Government initiative gives Lean and green manufacturing a helping hand

The number of manufacturers that are recognizing the benefits of going Lean and green is rising. Although the idea of adopting environmentally friendly practices has traditionally been perceived as a more costly course of action, environmental sustainability goes hand in hand with waste reduction – a core tenet of Kaizen. For many businesses, the goals of going Lean and green overlap considerably.

An Ernst & Young study released earlier this year revealed that cost is a key motivator behind large companies' implementation of sustainability programs. Specifically, 80 percent of surveyed firms said their sustainability initiatives would be driven by new revenue opportunities, while three-quarters (74 percent) said cost reductions were the primary drivers of their programs. Many corporations have even gone so far as to appoint chief sustainability officers to oversee their efforts.

“These findings suggest sustainability efforts are becoming integrated into the corporate fabric of most large companies,” said Steve Starbuck, the leader of Ernst & Young LLP's Americas Climate Change & Sustainability Services.

Incentivizing Lean and Green Practices Among Smaller Companies

Small and medium-sized manufacturers with less funding tend to be behind the curve when it comes to integrating Lean and green programs, even though many are aware that Lean manufacturing can bolster productivity, conserve energy, boost worker safety and reduce environmental impact. To incentivize sustainable business practices within the sector, the U.S. Government offers customized lean-green-environmental assessments, such as E3: Energy, Economy and Environment. Through the Department of Commerce's Manufacturing Extension Partnership Program, the Department of Energy's Industrial Assessment Centers and state pollution prevention providers, E3 provides technical assessments and recommends improvements with manufacturers' ROI in mind. E3 participants also receive green job competency training.

“The impact reaches far beyond energy, dollars or the environment,” noted business owner Linda Jordan, an E3 participant, as quoted by Earth Times. According to Jordan, her company had 100 people employed on the floor in 2011. Following the implementation of suggestions and guidance put forward by the Texas Manufacturing Assistance Center's E3 assessment, the company's workforce doubled in size, and there are plans to bring in an additional 40 employees.

“Every dollar that we don't have to spend on wasted energy or materials is one more dollar that we have available to invest in our workforce,” noted Jordan.