of cobalt-free batteries Nanomanufacturing Group is working on a number of Michael. However, the shift to cobalt-free cathodes comes with di erent projects with partners from around the UK. Lithium-ion (Li-ion) batteries are the dominant a trade-o . While these cathodes are cost-e ective Finally, Michael’s group is part of a £14 million multi- technology used in the manufacture of electrical and more eco-friendly, they can deteriorate more university Faraday Institution grant headed by the vehicles (EVs) because of their high energy density The most significant project related to this research quickly than their traditional counterparts, posing new topic is a multi-university £22 million grant from the University of She eld on the development of next- and rechargeability. Therefore, research focused on sustainability challenges.generation batteries that are entirely cobalt-free. battery technology plays a significant role in developing Faraday Institution, headed by Professor Clare Grey in the Department of Chemistry. Michael leads one The group is focused on developing and optimising solutions to mitigate climate change.“They tend to deteriorate faster than their traditional manufacturing steps to suit these new material of the three project work packages, working with counterparts,” Michael explains. “Compared to colleagues from the University of Warwick, Imperial chemistries and aligning their performance more closely A shift towards electric vehicles poses a significant formulations with higher Co content, these batteries with the requirements for their commercial adoption. challenge to the mining industry, particularly the College London, Newcastle University, University experience quicker capacity fading, which means College London, the University of Birmingham, the mining of crucial battery elements such as cobalt, they need to be replaced more frequently, ultimately The group’s research findings will contribute to the nickel and manganese. Cobalt (Co), in particular, is University of Oxford, the University of She eld and reducing their overall sustainability. This is a major the University of Southampton. He explains: “We are manufacture of batteries to help mitigate climate a cause for concern because of the environmental concern, as the reduced lifespan of the batteries change without creating new environmental challenges and ethical issues associated with mining it, including looking at degradation processes that are a result of leads to their disposal in landfills, which ultimately incompatibilities between classic electrolytes and new by relying on unsustainable materials. Michael is unsafe working conditions, environmental pollution undermines the environmental benefits of using cobalt-optimistic that the landscape holds significant promise. and child labour. Although cobalt is necessary for cathodes with very low cobalt content. The team is free cathodes.”looking at developing better cathodes and the anodes “The journey towards cobalt-free batteries aligns enhancing battery stability and lifespan, its high cost with the commitment to combat climate change and and the associated issues have prompted researchers to of batteries. underscores the pivotal role of advanced manufacturing investigate alternative cathode chemistries. in shaping a cleaner and more energy-e cient Researchers have developed new cathode chemistries landscape.”
SUSTAINABILITY SPOTLIGHT | 24 SUSTAINABILITY SPOTLIGHT | 25 Technology perspective What e atest technology tren at i mpact sustainability? Steve Evans, Director of Research in Michael de Volder, Head of the IfM Dr Jagjit Singh Srai, Director of Research, Alexandra Brintrup, Professor in Digital Industrial Sustainability Nanomanufacturing Group and Head, Centre for International Manufacturing and Head of the Supply “The first answer is that the most important focus “My current research focuses on the development of Manufacturing Chain AI Lab: should be to rapidly improve what we are doing today Li-ion and other battery technologies that are likely to “Long-term technological trends show that advanced “Whilst sustainability needs to be first and foremost without buying new technology. This message shouldn’t play a very important role in climate-change mitigation, manufacturing technologies can create innovative about a cultural shift into being comfortable with be mistaken as anti-technology; it just highlights that for instance by powering electric vehicles and storing product designs by utilising new production methods. ‘less’, technological advances help this process. Within organisations will get value from reviewing how existing renewable energy sources. This holds great promise in terms of resource e ciency. manufacturing significant advances are being made technology can support meeting their sustainability These advanced manufacturing technologies often with battery technology, alternative energy sources, goals. I’ve seen so many examples where organisations Technology trends that will impact sustainability in this involve less aggressive processing, making them both circular materials and production processes – and AI. develop knowledge through this focus, making field are two-fold. On the one hand, we need to move energy- and material-e cient. Other technologies that Our lab’s research aims to understand and improve them more prepared and e ective in selecting new away from battery chemistries that are unsustainable. cover a broad spectrum of digital tools, such as AI, supply chains through the use of AI. Supply chains form technology solutions. Classic examples of this are the development of blockchain and others, will enable us to gain visibility both the backbone of the global economy and, at the battery cathodes containing very little or no cobalt, into demand and supply in our supply chain, allowing us same time, typically represent the largest environmental “Organisations should also focus on current technology and electrolytes that do not contain any perfluorinated to synchronise them more e ectively. This, in turn, helps footprint of a manufacturing company. The most spending plans to ensure that each purchase is as additives. On the other hand, the manufacturing us to minimise waste and meet demand in the most promising advances we have made so far include Digital energy/water/material e cient as possible (and/or that processes for batteries are often energy-intensive and e cient manner.” Supply Chain Surveillance and Autonomous Systems. it allows for improvement in the future). Most of your rely on toxic solvents. Exciting new technological trends The first includes combining vast datasets from VAT, future environmental footprint is decided by existing in this area include dry processing methods that do not Dr Srai has extensive experience leading large-scale shipment, satellite imagery, and the web to train technology, so make sure that e ciency is a key require solvents and energy-intensive drying steps. complex research projects comprising multiple stakeholders machine learning algorithms to predict the existence of selection criterion so you make choices you are happy Finally, recycling of batteries is being studied across industry, academia and public bodies. His research actors involved in a supply chain and their sustainability to live with in the future. In terms of a trend that aligns more rigorously, which is critical to ensuring that centre brings an engineering and strategic operations behaviours so that action can be taken to nudge them. management perspective to the design, analysis and with this, the best place to focus is data innovation – it batteries become a more sustainable technology for operation of international supply chains and the impact of The second area involves equipping a virtual replica o ers the biggest sustainability improvement for the electrification.” advanced production and digital technologies. Through of a supply chain product or process. By automating least cost, and technologies that support sustainability major collaborations with industry (individual firms and planning, we alleviate the need for manual processes data insights are rapidly evolving.” Michael de Volder leads the IfM’s Nanomanufacturing consortia), primarily in the healthcare and food/FMCG and allow everyone to share resulting gains so they can Group, which focuses on developing scalable processes sectors, his research findings have directly underpinned major be incentivised.” Steve Evans leads the IfM’s Sustainability Association. to arrange nanoparticles such as carbon nanotubes organisational change. The association produced the “Sustainable Innovation: and graphene into well-defined superstructures. These Prof. Alexandra Brintrup is Professor in Digital Manufacturing Quick Wins in Sustainable Manufacturing” report, may find application in sensors, electronics, catalysis, at the Institute for Manufacturing, where she leads the which recommends how organisations can improve energy storage, water purification and smart materials. Supply Chain AI Lab. Prof. Brintrup was the first researcher to empirically study large-scale supply chains as complex sustainability performance quickly without investing adaptive networks, examine their emergent properties, and heavily in new technologies. take a data-driven perspective to characterise their resilience, which led to understanding of universal patterns that govern supply chains.
SUSTAINABILITY SPOTLIGHT | 24 SUSTAINABILITY SPOTLIGHT | 25 Technology perspective What e atest technology tren at i mpact sustainability? Steve Evans, Director of Research in Michael de Volder, Head of the IfM Dr Jagjit Singh Srai, Director of Research, Alexandra Brintrup, Professor in Digital Industrial Sustainability Nanomanufacturing Group and Head, Centre for International Manufacturing and Head of the Supply “The first answer is that the most important focus “My current research focuses on the development of ManufacturingChain AI Lab: should be to rapidly improve what we are doing today Li-ion and other battery technologies that are likely to “Long-term technological trends show that advanced “Whilst sustainability needs to be first and foremost without buying new technology. This message shouldn’t play a very important role in climate-change mitigation, manufacturing technologies can create innovative about a cultural shift into being comfortable with be mistaken as anti-technology; it just highlights that for instance by powering electric vehicles and storing product designs by utilising new production methods. ‘less’, technological advances help this process. Within organisations will get value from reviewing how existing renewable energy sources. This holds great promise in terms of resource e ciency. manufacturing significant advances are being made technology can support meeting their sustainability These advanced manufacturing technologies often with battery technology, alternative energy sources, goals. I’ve seen so many examples where organisations Technology trends that will impact sustainability in this involve less aggressive processing, making them both circular materials and production processes – and AI. develop knowledge through this focus, making field are two-fold. On the one hand, we need to move energy- and material-e cient. Other technologies that Our lab’s research aims to understand and improve them more prepared and e ective in selecting new away from battery chemistries that are unsustainable. cover a broad spectrum of digital tools, such as AI, supply chains through the use of AI. Supply chains form technology solutions.Classic examples of this are the development of blockchain and others, will enable us to gain visibility both the backbone of the global economy and, at the battery cathodes containing very little or no cobalt, into demand and supply in our supply chain, allowing us same time, typically represent the largest environmental “Organisations should also focus on current technology and electrolytes that do not contain any perfluorinated to synchronise them more e ectively. This, in turn, helps footprint of a manufacturing company. The most spending plans to ensure that each purchase is as additives. On the other hand, the manufacturing us to minimise waste and meet demand in the most promising advances we have made so far include Digital energy/water/material e cient as possible (and/or that processes for batteries are often energy-intensive and e cient manner.”Supply Chain Surveillance and Autonomous Systems. it allows for improvement in the future). Most of your rely on toxic solvents. Exciting new technological trends The first includes combining vast datasets from VAT, future environmental footprint is decided by existing in this area include dry processing methods that do not Dr Srai has extensive experience leading large-scale shipment, satellite imagery, and the web to train technology, so make sure that e ciency is a key require solvents and energy-intensive drying steps. complex research projects comprising multiple stakeholders machine learning algorithms to predict the existence of selection criterion so you make choices you are happy Finally, recycling of batteries is being studied across industry, academia and public bodies. His research actors involved in a supply chain and their sustainability to live with in the future. In terms of a trend that aligns more rigorously, which is critical to ensuring that centre brings an engineering and strategic operations behaviours so that action can be taken to nudge them. management perspective to the design, analysis and with this, the best place to focus is data innovation – it batteries become a more sustainable technology for operation of international supply chains and the impact of The second area involves equipping a virtual replica o ers the biggest sustainability improvement for the electrification.”advanced production and digital technologies. Through of a supply chain product or process. By automating least cost, and technologies that support sustainability major collaborations with industry (individual firms and planning, we alleviate the need for manual processes data insights are rapidly evolving.”Michael de Volder leads the IfM’s Nanomanufacturing consortia), primarily in the healthcare and food/FMCG and allow everyone to share resulting gains so they can Group, which focuses on developing scalable processes sectors, his research findings have directly underpinned major be incentivised.” Steve Evans leads the IfM’s Sustainability Association. to arrange nanoparticles such as carbon nanotubes organisational change. The association produced the “Sustainable Innovation: and graphene into well-defined superstructures. These Prof. Alexandra Brintrup is Professor in Digital Manufacturing Quick Wins in Sustainable Manufacturing” report, may find application in sensors, electronics, catalysis, at the Institute for Manufacturing, where she leads the which recommends how organisations can improve energy storage, water purification and smart materials.Supply Chain AI Lab. Prof. Brintrup was the first researcher to empirically study large-scale supply chains as complex sustainability performance quickly without investing adaptive networks, examine their emergent properties, and heavily in new technologies. take a data-driven perspective to characterise their resilience, which led to understanding of universal patterns that govern supply chains.
SUSTAINABILITY SPOTLIGHT | 26 SUSTAINABILITY SPOTLIGHT | 27 The study explores ways to decarbonise Decline in numbers of CEA growers controlled environment agriculture (CEA) Because of recent higher energy costs, in 2022 while keeping it profitable and workable, so production from the sector reached its lowest level that growers can supply high-quality food since recordings began 30 years ago. But because to the British market in environmentally and CEA has so many potential benefits – among them the ability to boost British food security and a ordability financially sustainable ways. It also provides – Defra recently commissioned a report on the gains, robust findings to inform investments in costs, feasibility and scalability of current and future SECTOR CEA and the associated technologies and industrial horticulture models. The work was carried infrastructure, highlighting that the right out by Dr Diana Khripko and Dr Samuel Short from IfM methods can help CEA to contribute to greater Engage, and Dr Bernhard Strauss and Dr Pantea Lotfian from Camrosh. The report was published in December decarbisati food security and the UK’s net-zero goal. 2023. British agriculture comprises both traditional water- “Defra’s agri-food evidence programme supports intensive growing methods in open fields and horticultural the productivity, environmental sustainability, operations such as controlled environment agriculture risks and trade-o s of farming systems. This study Controlled (CEA), some of which are highly energy-intensive. The was commissioned to provide context around scope of the Defra report was to explore the potential to opportunities and barriers to the sustainable growth environment improve the sustainability credentials and feasibility of and development of the horticulture sector. Whilst it is the latter. clear from the report that there is no silver bullet, the agriculture information and data collated and disseminated will be CEA is an umbrella term covering several di erent of great use as the sector looks to further decarbonise, with Defra horticultural sub-sectors characterised by their separation whilst facilitating further resilience and productivity of crops from the natural environment, and their ability to opportunities.” (Statement from Defra, 2023) control parameters like temperature, humidity, nutrients and light. Glasshouses and polythene tunnels are the Carbon-intensive infrastructure most well-known examples, but other types of set-up, such as indoor and vertical farms, are also emerging. The CEA sector has a considerable carbon footprint Industrial sustainability While CEA is high-yielding, water- and land-e cient, for its size, but the technologies it builds on do not experts from IfM Engage have and historically allowed for cheap food production, it is inherently yield high emissions. Over the last couple collaborated with policy experts energy-intensive, and in the UK it predominantly runs on of decades, growers in CEA have overwhelmingly natural gas-fired technologies. relied on combined heat and power (CHP) energy from Camrosh to deliver a report generation in line with established policy. CHP is an on current and future energy The findings suggest that CEA can contribute to greater energy-e cient technology that even allows many food security, food a ordability and the net-zero goal growers to sell electricity to the national grid. Carbon technologies deployed in food dioxide from the combustion process is often extracted when the following recommendations are followed: production, commissioned by • Energy-e ciency measures should be encouraged to enrich the atmosphere in the growing operations by the Department for Environment, throughout the sector, with a focus on integrating low/ boosting photosynthesis. But deployed CHP is primarily zero-carbon energy supply systems into new CEA fuelled by natural gas and releases a great amount Food and Rural A airs (Defra). builds. The necessary technologies already exist for of captured carbon dioxide into the atmosphere. The low-carbon CEA and are largely proven. challenge, therefore, is to ensure that the energy used • Support, including from policy mechanisms, is required to meet CEA energy demand comes from renewable for CEA to move forwards in a low-carbon manner. energy sources by deploying low-carbon technologies, This presents a significant opportunity for the UK and and that its supply is reliable. The report seeks to can have a positive impact on both local and national clarify the current energy demand of the sector, and economies. the requirements for deploying alternative energy • Recommendations should be put in place now to technologies, and to identify how current and future facilitate the long investment horizons of CEA, typically needs can be met. 20–50 years. Current investments will impact the state of food production in 2050.
