Business Case for

Sustainability

Prepared By:
Sai Ganesh VM
Date:
Sonali Achary 27-09-2022
INTRODUCTION

People expect more from technology than ever before. Technology helps drive and creates waves in innovation
and economic growth.

Let’s take a moment to reflect! Climate change is a bigger problem today than ever. With the ozone layer
depleting rapidly, it is dreadful news for our planet. How can we help?
The one-word answer is—responsibility. And it’s time we curate sustainable technology, aka responsible
technology, to create a brighter future.

The environmental situation is precarious, with CO2 emissions from the US alone estimated to touch 4,807
million metric tons by 2050.

We need sincere thought leadership that can rewrite the climate change equation. Plus, we need a vibrant
ecosystem of business leaders who work towards making sustainable technology a reality.
Let’s look at some remarkable stories transforming the business landscape.
What is Sustainable Technology?
Sustainable technology is an innovative blend of technology aligned with sustainability goals.

Let’s break it down in a more simplistic way. It makes mechanical and technical activities more energy-saving, source-
efficient, and eco-friendly. How?

The focus is on social responsibility, which encompasses two facets.

Use of technology- Designing technology that can prevent (or not add up to) environmental issues.
Production of technology- The technology that industries cater to is produced by supporting sustainability goals.

Thus, the sustainable technology goal is to create a sustainable product that drastically reduces environmental and
ecological risks. Sustainability in technology perspectives and efforts include:

Prevention- Sustainable technology that avoids adding to depletion. Plus, it avoids contamination or other negative
environmental impacts through its use and production.
Shift in resource usage- It focuses on a switch from non-biodegradable to biodegradable materials during its
production. Plus, it attempts to replace non-renewable with renewable resources.
Efficiency- When it comes to efficiency, we’re looking at technology that focuses on the use of energy and
resources.

Ultimately, sustainable technology resulting in economic and social sustainability will continue to grow. The surge in
environmental awareness will drive the growth of the market. And here’s a peek at some exciting statistics.
Critical Benefits of Embracing Sustainable Technology
1. Better Business Output

Sudden power outages can affect daily industrial operations. When enterprises switch to renewable energy, it reduces the
risk of these sudden power outages significantly. The move ensures the effective continuity of day-to-day industrial
operations and provides better results.
One can put on their thinking hats to optimize and benefit from sustainable technology, which boosts innovation and
production levels in the organization. Plus, it helps with growing environmental awareness. The increased awareness allows
investors to associate with companies with impressive ESG scores. Ultimately, organizations typically rank better for business
investments in optimizing the use of sustainable technology.

2. Boost Your Bottom Line

The optimal use of sustainable technology ensures that resources are utilized more effectively and efficiently, augmenting
businesses bottom line.
Typically, the core focus of business leaders is to lower internal costs and expenses, which help make financial profits. Thus,
adopting sustainable technology assures businesses a competitive edge in the market, boosting revenues.

3. Attract Top Talent

Millennials are adept with technological advancements and love to contribute to bringing positive change in the world.
Business leaders can underscore their futuristic vision of incorporating sustainable technologies into their business, attracting
passionate talent who will eventually contribute to the innovation and progress of the invention.
Critical Benefits of Embracing Sustainable Technology

4. Improving Employee Health

A great benefit in the workplace from sustainable technology is the facet of improving employee health. It trickles down to
making employees more productive with lesser power outages.
On the operational side, one can offer air purifiers and proper air filtration of HVAC systems, making the workplace
healthier. Plus, working in a better environment can boost employee morale, leading to greater productivity.

5. Attract More Customers

Many customers are conscious of the environment today. 73% of millennials are willing to pay more for sustainable goods
and do business with eco-conscious companies. Thus, when you market your company to the general public as being
sustainable, it could help boost sales and leads.

6. Social Responsibility

Businesses are increasingly aware of corporate social responsibility initiatives. As a pillar in the community, one can lead by
example for environmental awareness. Here, setting an example in encouraging the use of sustainable technology can help
you lead the way.
Circular Economy:
An industrial system that is restorative or regenerative by intention and design. As
opposed to the traditional linear model that transforms raw materials into products that
are used once and discarded, the circular model closes the loop by bringing products
back into the cycle after use so they can be reused, recycled, or repurposed.

