Summary of what this article covers
- This article explains what lifecycle thinking is and how it can help manufacturers make better business decisions by considering the environmental impact at every stage of the product lifecycle.
- Now that more buyers – from consumers to business customers – are becoming aware of their environmental footprint, manufacturing businesses are no longer able to make generic environmental claims without having the evidence needed to back them up.
- The consequences of not using lifecycle thinking are discussed, walking through four potential problems that could arise if a business cuts corners.
- The different ways that the product lifecycle can be used to inform better business decisions are explained. This aims to give manufacturers guidance on how to use lifecycle thinking to benefit them throughout the creation process.
What’s driving the shift toward lifecycle thinking
More and more buyers, both business and consumers, are now doing what they can to reduce their environmental impact and are on the hunt for products that can help them minimise their footprint.
For many manufacturers, that pressure arrives twice over. Once from the end consumer choosing a product, and the other from the business customer who now writes environmental data requirements into the tender.
Because of this, businesses are realising that every decision they make throughout the manufacturing process makes a difference, changing the way they have to approach the product creation process.
This is where lifecycle thinking comes into play. It’s a phrase that is becoming more common within the manufacturing industry, but how can it actually help businesses make better decisions?
What is lifecycle thinking?
Lifecycle thinking is an approach that sees a business evaluate the full impact that the manufacturing of a product has on the environment.
From the initial extraction of raw materials all the way to the end of the product lifecycle, there are many considerations to take into account to get a reliable idea of how much environmental impact is actually involved when looking below the surface. This will also include energy usage, transport, product use, and disposal.
Using lifecycle thinking helps manufacturers realise what consequences their choices have and where improvements can be made to minimise the overall footprint.
Many manufacturers choose to use lifecycle assessment software to guide them through the process as this can help them analyse different areas of the product lifecycle, even if it’s something they haven’t tried before.
This approach is much more comprehensive than just focusing on the production stage as it encourages the manufacturer to take a step back and look at the wider picture. This is more likely to prompt action since it identifies any areas of concern that can be addressed early on.
How lifecycle thinking can inform business decisions
One part of a product lifecycle has a knock-on effect on the rest of the lifecycle, however small it may seem. This is why every decision carries a lot of weight.
Without lifecycle thinking, manufacturers are not able to make informed decisions and are more likely to encounter the following problems.
- Not complying with regulatory requirements. Manufacturers are expected to provide sufficient information on the environmental impact of a product, but with environmental regulations continuing to become more thorough, many businesses are unprepared for the level of substantiation required. This can result in legal penalisation if evidence is not provided to back up the claims that are made.
- Larger environmental footprint. If a manufacturer believes they have created an environmentally friendly product but have not undergone a product lifecycle analysis, it is likely that the environmental impact is higher than initially thought due to emissions across various points in the product’s lifespan.
- Increased costs later down the line. Once a product has been launched, if an unknown environmental issue comes to light, it is going to require a lot of time, money, and work to resolve it. If materials need to be changed, suppliers need to be switched, or packaging needs to be reprinted, this can quickly become expensive and disruptive.
- Not meeting customer expectations. Many buyers are becoming much more aware of their environmental footprint and are actively trying to make more eco-friendly and lower-impact decisions. If it turns out that a product is not as environmentally friendly as expected and the manufacturer cannot back up their claims, it is going to have a serious impact on their brand reputation.
Being aware of these potential problems and doing what is needed to avoid them from becoming a reality will help a business make sure its product launch goes as smoothly as possible. This is where lifecycle thinking is so important.
Lifecycle thinking gives manufacturers a full understanding of their product’s environmental impact. Having all of the facts and figures on hand means that any decision made is done so armed with the knowledge needed to keep the footprint as small as possible.
Once this information has been gathered, it can be used by all of the different teams across the business, allowing different options to be thoroughly explored before agreeing on the final approach. Having a clear project workflow in place at this stage will ensure that the decisions are kept on top of and that processes stay organised.
The bottom line is that lifecycle thinking turns gut-feeling decisions into data-driven decisions. Having evidence available means that the environmental impact of each part of the process can be weighed up against time, cost, and supplier availability to ensure that the best possible choices are being made.
Practical examples: Using the product lifecycle to inform decision-making
Launching a new product is a big project, and to make the end result as successful as possible, informed decisions need to be made throughout the process.
Let’s discuss some of the key ways that lifecycle thinking can be used to improve decision-making and identify potential issues before they have the chance to snowball into larger problems.
Build a prototype
Before committing to production, creating a fully functional prototype is a highly recommended strategy that allows the manufacturer to thoroughly test the end product and its functionality.
Having a real version to visualise will make it easier to identify any improvements that need to be made before launching it to the public.
The prototype can also be shown to the target audience to test whether they are interested in the product, whether they have the information they need to use it, and whether they have any suggestions for improvements.
Test various materials
The different materials selected for use in the manufacturing process have a big impact on a product’s overall environmental footprint.
This is why lifecycle thinking can help combine all of the different elements. Being able to accurately determine how much a material is contributing to the overall footprint allows other options to be tried and tested if needed.
Trying out different materials and weighing up the results against the environmental impact, cost, and durability allows a more well-rounded decision to be made.
Undergo customer research
At the end of the day, the customer is the most important part of the entire manufacturing process. If they do not buy into the new product once it has been launched, not only will it be a missed opportunity, but also a huge loss of money.
Involving potential customers in the development process will offer manufacturers invaluable insights that they can use to inform their decision-making.
This is especially important when it comes to environmental claims. Since the people buying your product – whether OEMs, other business customers or eco-friendly consumers are the ones who will be asking for this information or are on the hunt for sustainable product solutions, getting their opinion during lifecycle thinking will help better align the product with customer expectations.
Create an EPD
An environmental product declaration (EPD) is an official (often a third-party-verified) document that discloses information about a product’s impact on the environment.
The information in an EPD is typically based on the knowledge gained through the product lifecycle analysis (LCA), being compiled in a standardised format that follows category-specific rules (ISO 14025, and EN 15804 for construction products) and is quick to interpret from those within the industry.
Once an EPD is in place, it makes decision-making much more efficient since everyone involved in the process can access all of the relevant information regarding environmental impact and use it to inform the next steps.
Consider supplier options
The suppliers chosen to be used across all stages of a product lifecycle play a huge part in the environmental impact. From transport emissions to the manufacturing processes they use, every aspect contributes.
Manufacturers should carefully consider the options available to them and speak with different providers to get a full understanding of their sustainability practices when making decisions on which supplier to use.
Once a contract has been signed and production has started, switching to a new supplier can be complex. This is why investing time into the initial decision-making process can have such a big impact on the end result.
Making smarter business decisions with lifecycle thinking
By considering the environmental impact at every single stage of a product lifecycle, a manufacturer is able to provide customers and stakeholders with the transparency they need to be able to make informed decisions.
Environmentally friendly products are only increasing in demand, and with legislation around environmental claims being more strictly regulated, businesses are having to make sure that they are making the right decisions.
Lifecycle thinking is quickly becoming a necessity for manufacturers, helping them reduce their environmental footprint and give customers the products they’ve been looking for.
See what lifecycle thinking looks like on your own products – book a demo of Ecochain.