SUSTAINABILITY SPOTLIGHT | 26 SUSTAINABILITY SPOTLIGHT | 27 The study explores ways to decarbonise Decline in numbers of CEA growers controlled environment agriculture (CEA) Because of recent higher energy costs, in 2022 while keeping it profitable and workable, so production from the sector reached its lowest level that growers can supply high-quality food since recordings began 30 years ago. But because to the British market in environmentally and CEA has so many potential benefits – among them the ability to boost British food security and a ordability financially sustainable ways. It also provides – Defra recently commissioned a report on the gains, robust findings to inform investments in costs, feasibility and scalability of current and future SECTOR CEA and the associated technologies and industrial horticulture models. The work was carried infrastructure, highlighting that the right out by Dr Diana Khripko and Dr Samuel Short from IfM methods can help CEA to contribute to greater Engage, and Dr Bernhard Strauss and Dr Pantea Lotfian from Camrosh. The report was published in December decarbisatifood security and the UK’s net-zero goal. 2023. British agriculture comprises both traditional water- “Defra’s agri-food evidence programme supports intensive growing methods in open fields and horticultural the productivity, environmental sustainability, operations such as controlled environment agriculture risks and trade-o s of farming systems. This study Controlled (CEA), some of which are highly energy-intensive. The was commissioned to provide context around scope of the Defra report was to explore the potential to opportunities and barriers to the sustainable growth environment improve the sustainability credentials and feasibility of and development of the horticulture sector. Whilst it is the latter. clear from the report that there is no silver bullet, the agriculture information and data collated and disseminated will be CEA is an umbrella term covering several di erent of great use as the sector looks to further decarbonise, with Defra horticultural sub-sectors characterised by their separation whilst facilitating further resilience and productivity of crops from the natural environment, and their ability to opportunities.” (Statement from Defra, 2023) control parameters like temperature, humidity, nutrients and light. Glasshouses and polythene tunnels are the Carbon-intensive infrastructure most well-known examples, but other types of set-up, such as indoor and vertical farms, are also emerging. The CEA sector has a considerable carbon footprint Industrial sustainability While CEA is high-yielding, water- and land-e cient, for its size, but the technologies it builds on do not experts from IfM Engage have and historically allowed for cheap food production, it is inherently yield high emissions. Over the last couple collaborated with policy experts energy-intensive, and in the UK it predominantly runs on of decades, growers in CEA have overwhelmingly natural gas-fired technologies. relied on combined heat and power (CHP) energy from Camrosh to deliver a report generation in line with established policy. CHP is an on current and future energy The findings suggest that CEA can contribute to greater energy-e cient technology that even allows many food security, food a ordability and the net-zero goal growers to sell electricity to the national grid. Carbon technologies deployed in food dioxide from the combustion process is often extracted when the following recommendations are followed: production, commissioned by • Energy-e ciency measures should be encouraged to enrich the atmosphere in the growing operations by the Department for Environment, throughout the sector, with a focus on integrating low/boosting photosynthesis. But deployed CHP is primarily zero-carbon energy supply systems into new CEA fuelled by natural gas and releases a great amount Food and Rural A airs (Defra). builds. The necessary technologies already exist for of captured carbon dioxide into the atmosphere. The low-carbon CEA and are largely proven. challenge, therefore, is to ensure that the energy used • Support, including from policy mechanisms, is required to meet CEA energy demand comes from renewable for CEA to move forwards in a low-carbon manner. energy sources by deploying low-carbon technologies, This presents a significant opportunity for the UK and and that its supply is reliable. The report seeks to can have a positive impact on both local and national clarify the current energy demand of the sector, and economies. the requirements for deploying alternative energy • Recommendations should be put in place now to technologies, and to identify how current and future facilitate the long investment horizons of CEA, typically needs can be met. 20–50 years. Current investments will impact the state of food production in 2050.
SUSTAINABILITY SPOTLIGHT | 28 SUSTAINABILITY SPOTLIGHT | 29 Findings traditional agriculture, and free up land for rewilding Decarbonising the energy supply and other environmentally advantageous purposes. Some CEA technologies require only a tenth of the The technologies can also reduce the risk of crop failure water of conventional agriculture, but a great deal of due to environmental influences, and they provide energy to perform what the sun does naturally, so the consistently high yields of food. To fully reap the key to more sustainable CEA lies in decarbonising the benefits of decarbonisation, the report authors urge thermal and electrical energy supply it relies on. action now. Investment timelines in CEA are 20–50 years, so current policy will influence the state of British The necessary energy technologies already exist, and food production at the 2050 deadline for net zero. the report recognises that the obstacles to widespread “This study was based on extensive interaction with use are overwhelmingly economic and political. The the industry to obtain real-world perspectives on the UK is ideally situated, with access to renewable energy challenges and opportunities facing the sector,” says Method A broad range of energy-e ciency measures were and the necessary technology to become a major Dr Sam Short. “Low-carbon technologies exist and are reviewed in the study, including: international player in the field, so growers need strong already proven today, and we observed a willingness To gain a comprehensive understanding of current and • maintenance and operations management (enhanced policy support to reduce the individual risks they run by emerging energy technologies, as well as trends in CEA investing in these growing technologies. in the industry to embrace transformation, but there energy supply and demand, the authors conducted routine maintenance and repair, and operations is a considerable lack of clarity, and there are funding expert interviews, desk-based research and a validation monitoring and control systems) challenges on the pathways forward. This report • equipment optimisation (high-e ciency pumps Clear policy needed for guidance provides insights to assist both industry and policy- workshop with sector representatives, policy-makers and motors, high-e ciency boilers/other thermal The report recognises that there is no one-size-fits- and technology experts. Tools used to assess the all solution to decarbonising the sector. Di erent makers in enabling a wider deployment of low-carbon di erent technologies included: energy generation, improved ventilation and cooling controlled environment agriculture.” systems) technologies require di erent solutions and • ‘fast-start’ strategic roadmapping • building/glasshouse structure and materials infrastructure to meet the electrical and thermal energy • the IfM’s Innovation Velocity Tool underpinned by needs of the individual CEA operation, and policy Dr Diana Khripko continues: “One of the radical the SWOT (strengths, weaknesses, opportunities and (system insulation, thermal screens, novel glazing di erences in moving away from fossil fuels towards technologies, and closed/semi-closed glasshouses) must reflect this need for flexibility and facilitate it. a low-carbon energy system is that there is no one- threats) analysis • energy storage (diurnal thermal energy storage, and As an example, vertical farming requires less energy • the marginal abatement cost curve (MACC) to help for heating than glasshouse-based CEA, and with a size-fits-all technology or solution, not even within visualise the cost/emissions benefits of di erent seasonal thermal energy storage solutions) one sector such as CEA. A future-proof and e ective • enhanced crop production (optimised LED lighting warming climate the needs of the sector will start to transition pathway therefore requires a strategy that is technologies. duration and wavelengths, CO2 management, and include cooling as well as heating. flexible enough to embrace legacy and existing low- Data used in the study was primarily retrieved from selective crop breeding/genetic modification). carbon technologies, and potential future breakthrough Attracting and encouraging CEA technology innovations to align di erent industrial practices Defra, the Climate Change Agreement (CCA) scheme Evaluated energy generation and conversion investment from the National Farmers Union (NFU) and from Despite dwindling numbers overall, certain CEA and their specific requirements to locally available publicly available documents such as academic articles, technologies included CHP and boilers fired by renewable energy sources. alternative fuels, electrically powered technologies technologies, in particular indoor and vertical farming, grey literature, including white papers and government such as heat pumps and electrical boilers, as well are growing in popularity for investors who perceive documents, and industry reports. as heat recovery from waste heat and geothermal the practices as innovative technology ventures rather sources. These technologies were assessed based than agricultural techniques. In the UK the authorities’ “One of the key challenges in defining energy transition on seven factors: technical feasibility, commercial policy-encoded pledge to reach net zero by 2050 is pathways at the sectoral level lies in the requirement for feasibility; environmental performance; organisational driving investment in sustainable practices. The policy a systems-thinking approach. The selected approach requirements and capacity; suitability of existing framework for sustainable agriculture and horticulture, and underpinning tools need to enable a holistic policy, regulatory and fiscal incentives; societal value however, is too vague for many growers and investors evaluation of how altering the ecosystem, such as creation potential; and societal, consumer and retailer to see CEA as a safe choice. They are hesitant to take Growers need strong policy through incentivising a scaled-up adoption of a new acceptance. the risks involved in adopting novel technologies technology, will influence and reshape the sector as without support and policy guidelines in place; hence support to reduce the a whole. A further level of complexity is given by a the recent exodus from the sector. individual risks they run by large number of stakeholders, who have di erent If investments are made in CEA technologies that capabilities and interests that can benefit the transition. run on renewable energy, the report paints a positive investing in these growing Consequently, formulating a methodology that fosters picture of the role that the UK CEA sector can play on their buy-in to the final outcome by involving them in the path to net zero. CEA can produce 10 to 20 times technologies. a multi-stage consultation process was crucial for the as much food on the same geographical footprint as overall success of the project,” says Diana.
SUSTAINABILITY SPOTLIGHT | 28 SUSTAINABILITY SPOTLIGHT | 29 Findings traditional agriculture, and free up land for rewilding Decarbonising the energy supply and other environmentally advantageous purposes. Some CEA technologies require only a tenth of the The technologies can also reduce the risk of crop failure water of conventional agriculture, but a great deal of due to environmental influences, and they provide energy to perform what the sun does naturally, so the consistently high yields of food. To fully reap the key to more sustainable CEA lies in decarbonising the benefits of decarbonisation, the report authors urge thermal and electrical energy supply it relies on. action now. Investment timelines in CEA are 20–50 years, so current policy will influence the state of British The necessary energy technologies already exist, and food production at the 2050 deadline for net zero. the report recognises that the obstacles to widespread “This study was based on extensive interaction with use are overwhelmingly economic and political. The the industry to obtain real-world perspectives on the UK is ideally situated, with access to renewable energy challenges and opportunities facing the sector,” says MethodA broad range of energy-e ciency measures were and the necessary technology to become a major Dr Sam Short. “Low-carbon technologies exist and are reviewed in the study, including:international player in the field, so growers need strong already proven today, and we observed a willingness To gain a comprehensive understanding of current and • maintenance and operations management (enhanced policy support to reduce the individual risks they run by emerging energy technologies, as well as trends in CEA investing in these growing technologies.in the industry to embrace transformation, but there energy supply and demand, the authors conducted routine maintenance and repair, and operations is a considerable lack of clarity, and there are funding expert interviews, desk-based research and a validation monitoring and control systems)challenges on the pathways forward. This report • equipment optimisation (high-e ciency pumps Clear policy needed for guidanceprovides insights to assist both industry and policy- workshop with sector representatives, policy-makers and motors, high-e ciency boilers/other thermal The report recognises that there is no one-size-fits- and technology experts. Tools used to assess the all solution to decarbonising the sector. Di erent makers in enabling a wider deployment of low-carbon di erent technologies included:energy generation, improved ventilation and cooling controlled environment agriculture.” systems) technologies require di erent solutions and • ‘fast-start’ strategic roadmapping• building/glasshouse structure and materials infrastructure to meet the electrical and thermal energy • the IfM’s Innovation Velocity Tool underpinned by needs of the individual CEA operation, and policy Dr Diana Khripko continues: “One of the radical the SWOT (strengths, weaknesses, opportunities and (system insulation, thermal screens, novel glazing di erences in moving away from fossil fuels towards technologies, and closed/semi-closed glasshouses)must reflect this need for flexibility and facilitate it. a low-carbon energy system is that there is no one- threats) analysis• energy storage (diurnal thermal energy storage, and As an example, vertical farming requires less energy • the marginal abatement cost curve (MACC) to help for heating than glasshouse-based CEA, and with a size-fits-all technology or solution, not even within visualise the cost/emissions benefits of di erent seasonal thermal energy storage solutions)one sector such as CEA. A future-proof and e ective • enhanced crop production (optimised LED lighting warming climate the needs of the sector will start to transition pathway therefore requires a strategy that is technologies.duration and wavelengths, CO2 management, and include cooling as well as heating. flexible enough to embrace legacy and existing low- Data used in the study was primarily retrieved from selective crop breeding/genetic modification).carbon technologies, and potential future breakthrough Attracting and encouraging CEA technology innovations to align di erent industrial practices Defra, the Climate Change Agreement (CCA) scheme Evaluated energy generation and conversion investment from the National Farmers Union (NFU) and from Despite dwindling numbers overall, certain CEA and their specific requirements to locally available publicly available documents such as academic articles, technologies included CHP and boilers fired by renewable energy sources. alternative fuels, electrically powered technologies technologies, in particular indoor and vertical farming, grey literature, including white papers and government such as heat pumps and electrical boilers, as well are growing in popularity for investors who perceive documents, and industry reports.as heat recovery from waste heat and geothermal the practices as innovative technology ventures rather sources. These technologies were assessed based than agricultural techniques. In the UK the authorities’ “One of the key challenges in defining energy transition on seven factors: technical feasibility, commercial policy-encoded pledge to reach net zero by 2050 is pathways at the sectoral level lies in the requirement for feasibility; environmental performance; organisational driving investment in sustainable practices. The policy a systems-thinking approach. The selected approach requirements and capacity; suitability of existing framework for sustainable agriculture and horticulture, and underpinning tools need to enable a holistic policy, regulatory and fiscal incentives; societal value however, is too vague for many growers and investors evaluation of how altering the ecosystem, such as creation potential; and societal, consumer and retailer to see CEA as a safe choice. They are hesitant to take Growers need strong policy through incentivising a scaled-up adoption of a new acceptance.the risks involved in adopting novel technologies technology, will influence and reshape the sector as without support and policy guidelines in place; hence support to reduce the a whole. A further level of complexity is given by a the recent exodus from the sector.individual risks they run by large number of stakeholders, who have di erent If investments are made in CEA technologies that capabilities and interests that can benefit the transition. run on renewable energy, the report paints a positive investing in these growing Consequently, formulating a methodology that fosters picture of the role that the UK CEA sector can play on their buy-in to the final outcome by involving them in the path to net zero. CEA can produce 10 to 20 times technologies. a multi-stage consultation process was crucial for the as much food on the same geographical footprint as overall success of the project,” says Diana.
