Driving Business Cases and Process Optimization is a complex question. How do we change a process, keeping the advantages and getting rid of the disadvantages? Or in the process of controlling how to change the Bio-mas from high carbon emission to low carbon emission while keeping the throughput of the process?
Optimize Carbon Footprint and Sustainability Performance Indicators with SAP Dairy Management and SAP Profitability and Performance Management
The biggest source of carbon in the dairy industry is in the raw milk itself. Given this fact, we need to know how much milk comes from which farm and how it’s transported. It sounds simple, but there is more to consider.
The journey of raw milk from farm to table seems straightforward: Milk is collected, quality-checked, separated, and processed. But within this seemingly simple journey lies a complex web of factors that contribute to carbon emissions.
Picture this: With trucks crisscrossing the countryside, collecting millions of liters of raw milk, each journey adds to the dairy industry's carbon footprint. At the processing plant, the milk undergoes various transformations, each step demanding energy and resources. From pasteurization to packaging, every action leaves its mark on the environment.
Transparency is key to accurately measure and manage the emissions from those actions. SAP Dairy Management allows dairy companies to capture data related to environmental indicators from different stages of the dairy production process. This data can include information on water usage from farm operations, energy consumption during processing, emissions from transportation, and waste generated throughout the supply chain.
Through the creation of multilevel bills of materials, SAP Dairy Management allows for a granular understanding of each product's environmental impact. By connecting sub-components to final products, manufacturers can pinpoint areas of inefficiency and implement targeted solutions.
However, data collection is just the first step. To truly harness the power of this information, msg global’s tool, SAP Profitability and Performance Management (SAP PaPM), is essential. By transforming raw data into actionable insights, SAP PaPM enables companies to calculate their carbon footprints with precision.
With emission factors imported and models created, SAP PaPM allocates emissions to each product, providing a clear picture of its environmental impact. Armed with this knowledge, companies can identify opportunities for improvement, whether through operational efficiencies or product innovation.
Combining SAP Dairy Management and SAP Profitability and Performance Management, the dairy sector can lead the charge towards a more eco-friendly and sustainable tomorrow.
Sustainability reporting in the dairy industry is not just about measuring carbon emissions; it's about understanding the intricate web of factors that contribute to them. Through transparency, data integration, and advanced analytics, companies can quantify their environmental impacts and drive meaningful change toward a more sustainable future.
