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Increase Revenue Growth & Business Efficiency With the recent surge in inflation, businesses face greater pressure to cut costs wherever possible. Traditionally, there has been a belief that implementing sustainable practices leads to higher expenses. A study by the Economic Intelligence Unit found that perceived increased costs are a major barrier to adopting supply chain sustainability strategies (38%) 8 . Additional findings in 4C’s Transformative Procurement 2023 Report, 9 found that over three-quarters (76.8%) of procurement organizations have limited approach, to sustainability, primarily citing potential costs increases as a barrier. While the need for cost reduction may seem to conflict with sustainability goals, many initiatives aim to improve efficiency and reduce resource consumption, ultimately leading to significant cost savings. Strategies such as optimizing packaging, sourcing sustainable materials, and streamlining production enhance resource management and boost cost efficiency through lean principles. Prioritizing sustainability also offers a competitive edge, helping companies stand out in the market, and cultivate strong customer loyalty. When cost reduction and sustainability are approached holistically—sometimes requiring a shift from traditional perspectives—it can result in both financial success and enhanced environmental responsibility for a company. Sustainability initiatives often lead to innovation and product differentiation, enabling organizations to tap into new markets and meet evolving consumer expectations .
Product Lifecycle Sustainable Practices Evaluate the Environmental Impact at Each Phase
https://www.scilife.io/global-quality-outlook-2024/sustainability
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