SUSTAINABILITY SPOTLIGHT | 30 SUSTAINABILITY SPOTLIGHT | 31 Coaboratin Secti 3: or mpact: A roadmap towards a sustainable, healthy and resilient We explore the food system latest research and activities at the IfM to help organisations and governments structure their sustainability approaches. In 2022 IfM Engage were selected to support EIT Food, the world’s largest and most dynamic food innovation community, in shaping the direction of their future strategy. Supported by the European Institute of Innovation and Technology (EIT), a body of the European Union, EIT Food are working to make the food system more sustainable, healthy and trusted. The strategy informs the allocation of funding across projects related to EIT Food, an amount of nearly €180 million over 3 years from 2023 to 2025. This is the largest funding granted by EIT to one of its Knowledge and Innovation Communities, and it will be used to help boost European innovation in the area of food.
SUSTAINABILITY SPOTLIGHT | 30 SUSTAINABILITY SPOTLIGHT | 31 Coaboratin Secti 3:or mpact: A roadmap towards a sustainable, healthy and resilient We explore the food system latest research and activities at the IfM to help organisations and governments structure their sustainability approaches. In 2022 IfM Engage were selected to support EIT Food, the world’s largest and most dynamic food innovation community, in shaping the direction of their future strategy. Supported by the European Institute of Innovation and Technology (EIT), a body of the European Union, EIT Food are working to make the food system more sustainable, healthy and trusted. The strategy informs the allocation of funding across projects related to EIT Food, an amount of nearly €180 million over 3 years from 2023 to 2025. This is the largest funding granted by EIT to one of its Knowledge and Innovation Communities, and it will be used to help boost European innovation in the area of food.
SUSTAINABILITY SPOTLIGHT | 32 SUSTAINABILITY SPOTLIGHT | 33 EIT Food wanted to get a vision and consensus from Adding a layer of sophistication across a significant number and diverse range of and understanding stakeholders from across Europe on how to make As a result of the workshops, EIT Food now have a set progress in three priority missions: Healthier Lives of reports and recommendations that are shaping the Through Food; A Net Zero Food System; and Reducing strategy for the EU’s food system, not least when it Risk for a Fair & Resilient Food System. IfM Engage comes to setting priorities for the allocation of funding. provided strategy support in relation to the final two missions in collaboration with Queen’s University “We have a new funding framework published in Belfast. September 2023, which takes a needs-based approach Andrew Carlin, Director of Missions and Strategic for the first time and is fundamentally di erent from Programmes at EIT Food, highlights the range how we’ve done it before.” Andrew refers to this of insights they were looking to incorporate into as being “technology agnostic”. “It centres on the their strategy: “We have hundreds of stakeholder change and the societal impact we need to see and organisations across Europe that we wanted to ensure works backwards from there instead of the classic were consulted and involved in how we are funding research funder model, which starts from pushing the the future of food. We also wanted to make sure that technology forward. we were utilising and building on existing insights from “Once you perceive yourself as an impact funder rather academic papers, case studies and subject-matter than an R&D funder, you open di erent possibilities for experts.” workshops, as well as informing the associated reports. The case of regenerative agriculture answers being found in di erent places. For example, Andrew says that the IfM’s help and support in Andrew points to regenerative agriculture as an you might look towards funding the development of Roadmapping was seen by EIT Food as the right developing EIT’s thinking and approach to the project existing technologies from other sectors into the food approach for this challenge. Roadmapping is a strategic became most visible during the in-person workshops in example of how the workshops created the right planning technique used extensively across industry, environment for discussions on how EIT Food can sector, cutting 4 or 5 years of development time so Paris. operate most e ectively for its stakeholders. “For years that people experience the benefit much quicker,” says government and academic organisations to bring clarity Andrew. to complex problems and alignment of purpose. “The IfM’s very robust roadmapping methodology farmers have been seen as being the central figures in helped us to turn information into insight. We were driving change. The assumption has been that if the “I always felt it was possible. The question was getting right training or technology was o ered, everything Conodence and collaboration able to sift [through] and contextualise the mass of would change for the better. The project has also allowed EIT Food to “make a much ourselves organised to do it. This is where the structure information out there to be able to grasp urgency and and the approach that the IfM brought came in. I always importance and the potential for societal impact. We more confident kind of statement about our role,” says felt that with the right forum and the right approach, were able to move from the wider picture to a narrower “The workshops gave farmers the opportunity to outline Andrew. we would be able to unlock that and move relatively set of priorities and do that in a very structured way the reality on the ground and some of the barriers they quickly, because the passion was there and the over the course of a couple of days.” are facing. If supermarkets are tying them into 5-year EIT Food are now “an organisation that believes expertise was there,” says Andrew. production contracts, they simply don’t have the space in the power of open innovation and collaboration One of the aspects of IfM’s Engage process that to alter crops for regenerative agriculture. However as the key to success, and they are willing to say Making sense of complexity Andrew finds particularly valuable is “the element of much they may want to make changes, circumstances we’re comfortable enough in our skin not to insist IfM’s roadmapping process helped to transform the explicitly bringing choices into the strategy setting”. He prevent them. on exclusivity. We’ve got an amazing community, an available data into a manageable number of potential continues: amazing network, and actually we can bring the power projects and programmes that EIT Food could put its “It made us realise that our job is to build an ecosystem of that to help other organisations. That’s been really footprint on. To facilitate this, over 100 people came “You’re dealing with a very complex field. The issues around farmers that makes the change as supported important for us, and it’s allowed us to present a much together in a 2-day roadmapping workshop in Paris. can be so big that there’s almost a fear of saying ‘this is and as incentivised as possible. Supermarkets need to more open face to the world,” says Andrew. more important than that at this point in time’.” buy di erently, banks have to fund di erently, insurance Ahead of the workshops, IfM Engage and Queen’s companies have to change their policies. EIT Food are now working more closely with University Belfast worked together with EIT Food The process created an environment where people organisations that are explicitly engaged in the issues to bring together insights from over 350 academic could think about preferences and priorities for action. “Having farmers sitting in the room with somebody they are trying to solve. “The process has meant we are and industry publications, 250 questionnaires, 100 “We were able to move from ‘this is all too complex, from a bank or a venture fund means that nobody can now closer to the needs rather than to the technology, case studies and 70 in-depth expert interviews. This we don’t know where to start,’ to ‘we have to start ignore what’s being talked about. You get into the working with more NGOs and social enterprises. We’ve pre-work created insights and data that formed a somewhere and these are the things we need to start dialogue very, very quickly, and we all learned a huge been able to stretch the boundaries of our own network robust foundation for discussions at the roadmapping with’.” amount from having those voices in the room,” says to bring di erent perspectives in. That diversity is Andrew. hugely important in innovation,” says Andrew.
SUSTAINABILITY SPOTLIGHT | 32 SUSTAINABILITY SPOTLIGHT | 33 EIT Food wanted to get a vision and consensus from Adding a layer of sophistication across a significant number and diverse range of and understanding stakeholders from across Europe on how to make As a result of the workshops, EIT Food now have a set progress in three priority missions: Healthier Lives of reports and recommendations that are shaping the Through Food; A Net Zero Food System; and Reducing strategy for the EU’s food system, not least when it Risk for a Fair & Resilient Food System. IfM Engage comes to setting priorities for the allocation of funding. provided strategy support in relation to the final two missions in collaboration with Queen’s University “We have a new funding framework published in Belfast. September 2023, which takes a needs-based approach Andrew Carlin, Director of Missions and Strategic for the first time and is fundamentally di erent from Programmes at EIT Food, highlights the range how we’ve done it before.” Andrew refers to this of insights they were looking to incorporate into as being “technology agnostic”. “It centres on the their strategy: “We have hundreds of stakeholder change and the societal impact we need to see and organisations across Europe that we wanted to ensure works backwards from there instead of the classic were consulted and involved in how we are funding research funder model, which starts from pushing the the future of food. We also wanted to make sure that technology forward. we were utilising and building on existing insights from “Once you perceive yourself as an impact funder rather academic papers, case studies and subject-matter than an R&D funder, you open di erent possibilities for experts.”workshops, as well as informing the associated reports.The case of regenerative agricultureanswers being found in di erent places. For example, Andrew says that the IfM’s help and support in Andrew points to regenerative agriculture as an you might look towards funding the development of Roadmapping was seen by EIT Food as the right developing EIT’s thinking and approach to the project existing technologies from other sectors into the food approach for this challenge. Roadmapping is a strategic became most visible during the in-person workshops in example of how the workshops created the right planning technique used extensively across industry, environment for discussions on how EIT Food can sector, cutting 4 or 5 years of development time so Paris. operate most e ectively for its stakeholders. “For years that people experience the benefit much quicker,” says government and academic organisations to bring clarity Andrew. to complex problems and alignment of purpose.“The IfM’s very robust roadmapping methodology farmers have been seen as being the central figures in helped us to turn information into insight. We were driving change. The assumption has been that if the “I always felt it was possible. The question was getting right training or technology was o ered, everything Conodence and collaboration able to sift [through] and contextualise the mass of would change for the better.The project has also allowed EIT Food to “make a much ourselves organised to do it. This is where the structure information out there to be able to grasp urgency and and the approach that the IfM brought came in. I always importance and the potential for societal impact. We more confident kind of statement about our role,” says felt that with the right forum and the right approach, were able to move from the wider picture to a narrower “The workshops gave farmers the opportunity to outline Andrew. we would be able to unlock that and move relatively set of priorities and do that in a very structured way the reality on the ground and some of the barriers they quickly, because the passion was there and the over the course of a couple of days.”are facing. If supermarkets are tying them into 5-year EIT Food are now “an organisation that believes expertise was there,” says Andrew.production contracts, they simply don’t have the space in the power of open innovation and collaboration One of the aspects of IfM’s Engage process that to alter crops for regenerative agriculture. However as the key to success, and they are willing to say Making sense of complexityAndrew finds particularly valuable is “the element of much they may want to make changes, circumstances we’re comfortable enough in our skin not to insist IfM’s roadmapping process helped to transform the explicitly bringing choices into the strategy setting”. He prevent them.on exclusivity. We’ve got an amazing community, an available data into a manageable number of potential continues: amazing network, and actually we can bring the power projects and programmes that EIT Food could put its “It made us realise that our job is to build an ecosystem of that to help other organisations. That’s been really footprint on. To facilitate this, over 100 people came “You’re dealing with a very complex field. The issues around farmers that makes the change as supported important for us, and it’s allowed us to present a much together in a 2-day roadmapping workshop in Paris.can be so big that there’s almost a fear of saying ‘this is and as incentivised as possible. Supermarkets need to more open face to the world,” says Andrew. more important than that at this point in time’.”buy di erently, banks have to fund di erently, insurance Ahead of the workshops, IfM Engage and Queen’s companies have to change their policies.EIT Food are now working more closely with University Belfast worked together with EIT Food The process created an environment where people organisations that are explicitly engaged in the issues to bring together insights from over 350 academic could think about preferences and priorities for action. “Having farmers sitting in the room with somebody they are trying to solve. “The process has meant we are and industry publications, 250 questionnaires, 100 “We were able to move from ‘this is all too complex, from a bank or a venture fund means that nobody can now closer to the needs rather than to the technology, case studies and 70 in-depth expert interviews. This we don’t know where to start,’ to ‘we have to start ignore what’s being talked about. You get into the working with more NGOs and social enterprises. We’ve pre-work created insights and data that formed a somewhere and these are the things we need to start dialogue very, very quickly, and we all learned a huge been able to stretch the boundaries of our own network robust foundation for discussions at the roadmapping with’.”amount from having those voices in the room,” says to bring di erent perspectives in. That diversity is Andrew. hugely important in innovation,” says Andrew.
