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EXPERIENCE OF TOOLS FOR RESOURCE
REMakeREMakeEXPERIENCE OF TOOLS FOR RESOURCE
EFFICIENCY IN INDUSTRY
Dr. Uwe König
Outline
1. Chances and challenges of resource
efficient manufacturing
2. Levels of resource efficient innovation
3. Boosting resource efficiency with REMake –
experiences with adequate tools
4. Experiences of the German Material
Efficiency Agency - demea
5. The needs of manufacturing companies –
bottlenecks to overcome
1. Chances and Challenges of Resource
Efficient Manufacturing
Make manufacturing more profitable
Costs are about 40% material and energy
High innovation potentialHigh innovation potential
Highest benefit: Optimisation of value generation across the full life cycle
Situation is comparable all over Europe –
realization depends on national and regional
requirements
Resource Efficiency in Manufacturing
Modified version of value chain model used by the Royal Academy of Engineering, UK
(in: „Industrial Systems: capturing value through manufacturing“, 2012)
Processing Manufacturing
RawIntermediates
Harvesting,Excavation,
Forming,Machining,
Reuse,Recycling
RawResources
Intermediates
metals, polymers,paper, ceramics, …
Excavation,Melting, Chemistry, …
Machining,Coating,Assembly,Packaging
Products
SectorsMinerals, chemicals, steel & NF
metals, glass, ceramics, pulp&paper,cement …
SectorsMechanical engineering, fabricated metal
products, rubber & plastics products,electrical & optical equipment
450No. Companies (1.000)
6,8Employees (million)
1600Production value (bn €)
Relevance of Process Industries (2009)
450No. Companies (1.000)
6,8Employees (million)
1600Production value (bn €)
Relevance of Process Industries (2009)
740No. Companies (1.000)
11Employees (million)
1750Production value (bn €)
Relevance of Manufacturing Industries (2009)
740No. Companies (1.000)
11Employees (million)
1750Production value (bn €)
Relevance of Manufacturing Industries (2009)
Defining resource use through ecodesign & manufacturing optimisation
Statistical data sources : ▪ Eurostat; ▪ Cefic, EUnited et. al. 2011 („Proposal of a
Public-Private-Partnership on Sustainable Process Industries“)
Challenge:Manufacturing means SMEs!
Typical production cost shares in Manufacturing
Materials + energy add up to nearly half of all manufacturing costs.
Costs of raw materials
& suppliesDepreciation and other
Other costs
7 %
Materials & energy
Energy costs
Personnelcosts
and other investment costs 25 – 30 %
5 –15 %
30 –45 %
Materials +
Energy
45 – 50 %18 – 20 %
Materials & energy
use are interlinked.
Optimisation should
not be separated!
Take into account the specific conditions
2. Levels of Resource Efficient Innovation
Product design
o Huge impact on resource consumption, especially
environmental impact
Manufacturing efficiencyManufacturing efficiency
o Small changes results in large impact
Value chain optimisation
o Individual companies: short termed - about 10% of
resources
o Value chain: long termed – up to 50% savings
Specific requirements
Resource flow analysis at single company level
Analysis of 100 German case
studies + on-going analysis of
case studies from other countries
Very clear result: the saving
Average saving =
7% of material input
Smaller companies show higher savings
Very clear result: the saving measures are highly profitable
o Permanent reduction of annual
production costs
o Typically one-off investments,
pay-back time <<1 year
Frequency distribution of resource
savings
0
5
10
15
20
< 2% 2-4% 4-8% 8-12% 12-16% 16-20% >20%
Material savings related
to material input in %
Nu
mb
er
of
co
mp
an
ies
Savings potentials –Factory level vs. Value chain level
Mechanical
engineering Electroplating
Resource efficiency optimisation at individual companies: 7-10%
Mining Steel
Processing Manufacturing
Rawmaterials
company
Forming and
machining
Electroplating
company
Metal
coating
InterfaceInterface
Resource efficiency optimisation at value chain level: 55-70%
Mining
company
Raw material
production
Steel
company
Steel
productionIntermediates
InterfaceInterface
MachinedProducts
InterfaceInterface
FinishedProducts
• Impact analysis of 100 German case studies
AND on-going analysis of case studies from other countries
• Pilot study on value chain savings potentials using Life-Cycle Simulation
3. Boosting Resource Efficiency with REMake –
Experiences with adequate Tools
Eco-innovation support consulting tools
o Potentiality analysis, implementation support to RRE,
Life cycle, approaches, etc.
