Energy Efficient Manufacturing

Chapter 15Business Models and Organizational Strategies

Omar Romero-Hernandez^1,2,*, David Hirsch², Sergio Romero³ and Sara Beckman²

¹Hult International Business School

²University of California, Berkeley

³Instituto Tecnológico Autónomo de México

*Corresponding author: [e-mail]

Abstract

Industrial energy is the largest segment of consumption in the United States, accounting for ~33% of the total energy use in the country. Production output keeps rising in order to match an increasing demand from consumers. Companies are constantly searching for ways to increase productivity and save costs. Energy efficient projects are a response to this challenge. This chapter provides an introduction of energy efficiency in the manufacturing sector. Drivers and barriers for the adoption of projects are presented and serve as a reference for a project selection framework proposed by the authors. The breadth of potential projects is reduced to four major energy efficiency opportunities ranging from lighting, efficient HVAC systems, improved motor systems, and building envelope projects. A final section provides context on the stakeholders involved for this projects and relevant business models. Most of these models have been proved successful and are used as reference criteria for the adoption of energy efficiency projects. In the long run, energy efficiency initiatives can only suceed when adopted by operations executives and integrated into a company’s culture.

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