4 Ways the Digital Transformation Can Drive Sustainability

Traditionally, the digital transformation has meant the adoption of digital technology by an organization with the goals of improving efficiency, value, or innovation. But increasingly, the digital transformation is being utilized by companies to increase sustainability. Case in point: A report by ABB found that 72% of respondents to its recent survey cite sustainability as the reason they are increasing their spending on digital technology, and 96% of decision-makers say digitalization is “essential to sustainability.”

So, how, exactly can digitization drive sustainability? In this article, we explore four ways. But before we dive in, here’s a mini glossary of terms that are relevant to the digital transformation. We’ll be mentioning these terms throughout the article, so you can refer to the glossary as needed!

Common Digital Transformation Terms

• IoT – The Internet of Things. It is a system of interconnected computing devices, mechanical and digital machines, objects, animals, or people that are provided with unique identifiers (UIDs) and the ability to transfer data over a network without requiring human-to-human or human-to-computer interaction. (Source: TechTarget)
• AI – Artificial intelligence. This is the ability of a computer or computer-controlled robot to complete tasks that are usually done by humans since they require human intelligence and discernment.
• Smart buildings – These are facilities that leverage connected technology, devices, data analytics and automation to monitor, evaluate processes and conditions and mitigate energy waste.
• IoT sensors – IoT sensors make up an IoT system. They “talk” to the cloud, and once the data reaches the cloud, software processes it and then might decide to perform an action, such as sending an alert or automatically adjusting the sensors/devices without the need for the user. (Source: Leverage)
• Telematics – Telematics applications include tracking of vehicles, trailers, and containers, fleet management, satellite navigation, emergency warning systems, car-sharing, and other intelligent vehicle technologies. (Source: Fusebill)

How The Digital Transformation is Driving Sustainability

#1: Sensor data can reduce carbon emissions

IoT sensors can be used to detect and respond to changes in an environment. In a manufacturing setting, they can be utilized to identify and correct inefficiencies both in the factory and across the larger supply chain, thereby reducing energy use and the amount of greenhouse gas emissions. (Schneider Electric was utilizing IoT sensors for this purpose way back in 2018.)

#2: AI and smart buildings can help companies make better products more efficiently

Faulty, flimsy products lead to greater waste as they are thrown away more frequently. Emerging technologies like AI and smart building solutions can improve production lines to make more solid products, thus reducing waste. They can also improve the efficiency of the production process, meaning less energy is used and waste byproducts are produced.

#3: Smart sensors can improve sustainability in agriculture

Agriculture is traditionally an emissions heavy industry. Smart IoT sensors can be used to improve the monitoring of crops, soil, fertilizer, feed, and water, thus fostering the efficient use of resources and helping to reduce waste.

#4: Enhanced telematics can reduce transportation emissions

Transport is another major source of greenhouse gas emissions. Enhanced telematics could save millions of tons of CO2 by allowing drivers to shorten their routes and cut idle time via intelligent route planning.

How Can Your Organization Participate in the Digital Transformation?

Besides directly integrating complicated technology like IoT, AI, and telematics into your company’s operations, our number one recommendation  is to modernize your company’s IT architecture and environment. This can be done by simplifying your business processes, then shifting from outdated systems to a new IT landscape, e.g., getting out of spreadsheets and using software to meet your reporting needs and capabilities.

When it comes to software, WatchWire provides a cloud-based energy and sustainability management platform that utilizes AI to enable your organization to achieve their reporting and sustainability goals. WatchWire’s offers these features and more:

• Energy and sustainability management
• Emissions tracking, including Scope 1, 2, and 3 emissions
• Analysis of your company’s global warming potential
• Measurement and verification of your efficiency projects (e.g., implementing AI or IoT)

To learn more about WatchWire, visit our website and blog or request a demo.

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