ENVIRONMENTALLY FRIENDLY PRODUCTION STARTS AT THE DEVELOPMENT STAGE 

However, efforts to maximize resource efficiency are not limited to the actual production processes. They must be implemented throughout the entire supply chain. Efforts are made to minimize the use of new resources and increase the proportion of recycled materials wherever possible without compromising quality, even as early as the product and component development stage.

CO₂ EMISSIONS ARE NOT THE ONLY LIFETIME-RELEVANT ENVIRONMENTAL IMPACT

From an overall perspective, it is not enough to focus solely on CO₂ emissions. Numerous other harmful substances must also be taken into account, both during vehicle operation and during (component) production. It is not always helpful to just look at the individual vehicle, but to understand the big picture. The type of vehicle in question also plays an important role.

The focus is changing with the transformation of automotive technology. Naturally, resource consumption for battery production is becoming increasingly important for electrified drives. Materials such as rare earths are increasingly being used with the rise of more and more electronics and the extraction of raw materials is of great importance for sustainable manufacturing. It is simply impossible to calculate all these factors down to the individual vehicle. 

SCOPE 1, SCOPE 2, SCOPE 3 – DIRECT AND INDIRECT EMISSIONS IN AUTOMOTIVE PRODUCTION

A distinction is made between three types of emission sources along the value chain. The allocation of emissions to these three scopes is usually based on the Greenhouse Gas Protocol (GHG). This protocol defines standards for measuring and managing greenhouse gas emissions.

The direct emissions – Scope 1 – are the emissions caused directly by the processes in production, i.e. those caused within the plant. Indirect emissions from energy generated outside the plant, such as electricity, steam, heating and cooling – Scope 2 – include the infrastructure energy consumed. These are things like the forms of energy used for heating, ventilation or air conditioning and lighting.

The scope of emissions in the Scope 3 category - other indirect emissions - is very broad. It includes emissions caused by the manufacture of purchased goods and services, the transportation and use of manufactured products, and the handling and disposal of waste. For example, emissions caused by business travel fall into this category.

Sustainable manufacturing can certainly contribute to further reduction here as well, through the choice of purchased energy sources, for example. If green electricity is purchased, it naturally causes fewer emissions than electricity from coal-fired power plants. If business trips are cut back or carried out using more environmentally friendly means of transportation, these emissions can also be significantly decreased. Cooperation between all departments is crucial to reducing the company's overall CO₂ footprint.

HOW SUSTAINABLE MANUFACTURING CAN INFLUENCE THE OVERALL EMISSIONS BALANCE 

At the same time, the influence of actual manufacturing on the overall emissions balance is relatively small. Over 90 percent of the emissions burden from production at Magna comes from the purchase of goods and services and the operation of products, i.e. from the Scope 3 area. Manufacturing itself only accounts for 4 to 4.5% of emissions.

Nevertheless, these emissions should not be neglected. One way to reduce them is to make commuting as environmentally friendly as possible. How do employees get to and from work? Several measures have already been implemented at the Graz site, from an annual ticket for public transport to job bicycles and bicycle parking facilities at the most frequently used entrances to the site.

Energy savings regarding idle power or standby outside of production times should not be overlooked either. Every kilowatt hour that can be saved in unnecessary energy consumption is a gain for the environment and the economy. The potential for further emission savings is quite small, even in green automobile production. At best, it is a matter of decimal places – but here, too, every opportunity should be exploited.

MAJOR SAVINGS POTENTIAL IN THE SUPPLY CHAIN AND PRODUCT DEVELOPMENT

As mentioned, there is significant potential in the supply chains. At Magna, cross-group expert teams have been set up to explore all possibilities and implement them as quickly as possible. Of course, sustainable supply logistics is also an important factor here. And every further product development that results in reduced emissions during vehicle operation is a step towards reducing the company's overall footprint. Here too, a group of Magna experts is fiercely driving forward product development with the aim of establishing a genuine circular economy in the long term.

CHALLENGES AND OBSTACLES IN THE IMPLEMENTATION OF SUSTAINABLE MANUFACTURING

Of course, a company cannot always realize all conceivable possibilities immediately. In many cases, the necessary investment costs are a barrier. This is because the introduction of environmentally friendly technologies is expensive, mainly because demand is currently high, which is driving up prices even further.

In many cases, switching to more environmentally friendly processes leads to a complex avalanche of additional measures and testing. If you change operating material, everything from storage to disposal must be checked for possible interactions.

There are also simply technological limits in other areas. Often a theoretically possible technology is not yet available or not yet industrialized. Ultimately, employees are also crucial to the successful implementation of sustainable manufacturing and processes. If there is resistance to change, this can have a negative impact on the outcome. Employee training and motivation programs to raise awareness are therefore essential.

Last but not least, legal and normative regulations can also be an obstacle to the implementation of new, more environmentally friendly methods and processes. Of course, there are new regulations that help and others that tend to hinder. An old regulation that is still in effect may prevent the implementation of innovations that are actually desirable.

For example: Why is a truck only allowed to tow one trailer and not two or three over defined distances, as long as the weight limits are adhered to avoid damaging the roads? Unfortunately, despite repeated requests, there is no leeway with the legislation.

ADVANTAGES OF GREEN AUTOMOTIVE PRODUCTION AT THE CONTRACT MANUFACTURER FOR OEMS

As a contract manufacturer, a company like Magna does not act in isolation, but always in the interests of its customers, i.e. the vehicle manufacturers. These manufacturers also benefit directly from sustainable production. By creating sustainable manufacturing processes, customers can achieve their corporate goals in terms of environmental compatibility and social responsibility.

Efforts to improve energy management and reduce energy intensity are directly reflected in lower production costs. A decrease of these costs is also in the interest of the vehicle manufacturer. In addition, it can boost the manufacturer's image if production is carried out exclusively with green electricity. Some vehicle manufacturers explicitly demand this, knowing that it will improve the overall image of their end products.

REDUCING THE CO₂ BURDEN ALSO IN THE INTERESTS OF THE END CUSTOMER

When assessing vehicle-related emissions, it is fortunately becoming more acceptable to consider the direct emissions during operation, as well as those over the entire life cycle of the vehicle. In fact, every product, including every car, comes with a CO₂ burden even before it is used for the first time. If it is transparent how much energy and how many emissions are contained in the end product, the consumer can also decide which CO₂ burden to choose. In this respect, resource-conserving and low-emission production is also a competitive advantage for the OEM.

FUTURE TRENDS IN VEHICLE PRODUCTION IN THE INTEREST OF GREATER SUSTAINABILITY

Efforts to decarbonize mobility and therefore decarbonize vehicle production will undoubtedly continue. Even if this goal cannot be achieved in full in the next few years, it will remain on the agenda in the long term. Other trends that are emerging are efforts to extend product lifetimes, including improving reparability. This aspect can and will have a significant impact on automotive manufacturing.

This change is also continuing with materials. The trend towards aluminum to reduce the weight of finished vehicles is already underway. As a result, the number of new joining techniques in addition to traditional welding will also increase.

And of course, the digitalization of production through Industry 4.0 will continue to advance and bring about change. This can also improve sustainable manufacturing by saving material and energy through digital process optimization.