Customers and shareholders increasingly expect manufacturers to be proactive on sustainability and social responsibility—and to be transparent about those results. PwC reports in their “ESG Reporting: Getting Started” report, published in January 2022, that the Securities and Exchange Commission (SEC) is trending toward increasing environmental, social, and governance (ESG) reporting.[1] In fact, in 2021, SEC Chair Gary Gensler stated, “When it comes to climate risk disclosures, investors are raising their hands and asking regulators for more…Companies and investors alike would benefit from clear rules of the road.”[2] To that end, the SEC is currently developing a climate impact disclosure rule.
Even without these external pressures, sustainability in manufacturing is a worthy goal in itself, especially considering that manufacturing accounts for 76.6 percent of total U.S. emissions.[3] However, only 17 percent of those emissions are