In a  linear economy, materials flow in a straight line from resource extraction, to

manufacturing, and then to landfill. Value is created by producing and selling as many
products as possible. This model is characterized by wasted resources and excessive
pollution, causing ecosystem degradation, wealth concentrations, and social inequities.
A circular economy model, on the other hand, entails gradually decoupling economic
activity from the consumption of finite resources and designing waste out of the system.
Underpinned by a transition to renewable energy sources, the circular business model
builds economic, natural, and social capital.

Products must be designed to be future proof – made of the right materials for an appropriate lifetime. This includes using
renewable energy and renewable, reusable, and non-toxic resources in an efficient way.
Waste is a resource; it must be recovered for reuse and recycling, which in turn requires the right infrastructure. Enterprises must
rethink their business models and find opportunities to create greater value by building on the interaction between products and
services.
The new model requires digital technology that can track, monitor, and analyze relevant data across the entire process.
Technology in Circular Economy:

Circular business models reuse everything, but they rely heavily on emerging technologies to enable the path to
sustainable profitability.

Companies undergoing digital transformation must rethink every aspect of their business: future vision, strategy, value
chain, operations, pricing models, sales channels, and customer engagement. This presents a unique opportunity to use
data and digital technology more efficiently for circular innovation.

As Deloitte notes in its “Recipe for Circular Economy Transformation” report, key elements for circular transformation
include the Internet of Things (IoT) platforms, artificial intelligence (AI), machine learning, and predictive analytics. These
elements help companies better understand their use of resources and waste, material flows and areas of inefficiency, and
how to deliver customer value. These technologies help companies find circular potential hotspots and align business
strategy with profit models and pricing strategies.

Blockchain, augmented reality, optimization, and smart mobility help companies rethink operations to optimize resources,
break down silos, and connect data, devices, and partners. Big Data, apps, and e-commerce platforms enable
personalization and create better customer experiences. And cloud services, social platforms, data visualization, and virtual
reality (VR) enable engagement and continuous feedback loops for better design throughout the cycle.
Examples

Vodafone’s trade-in service encourages customers to return their old mobile and tablet devices in exchange for a
discount on a new gadget or store credit. The returned items are refurbished and resold or the components stripped
and recycled.

Producers of electrical and electronic equipment use an online platform, the Information for Recyclers Platform (I4R), to
share information regarding their equipment with recyclers, and to comply with European legislation. Several large
automotive companies have established the International Material Data System, a global data repository that contains
information on materials used in the industry that facilitate the recycling of end-of-life vehicles and their materials.

Many digital platforms are also used to support the trade of secondary raw materials. These marketplaces allow
secondary material suppliers and buyers to find each other on a web-based platform. They are supposed to create
more market liquidity and to provide more supply and demand security for recyclers and their customers.

Many companies from the chemical value chain are experimenting with blockchain technology to improve the
traceability of chemicals in general, and plastics in particular, through their lifecycle. Mitsui Chemicals and IBM Japan are
working on a resource circulation platform using blockchain technology that should ensure traceability throughout the
resource life cycle, from raw materials like monomers and polymers through to the manufacturing, sales, use and
recycling of products. Borealis, Covestro and Domo Chemicals have launched a blockchain traceability project,
together with Circularise and Porsche. Solvay has begun testing blockchain technology to trace its products throughout
the entire value chain in partnership with Chemchain.
Examples

Blockchain can also be used to share data with consumers. Using blockchain technology provided by Provenance,
Royal Auping has created a Product Passport that describes all the materials that go into their mattresses. The passport
can be viewed by scanning an NFC (Near Field Communication) chip on the mattress label with a smartphone, allowing
shoppers to view it in-store or at home.

· Technology company Optoro offers a solution using AI to help retailers and brands manage, process, and sell returns
and excess inventory through the highest value channel. Tomra, a manufacturer of advanced collection and sorting
machines, uses artificial intelligence to analyse images and data from cameras, near-infrared spectroscopy, X-rays, and
lasers, sorting waste according to their highest value and best use.
USE CASES This section discusses various business cases for sustainability
USE CASE 1

Replacement of parts based on data about product usage

Processes such as refurbishment and remanufacturing are data heavy.

