Organizations around the world are embracing digital transformation, with leaders eagerly pursuing better, more efficient ways to operate and serve customers (two-thirds of whom, according to a 2020 McKinsey studyOpens a new window , consider sustainability when making a purchase). Efficiency often goes hand-in-hand with sustainability; KPIs tend to focus on reducing waste, right-sizing inventory, and curbing emissions, notes Nic Azad, TrakSYS communications lead at Parsec Automation.
Between customer demand and the ever-present imperative to edge out the competition, business leaders may feel compelled to implement sprawling changes in the name of sustainability. But before they spin their wheels building roadmaps for sustainability overhauls, they should take a step back and think “big picture.†This is especially true for industries like manufacturing, whose leaders face an uphill battle in combating the generations-old stereotype of “dirty†business, complete with imagery of belching smokestacks and perilous working conditions.Â
This antiquated perception of manufacturing is a far cry from today’s reality. Many manufacturing leaders are laser-focused on improving their production wherever possible and have embraced IoT-powered technology to gain unparalleled visibility into their operations. Indeed, leveraging advanced technology is a business’ best bet toward more sustainable operations – but it must be wielded strategically.
 When it comes to sustainable operations, businesses should focus on incremental improvements rather than sweeping initiatives.
Major Sustainability “Improvements†Could Actually Be Cause for Concern
Between customer expectations and environmentalism dominating the cultural zeitgeist, it can be compelling to tout one’s accomplishments when it comes to sustainable operations. While it is true that demonstrable improvements can shed light on a company’s values, any dramatic improvements should give customers and partners pause.
 If a company claims that its operations improved year-over-year by, say, 50 percent, what does that say about how it used to operate? What kind of practices may the company have employed previously? Was leadership truly invested in drastically changing course, or were they perhaps called out by a third party? Should customers expect similar improvements the following year, or will these massive changes lead to a plateau?
 While questions like those above have been and will continue to be levied against any business that claims to have made too radical of “improvements†too quickly, they do not invalidate the occurrences of authentic sweeping change. There have absolutely been instances where, with an eye toward sustainability, truly impassioned leaders have cast a spotlight on their former practices as a way of establishing credibility and accountability with their customers and peers.
 By and large, though, businesses that want to make a splash about their sustainability initiatives and improvements are best served by being strategic. Being upfront about prior operational shortcomings can be effective—and help to strengthen a business’s relationship with its customers—if the approach is authentic and focused on demonstrating growth rather than accruing accolades.Â
See More: How the Cloud Drives Sustainability
For Lasting Impact, Focus On Incremental Improvements
Business leaders should only consider and implement sustainability initiatives if they know they can maintain them over time – otherwise, they risk neutralizing or reversing any short-term progress made. Any frameworks for environmental sustainability must be maintainable from a business perspective as well.
Even if a business can only sustain, say, 2 percent more efficiency in operations year-over-year, that will compound over time to steadily move the needle.
With the right motivations and mindset in place, businesses can enact real, positive shifts while remaining grounded in what’s feasible for their specific organization. In a perfect world, a snap of the fingers would make all businesses as efficient and “green†as possible; carbon footprints would shrink to zero, and the planet would run on clean energy. In our perfectly imperfect world, however, incremental improvements are our best bet toward a more sustainable, efficient business landscape.
The businesses leading the charge on environmental operations have embraced advanced technology – first to achieve optimal visibility into every facet of their operations, then to go about making sustainable improvements. The Internet of Things (IoT) has made it possible to monitor heavy machinery and optimize energy usage, reduce downtime, and minimize emissions. Every nanosecond of decreased run-time, every 1 percent reduction in waste, adds up over time and makes a difference.
Finally, we know humans tend to be averse to drastic change. Sweeping changes from out of the blue can result in a whiplash effect that can scare customers off. If all of a sudden, a customer’s favorite products look different or are altogether unavailable, they might receive the news poorly and take their business elsewhere. However, when businesses make continued, incremental adjustments over time, they effectively nudge their customers in the right direction while still nurturing the relationship. For instance, we know customers are willing to pay more for sustainable packaging. By changing the packaging before the product itself, businesses can tee up customers for more changes in the short and long term. Regardless of how businesses choose to move forward, it’s a good idea to contextualize the change for customers and set expectations for what’s to come.
All in all, implementing change in the name of sustainability is a good thing – reducing waste, improving inventory management, and pursuing healthier supply chains will certainly behoove businesses in the long run. Any one-time or dramatic shifts to operations could be met with skepticism, and rightly so. Ultimately, sustainability will require a long-term, continuous approach, and (as has been said time and again throughout this piece) the way to achieve this is through consistent, incremental improvements.
How are you focusing on incremental improvements for a more sustainable digital transformation? Share with us on FacebookOpens a new window , TwitterOpens a new window , and LinkedInOpens a new window . We’d love to hear from you!
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