Capgemini: manufactures work towards sustainability goals

Manufacturing organisations are setting ambitious sustainability targets for the coming decade, with 20% aiming for carbon-neutral operations and 40% setting their sights on 100% renewable operations by 2030. 

This is according to a new report from the Capgemini Research Institute entitled, Sustainable operations: A comprehensive guide for manufacturers, which reveals that only 51% of manufacturing organisations globally are aiming to align with the temperature contribution target of the Paris Agreement. 

Capgemini partners with companies to combine human energy and technology to create an inclusive and sustainable future. Its 270,000-strong team operates in nearly 50 countries and is headquartered in Paris. In 2020, Capgemini reported global revenues of €16b.

Manufacturers are boosting their sustainability agenda according to Capgemini report

Within this cohort, Germany (68%) and France (67%) are leading the pack with respect to their manufacturers being on track to achieve the targets.

The report also reveals that manufacturers are boosting their sustainability agenda with technology, as more than half (56%) of organisations are currently prioritising the deployment of digital technologies for sustainability.

The report details strong progress in sustainable manufacturing, which is helping organisations realise the benefits of sustainable initiatives:

• 89% of organisations implementing sustainability initiatives see an enhanced brand reputation.
• 81% noted an improved environmental, social and governance (ESG) rating of their company. 
• 79% achieved improved efficiency and productivity and more than half reduced packaging costs and boosted employee motivation levels. 
• 9 in 10 organisations have seen a reduction in waste (98%) and greenhouse gas emissions (94%) as a result of implementing sustainability practices.

Capgemini report encourages ‘recover, redesign and remanufacture’

However, according to the report, the manufacturing sector lacks a comprehensive focus on sustainability, and the maturity of sustainability practices remains low.

“There is a paradox in the fact that only 11% of green sustainability initiatives are actively being scaled across organisations, while the benefits realised by companies adopting sustainability initiatives are huge,” comments Corinne Jouanny, Chief Innovation Scaling Officer at Capgemini Engineering. “Technologies and data are critical to accelerating the sustainability agenda. We’re seeing growing investments in digital technologies by manufacturers who are forming partnerships with established technology firms and startups to further develop their sustainable solutions. This is leading organizations to a full range of opportunities to reconcile profitable growth and sustainability.”

According to the report, manufacturers need to go beyond existing lean and green practices – reduce, reuse, recycle - to a more comprehensive approach, one that incorporates recover, redesign and remanufacture.