Remanufacturing of products requires data for informed decisions on
replacements of parts and components. Such data may include usage
time or maintenance periods, so that the potential for further utilisation
can be estimated. Industry 4.0 technologies enable the collection of
real-time data along the lifecycle of a product. For example, connected
machines allow continuous tracking of machine data along its lifecycle.
The usage data can be stored in the digital twin of the machine, along
with information about the product’s components or disassembly
procedures. This provides the required insights and decision support for
refurbishment and remanufacturing processes. It is important to note
that such data needs context in order to be understood by all involved
parties. Interoperable digital twins with embedded semantics provide
the missing piece. For example, the open manufacturing group has
jointly worked on open semantic data structures that enable
interoperable digital twins.
USE CASE 2

Predictive maintenance to extend manufacturing

equipment lifetimes

Manufacturing operations can be optimised by leveraging the digital

twins of all manufacturing equipment. Sensor data from machines are
analysed to detect failures and failure types. Based on the combination
of real-time data and historical data from connected machines, the
machine’s digital twin is able to predict machine failures before they
actually occur. By using a Connected Worker Platform, operators can
be notified in case predictive action is needed. For example, by using a
machine operation app on a smartwatch, the operator receives real-
time alerts and gets guidance on how to operate and maintain the
machine. Predictive maintenance reduces machine downtimes, avoids
damage to machine parts and results in extended machine lifetime,
thus saving valuable resources.
USE CASE 3

Reduce energy by better coordinating machine operators

To reduce energy and waste in manufacturing operations, companies

can either directly improve the efficiency of their machines or address
the resource efficiency of their production processes. In many cases,
companies are hesitant to invest in new energy-efficient machines and
systems, as the benefits of energy reduction are often outweighed by
the costs of the new machine itself. Gradually improving the production
processes and establishing new efficiency standards are often the
more economical path to increase efficiency in manufacturing.
Typically, machine set ups, warm-up intervals and change over
procedures consume time and energy. By using mobile devices for the
assignment of machine operation tasks, manufacturers can flexibly
coordinate machine operators, machines and materials. By coordinating
multiple operators in parallel, SMED procedures can be implemented
efficiently. By synching the required manual activities with material
provisioning, changeover times can be minimized. Improved machine
operation procedures reduce energy consumption, as machine
downtimes are minimized and machines don’t wait in standby for a long
period of time.
USE CASE 4

Zero-waste production through in-process

quality assurance

By equipping frontline operators with digital devices, a

real-time production system can be created that
connects humans with machines and IT-systems.
Digital work instructions and the ability to collect
quality data through in-line non-destructive inspection
methods accelerate quality processes. Operators can
quickly adjust process parameters in case of
deviations and disruptions. With this, the generation of
defects at component level can be prevented. Scrap
rates decrease and a “first-time-right” approach can
be implemented. In turn, this reduces material and
energy consumption.
USE CASE 5

Tracking of emissions and energy usage

The measurement and tracking of manufacturing

related emissions allows more informed decisions.
With digital workflows for data collection, the
frequency of measurements can be increased,
reducing the time between anomalies and reaction or
even revealing emissions that would have otherwise
gone unnoticed.
USE CASE 6

New insights through real-time data

If you can not measure it, you can not improve it. With a data-driven production system, you can optimize your production
based on facts. Aggregated real-time data from all production processes and process mining for manufacturing increases
transparency about material and energy usage. This facilitates new insights and is the basis for continuous improvements so
that material and energy losses can be minimised effectively. For example, real-time data dashboards that display machine
data, human workflow data, as well as findings from process mining applications can help detect material flow anomalies
early on, which in turn can help detect failures in products. By enabling operators to feedback process data in real-time with
mobile apps, you can trace products along the value chain and identify process bottlenecks and resource drain.
USE CASE 7

Create an awareness culture for sustainable change

Only the combined work of many leads to a change in the world. By

increasing transparency about targets and progress, behavioural
change of single individuals can be triggered. Small steps and the
completion of minor tasks are the prerequisite for a transformational
change of an entire organization. Digital applications are very powerful
tools to empower employees and facilitate change. For example, by
having access to data on energy consumption or scrap rates,
employees can review the impact of their own activities. They can
learn, improve and even share best practises about how to create
energy efficient processes between sites. By allowing employees to
find and share improvement opportunities with their smartphones, you
can leverage the collective wisdom of your workforce.
USE CASE 8

Public electric transport

It’s not only individual vehicle owners who have better access to
electric vehicles (EVs) than ever before—there are 160 electric and
hybrid vehicle models available today—but municipalities are taking
notice as well. In China, 300,000 electric buses hum down city streets
every day. Their widespread adoption in China—an economic coup as
much as a policy one—will entice European cities to follow suit.
Although these eBuses have higher acquisition prices due to upfront
battery costs, their total cost of ownership (TCO) is lower due to their
independence from pricey diesel. They also eliminate local
particulates, including SOx, NOx, and CO2, all major issues in most
cities today.
USE CASE 9