SUSTAINABILITY SPOTLIGHT | 34 CAMBRIDGE SUSTAIN 8 Eight steps to sustainable, continuous business improvement As a result, they are seeing consortia building around Embracing community some of the big issues highlighted in the reports, such “We’ve become an organisation that is better able to as optimising the nutritional value of food. “We’ve welcome diverse and new perspectives on the big issues, allowed ourselves to admit some of these things are just but also to translate that into funded or co-funded really complex, and actually you need an environment actions much more quickly. But also then to connect that supports complexity, working itself out. Instead Connect your key business drivers and sustainability engagement on the of running away from it, we’re running towards it. We that community to other communities globally, and to factory floor won’t solve everything, but if over time we’re resolving recognise the role of Europe and the global food system. some of the issues then we’ll make more impact more Many organisations have clear, strong sustainability strategies and plans, but often fail to quickly and at a greater scale,” explains Andrew. “The workshops were the spark that has taken that link these to the day-to-day reality of the factory floor. Our methodology fills this gap by collaborative approach to the next level, bringing inspiring frontline sta to create improvement plans that resonate with their work and align di erent characters and di erent capabilities of di erent them with key business drivers. This alignment is crucial for the sustained success of your networks together. That’s been something we’ve driven sustainability initiatives. and built on in this last year,” says Andrew. About roadmapping As a nod to this, EIT Food have joined the IfM’s Open Focus on success: harness the power of ‘good days’ Innovation Forum. The group aim to share best practice Roadmapping is a strategic and explore hot topics and opportunities along the food, Our method highlights the achievements and practices that drive success on the best planning technique that enables the drink and fast-moving consumer goods value streams. days in factories. This approach serves as a powerful motivational technique, increasing engagement and dedication to the project. development and communication of strategy and innovation. For Andrew has noticed that there is a crossover in membership between EIT Food and the Open Innovation more information about the Forum, which has enabled him to get wider insights into Achieve significant sustainability improvements in just 12 months approach, case studies, courses and organisations that they already know. downloadable templates, visit the The initial steps of our engagement process focus on establishing a robust data collection IfM Engage website. “We’re seeing it through the eyes of the people in plan, baselines and eective KPIs to drive improvement. Within four months, there are those businesses who are driving the open innovation improvement teams set up and working on action plans across the factory. The result is practices,” says Andrew. He has found it to be a non- that notable KPI improvements have been achieved within a year across diverse cultures and sectors. competitive environment where people are comfortable discussing their failures as well as their successes. “It’s all driven by shared experience and shared learning. That’s supported us in building new and enriching existing relationships with our community,” says Andrew. Andrew concludes: “We’ve emerged significantly “The ability to ensure that the impact on sustainable Explore how you can make stronger as an organisation, both in our sense of purpose performance is aligned to and drives standard business significant improvements in and our ability to drive change. The process has led to a performance goals is really powerful. It is also exciting to find sustainability in just 8 steps: fundamentally di erent quality of attitude and behaviour, a programme that creates highly motivated workforces while which is more open and more collaborative, where we reducing climate impacts.” want to work with organisations as peers, not just be at the end of a funding process.” Sustainability director, leading global fashion brand
SUSTAINABILITY SPOTLIGHT | 34 CAMBRIDGE SUSTAIN 8 Eight steps to sustainable, continuous business improvement As a result, they are seeing consortia building around Embracing community some of the big issues highlighted in the reports, such “We’ve become an organisation that is better able to as optimising the nutritional value of food. “We’ve welcome diverse and new perspectives on the big issues, allowed ourselves to admit some of these things are just but also to translate that into funded or co-funded really complex, and actually you need an environment actions much more quickly. But also then to connect that supports complexity, working itself out. Instead Connect your key business drivers and sustainability engagement on the of running away from it, we’re running towards it. We that community to other communities globally, and to factory floor won’t solve everything, but if over time we’re resolving recognise the role of Europe and the global food system. some of the issues then we’ll make more impact more Many organisations have clear, strong sustainability strategies and plans, but often fail to quickly and at a greater scale,” explains Andrew.“The workshops were the spark that has taken that link these to the day-to-day reality of the factory floor. Our methodology fills this gap by collaborative approach to the next level, bringing inspiring frontline sta to create improvement plans that resonate with their work and align di erent characters and di erent capabilities of di erent them with key business drivers. This alignment is crucial for the sustained success of your networks together. That’s been something we’ve driven sustainability initiatives. and built on in this last year,” says Andrew. About roadmappingAs a nod to this, EIT Food have joined the IfM’s Open Focus on success: harness the power of ‘good days’ Innovation Forum. The group aim to share best practice Roadmapping is a strategic and explore hot topics and opportunities along the food, Our method highlights the achievements and practices that drive success on the best planning technique that enables the drink and fast-moving consumer goods value streams.days in factories. This approach serves as a powerful motivational technique, increasing engagement and dedication to the project. development and communication of strategy and innovation. For Andrew has noticed that there is a crossover in membership between EIT Food and the Open Innovation more information about the Forum, which has enabled him to get wider insights into Achieve significant sustainability improvements in just 12 months approach, case studies, courses and organisations that they already know. downloadable templates, visit the The initial steps of our engagement process focus on establishing a robust data collection IfM Engage website.“We’re seeing it through the eyes of the people in plan, baselines and eective KPIs to drive improvement. Within four months, there are those businesses who are driving the open innovation improvement teams set up and working on action plans across the factory. The result is practices,” says Andrew. He has found it to be a non-that notable KPI improvements have been achieved within a year across diverse cultures and sectors. competitive environment where people are comfortable discussing their failures as well as their successes. “It’s all driven by shared experience and shared learning. That’s supported us in building new and enriching existing relationships with our community,” says Andrew. Andrew concludes: “We’ve emerged significantly “The ability to ensure that the impact on sustainable Explore how you can make stronger as an organisation, both in our sense of purpose performance is aligned to and drives standard business significant improvements in and our ability to drive change. The process has led to a performance goals is really powerful. It is also exciting to find sustainability in just 8 steps: fundamentally di erent quality of attitude and behaviour, a programme that creates highly motivated workforces while which is more open and more collaborative, where we reducing climate impacts.” want to work with organisations as peers, not just be at the end of a funding process.”Sustainability director, leading global fashion brand
SUSTAINABILITY SPOTLIGHT | 36 SUSTAINABILITY SPOTLIGHT | 37 More than two decades ago, the Greenhouse Gas individuals. While these emissions are not fully under Protocol (GHG Protocol) defined emissions scopes a firm’s control, that firm may be able to a ect the as a way of classifying carbon sources. According to activities that result in them, influence its suppliers and/ Understandin the GHG Protocol, Scope 3 emissions encompass all or choose which suppliers to engage with. indirect emissions not included in Scope 2, which occur throughout the value chain of the company reporting The GHG Protocol corporate standard classifies Scope ndustria Scope 3 them, including those from upstream and downstream 3 emissions into 15 di erent categories, as shown in sources. Figure 1. Although not all categories are relevant to every organisation, they provide a structured framework In other words, most of a business’s Scope 3 emissions to understand, measure, report and monitor Scope 3 mi i: are the Scope 1 and 2 emissions of another business/ sources of emissions across a value chain. WHAT, WHY, HOW Although initially seen as secondary by most corporate-level standards, Scope 3 is now an important focus for corporations in the push to net zero, as new evidence points to its significance. Here, Cambridge Industrial Innovation Policy’s Dr David Leal-Ayala explores the meaning of Scope 3, its relevance and how businesses can approach this challenge. He draws upon the White Paper The “No-Excuse” Opportunities to Tackle Scope 3 Emissions in Manufacturing and Value Figure 1. Source: Extracted and modified from: World Economic Forum, The “No Excuse” Framework to Accelerate the Path to Net-Zero Manufacturing and Value Chains, January 2023; and The GHG Protocol, Chains, published by the World Economic Forum’s Corporate Value Chain (Scope 3) Accounting and Reporting Standard, 2011. Industry Net Zero Accelerator Initiative.
SUSTAINABILITY SPOTLIGHT | 36 SUSTAINABILITY SPOTLIGHT | 37 More than two decades ago, the Greenhouse Gas individuals. While these emissions are not fully under Protocol (GHG Protocol) defined emissions scopes a firm’s control, that firm may be able to a ect the as a way of classifying carbon sources. According to activities that result in them, influence its suppliers and/ Understandin the GHG Protocol, Scope 3 emissions encompass all or choose which suppliers to engage with. indirect emissions not included in Scope 2, which occur throughout the value chain of the company reporting The GHG Protocol corporate standard classifies Scope ndustria Scope 3 them, including those from upstream and downstream 3 emissions into 15 di erent categories, as shown in sources. Figure 1. Although not all categories are relevant to every organisation, they provide a structured framework In other words, most of a business’s Scope 3 emissions to understand, measure, report and monitor Scope 3 mi i: are the Scope 1 and 2 emissions of another business/ sources of emissions across a value chain. WHAT, WHY, HOW Although initially seen as secondary by most corporate-level standards, Scope 3 is now an important focus for corporations in the push to net zero, as new evidence points to its significance. Here, Cambridge Industrial Innovation Policy’s Dr David Leal-Ayala explores the meaning of Scope 3, its relevance and how businesses can approach this challenge. He draws upon the White Paper The “No-Excuse” Opportunities to Tackle Scope 3 Emissions in Manufacturing and Value Figure 1. Source: Extracted and modified from: World Economic Forum, The “No Excuse” Framework to Accelerate the Path to Net-Zero Manufacturing and Value Chains, January 2023; and The GHG Protocol, Chains, published by the World Economic Forum’s Corporate Value Chain (Scope 3) Accounting and Reporting Standard, 2011. Industry Net Zero Accelerator Initiative.
SUSTAINABILITY SPOTLIGHT | 38 SUSTAINABILITY SPOTLIGHT | 39 Why does Scope 3 matter? While industries such as cement and concrete, and Based on CDP data, Scope 3 category 1 (purchased How is Scope 3 calculated and reported? Scope 3 emissions can account for more than 70% of transport services and logistics, have lower Scope 3 goods and services) and Scope 3 category 11 (use of Carbon accounting standards underpin the a business’s carbon footprint, based on data from the emissions, this category becomes significant for other sold products) combined represent 84% of reported measurement and reporting of carbon emissions as UN Global Compact. Figure 2 highlights that di erent industries, including chemicals, electronics, automotive Scope 3 emissions (see Figure 3). However, reporting is well as the tracking of organisational performance and food. Consequently, any decarbonisation e orts in often incomplete, with many industries omitting several against abatement strategies and targets. Carbon industries face di erent Scope 3 situations and these sectors are likely to require intense cooperation Scope 3 categories. As indicated by the CDP, only 16% of accounting standards can be classified into two main challenges. among original equipment manufacturers (OEMs), organisations were able to share details of their supply- categories: consumer brand companies and suppliers. chain engagement strategy, while only 11% could do so • Corporate carbon footprint (CCF): CCF is the for their portfolio of low-carbon products and services. total sum of GHG emissions directly or indirectly generated by a company’s activities during a specific period of time. • Product carbon footprint (PCF) and lifecycle assessment (LCA): PCF is the total GHG emissions Purchased goods and services generated by a product from the extraction of its necessary raw materials to its end of life. LCA Capital goods studies the environmental aspects and potential impacts throughout a product’s life cycle, from raw Cement and concrete materials acquisition through to production, use and Fuel and energy-related activities disposal. Transport services and logistics (not included in Scope 1 or 2) The variety of standards available makes it challenging Paper and pulp Upstream transportation and for organisations to select the right one and ensure distribution comparability of results across firms and sectoral, Metals and mining regional, and national aggregation. and PCF. Waste generated in operations Other materials Business travel Chemicals Biotech, healthcare and pharma Employee commuting Food and beverage processing Upstream leased assets Apparel Construction Downstream transportation and distribution Light manufacturing Processing of sold products Transport OEMs Electric and electronic Use of sold products manufacturing Powered machinery End-of-life treatment of sold products 0% 10% 20% 30% 40% 50% 60% 70% 80% 90% 100% Downstream leased assets Scope 1 Scope 2 Scope 3 Franchises Source: Extracted from CDP and Capgemini Invent, From Stroll to Sprint: A Race Against for Corporate Decarbonization, July 2023; CDP, CDP Investments 0% 10% 20% 30% 40% 50% 60% 70% Figure 2. Source: Extracted from CDP and Capgemini Invent, From Stroll to Sprint: A Race Against Time for Corporate Decarbonization, July 2023; Figure 3. Note: The standards in each section are listed in alphabetical order. CDP, CDP Technical Note: Relevance of Scope 3 Categories by Sector, 2022. Source: High Value Manufacturing Catapult, Embodied Emissions and Net Zero, 2022.
SUSTAINABILITY SPOTLIGHT | 38 SUSTAINABILITY SPOTLIGHT | 39 Why does Scope 3 matter?While industries such as cement and concrete, and Based on CDP data, Scope 3 category 1 (purchased How is Scope 3 calculated and reported? Scope 3 emissions can account for more than 70% of transport services and logistics, have lower Scope 3 goods and services) and Scope 3 category 11 (use of Carbon accounting standards underpin the a business’s carbon footprint, based on data from the emissions, this category becomes significant for other sold products) combined represent 84% of reported measurement and reporting of carbon emissions as UN Global Compact. Figure 2 highlights that di erent industries, including chemicals, electronics, automotive Scope 3 emissions (see Figure 3). However, reporting is well as the tracking of organisational performance and food. Consequently, any decarbonisation e orts in often incomplete, with many industries omitting several against abatement strategies and targets. Carbon industries face di erent Scope 3 situations and these sectors are likely to require intense cooperation Scope 3 categories. As indicated by the CDP, only 16% of accounting standards can be classified into two main challenges.among original equipment manufacturers (OEMs), organisations were able to share details of their supply-categories: consumer brand companies and suppliers.chain engagement strategy, while only 11% could do so • Corporate carbon footprint (CCF): CCF is the for their portfolio of low-carbon products and services. total sum of GHG emissions directly or indirectly generated by a company’s activities during a specific period of time. • Product carbon footprint (PCF) and lifecycle assessment (LCA): PCF is the total GHG emissions Purchased goods and services generated by a product from the extraction of its necessary raw materials to its end of life. LCA Capital goods studies the environmental aspects and potential impacts throughout a product’s life cycle, from raw Cement and concrete materials acquisition through to production, use and Fuel and energy-related activities disposal. Transport services and logistics(not included in Scope 1 or 2) The variety of standards available makes it challenging Paper and pulpUpstream transportation and for organisations to select the right one and ensure distribution comparability of results across firms and sectoral, Metals and mining regional, and national aggregation. and PCF. Waste generated in operations Other materials Business travel Chemicals Biotech, healthcare and pharmaEmployee commuting Food and beverage processing Upstream leased assets Apparel ConstructionDownstream transportation and distribution Light manufacturing Processing of sold products Transport OEMs Electric and electronic Use of sold products manufacturing Powered machinery End-of-life treatment of sold products 0%10%20%30%40%50%60%70%80%90%100% Downstream leased assets Scope 1Scope 2Scope 3 Franchises Source: Extracted from CDP and Capgemini Invent, From Stroll to Sprint: A Race Against for Corporate Decarbonization, July 2023; CDP, CDP Investments 0% 10% 20% 30% 40% 50% 60% 70% Figure 2. Source: Extracted from CDP and Capgemini Invent, From Stroll to Sprint: A Race Against Time for Corporate Decarbonization, July 2023; Figure 3. Note: The standards in each section are listed in alphabetical order. CDP, CDP Technical Note: Relevance of Scope 3 Categories by Sector, 2022.Source: High Value Manufacturing Catapult, Embodied Emissions and Net Zero, 2022.
