Zero defects, zero inventory, zero emissions

Over the next decade, industry will have to re-engineer manufacturing and convert itself into a zero-emissions production system. After the quest for zero defects and zero inventory, zero emissions will become a standard objective for production engineers. This process of eliminating all forms of waste is nothing more than a persistent drive to cut costs. It will also give rise to an industrial integration quite distinct from the vertical integration traditionally sought after by industrial groupings. Sectors which seem to have little in common will become closely linked. Industrial policy makers will have to plan for a new form of industrial cooperation when targeting new investments.

Today, zero emissions production is considered impossible, or at least too expensive to be feasible under market conditions. But, though industry twenty years ago did not accept that it had to manufacture with perfect quality, i.e., zero defects, today it is clear to all actors in the market that unless one produces perfect quality, one cannot compete. Quality was first considered an extra cost, then it became profitable through lowered servicing costs, and gradually perfect quality became a competitive tool. Today, perfect quality is considered a precondition to market entry. Similarly, today few believe that zero emissions is feasible, but in twenty years it will be the standard.

Companies that wish to maintain their position in the market, build up their competitive edge, and maintain a solid image with their stake holders (clients, shareholders, local community) have embarked on programs to reduce waste. The drive towards energy efficiency certainly was the first necessary step, but environmental problems, widely highlighted in the international media, have motivated companies to go beyond a mere look at energy efficiency, sewage, and air pollution.