Electric trucks

With personal electric vehicles grabbing more and more market share,
commercial fleets could follow suit rapidly. But to ensure an efficient
transition, we need a firm understanding of the total cost of ownership.
Decades ago, widespread adoption of electric trucks—or “eTrucks”—
was cost prohibitive. But today, the total cost of ownership could soon
be on par with diesel-run trucks, due in part to increasingly cost
competitive and available electric vehicle infrastructure. We predict that
adoption of battery electric commercial vehicles (BECVs), especially in
the light- and medium-duty segments, could surpass the car EV sales
mix in some markets by 2030. And although many heavy-duty BECVs
will need to charge mid-route, our analysis shows that a charging
station every 80 to 100 kilometers on popular routes will suffice for
early phases of adoption.
USE CASE 10

LED light efficiency

Energy-efficient LED lighting is quickly replacing traditional

incandescent bulbs in American homes and is expected to achieve 84
percent market share by 2030. In 2030 alone, LED lights will reduce
energy consumption by 40 percent, which adds up to $26 billion in
savings adjusted to today’s energy prices. These are dramatic cost
savings, but according to the Department of Energy, the U.S. can still
see an additional 20 percent in energy savings with increased
investment in LED lights.
USE CASE 11

Carbon capture and storage

Instead of just focusing on completely decarbonizing the major

industrial commodities behind plastics and cement, we can also
consider safely capturing the carbon emitted when these commodities
are produced. Carbon capture and storage (CCS) allows industry to
capture carbon at its source, compress it, and move it to a suitable
permanent storage site. The technology not only has the potential to
significantly reduce greenhouse-gas emissions—it can also mean more
money if the CO2 can be used profitably to make other products.
Several industries are already working to put captured carbon dioxide
to profitable use, including manufacturers who use captured carbon to
make plastics, such as polyurethane. Emerging technologies, including
direct air capture, have previously been too cost prohibitive to
implement at scale. But a new Stanford University study predicts that
direct air capture, which grabs carbon dioxide from the air and converts
it into synthetic fuel, could eventually drop from $600 per ton of carbon
dioxide to less than $100.
USE CASE 12

Hydrogen in the energy transition

It’s difficult to imagine how we meet ambitious global warming

benchmarks without including hydrogen as a critical part of the solution.
Hydrogen-led pathways to cleaning up the environment forecast
hydrogen powering more than 400 million cars, 15 to 20 million buses,
and more than 20 percent of passenger ships and locomotives by
2050. Although battery-powered electric vehicles exhibit overall higher
fuel efficiency, hydrogen-powered fuel cells can store more energy
with less weight. This makes them an ideal solution for heavy cargo
vehicles that must travel long distances. Hydrogen-powered fuel cell
vehicles are already on the road in Japan, South Korea, California, and
Germany—and more than 10 models are slated for release by 2020. In
short, hydrogen fuel could help the world meet its goal of decreasing
carbon dioxide emissions by 60 percent. Although the necessary
technology exists today, the costs for producing hydrogen need to
decline significantly, and the infrastructure that supports it needs a step
up. Hydrogen could facilitate smarter use of other renewables by acting
as a long-term transport and storage solution for renewable electricity.
It could be a key enabler in the energy transition.
EXAMPLES
Example 1

Accenture

Accenture, a multinational specializing in IT services and

consulting, plays a pivotal role in sustainable technologies.

The company focuses on taking technological and managerial

measures to radically reduce the negative impact of
technology footprints. Plus, they create digital technologies
that help reduce the negative impact on companies by
enabling sustainability use cases and organizational
capabilities.

One of the initiatives is embarking on a greener cloud journey,

which helps with energy reduction and reduced carbon
emissions. Cloud migrations can help unlock new
opportunities like targeted medical R&D due to faster
analytics platforms.
Example 2

Walmart

One of the giant retail corporations,

Walmart, has its core focus on digital transformations with constantly
innovating to enjoy that competitive edge. The corporation works on eliminating wastage and energy usage and
providing supply chain control.

Among many initiatives, it has several built-in IoT sensors and shelf-scanning robots that prove sustainable in
terms of energy savings and customer experience. Plus, Walmart also offers efficient online services, such as
Mobile Express Returns and QR code scanning.

Walmart patented the idea of a robobee, a self-manned drone for pollinating crops equipped with cameras and
sensors, back in 2018. The tool helps detect agricultural problems, get sufficient control over the Walmart food
supply chain, and help minimize food waste.
Example 3

IndustrialML

Factories today are on the verge of embracing disruptive technologies to transform into
smart factories. With industrial IoT technology, artificial intelligence, and machine language,
smart factories are a reality today.