SUSTAINABILITY SPOTLIGHT | 40 SUSTAINABILITY SPOTLIGHT | 41 How are companies reducing Scope 3 A practical roadmap for businesses emissions today? There is no shortage of challenges in reducing Scope 3 Organisations around the world are implementing a emissions, and both SMEs and industry giants struggle range of approaches and actions to reduce their Scope to navigate the complexities involved in this task. 3 emissions. Table 1 (below) shows selected examples of actions to reduce Scope 3 emissions, as suggested in However, through extensive research and consultations the GHG Protocol Scope 3 Standard: with industry leaders and academic experts, the World Economic Forum’s Industry Net Zero Accelerator initiative identified 12 opportunity areas to help Table 1. companies in their decarbonisation journey, and these, Other CCF standards include the EU Organisation The EU Corporate Sustainability Reporting Directive grouped into four action levels, Scope 3 category Examples of actions to reduce Scope 3 emissions inform strategic decisions. Environmental Footprint (OEF), as well as the (CSRD) is a pivotal European Union directive aiming 1. Purchased goods – Replace high-GHG-emitting raw materials with low-GHG-emitting ones Global Reporting Initiative (GRI) and Department for to standardise sustainability reporting practices and services – Implement low-GHG procurement/purchasing policies, possibly using the total sustainable cost of ownership Environment, Food & Rural A airs (Defra) guidance among large companies and listed small and (TSCO) as a weighted objective Details of these opportunities can – Encourage Tier 1 suppliers to engage the reporting company’s Tier 2 suppliers, and disclose these Scope 3 (UK). Additional PCF standards include the EU Product medium enterprises (SMEs) operating within the EU. emissions to the customer in order to propagate GHG reporting throughout the supply chain be found in the White Paper The Environmental Footprint (PEF), BP X30–323 in France, It significantly expands the scope of reporting by 2. Capital goods – Replace high-GHG-emitting capital goods with low-GHG-emitting ones “No-Excuse” Opportunities to Tackle and Publicly Available Specification (PAS) 2050. requiring companies to disclose detailed information 3. Fuel- and energy- – Reduce energy consumption Scope 3 Emissions in Manufacturing related activities (not included in Scope 1 – Shift towards lower-emitting fuel/energy sources and Value Chains, which serves as on environmental and social matters, including Scope 3 or Scope 2) – Generate energy onsite using renewable sources To estimate emissions, companies use formulas to emissions. This directive came into force on 5 January a practical roadmap for businesses 4. Upstream – Reduce distance between supplier and customer transportation and navigating the intricate terrain multiply the volume of their activities (e.g. purchased 2023, with the first companies having to apply the new distribution – Source materials locally materials, transport) with emission factors (EF), which rules for the first time in the 2024 financial year, for – Optimize efficiency of transportation and distribution of Scope 3 decarbonisation and – Replace higher-emitting transportation modes (e.g. air transport) with lower-emitting modes (e.g. marine accelerating their contributions to are representative values that attempt to relate the reports to be published in 2025. transport) quantity of a pollutant released into the atmosphere – Shift towards lower-emitting fuel sources global climate e orts. with the activity releasing the pollutant. Finding the The International Sustainability Standards Board (ISSB) 5. Waste generated in – Reduce quantity of waste generated in operations operations right EF is not an easy task because it is necessary is a standard-setting body under the International – Implement recycling measures – Implement lower-emitting waste treatment methods to ensure its geographic relevance and its scale of Financial Reporting Standards (IFRS) Foundation, The World Economic Forum’s Industry Net 6. Business travel – Reduce the amount of business travel and favour online meetings application (national/regional or site-specific), and whose mandate is the creation and development of Zero Accelerator Initiative – Encourage more efficient and lower-emitting modes of travel that it is well documented. Several public and private sustainability-related financial reporting standards 7. Employee – Create disincentives for commuting by car (e.g. parking policies) This article draws from the White Paper ‘The commuting “No-Excuse” Opportunities to Tackle Scope 3 EF databases exist and should be selected depending to meet investors’ needs for sustainability reporting. – Introduce incentives for use of public transport, cycling, car-pooling, etc. Emissions in Manufacturing and Value Chains’, on their application, as they use either generic or The ISSB’s work is underway to develop sustainability – Implement teleworking/telecommuting programmes published by the World Economic Forum’s geographic/sector-driven emissions estimates. disclosure standards, including on Scope 3 GHG – Reduce number of days worked per week Industry Net Zero Accelerator Initiative and co- 8. Upstream leased – Increase energy efficiency of operations authored by CIIP’s David Leal-Ayala. Examples of recognised EF databases include: emissions, backed by the G7, the G20, the International assets – Shift towards lower-emitting fuel sources GHG Protocol emissions factors databases Organization of Securities Commissions (IOSCO), the The White Paper is part of a series of activities 9. Downstream – Reduce distance between supplier and customer aimed at helping businesses collaborate and transportation and Intergovernmental Panel on Climate Change (IPCC) Financial Stability Board, African Finance Ministers distribution of sold – Optimize efficiency of transportation and distribution speed up the change across industrial sectors. products Emission Factor Database (EFDB) and Central Bank Governors from more than 40 – Replace higher-emitting transportation modes (e.g. air transport) with lower-emitting modes It highlights emerging opportunities and best (e.g. marine transport) practices to inspire leaders in both private and Institute for Global Environmental Strategies (IGES) List jurisdictions. Although not mandatory, the new – Shift towards lower-emitting fuel sources public sectors to take action and drive the of Grid Emission Factors ISSB standard aims to significantly improve carbon net-zero transformation of global supply chains 10. Processing of sold – Improve efficiency of processing without any excuses. World Resources Institute (WRI) and World Business accounting harmonisation – including sectoral specifics products – Redesign products to reduce processing required Council for Sustainable Development (WBCSD) – to allow investors to make more informed green – Use lower-GHG energy sources The World Economic Forum launched the Industry Net Zero Accelerator initiative in Greenhouse Gas Protocol Calculation Tools funding decisions. 11. Use of sold – Develop new low- or zero-emitting products products 2022 in partnership with knowledge partners US EPA Air Pollutant Emission Factors AP-42 – Life- – Increase the energy efficiency of energy-consuming goods or eliminate the need for energy use Cambridge Industrial Innovation Policy and cycle databases (e.g. ecoinvent). Both these initiatives underscore the growing – Shift away from products that contain or emit GHGs Capgemini, Rockwell Automation, and Siemens. – Reduce the quantity of GHGs contained/released by products It also involves a community of over 30 global importance of holistic, comparable and auditable – Decrease the use-phase GHG intensity of the reporting company’s entire product portfolio manufacturing companies to help accelerate the Why must companies measure Scope 3 reporting to drive sustainability e orts and meet the – Change user instructions to promote the efficient use of products industry’s transition to net zero. The initiative 12. End-of-life – Make products recyclable and implement recycling measures that lead to net GHG reductions provides a platform for a growing community emissions? increasing demand for transparency in the business treatment of sold of industry leaders, technology providers, and products – Implement product packaging measures that generate net GHG reductions world. academic experts to encourage knowledge Although current Scope 3 standards push for voluntary – Improve traceability of products to optimize their use and maximize recycling sharing and actionable solutions towards 13. Downstream – Increase the energy efficiency of operations achieving net zero. disclosure, this might change, as governments and leased assets – Shift towards lower-emitting fuel sources organisations are increasingly pushing for mandatory 14. Franchises – Increase the energy efficiency of operations disclosure as a basis for climate action planning. Scope – Shift towards lower-emitting fuel sources Download the 3 reporting has garnered increasing significance in light 15. Investments – Invest in lower-emitting investments, technologies and projects White Paper: of new regulations, such as the following: Source: The GHG Protocol, Corporate Value Chain (Scope 3) Accounting and Reporting Standard, 2011
SUSTAINABILITY SPOTLIGHT | 40 SUSTAINABILITY SPOTLIGHT | 41 How are companies reducing Scope 3 A practical roadmap for businesses emissions today? There is no shortage of challenges in reducing Scope 3 Organisations around the world are implementing a emissions, and both SMEs and industry giants struggle range of approaches and actions to reduce their Scope to navigate the complexities involved in this task. 3 emissions. Table 1 (below) shows selected examples of actions to reduce Scope 3 emissions, as suggested in However, through extensive research and consultations the GHG Protocol Scope 3 Standard: with industry leaders and academic experts, the World Economic Forum’s Industry Net Zero Accelerator initiative identified 12 opportunity areas to help Table 1. companies in their decarbonisation journey, and these, Other CCF standards include the EU Organisation The EU Corporate Sustainability Reporting Directive grouped into four action levels, Scope 3 category Examples of actions to reduce Scope 3 emissions inform strategic decisions. Environmental Footprint (OEF), as well as the (CSRD) is a pivotal European Union directive aiming 1. Purchased goods – Replace high-GHG-emitting raw materials with low-GHG-emitting ones Global Reporting Initiative (GRI) and Department for to standardise sustainability reporting practices and services – Implement low-GHG procurement/purchasing policies, possibly using the total sustainable cost of ownership Environment, Food & Rural A airs (Defra) guidance among large companies and listed small and (TSCO) as a weighted objective Details of these opportunities can – Encourage Tier 1 suppliers to engage the reporting company’s Tier 2 suppliers, and disclose these Scope 3 (UK). Additional PCF standards include the EU Product medium enterprises (SMEs) operating within the EU. emissions to the customer in order to propagate GHG reporting throughout the supply chain be found in the White Paper The Environmental Footprint (PEF), BP X30–323 in France, It significantly expands the scope of reporting by 2. Capital goods– Replace high-GHG-emitting capital goods with low-GHG-emitting ones“No-Excuse” Opportunities to Tackle and Publicly Available Specification (PAS) 2050.requiring companies to disclose detailed information 3. Fuel- and energy-– Reduce energy consumption Scope 3 Emissions in Manufacturing related activities (not included in Scope 1 – Shift towards lower-emitting fuel/energy sources and Value Chains, which serves as on environmental and social matters, including Scope 3 or Scope 2) – Generate energy onsite using renewable sources To estimate emissions, companies use formulas to emissions. This directive came into force on 5 January a practical roadmap for businesses 4. Upstream – Reduce distance between supplier and customer transportation and navigating the intricate terrain multiply the volume of their activities (e.g. purchased 2023, with the first companies having to apply the new distribution – Source materials locally materials, transport) with emission factors (EF), which rules for the first time in the 2024 financial year, for – Optimize efficiency of transportation and distribution of Scope 3 decarbonisation and – Replace higher-emitting transportation modes (e.g. air transport) with lower-emitting modes (e.g. marine accelerating their contributions to are representative values that attempt to relate the reports to be published in 2025.transport) quantity of a pollutant released into the atmosphere – Shift towards lower-emitting fuel sources global climate e orts. with the activity releasing the pollutant. Finding the The International Sustainability Standards Board (ISSB) 5. Waste generated in – Reduce quantity of waste generated in operations operations right EF is not an easy task because it is necessary is a standard-setting body under the International – Implement recycling measures – Implement lower-emitting waste treatment methods to ensure its geographic relevance and its scale of Financial Reporting Standards (IFRS) Foundation, The World Economic Forum’s Industry Net 6. Business travel – Reduce the amount of business travel and favour online meetings application (national/regional or site-specific), and whose mandate is the creation and development of Zero Accelerator Initiative – Encourage more efficient and lower-emitting modes of travel that it is well documented. Several public and private sustainability-related financial reporting standards 7. Employee – Create disincentives for commuting by car (e.g. parking policies) This article draws from the White Paper ‘The commuting “No-Excuse” Opportunities to Tackle Scope 3 EF databases exist and should be selected depending to meet investors’ needs for sustainability reporting. – Introduce incentives for use of public transport, cycling, car-pooling, etc. Emissions in Manufacturing and Value Chains’, on their application, as they use either generic or The ISSB’s work is underway to develop sustainability – Implement teleworking/telecommuting programmes published by the World Economic Forum’s geographic/sector-driven emissions estimates.disclosure standards, including on Scope 3 GHG – Reduce number of days worked per week Industry Net Zero Accelerator Initiative and co- 8. Upstream leased – Increase energy efficiency of operations authored by CIIP’s David Leal-Ayala. Examples of recognised EF databases include:emissions, backed by the G7, the G20, the International assets – Shift towards lower-emitting fuel sources GHG Protocol emissions factors databasesOrganization of Securities Commissions (IOSCO), the The White Paper is part of a series of activities 9. Downstream – Reduce distance between supplier and customer aimed at helping businesses collaborate and transportation and Intergovernmental Panel on Climate Change (IPCC) Financial Stability Board, African Finance Ministers distribution of sold – Optimize efficiency of transportation and distribution speed up the change across industrial sectors. products Emission Factor Database (EFDB)and Central Bank Governors from more than 40 – Replace higher-emitting transportation modes (e.g. air transport) with lower-emitting modes It highlights emerging opportunities and best (e.g. marine transport) practices to inspire leaders in both private and Institute for Global Environmental Strategies (IGES) List jurisdictions. Although not mandatory, the new – Shift towards lower-emitting fuel sources public sectors to take action and drive the of Grid Emission FactorsISSB standard aims to significantly improve carbon net-zero transformation of global supply chains 10. Processing of sold – Improve efficiency of processing without any excuses. World Resources Institute (WRI) and World Business accounting harmonisation – including sectoral specifics products – Redesign products to reduce processing required Council for Sustainable Development (WBCSD) – to allow investors to make more informed green – Use lower-GHG energy sources The World Economic Forum launched the Industry Net Zero Accelerator initiative in Greenhouse Gas Protocol Calculation Toolsfunding decisions.11. Use of sold – Develop new low- or zero-emitting products products 2022 in partnership with knowledge partners US EPA Air Pollutant Emission Factors AP-42 – Life-– Increase the energy efficiency of energy-consuming goods or eliminate the need for energy use Cambridge Industrial Innovation Policy and cycle databases (e.g. ecoinvent).Both these initiatives underscore the growing – Shift away from products that contain or emit GHGs Capgemini, Rockwell Automation, and Siemens. – Reduce the quantity of GHGs contained/released by products It also involves a community of over 30 global importance of holistic, comparable and auditable – Decrease the use-phase GHG intensity of the reporting company’s entire product portfolio manufacturing companies to help accelerate the Why must companies measure Scope 3 reporting to drive sustainability e orts and meet the – Change user instructions to promote the efficient use of products industry’s transition to net zero. The initiative 12. End-of-life – Make products recyclable and implement recycling measures that lead to net GHG reductions provides a platform for a growing community emissions?increasing demand for transparency in the business treatment of sold of industry leaders, technology providers, and products – Implement product packaging measures that generate net GHG reductions world. academic experts to encourage knowledge Although current Scope 3 standards push for voluntary – Improve traceability of products to optimize their use and maximize recycling sharing and actionable solutions towards 13. Downstream – Increase the energy efficiency of operations achieving net zero. disclosure, this might change, as governments and leased assets – Shift towards lower-emitting fuel sources organisations are increasingly pushing for mandatory 14. Franchises – Increase the energy efficiency of operations disclosure as a basis for climate action planning. Scope – Shift towards lower-emitting fuel sources Download the 3 reporting has garnered increasing significance in light 15. Investments– Invest in lower-emitting investments, technologies and projects White Paper: of new regulations, such as the following:Source: The GHG Protocol, Corporate Value Chain (Scope 3) Accounting and Reporting Standard, 2011
