Why green makes financial sense

WM has turned green this June to asess the low carbon agenda and what opportunities it offers for manufacturing. This issue, which can be downloaded by clicking the link below, reveals simple ways to turn low carbon into cash and tangible productivity gains. More money, for less – that's something you can't ignore even if your environmental leanings are more Jeremy Clarkson than Al Gore. Take the story of Gestamp. This tier one automotive supplier, like so many manufacturers, was content dipping its toe into green manufacturing. Then a major OEM customer issued an ultimatum: achieve the ISO 14001 or be blacklisted as a supplier. Gestamp had just nine months to earn its green stripes. At this point the only thing you could imagine turning green were the gills of Gestamp's management team. But there was no whingeing or hard luck stories. Instead, the manufacturer threw everything at achieving 14001. Much like a continuous improvement programme, success hinged on winning shopfloor support. And, as with lean, the biggest gains came by empowering staff to drive the change. Soon, workers were striving to exceed waste-cutting targets. Gestamp's management says the effort united the company and boosted morale. The reforms themselves were gob smackingly simple. Two years ago, for example, cardboard was chucked away with general waste and Gestamp paid a premium to have it taken to landfill. Now, cardboard is fed through a baler and sold to a waste management firm for a tidy profit. Your green journey could begin and end with something as simple. But like Gestamp, perhaps the process will open up your eyes to other revenue-generating or productivity-boosting environmental initiatives. Going green is a kindred spirit of continuous improvement. Think strategically, back the changes and the potential gains are infinite. Dismiss it outright, focus solely on getting the next order out and you're heading for the industrial scrapheap.