The Buzz 1: “Historically, the automotive industry has not focused on sustainable practices. Traditional assembly-line manufacturing uses huge amounts of energy, metals, plastics, toxins, and manpower, leaving behind a massive carbon footprint.… most vehicles require fossil fuels to operate, which release harmful emissions.… Attitudes toward sustainability are maturing…big and small players in the automotive industry are increasingly feeling the pressure to rethink the way they operate.” [www.forbes.com/sites/sap/2021/12/01/how-the-automotive-industry-is-driving-toward-a-sustainable-future/?sh=41c08b7f8f1b]
The Buzz 2: A November 2021 greenpeace.org report estimated that the 86 million cars sold in just 2018 accounted for 9% of global greenhouse gas emissions. [www.greenpeace.org/static/planet4-eastasia-stateless/2021/11/47de8bb4-gpea_auto_environmental_guide_2021.pdf]
Sustainability, and delivering on the potential of sustainable mobility, are quickly rising to the top of strategic priority lists across the automotive sector. Accomplishing this objective demands end-to-end, long-term thinking and innovation to ensure sustainability is embedded into every activity, process, and outcome.
Sustainability is evolving from being seen as a challenge to an opportunity for automakers and their extended value chains. Technology and data, the enablers of this change, have matured to a point where automotive OEMs are held back only by the level of their ambition.
Leaders with the strategy and commitment to succeed will not just elevate their brand in the minds of customers, investors, and regulators – they will also achieve significant cost and productivity benefits.
We'll ask Daniel Garschagen at Capgemini and Moncombu Raju at SAP for their take on On the Road to Sustainable Mobility in the Automotive Industry.