SUSTAINABILITY SPOTLIGHT | 42 SUSTAINABILITY SPOTLIGHT | 43 The plastic pollution problem the authorities’ advice, buildings were equipped with Diversity is a defining feature of Nepal, encompassing corrugated galvanised iron (CGI) sheets for roofing Fr plastic aste both cultural and geographical elements. With altitudes instead of the previously common stone shingles. As ranging from 70 to over 8,848 meters above sea level, a result of this change in construction methods, many many inhabited areas face challenges connecting to Nepalis are now only shielded from the elements by a TO BETTER HOMES robust waste-management systems due to the rugged thin sheet of metal. topography. Trekking is the only way to transport things While CGI sheets are lighter and safer than traditional from A to B, and villagers find it di cult to take the roofs in the event of an earthquake, they have little to waste back to town. Across the country, it is common o er in the face of summer heat, winter cold and the to see open fires for plastic burning that produce toxic noise of torrential rain during the monsoon season. fumes, especially where households are out of reach of The noise is often so severe that it has a detrimental Nepa collection systems because of the rugged topography. e ect on the quality of sleep and education, and the Where plastic accumulates in large landfills, burning lack of protection against temperature extremes is leads to even greater harm, including the deaths of a risk to health. Furthermore, most Nepali homes livestock in the area. rely on firewood for heating and cooking, meaning The plastic pollution problem co-exists with two other deforestation has become a significant problem. significant challenges: poor housing and deforestation. Innovation stems from dissatisfaction Generally speaking, there is no concept of thermal and sound insulation in most Nepali homes. As a From an outsider’s perspective, these facts indicate consequence of the devastating 2015 earthquake, that Nepal is facing numerous significant challenges, all which left nearly 3.5 million people homeless, new of which could have adverse e ects on the populace’s homes were built to a very basic standard. As per standard of living. However, when Curie first visited the country, she observed that the internal perspective di ered from the external one. “Nepalis are the happiest people ever!” she says. “People have a humble and grateful attitude to life, and they don’t like being stressed. Coupled with the belief that nothing is impossible in Nepal, there is a feeling that everything will be OK, but there is no rush to change the things that are not working. If I had just parachuted in with this project money and told people what to do, it would have been an easy way to alienate the locals.” Every day, another 600 tonnes of plastic waste end up littering Nepal’s streets and Aligning the two perspectives meant that Curie had to mountains, often with dire consequences. The country has seen a dramatic increase tread carefully and remember that the project should in plastic imports over the last decade, and although they are a resilient, convenient be done by the locals, for the locals, with the local and versatile group of materials, plastics require responsible management to prevent waste. For the duration of the project, her role has damage to people, animals and the environment. Dr Curie Park, of the Centre for been that of facilitator, lowering the threshold for local Industrial Sustainability, set up the Plastic to Ghar (P2G) project in 2022. “Ghar” means entrepreneurs to bring their ideas to fruition. “house” in Nepali, and the aim of P2G is to set up local innovation capacity to tackle Nepal’s plastic waste problem by turning it into a solution to other pressing problems. With support from the Sustainable Manufacturing and Environmental Pollution Programme (SMEP, funded by UK Aid and UNCTAD), which covers 13 intervention areas in South Asia and Sub-Saharan Africa, Curie and the local teams are about to enter the penultimate phase of their project, which sees plastic waste transformed into useful Ad-hoc maintenance of CGI roofing in local houses in housing materials, and communities transformed into hubs for innovation. remote villages
SUSTAINABILITY SPOTLIGHT | 42 SUSTAINABILITY SPOTLIGHT | 43 The plastic pollution problem the authorities’ advice, buildings were equipped with Diversity is a defining feature of Nepal, encompassing corrugated galvanised iron (CGI) sheets for roofing Fr plastic asteboth cultural and geographical elements. With altitudes instead of the previously common stone shingles. As ranging from 70 to over 8,848 meters above sea level, a result of this change in construction methods, many many inhabited areas face challenges connecting to Nepalis are now only shielded from the elements by a TO BETTER HOMESrobust waste-management systems due to the rugged thin sheet of metal. topography. Trekking is the only way to transport things While CGI sheets are lighter and safer than traditional from A to B, and villagers find it di cult to take the roofs in the event of an earthquake, they have little to waste back to town. Across the country, it is common o er in the face of summer heat, winter cold and the to see open fires for plastic burning that produce toxic noise of torrential rain during the monsoon season. fumes, especially where households are out of reach of The noise is often so severe that it has a detrimental Nepa collection systems because of the rugged topography. e ect on the quality of sleep and education, and the Where plastic accumulates in large landfills, burning lack of protection against temperature extremes is leads to even greater harm, including the deaths of a risk to health. Furthermore, most Nepali homes livestock in the area. rely on firewood for heating and cooking, meaning The plastic pollution problem co-exists with two other deforestation has become a significant problem. significant challenges: poor housing and deforestation. Innovation stems from dissatisfaction Generally speaking, there is no concept of thermal and sound insulation in most Nepali homes. As a From an outsider’s perspective, these facts indicate consequence of the devastating 2015 earthquake, that Nepal is facing numerous significant challenges, all which left nearly 3.5 million people homeless, new of which could have adverse e ects on the populace’s homes were built to a very basic standard. As per standard of living. However, when Curie first visited the country, she observed that the internal perspective di ered from the external one. “Nepalis are the happiest people ever!” she says. “People have a humble and grateful attitude to life, and they don’t like being stressed. Coupled with the belief that nothing is impossible in Nepal, there is a feeling that everything will be OK, but there is no rush to change the things that are not working. If I had just parachuted in with this project money and told people what to do, it would have been an easy way to alienate the locals.” Every day, another 600 tonnes of plastic waste end up littering Nepal’s streets and Aligning the two perspectives meant that Curie had to mountains, often with dire consequences. The country has seen a dramatic increase tread carefully and remember that the project should in plastic imports over the last decade, and although they are a resilient, convenient be done by the locals, for the locals, with the local and versatile group of materials, plastics require responsible management to prevent waste. For the duration of the project, her role has damage to people, animals and the environment. Dr Curie Park, of the Centre for been that of facilitator, lowering the threshold for local Industrial Sustainability, set up the Plastic to Ghar (P2G) project in 2022. “Ghar” means entrepreneurs to bring their ideas to fruition. “house” in Nepali, and the aim of P2G is to set up local innovation capacity to tackle Nepal’s plastic waste problem by turning it into a solution to other pressing problems. With support from the Sustainable Manufacturing and Environmental Pollution Programme (SMEP, funded by UK Aid and UNCTAD), which covers 13 intervention areas in South Asia and Sub-Saharan Africa, Curie and the local teams are about to enter the penultimate phase of their project, which sees plastic waste transformed into useful Ad-hoc maintenance of CGI roofing in local houses in housing materials, and communities transformed into hubs for innovation.remote villages
SUSTAINABILITY SPOTLIGHT | 44 SUSTAINABILITY SPOTLIGHT | 45 “We don’t want to give people fish: we want to learn they made plans for two competitive MAKEathons to the opportunity to receive training. often increases the total cost threefold. Overall, the P2G how to fish together. We are trying to encourage take place at FabLab Nepal. The task for participating Then followed a process of business incubation, project is expected to transform the country’s plastic innovative thinking, but innovation tends to come entrepreneurs: develop a product using existing including prototyping, masterclasses and coaching, waste into useful products, improve the air quality by from a place of dissatisfaction. We don’t want to technology to transform plastic waste into durable leading to the launch of six brand new businesses, ending plastic burning, and reduce reliance on firewood. make people feel dissatisfied, but rather to see that housing products for Nepali homes. serving their local communities using the local waste. with simple means, they can help themselves, their Impact Hub Kathmandu is the local management communities and the environment,” she adds. Contestants, a mix of local and international Green Decision Labs and implementation partner on the P2G project, and entrepreneurs, were encouraged to assess their ideas Using discarded polypropylene plastic (PP), Green Padmakshi Rana, Executive Director and Co-Founder, is From new ideas to local businesses against three criteria. First, they had to ensure that the Decision Labs makes under-roof insulation wool, which very pleased with the project’s progress to date. Each project in the Sustainable Manufacturing and logistics of creating their chosen product would be improves thermal insulation temperature by up to 5 Environmental Pollution Programme (SMEP) seeks to manageable. That meant thinking about how to source degrees. First, the raw materials are pelletised and “It’s been an incredible journey of learning, unlearning identify profitable, scalable and sustainable uses of the plastic, to ensure that the equipment needed for converted into plastic wool using a Polyfloss machine, and relearning with the University of Cambridge team environmental pollutants, tailored to the cultural and production was available, and that there would be a and then the wool is felted and compressed in a cold and the P2G entrepreneurs,” says Padmakshi. “Plastic economic context. In Nepal, that means using plastic market for the finished product. Second, they were press machine. To enhance the fire resistance of the felt, waste is an ever-growing concern in Nepal. Through the waste to create durable and practical building materials asked to think about durability to ensure a long-lasting a mud-soaked cotton fabric is added on top, inspired by P2G project, we have been able to provide a platform to to lift the local standard of living, while limiting the second life for the plastic. And, third, they had to the traditional wall-finishing method of Nepali homes. the Nepali entrepreneurs for designing and developing environmental damage of plastic burning and littering. consider the extent to which the product would meet Finally, the felt is rolled up for ease of transport and use. community-based innovative solutions out of plastic an existing critical need in their local community. A waste, and resilient business models.” In the very first stage of the project, Curie focused on total of 26 local and global participants attended the Geodome building her network of collaborators and was glad first MAKEathon, which resulted in seven open-source Geodome produces easy-to-assemble disaster shelter Planting a seed to find a lot of interest in participating. Once it was innovations and three winners, who went on to receive units comprising a skeleton of interlocking plastic At the current stage of the project (mid-2024), with established that the project had potential, the team had systematic start-up training. In the second MAKEathon, tubes and a plastic sheet to cover it. In the event of a the new businesses up and running, Curie wants to plastic-processing machines imported and installed, and 44 local participants from across Nepal attended, and major earthquake or flood, people may be advised to spend more time in Nepal. In previous years she has out of 6 contestants another 3 winners were awarded vacate their houses, even if they are safer than pre-2015 spent less than half of her time there, but things are standards. Shelter units like the Geodome can serve as changing. Many smaller day-to-day decisions need a safe temporary lodging in such cases. to be made, especially about the challenges around Innovation tools, expert talks, mentoring and prototyping support were provided to the MAKEathon at FabLab Nepal scaling, but there are also bigger strategic questions Scavengers and PLASTICPeople Vietnam to address about where the project is going and how Multi-layer plastic packaging like crisp packets can be it can inspire similar projects elsewhere. Each incubee hard to recycle, but Scavengers and PLASTICPeople has been awarded £800 for their activities from the Vietnam have found a way. Using a high-pressure hot SMEP project, which supports activities like travelling, press, they melt and combine the raw materials to make raw material purchase and company registration fees. roofing sheets of greater thickness than the commonly These investments help businesses to be financially and used CGI sheets. environmentally sustainable. Paramendo Looking ahead, Curie and the teams are working Di erent plastics are suited to di erent purposes, to ensure that market demand will sustain the new and Paramendo has set its focus on two kinds businesses. Because the Nepali market is import- of polyethylene. They use LDPE (low-density heavy and price-sensitive, the P2G businesses have a polyethylene) to make thin roofing repair sheets that competitive advantage over many competitors, whose can be melted onto damaged parts of roofs, and HDPE transportation costs sometimes lead to a tripling of the (high-density polyethylene) to make beautiful marbled final product price. This advantage, in addition to an tiles for flooring. innovation-focused mindset, puts the new businesses in a good position to meet current and future community Plastic Heart needs in lasting and sustainable ways. Through the process of extrusion, Plastic Heart makes sturdy plastic beams for use in interiors and furniture. “P2G is about education and capacity building, and Together, the six businesses provide a set of housing many of our learnings from Nepal are transferable to products with the potential to substantially improve other locations with adverse environments. We hope living standards in Nepali communities at very low cost. that when this project comes to an end, we will have The small-scale remanufacturing units in the villages planted a seed of innovation culture that will flourish reduce the transportation cost of housing materials that into the future,” Curie concludes.