Against this backdrop, when one thinks of a supply chain, factories are the leading
producers of greenhouse gas emissions. Moreover, according to McKinsey, some of the
gravest environmental impacts of the consumer sector can be attributed to supply chains,
accounting for over 80% of greenhouse gas emissions.

IndustrialML has developed an innovative technological solution in this context. The

company has been expanding its focus to Industry 4.0/DX solutions. IndustryML looks at
offering solutions where the power of ML can make factories smarter.

The solutions can help factories use less raw material for production and reduce waste,
increasing their capacity while minimizing their impact on the environment. This sustainable-
tech SaaS advancement can help with improvements in manufacturing environments,
leading to improved efficiency, less energy consumption, and reduced emissions.
Example 4

Fairphone

Electronic waste (e-waste) has been a concern, with over an estimated

57.4 million tons getting generated in 2021 alone, which is only likely to
increase.
Electronics manufacturer Fairphone introduced a unique design for their
new Fairphone-3 in 2020 to reduce greenhouse gas emissions. The
proprietary method is also expected to extend a phone’s lifetime to
about five years. Plus, it is expected to have a significant 30% reduction
in greenhouse gas emissions per year of use across the entire life cycle
of the phone.

In this context, Fairphone has increased the number of suitable

materials integrated into the supply chain for their new phones. The
Fairphone 3+ is made up of post-consumer recycled plastics and has
also successfully refurbished about 40% of the smartphones that were
collected, and what couldn’t be reused were safely recycled. What’s
more? Through the company’s European takeback program, the
company has been compensated 18% for collecting old devices,
making it one of the leading sustainable tech companies in the world.
Example 5

Microsoft

Yet another great example is one of the leading software

providers, Microsoft. The multinational technology
corporation has taken giant leaps in moving towards
reducing its environmental impact and helping other
companies turn “green.”

Microsoft’s cloud computing has taken great strides in

empowering energy efficiency and material waste
reduction. The increased accessibility of serverless and
open-source software minimizes cooling processes,
ventilation, and air conditioning in fewer data centers. The
initiatives add power management functions to Microsoft
products enabling smart energy consumption on end
devices, like monitors and hard drives.

Furthermore, one can explore how Microsoft uses AI to

create a complete directory of US forests, which helps
better manage them for a sustainable future.
Example 6

Kiwibot

Kiwibot is an innovative company working on futuristic solutions,

changing how food is delivered with significant cuts in emissions.

The solutions are critical in the backdrop of carbon emissions

from food delivery projected to rise by 32% by 2022. Kiwibot is an
intelligent robot solution that enables customers to order food
from participating restaurants in their local area. However, the
innovative twist is the food delivered by a Kiwibot—an
autonomous robot on wheels.

Kiwibot has over 400 robots making over 150,000 deliveries,

which has made them the number one robot delivery platform
globally since its induction in 2017. The company has been
making significant strides, expanding across the globe from
Colombia to California, the USA, and more. According to Forbes,
the startup has recently signed a collaboration with Careem, a
subsidiary application of Uber operating in the Middle East, to
launch 1,200 delivery robots in Dubai, UAE.
Example 7

Apple

When discussing sustainable technology, one

cannot miss out on Apple. Apple created renewable
sources account in 2020 for 90% of the renewable
electricity its facilities use, which is around 1.5
gigawatts currently in use. Plus, Apple is focusing on
scaling the use of recycled plastics across its
products. For example, the mesh fabric of the
HomePod mini is made with 90% recycled plastic.
Reference

These 9 technological innovations will shape the sustainability agenda in

2019,https://www.mckinsey.com/capabilities/sustainability/our-insights/sustainability-blog/these-9-
technological-innovations-will-shape-the-sustainability-agenda-in-2019
Seven use cases to create sustainable production and carbon neutral processes for a more circular economy,
https://workerbase.com/post/seven-use-cases-to-create-sustainable-production-and-carbon-neutral-
processes-for-a-more-circular-economy
3 Technologies Driving Business Sustainability,https://devops.com/3-technologies-driving-business-
sustainability/
The power of digital technologies to enable the circular economy | by Ellen MacArthur Foundation | Circulate |
Medium
5 circular economy business models for competitive advantage | World Economic Forum (weforum.org)
How technology can support the circular economy - Tech Monitor
What the Circular Economy needs from SAP, to run better ? | SAP Blogs
What is the circular economy? | SAP insights