You're aiming to create a new product. How can you align cost considerations with sustainability goals?

It's crucial to embed sustainable design choices from early stages of design. If you can do this then you will minimise impacts of cost (or even find creative ways to avoid cost increases). For example - if you are a paper manufacturer, and you find a way to embed some renewable materials as inputs (such as sugarcane bagasse), then you can start to think about modifications needed in the manufacturing process well in advance - this increases chances of finding cost effective solutions and also working out the payback period. On the contrary, if you don't factor this in early on and work in an integrated way you might opt for machinery / components that are not suited for this type of input (making you constrained to use conventional pulp)

Design for durability is crucial. Identify reusable options and extension of product’s life can add value in designing a profitable business model

There are many complementing nuances to be considered into sustainable product design. Maybe the first question to ask yourself (and maybe even potential customers) is what's the purpose of the product? What's the problem it solves? This conceptual challenge is crucial to understand (and then capture) the full sustainable value of the product. More on the hard data side of things, but equally important, is to include Carbon Pricing across the whole value in the business case. If both, sustainable value estimation and carbon pricing equations are positive, then you most likely have a green light for your green product.

Na minha gradua??o, tive a oportunidade de ter disciplinas voltadas para o desenvolvimento de produtos sustentáveis. Para produzir um produto mais sustentável, uma das etapas mais importantes é justamente o projeto inicial. Nessa etapa, focar em um design ecológico que leva em considera??o o ciclo de vida do produto e seus impactos no meio ambiente é crucial para promover a sustentabilidade.

Eco-design can help align cost considerations with sustainability goals by: Assessing environmental impacts and product risk?for designs and products early in the development process when changes are least costly.?This allows trade-offs between cost and sustainability to be evaluated. Providing tools to get a fast, integrated view of various risk factors?relating to environmental performance and regulation.?Understanding these risks helps make informed decisions about materials and processes.

The core of any sound sustainable initiative is to work on the whole value chain. It means not much for sustainability if an organization does its homework within its gates but does not establish good partnerships up and downstream. This is especially crucial for reducing scope 3 emissions. Ones's scope 1 emissions might well be its customer scope 3. Establishing clear ESG criteria for suppliers qualification is extremely helpful in this task. One thing to bear in mind: It's a journey for all of us. Maybe a certain trustful supplier is not quite there yet but is willing to jump on this train with you. Give this guy a lot of credit!

Improved access to finance: The financing landscape is evolving, with investors and lenders showing a growing interest in funding sustainable businesses. Companies with sustainable supply chains often enjoy better access to finance and lower borrowing costs. Access to new markets: Sustainable supply chains can open up opportunities to tap into new markets, such as the growing segment of green consumers who prioritize environmentally friendly products. Lower risk: Embracing supply chain sustainability mitigates risks associated with environmental and social issues like climate change, water scarcity, and human rights violations. By minimizing these risks, companies can avoid costly supply chain disruptions and prevent reputational damage.

Optimizing your supply chain for sustainability can lead to cost savings. This includes working with local suppliers to reduce transportation emissions and costs, ensuring that materials are sourced responsibly, and partnering with suppliers who share your sustainability values. Personal Experience: We audited our supply chain to identify opportunities for sustainability improvements. By switching to suppliers who used renewable energy, we not only reduced our carbon footprint but also benefited from lower energy costs in the long run.

In my view displaying data on the impact the manufacturing had on the environment and sustainability in the past and showcasing a decrease of impact by introducing lean manufacturing will make employees and stakeholders more involved in the process. Processing such data can be part of a monitoring, reporting and verification system tracking performance and displaying the results. The latter could bring a form of "gamification" into the applied strategy and could boost sustainable behavior of employees in the process.

Improved resource utilization and reduced waste: By optimizing production processes and implementing lean manufacturing principles, manufacturers can eliminate unnecessary steps and reduce waste of raw materials, energy, and other resources. This not only lowers operational costs but also minimizes the environmental impact. Adoption of energy-efficient equipment and smart manufacturing: Investing in energy-efficient machinery, automation, and real-time monitoring systems can significantly reduce energy consumption and costs, while also lowering greenhouse gas emissions.