SUSTAINABILITY SPOTLIGHT | 44 SUSTAINABILITY SPOTLIGHT | 45 “We don’t want to give people fish: we want to learn they made plans for two competitive MAKEathons to the opportunity to receive training. often increases the total cost threefold. Overall, the P2G how to fish together. We are trying to encourage take place at FabLab Nepal. The task for participating Then followed a process of business incubation, project is expected to transform the country’s plastic innovative thinking, but innovation tends to come entrepreneurs: develop a product using existing including prototyping, masterclasses and coaching, waste into useful products, improve the air quality by from a place of dissatisfaction. We don’t want to technology to transform plastic waste into durable leading to the launch of six brand new businesses, ending plastic burning, and reduce reliance on firewood. make people feel dissatisfied, but rather to see that housing products for Nepali homes.serving their local communities using the local waste. with simple means, they can help themselves, their Impact Hub Kathmandu is the local management communities and the environment,” she adds.Contestants, a mix of local and international Green Decision Labsand implementation partner on the P2G project, and entrepreneurs, were encouraged to assess their ideas Using discarded polypropylene plastic (PP), Green Padmakshi Rana, Executive Director and Co-Founder, is From new ideas to local businessesagainst three criteria. First, they had to ensure that the Decision Labs makes under-roof insulation wool, which very pleased with the project’s progress to date. Each project in the Sustainable Manufacturing and logistics of creating their chosen product would be improves thermal insulation temperature by up to 5 Environmental Pollution Programme (SMEP) seeks to manageable. That meant thinking about how to source degrees. First, the raw materials are pelletised and “It’s been an incredible journey of learning, unlearning identify profitable, scalable and sustainable uses of the plastic, to ensure that the equipment needed for converted into plastic wool using a Polyfloss machine, and relearning with the University of Cambridge team environmental pollutants, tailored to the cultural and production was available, and that there would be a and then the wool is felted and compressed in a cold and the P2G entrepreneurs,” says Padmakshi. “Plastic economic context. In Nepal, that means using plastic market for the finished product. Second, they were press machine. To enhance the fire resistance of the felt, waste is an ever-growing concern in Nepal. Through the waste to create durable and practical building materials asked to think about durability to ensure a long-lasting a mud-soaked cotton fabric is added on top, inspired by P2G project, we have been able to provide a platform to to lift the local standard of living, while limiting the second life for the plastic. And, third, they had to the traditional wall-finishing method of Nepali homes. the Nepali entrepreneurs for designing and developing environmental damage of plastic burning and littering. consider the extent to which the product would meet Finally, the felt is rolled up for ease of transport and use.community-based innovative solutions out of plastic an existing critical need in their local community. A waste, and resilient business models.” In the very first stage of the project, Curie focused on total of 26 local and global participants attended the Geodome building her network of collaborators and was glad first MAKEathon, which resulted in seven open-source Geodome produces easy-to-assemble disaster shelter Planting a seed to find a lot of interest in participating. Once it was innovations and three winners, who went on to receive units comprising a skeleton of interlocking plastic At the current stage of the project (mid-2024), with established that the project had potential, the team had systematic start-up training. In the second MAKEathon, tubes and a plastic sheet to cover it. In the event of a the new businesses up and running, Curie wants to plastic-processing machines imported and installed, and 44 local participants from across Nepal attended, and major earthquake or flood, people may be advised to spend more time in Nepal. In previous years she has out of 6 contestants another 3 winners were awarded vacate their houses, even if they are safer than pre-2015 spent less than half of her time there, but things are standards. Shelter units like the Geodome can serve as changing. Many smaller day-to-day decisions need a safe temporary lodging in such cases. to be made, especially about the challenges around Innovation tools, expert talks, mentoring and prototyping support were provided to the MAKEathon at FabLab Nepalscaling, but there are also bigger strategic questions Scavengers and PLASTICPeople Vietnam to address about where the project is going and how Multi-layer plastic packaging like crisp packets can be it can inspire similar projects elsewhere. Each incubee hard to recycle, but Scavengers and PLASTICPeople has been awarded £800 for their activities from the Vietnam have found a way. Using a high-pressure hot SMEP project, which supports activities like travelling, press, they melt and combine the raw materials to make raw material purchase and company registration fees. roofing sheets of greater thickness than the commonly These investments help businesses to be financially and used CGI sheets. environmentally sustainable. Paramendo Looking ahead, Curie and the teams are working Di erent plastics are suited to di erent purposes, to ensure that market demand will sustain the new and Paramendo has set its focus on two kinds businesses. Because the Nepali market is import- of polyethylene. They use LDPE (low-density heavy and price-sensitive, the P2G businesses have a polyethylene) to make thin roofing repair sheets that competitive advantage over many competitors, whose can be melted onto damaged parts of roofs, and HDPE transportation costs sometimes lead to a tripling of the (high-density polyethylene) to make beautiful marbled final product price. This advantage, in addition to an tiles for flooring. innovation-focused mindset, puts the new businesses in a good position to meet current and future community Plastic Heart needs in lasting and sustainable ways. Through the process of extrusion, Plastic Heart makes sturdy plastic beams for use in interiors and furniture. “P2G is about education and capacity building, and Together, the six businesses provide a set of housing many of our learnings from Nepal are transferable to products with the potential to substantially improve other locations with adverse environments. We hope living standards in Nepali communities at very low cost. that when this project comes to an end, we will have The small-scale remanufacturing units in the villages planted a seed of innovation culture that will flourish reduce the transportation cost of housing materials that into the future,” Curie concludes.
SUSTAINABILITY SPOTLIGHT | 46 SUSTAINABILITY SPOTLIGHT | 47 Can we redesign products, production and sustainability during its use. The e ort is even greater Achievin et zer supply chains for sustainability? for companies transitioning to new operating and Manufacturing companies are increasingly setting business models adopting circular economy principles. ambitious goals to achieve net-zero targets, marking At the Centre for International Manufacturing, significant advances in their sustainability initiatives. we work closely with industrial and institutional IN MANUFACTURING This enthusiasm for sustainability is buoyed by a partners to address these challenges by considering surge in consumer demand for products produced alternative (renewable) materials, exploring smaller- using sustainable and ethical practices. Furthermore, scale manufacturing operations closer to the market, SUPPLY CHAINS regulatory bodies are enacting stricter guidelines, and evaluating the opportunities these interventions compelling companies to embrace sustainable provide for redesigning supply chains. Our expertise solutions. This change may also be fuelled (but not in the analysis, design and operation of manufacturing always!) by the advocacy of shareholders, leadership supply chains is applied across sectors from food and teams and employees to produce more sustainable healthcare to automotive and aerospace. In today’s rapidly evolving industrial landscape, achieving goods and prioritise sustainability. net-zero targets has become a critical objective for many Exploring the di erent options throughout the manufacturing firms committed to sustainability. However, However, it can be challenging for companies to include manufacturing value chain is important when it comes broader Scope 3 goals and consider the impact of to creating more sustainable operations. Figure 1 reaching beyond these goals to encompass broader Scope 3 their products’ usage in their supply chain operations. emissions – those linked to the entire life cycle of products Achieving this requires a thorough assessment of (below) provides examples of interventions that can various product designs, production methods and shape future supply chain configurations, such as and their supply chains – presents a formidable challenge. exploring alternative renewable feedstocks, evaluating supply chain set-ups. Key areas to focus on include new production processes or developing supply chain The IfM’s Centre for International Manufacturing has been alternative materials and energy sources, production scenarios that promote circular business models. processes, delivery methods and the product’s leading e orts to address these complexities. Here, Jagjit Singh Srai, Head of the Centre, and Director of Research in the Department of Engineering, shares innovative strategies and examples of interventions that are transforming the Figure 1. Example intervention strategies in delivering sustainable supply networks manufacturing value chain for a more sustainable future.
SUSTAINABILITY SPOTLIGHT | 46 SUSTAINABILITY SPOTLIGHT | 47 Can we redesign products, production and sustainability during its use. The e ort is even greater Achievin et zer supply chains for sustainability? for companies transitioning to new operating and Manufacturing companies are increasingly setting business models adopting circular economy principles. ambitious goals to achieve net-zero targets, marking At the Centre for International Manufacturing, significant advances in their sustainability initiatives. we work closely with industrial and institutional IN MANUFACTURINGThis enthusiasm for sustainability is buoyed by a partners to address these challenges by considering surge in consumer demand for products produced alternative (renewable) materials, exploring smaller- using sustainable and ethical practices. Furthermore, scale manufacturing operations closer to the market, SUPPLY CHAINSregulatory bodies are enacting stricter guidelines, and evaluating the opportunities these interventions compelling companies to embrace sustainable provide for redesigning supply chains. Our expertise solutions. This change may also be fuelled (but not in the analysis, design and operation of manufacturing always!) by the advocacy of shareholders, leadership supply chains is applied across sectors from food and teams and employees to produce more sustainable healthcare to automotive and aerospace. In today’s rapidly evolving industrial landscape, achieving goods and prioritise sustainability. net-zero targets has become a critical objective for many Exploring the di erent options throughout the manufacturing firms committed to sustainability. However, However, it can be challenging for companies to include manufacturing value chain is important when it comes broader Scope 3 goals and consider the impact of to creating more sustainable operations. Figure 1 reaching beyond these goals to encompass broader Scope 3 their products’ usage in their supply chain operations. emissions – those linked to the entire life cycle of products Achieving this requires a thorough assessment of (below) provides examples of interventions that can various product designs, production methods and shape future supply chain configurations, such as and their supply chains – presents a formidable challenge. exploring alternative renewable feedstocks, evaluating supply chain set-ups. Key areas to focus on include new production processes or developing supply chain The IfM’s Centre for International Manufacturing has been alternative materials and energy sources, production scenarios that promote circular business models. processes, delivery methods and the product’s leading e orts to address these complexities. Here, Jagjit Singh Srai, Head of the Centre, and Director of Research in the Department of Engineering, shares innovative strategies and examples of interventions that are transforming the Figure 1. Example intervention strategies in delivering sustainable supply networks manufacturing value chain for a more sustainable future.
