Leading enterprises are increasingly prioritizing sustainability as a core focus. The term "Product Carbon Footprint"(PCF) has become central to business strategies, with organizations actively pursuing innovative advancements to reduce their environmental impact and achieve long-term sustainability goals.
PCF teardown provides a comprehensive analysis of the carbon emissions associated with a product's entire lifecycle, from raw materials to end-of-life disposal. This analysis helps companies identify key emission sources and uncover opportunities for reductions, leading to more sustainable decision-making. Additionally, the PCF analysis can be approached through two methods: top-down and bottom-up. The top-down approach is quicker, but it often lacks precision, potentially missing key insights and opportunities for improvement. In contrast, the bottom-up approach to PCF teardown is a detailed method that collects data at the product or component level, offering a granular view of the emissions across the lifecycle. Using Lifecycle Analysis (LCA) tools, this approach captures critical data about energy consumption, materials, manufacturing processes and transportation. While it provides more accuracy than a top-down method, it requires substantial data from global supply chains and significant time to analyze, making it a challenge for companies with diverse product lines.
Leveraging software platforms, such as HCLTech's myPCM, can effectively address the challenges of scaling the bottom-up approach. These platforms integrate detailed data from the entire product value chain, enabling companies to run multiple ’what-if’ scenarios for emissions reductions and cost optimization. HCLTech's myPCM platform facilitates real-time collaboration, detailed emissions tracking and cost-emission optimization, allowing businesses to assess product footprints across various lifecycle stages and make informed decisions to enhance sustainability and profitability.
Case studies:
Case study I
Business challenge: A leading global industrial manufacturer of HVAC equipment was looking for support on eco-design to develop an environmentally friendly residential HVAC unit.
Solution: A detailed PCF was done for HVAC unit by adopting cradle-to-grave approach by considering ISO 14067 standards. Design aspects like form, fit and function was assessed along with cost Vs CO2 impact at sub-system levels.
Impact delivered: 16% less raw material, 36% less cycle time ,48% less power ,35% less CO2 emission
Case study II
Business challenge: For a global electrical OEM, detailed carbon impact for product and elimination of impact hotspots through product redesign without compromising product pricing.
Solution: The myPCM platform was leveraged to run detailed assessment of impact of raw material, manufacturing process, energy impact and logistics for all make parts.
Impact delivered: 55.1 kg CO2 reduction (22%) per product, 4410 Ton CO2 annual savings, 12% product cost savings per product
For enterprises looking to accelerate their sustainability initiatives, adopting a bottom-up approach, coupled with powerful software solutions, is essential. By choosing partners with proven expertise in sustainability and value engineering, companies can unlock both environmental and profitability benefits. Regularly monitoring key sustainability and profitability KPIs ensures that businesses stay aligned with their goals and continuously refine their processes to maintain a competitive edge in a dynamic marketplace.
Click here to learn more : https://eiirtrend.com/static/publication-blog/product-carbon-footprint-teardown-If-you-are-not-doing-bottom-up-you-are-leaving-value-on-the-table.html