Research from European software provider
Forterro has revealed that 72% of medium-size UK manufacturers have reported increased profitability by operating in a more sustainable way. The study also shows the extent to which UK manufacturers are now focusing on sustainability, with 84% of respondents saying it is a priority. 71% said their organisation has a dedicated resource to address sustainability, while three quarters said it has a ‘net zero’ plan.
David Coste, Forterro president (North and Western Europe), said: “Operating more sustainably while maintaining market share and controlling costs has historically been a challenge for any UK mid-market manufacturer, but this research shows how seriously organisations are now taking the subject. It is not just a corporate responsibility but also a driver of financial success and anufacturers are taking purposeful, accountable steps to be more sustainable.”
Supply chains are one of the main areas where UK mid-size manufacturers are focusing their sustainability efforts, with 85% of respondents reporting digitalisation of supply chain and logistics operations to improve transport efficiency. Almost half (46%) of manufacturers are motivated to localise their supply chains for better control, while 43% see cost reduction and 38% prioritise sustainability as a key driver for localisation. Customer demand also plays a role, reflecting shifting market expectations and the need for manufacturers to adapt to meet those changing requirements.
Technology can be used to significant effect when it comes to sustainable operations. Eenterprise resource planning (ERP) can help manufacturers enhance their sustainability efforts, making it easier to manage resources efficiently, reduce waste, manage inventory and maintain compliance with environmental regulations. 82% of the research respondents said that enterprise resource planning (ERP) helps their organisation operate more sustainably.
Mr Coste continued: “For mid-market manufacturers, an ERP system is a highly effective way to manage resources more responsibly and take meaningful steps towards ‘net zero’. It is a proactive measure that can both reduce costs and help companies meet increasing demand for environmentally friendly products and operational practices.”
The findings come from a Forterro report:
The UK Midmarket Manufacturing Report: Key Tech Trends, Best Practice and Future-Proofing, which can be downloaded
here.