Investing in energy-efficient machinery and optimizing production processes can reduce both costs and environmental impact. Implementing lean manufacturing principles can minimize waste and improve overall efficiency. Personal Experience: Our company implemented a lean manufacturing program that reduced material waste by 15%. The initial investment in training and process redesign was quickly offset by the savings in material costs and increased productivity.

Reduced long-term costs: While sustainable packaging materials may have higher upfront costs, they can lead to lower long-term costs through reduced waste management fees, potential government incentives, and increased consumer demand for eco-friendly products. Material efficiency: Switching to sustainable materials like recycled paper, cardboard, and biodegradable plastics can significantly reduce packaging costs compared to traditional methods by minimizing material usage. Optimized packaging design: Adopting right-sized, customizable packaging solutions can reduce unnecessary waste and material costs while still effectively protecting products.

Choosing sustainable packaging options, such as materials that are recyclable or made from post-consumer waste, can reduce your environmental footprint. Additionally, minimizing packaging or designing it to be reusable can attract cost-conscious and environmentally aware consumers. Personal Experience: We redesigned our packaging to be minimal and multipurpose, which not only cut down on waste but also saved on shipping costs due to reduced weight and volume.

The choice of sustainable packaging is a legal requirement and will becoming increasingly more complex. On April 24 of this year, the EU Parliament adopted the Packiging and Packaging Waste Regulation (PPWR) which aims towards a circular economy and will replace the current Packaging Directive in the EU. A few examples of the suggested impact of the PPWR are: 1. particular bans on single-use Packaging, in specific on plastic packaging (detailed rules will apply). 2. limitation of so-called "green claims" on packaging. 3. harmonized labelling. A good example of a company implementing a sustainable packaging strategy is Amazon. Amazon replaced 95% of the plastic airpillows used for packaging in North America for recycable paper filler.

Your marketing message should highlight the sustainable attributes of your product. Consumers are increasingly looking for products that align with their values, and a strong sustainability message can differentiate your product in the market. Personal Experience: We focused our marketing campaigns on the sustainable aspects of our product, which resonated with our target audience and created a strong brand loyalty that justified a slightly higher price point.

Besides crafting a marketing message, it will also be important to include real verifiable data on the implemented sustainability strategy and outcome of the strategy. The latter is important to boost credibility and to prevent potential bad press due to false claims, leading to a potential negative impact. By ensuring the actions taken related to sustainability are transparent and traceable a loyal customer base may be willing to pay extra for sustainable projects.

Of all the things we create, buildings and infrastructure have the most significant positive and negative impacts. LCCA (life cycle cost analysis) reveals the full social, environmental, and economic implications including returns on investment.

Life cycle sustainability assessment (LCSA) can significantly help align cost considerations with sustainability goals by integrating environmental, social, and economic impacts throughout the product life cycle. LCSA provides a comprehensive framework for evaluating all negative and positive impacts, enabling decision-makers to: Clarify trade-offs between sustainability pillars. Identify weaknesses and opportunities for improvement. Prioritize resources for maximum positive impact. Choose sustainable technologies and products. Communicate transparent sustainability information to stakeholders.

It is extremely important not to lose sight of the life cycle of the resources that we are going to use for any project, this will allow us to generate the best strategies and solutions focused on sustainability. This planning will give us the support so that interested parties are aware of our efforts as an organization on sustainability issues. Additional help to the commercial part for investors or business partners, since it is increasingly common to want to associate with companies committed to sustainability.

Conducting a lifecycle analysis of your product can help you understand its environmental impact from cradle to grave. This analysis can inform decisions that balance cost and sustainability, such as material choices, manufacturing processes, and end-of-life options. Personal Experience: After performing a lifecycle analysis, we identified that the most significant environmental impact was during the use phase of our product. We then focused on improving energy efficiency, which ultimately saved costs for the end-user and enhanced the product's sustainability profile.

Of all the things we create, buildings and infrastructure have the most significant positive and negative impacts. LCCA (life cycle cost analysis) reveals the full social, environmental, and economic implications including returns on investment.

Consider the broader implications of sustainability, such as regulatory compliance, potential tax incentives, and the possibility of future carbon pricing. These factors can have a significant impact on the long-term costs and viability of your product. Personal Experience: We proactively complied with upcoming environmental regulations, which allowed us to avoid future fines and penalties. This foresight also positioned us as a market leader when the regulations came into effect.