SUSTAINABILITY SPOTLIGHT | 48 SUSTAINABILITY SPOTLIGHT | 49 Below we explore four areas of our work in this space. livelihoods. Exploring possible production pathways and creating markets for processing agricultural waste straw 1. Using renewable resources for sustainable helps to tackle sustainability challenges in agriculture. production The initiative has also led to a policy intervention that By leveraging expertise in supply chain design, our promotes involving intermediaries, bridging public team has looked at how renewable feedstocks can be and private interests such as social ventures or the more extensively used in manufacturing supply chains. farmer–producer organisation model. This work has While using resources e ciently, we aim to minimise been captured in the academic literature, articulating waste and reduce environmental impact. For example, the opportunities of involving social ventures or FPOs we have created new methods to consider alternative to design by-product supply networks drawing on the feedstocks as a supply-driven matter rather than case of rice straw. determined by customer demand. In the context of renewable feedstock, our process involves evaluating 2. Organisational capabilities for delivering the feedstock’s characteristics and technology options sustainable supply chains for converting it into primary and secondary raw To assess management capabilities in advancing materials for specific markets. sustainable supply chain practices, we have developed an evaluation framework based on several cross-case 3. Developing circularity approaches through strategic transformation pathways towards circular supply An example of this concept is the use of terpenes as studies. partnerships and innovative metrics networks. This work led to the Circular Transformation sustainable chemical feedstocks currently sourced Our research team has been collaborating with the of Industries: The Role of Partnerships White Paper, from the petrochemical industry. Terpenes are natural The Sustainability Maturity Assessment tool compares World Economic Forum on the Circular Transformation which explores the enabling role of partnerships in compounds found in citrus, turpentine and pine oils, sustainable supply chain practices in multinational of Industries (CTI) initiative, which helps industries creating circular solutions. but they are also available as by-products of industrial companies. It o ers a comprehensive evaluation of transition towards a circular economy, focusing on production. They can be converted into chemical the maturity of sustainable supply chain practices, sustainability, economic growth and supply chain This work has been presented at recent Davos feedstocks and o er an alternative to current fossil encompassing sustainable supply network design, resilience. meetings, leading to new initiatives to promote fuel sources, transitioning to renewable resources. network integration and connectivity, network circularity in selected sectors. This transition potentially o ers several benefits, e ciency, process development and reporting, We have worked on analysing case studies from including new sustainable manufacturing processes, and product–service enhancement. These five leading multinational enterprises to understand how The centre is actively supporting the CTI initiatives, reduced feedstock costs, increased supply security and dimensions are assessed against environmental, to transform operating and business models from with two additional content pieces in the pipeline for minimised environmental impact. social and economic objectives. Additionally, the linear to circular. As a result, our e orts have led to 2024/25 that focus on demonstrating the positive framework assesses both “existing” and “desired” the creation of white papers discussing the crucial impact of circular models and the need for standardised Another example of using by-products of industrial capabilities, encompassing the company’s end-to- role of partnerships in enabling a circular economy metrics to assess circularity. processes has been our work conducted in a major end supply system, including inbound supply, internal and identifying six important enablers to drive research project, project TIGR2ESS, a collaboration manufacturing, downstream distribution and alignment between Cambridge and India, and more recently with direct/indirect customer needs. The outcomes of Pakistan. The project, funded by the Global Research the assessment reveal performance gaps and provide Challenges and Cambridge Newton Funds, involved actionable steps for the organisation to strengthen its exploring the feasibility of alternative supply networks sustainability and digital transformation strategy. and public–private partnerships to produce, at scale, primary agri-production, but also the reprocessing of For example, on one particular dimension, a low score by-products into value-added products. indicates minimal attention to waste management, prevention and disposal, with waste being sent to For instance, we have worked on transforming localised landfill. A medium score suggests the presence of circular supply networks that use post-harvest rice a formalised zero-waste strategy, albeit partially straw stubble – currently burned on-site to clear the implemented in a limited part of the supply chain. fields, leading to significant air pollution in the region Ambitions may be present, but the formal policy is only – into revenue-generating industrial products from partially implemented in a factory setting. A high score what was previously considered waste. Discovering indicates a focus beyond the factory – for example alternative uses for such waste not only solves the adopting circularity principles and considering the waste-management challenge burdening farmers and entire product life cycle, including using renewable the local community but can also assist in reducing energy in production. On the product side, actively emissions, lowering air pollution and improving pursuing repair, recycling and refurbishment may also be indicated. Rossi, L.A., Srai, J.S., 2024. The role of digital technologies in configuring circular ecosystems. Int. J. Oper. Prod. Manag. https://doi.org/10.1108/IJOPM-12-2023-0973
SUSTAINABILITY SPOTLIGHT | 48 SUSTAINABILITY SPOTLIGHT | 49 Below we explore four areas of our work in this space. livelihoods. Exploring possible production pathways and creating markets for processing agricultural waste straw 1. Using renewable resources for sustainable helps to tackle sustainability challenges in agriculture. productionThe initiative has also led to a policy intervention that By leveraging expertise in supply chain design, our promotes involving intermediaries, bridging public team has looked at how renewable feedstocks can be and private interests such as social ventures or the more extensively used in manufacturing supply chains. farmer–producer organisation model. This work has While using resources e ciently, we aim to minimise been captured in the academic literature, articulating waste and reduce environmental impact. For example, the opportunities of involving social ventures or FPOs we have created new methods to consider alternative to design by-product supply networks drawing on the feedstocks as a supply-driven matter rather than case of rice straw. determined by customer demand. In the context of renewable feedstock, our process involves evaluating 2. Organisational capabilities for delivering the feedstock’s characteristics and technology options sustainable supply chains for converting it into primary and secondary raw To assess management capabilities in advancing materials for specific markets. sustainable supply chain practices, we have developed an evaluation framework based on several cross-case 3. Developing circularity approaches through strategic transformation pathways towards circular supply An example of this concept is the use of terpenes as studies. partnerships and innovative metricsnetworks. This work led to the Circular Transformation sustainable chemical feedstocks currently sourced Our research team has been collaborating with the of Industries: The Role of Partnerships White Paper, from the petrochemical industry. Terpenes are natural The Sustainability Maturity Assessment tool compares World Economic Forum on the Circular Transformation which explores the enabling role of partnerships in compounds found in citrus, turpentine and pine oils, sustainable supply chain practices in multinational of Industries (CTI) initiative, which helps industries creating circular solutions. but they are also available as by-products of industrial companies. It o ers a comprehensive evaluation of transition towards a circular economy, focusing on production. They can be converted into chemical the maturity of sustainable supply chain practices, sustainability, economic growth and supply chain This work has been presented at recent Davos feedstocks and o er an alternative to current fossil encompassing sustainable supply network design, resilience. meetings, leading to new initiatives to promote fuel sources, transitioning to renewable resources. network integration and connectivity, network circularity in selected sectors. This transition potentially o ers several benefits, e ciency, process development and reporting, We have worked on analysing case studies from including new sustainable manufacturing processes, and product–service enhancement. These five leading multinational enterprises to understand how The centre is actively supporting the CTI initiatives, reduced feedstock costs, increased supply security and dimensions are assessed against environmental, to transform operating and business models from with two additional content pieces in the pipeline for minimised environmental impact.social and economic objectives. Additionally, the linear to circular. As a result, our e orts have led to 2024/25 that focus on demonstrating the positive framework assesses both “existing” and “desired” the creation of white papers discussing the crucial impact of circular models and the need for standardised Another example of using by-products of industrial capabilities, encompassing the company’s end-to-role of partnerships in enabling a circular economy metrics to assess circularity. processes has been our work conducted in a major end supply system, including inbound supply, internal and identifying six important enablers to drive research project, project TIGR2ESS, a collaboration manufacturing, downstream distribution and alignment between Cambridge and India, and more recently with direct/indirect customer needs. The outcomes of Pakistan. The project, funded by the Global Research the assessment reveal performance gaps and provide Challenges and Cambridge Newton Funds, involved actionable steps for the organisation to strengthen its exploring the feasibility of alternative supply networks sustainability and digital transformation strategy. and public–private partnerships to produce, at scale, primary agri-production, but also the reprocessing of For example, on one particular dimension, a low score by-products into value-added products. indicates minimal attention to waste management, prevention and disposal, with waste being sent to For instance, we have worked on transforming localised landfill. A medium score suggests the presence of circular supply networks that use post-harvest rice a formalised zero-waste strategy, albeit partially straw stubble – currently burned on-site to clear the implemented in a limited part of the supply chain. fields, leading to significant air pollution in the region Ambitions may be present, but the formal policy is only – into revenue-generating industrial products from partially implemented in a factory setting. A high score what was previously considered waste. Discovering indicates a focus beyond the factory – for example alternative uses for such waste not only solves the adopting circularity principles and considering the waste-management challenge burdening farmers and entire product life cycle, including using renewable the local community but can also assist in reducing energy in production. On the product side, actively emissions, lowering air pollution and improving pursuing repair, recycling and refurbishment may also be indicated.Rossi, L.A., Srai, J.S., 2024. The role of digital technologies in configuring circular ecosystems. Int. J. Oper. Prod. Manag. https://doi.org/10.1108/IJOPM-12-2023-0973
SUSTAINABILITY SPOTLIGHT | 50 Circular ecosystem mapping framework 4. Leveraging digital technologies in circular supply chain ecosystems – promoting repair, remanufacture and resell In collaboration with industry partners, we have developed an approach to inform circular supply network transformation strategies to support implementations beyond incremental sustainability improvements. This approach focuses on the entire life IfM Engage partners with organisations across industry, government cycle of products, emphasising activities such as repair, and academia to support them in solving complex challenges, using remanufacturing and reselling to maximise resource approaches and knowledge developed at the IfM. IfM Engage o erings use and minimise the generation of waste. The heart of are grounded in exceptional research, combined with a breadth of this initiative explores the role that digital technologies Do the numbers add up? Ensuring robustness industrial expertise. can play in circular ecosystems. The approach enables in redesign strategies organisations to visualise and manage the intricate engage.ifm.eng.cam.ac.uk web of resource exchanges – material, financial and Our centre bridges the gap between data modelling informational – between supply network and ecosystem experts and those focused on strategic, operational and actors. system-level perspectives. To ensure the robustness of our approaches, we have developed a range of tools to Unlike traditional linear supply chains, circular supply quantitatively evaluate various aspects of sustainability chains are characterised by multiple usage cycles interventions. These modelling tools analyse scenarios and reverse logistics for reprocessing. Consequently, for raw material sourcing, alternative production recovering products at the end of their life cycle processes, location footprint implications and inventory management, complementing our strategy-level The Institute for Manufacturing (IfM) creates, develops and deploys is paramount to fostering circular and sustainable new insights into management, technology and policy. It strives to business models. This newly developed method frameworks. be the partner of choice for businesses and policymakers, as they identifies key intermediaries that facilitate material enhance manufacturing processes, systems and supply chains to deliver exchanges and manage the essential information flows sustainable economic growth through productivity and innovation. required for circular operations. Crucially, it maps Want to know more? out stock and resource flows, ensuring the e cient At the Centre for International Manufacturing, we ifm.eng.cam.ac.uk operation of the entire system. By highlighting these work closely with industry to develop research interactions, the method uncovers opportunities into practical solutions. We are always looking for implementing digital technologies, advanced to expand our network of industrial partners to production techniques and organisational changes advance research and develop manufacturing that promote circularity. For instance, the concept of solutions for the future. “circularity brokers” emerges – individuals or entities that specialise in maintaining the flow of materials For further information about research and within the circular economy. collaboration opportunities with the Centre for International Manufacturing, please contact: The University of Cambridge Department of Engineering is the largest This approach illustrates how digital technologies Jagjit Singh Srai ([email protected]). department at the University of Cambridge and one of the leading can support the design of sustainable supply chain centres of engineering in the world. The department’s aim is to address ecosystems, o ering practical solutions for businesses You can also read: the world’s most pressing challenges with science and technology. committed to reducing their environmental impact and Srai, J. S., Alinaghian, L. S. and Kirkwood, D. A. (2013). Understanding sustainable supply network capabilities of multinationals: A capability maturity model approach. enhancing their operational resilience. Proceedings of the Institution of Mechanical Engineers, Part B. Journal of Engineering eng.cam.ac.uk Manufacture, 227(4): 595–615. Srai, J. S., Tsolakis, N., Kumar and Bam (2018). Circular supply chains and renewable chemical feedstocks: a network configuration analysis framework. Production Planning & Control, 29(6): 464–482. DOI: 10.1080/09537287.2018.1449263 Srai, J. S., Joglekar, N., Tsolakis, N. and Kapur, S. (2022). Interplay between competing and coexisting policy regimens within supply chain configurations. Production and Operations Management, 31(2): 457–477. Rossi, L.A., Srai, J.S., 2024. The role of digital technologies in configuring circular ecosystems. Int. J. Oper. Prod. Manag. https://doi.org/10.1108/IJOPM-12-2023-0973 Rossi, L.A., Srai, J.S., 2024. The role of digital technologies in configuring circular ecosystems. Int. J. Oper. Prod. Manag. https://doi.org/10.1108/IJOPM-12-2023-0973
SUSTAINABILITY SPOTLIGHT | 50 Circular ecosystem mapping framework 4. Leveraging digital technologies in circular supply chain ecosystems – promoting repair, remanufacture and resell In collaboration with industry partners, we have developed an approach to inform circular supply network transformation strategies to support implementations beyond incremental sustainability improvements. This approach focuses on the entire life IfM Engage partners with organisations across industry, government cycle of products, emphasising activities such as repair, and academia to support them in solving complex challenges, using remanufacturing and reselling to maximise resource approaches and knowledge developed at the IfM. IfM Engage o erings use and minimise the generation of waste. The heart of are grounded in exceptional research, combined with a breadth of this initiative explores the role that digital technologies Do the numbers add up? Ensuring robustness industrial expertise. can play in circular ecosystems. The approach enables in redesign strategies organisations to visualise and manage the intricate engage.ifm.eng.cam.ac.uk web of resource exchanges – material, financial and Our centre bridges the gap between data modelling informational – between supply network and ecosystem experts and those focused on strategic, operational and actors. system-level perspectives. To ensure the robustness of our approaches, we have developed a range of tools to Unlike traditional linear supply chains, circular supply quantitatively evaluate various aspects of sustainability chains are characterised by multiple usage cycles interventions. These modelling tools analyse scenarios and reverse logistics for reprocessing. Consequently, for raw material sourcing, alternative production recovering products at the end of their life cycle processes, location footprint implications and inventory management, complementing our strategy-level The Institute for Manufacturing (IfM) creates, develops and deploys is paramount to fostering circular and sustainable new insights into management, technology and policy. It strives to business models. This newly developed method frameworks. be the partner of choice for businesses and policymakers, as they identifies key intermediaries that facilitate material enhance manufacturing processes, systems and supply chains to deliver exchanges and manage the essential information flows sustainable economic growth through productivity and innovation. required for circular operations. Crucially, it maps Want to know more? out stock and resource flows, ensuring the e cient At the Centre for International Manufacturing, we ifm.eng.cam.ac.uk operation of the entire system. By highlighting these work closely with industry to develop research interactions, the method uncovers opportunities into practical solutions. We are always looking for implementing digital technologies, advanced to expand our network of industrial partners to production techniques and organisational changes advance research and develop manufacturing that promote circularity. For instance, the concept of solutions for the future. “circularity brokers” emerges – individuals or entities that specialise in maintaining the flow of materials For further information about research and within the circular economy.collaboration opportunities with the Centre for International Manufacturing, please contact: The University of Cambridge Department of Engineering is the largest This approach illustrates how digital technologies Jagjit Singh Srai ([email protected]).department at the University of Cambridge and one of the leading can support the design of sustainable supply chain centres of engineering in the world. The department’s aim is to address ecosystems, o ering practical solutions for businesses You can also read: the world’s most pressing challenges with science and technology. committed to reducing their environmental impact and Srai, J. S., Alinaghian, L. S. and Kirkwood, D. A. (2013). Understanding sustainable supply network capabilities of multinationals: A capability maturity model approach. enhancing their operational resilience.Proceedings of the Institution of Mechanical Engineers, Part B. Journal of Engineering eng.cam.ac.uk Manufacture, 227(4): 595–615. Srai, J. S., Tsolakis, N., Kumar and Bam (2018). Circular supply chains and renewable chemical feedstocks: a network configuration analysis framework. Production Planning & Control, 29(6): 464–482. DOI: 10.1080/09537287.2018.1449263 Srai, J. S., Joglekar, N., Tsolakis, N. and Kapur, S. (2022). Interplay between competing and coexisting policy regimens within supply chain configurations. Production and Operations Management, 31(2): 457–477. Rossi, L.A., Srai, J.S., 2024. The role of digital technologies in configuring circular ecosystems. Int. J. Oper. Prod. Manag. https://doi.org/10.1108/IJOPM-12-2023-0973 Rossi, L.A., Srai, J.S., 2024. The role of digital technologies in configuring circular ecosystems. Int. J. Oper. Prod. Manag. https://doi.org/10.1108/IJOPM-12-2023-0973
Institute for Manufacturing 17 Charles Babbage Road Cambridge, CB3 0FS +44 (0)1223 766141 [email protected] www.ifm.eng.cam.ac.uk @IfMC ambridge youtube .com/ifmcambridge /school/ifmcambridge