o But: to complicated for most companieso But: to complicated for most companies
Resource Efficiency Network
o Learning and helping Network for eco innovation
Voucher systems
o Quick tool to describe the companies situation;
First stage: RE audit – potentiality analysis
Second stage: Implement specific actions
REMake - a European test bed and Network for resource efficiency in Manufacturing
Industry needs /
access to SMEsAIMAIM
Key
6 national / regional
innovation agencies
Inn
ov
ati
on
ex
pe
rtis
e
Inn
ov
ati
on
ex
pe
rtis
e
Te
chn
olo
gica
l
kn
ow
led
ge
Financial, technical and managementsupport to manufacturing SMEs
• improve overall resource efficiency
• implement eco-design and life-cyclemanagement
• use standards and best practices enablingeco-innovation
Key stakeholder ‚mentalities‘ being integrated
4. Experiences of German Agency - demea
Long time experiences and support of German Ministry – cooperation between politics and agency
Accompanied by consultant for personal contactand to ensure side criteria (like funding conditions)
o Use of a simple and general online Self-Assessment Toolo Use of a simple and general online Self-Assessment Tool
o Building a pool of active consultants
• Personal contact – accepted by SME
• Support and advice – sector and company specific
Outcome:Average material savings: 7% of material/energy input(9% for small companies)
5. Needs of Companies - Bottlenecks
Compile technological feasibility
Financing is not crucial – but many companies do not know how to realize innovation
Support and advice is crucial
Activities depends on consumer acceptanceActivities depends on consumer acceptance
o e.g. automotive industry requires first sample reports to reach predefined requirements
o Change in production line could change requirements (important target)
Legislation about resource efficiency is generally considered positive
Cooperation with other sectors is helpful
Conclusions and Challenges
Stimulate and implement resource efficiency improvementof manufacturing SMEs o along the entire production value chain,
o looking at single factory level and upstream / downstream suppliers & customers
Help SME to understand the overall process along the value chaino Benefits of companies and industry sectors through resource efficiencyo Benefits of companies and industry sectors through resource efficiency
o Favouring business solution for overall branch
o Try to cooperate across sectors
Research and development on technological and organisational optimisation and re-engineering of manufacturing value chains
Particular focus on optimisation of value chain interfaces
Combine regulation with innovation- try to understand and cooperate
Build on existing initiatives for widespreadroll-out of RE support schemes and tools
Thank you very much for your interest and attention
More information and contact: www.ecomanufacturing.eu
Life Cycle Simulation of Manufacturing ChainsProduction chain ‘Steel’:
hydraulic piston rod
• Simulation results: Primary energy balance in MJ
• Savings potential:55 % of resource input
0
200
400
600
800
1.000
1.200
1.400
1.600
steel part, heat treatment
surface processing, welding
corrosion protection, packaging, transport
finish, degrease
hard chromium plating, purging
finishing treatment
MJ/FU worst case best case
55 % of resource input
Lessons learned
Practical case studies demonstrate: Resource efficiency (‘RE’)will foster growth and innovation in manufacturing SMEs
High potential to improve RE in Manufacturing; but don’t separate energy & materials optimisation
SMEs are willing to improve on RE; SMEs are willing to improve on RE; but need professional information and support
Efficient production processes and recycling will substantially contribute to securing raw materials
Applying ecodesign in developing manufactured products is important – ATEP standard and toolkit
Save handling of materials (REACH / ROHS directives) also related to RE
