Electrification powers ESG drive

Sustainability is playing a more significant role in driving operational excellence strategies with electrification of processes and equipment seen as the most important trends, a ew report from leading independent research and advisory firm Verdantix shows.

Around 94% of companies interviewed said electrification of industrial processes and equipment was a ‘very significant’ or ‘significant’ trend shaping its operational excellence strategy for the year ahead.

Verdantix’s report Global Corporate Survey 2021: Operational Excellence Budgets, Priorities & Tech Preferences points out that the real benefit of switching to electrical equipment is that it needs less maintenance while also being marginally more energy efficient.

Verdantix’s research which interviewed 256 respondents – 95% of which were from firms with more than $1 billion of revenues – across 14 industries found replacing aging equipment was a ‘very significant’ or ‘significant’ trend for 89% of respondents.

Verdantix Research Director and report author Malavika Tohani, said: ““Sustainable operations emerged as a key trend in 2021, with the climate emergency dominating corporate and governmental dialogue alongside the pandemic, culminating in the UN COP26 conference on climate change in November 2021.”

Aging equipment is often subject to leaks and 88% of firms interviewed stated said leak detection for emission reduction as a ‘very significant’ or ‘significant’ trend for the year ahead with 84% saying the same about emissions data capture and reporting.

Firms interviewed also noted the importance of securing green electricity with 63% saying it will be a ‘very significant’ trend throughout 2022.

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