Manufacturing Insights

An ERP blog from MAX

5 Ways Manufacturers Can Cut Energy Costs and Start Saving

Posted by Joy Budnik on Jun 1, 2016 9:00:00 AM

charger-27308-edit.pngIf you use ERP, you’re certainly working to make sure your manufacturing business is as efficient as possible. You’ve probably already seen evidence that the more you invest in better managing your manufacturing processes, the more time, money and other resources you ultimately end up saving.  We at MAX applaud you for the investment in efficient operations.  Another great place to increase efficiency (and cut costs!) is energy consumption.

Manufacturers are responsible for a whopping 30 percent of the nation’s total energy consumption. 

Through upping your energy efficiency you can see an impact on your own bottom line, and impact one of the largest segments of energy consumers in the nation: manufacturers as a whole.

Ready to Get Started?

Here are 5 ways to Increase Energy Efficiency in Manufacturing

1. Pay Attention to Your Motors and Motor-Driven Systems

Perform regular maintenance on all motors and motor-driven systems to take advantage of upgrades that are almost always more energy efficient than older versions of product. Regular maintenance also helps prevent break-downs and costly downtime.

2. Improve Building Lighting

Install energy-efficient lighting systems where possible to reduce energy consumption up to 50 percent as well as reduce the risk of mercury contaminants. Consider making use of natural daylight, which is cost effective and has been shown to improve worker health and productivity.

3. Upgrade Heating, Ventilating and Cooling Systems; Upgrade Compressed Air Systems

Compression motors and HVAC systems demand high electrical input and can account for up to 20 percent of total electrical use in certain industries. Start saving by looking for leaks, or upgrading your entire system.  Don’t want to spend on an upgrade?  You can still cut costs and save energy:

  • Reduce HVAC output on weekends and at night
  • Use a programmable thermostat that regulates energy usage for you and be sure to update settings by season
  • Keep exterior doors and windows closed when possible, including loading bays and maintenance areas when they aren’t in use

4. Upgrade to LCD Screens

If you’re still using CRT monitors, it’s time to upgrade to LCD screens. Not only do you get better image quality and reduced eye strain, but you’ll save on energy with LCD screens using an average of half to two-thirds of the energy as CRT monitors. Savings like that every month definitely add up.

5. Monitor Your Energy Use

This essential step helps you set realistic goals for reducing your energy footprint. As you progress toward greater energy efficiency and more responsible consumption, you can benchmark* progress against your own historic data. Choose a few of the above action items, set up metrics to track progress such as…

  • Average power usage over comparable time frames (M-F, 9am – 5pm)
  • Average power usage when certain conditions are met (when all the equipment in the building is on versus when half the equipment in the building is on)
  • Just make sure you’re comparing like for like!

… and you’re well on your way to understanding how changes you make in energy consumption pay off in cost-savings. Ahhh sweet efficiency. 

Adopt one or more of these five steps and see your total cost of operating sink. (And keep using MAX to find efficiencies in your processes and material management for even greater savings).

   

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* We suggest starting your analysis by understanding the difference between kWh (energy) and kW (power, demand, load).

 

Topics: Manufacturing, Efficiency, Energy Savings, Cost Cutting

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Insights, opinions and news relating to the world of manufacturing and ERP software. Read the full introduction here.

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