Flevy Management Insights Q&A
How are digital twins being used to enhance sustainability in manufacturing?


This article provides a detailed response to: How are digital twins being used to enhance sustainability in manufacturing? For a comprehensive understanding of Sustainability, we also include relevant case studies for further reading and links to Sustainability best practice resources.

TLDR Digital twins are revolutionizing sustainability in manufacturing by optimizing Energy Consumption, enhancing Resource Optimization, and reducing Waste and Emissions, leading to more sustainable practices and operational efficiency.

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Before we begin, let's review some important management concepts, as they related to this question.

What does Digital Twins mean?
What does Energy Efficiency mean?
What does Resource Optimization mean?
What does Waste Reduction mean?


Digital twins are revolutionizing the manufacturing sector by offering an innovative approach to achieving sustainability goals. These virtual replicas of physical systems allow organizations to simulate, predict, and control the real-world environment in a risk-free and cost-effective manner. The application of digital twins in enhancing sustainability in manufacturing spans across various dimensions including energy consumption, resource optimization, and waste reduction. By leveraging real-time data and advanced analytics, manufacturers can make informed decisions that lead to more sustainable practices.

Optimizing Energy Consumption

One of the primary ways digital twins contribute to sustainability is through the optimization of energy consumption. In manufacturing, energy efficiency is directly linked to operational costs and environmental impact. Digital twins enable organizations to create detailed simulations of their manufacturing processes and identify inefficiencies that lead to excessive energy use. By analyzing these simulations, manufacturers can implement changes that reduce energy consumption without compromising output quality. For instance, digital twins can help in designing more efficient layouts of machinery to minimize energy loss or in fine-tuning equipment settings for optimal performance.

Real-world examples of this application include major automotive manufacturers that have employed digital twins to simulate assembly lines and optimize the energy use of robots and machinery. These simulations have led to significant reductions in energy consumption, contributing both to cost savings and a lower carbon footprint. Moreover, the predictive capabilities of digital twins allow for the anticipation of future inefficiencies, enabling proactive measures that further enhance energy sustainability.

According to a report by Accenture, digital twins can reduce energy consumption by up to 20% in manufacturing operations. This significant figure underscores the potential of digital twins to not only improve sustainability but also bolster the bottom line by reducing operational costs associated with energy use.

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Enhancing Resource Optimization

Another critical aspect of sustainability in manufacturing is resource optimization, which involves using materials and resources in the most efficient way possible. Digital twins play a crucial role in achieving this by providing a platform for testing and validating different scenarios and configurations without the need to expend physical resources. This approach not only saves materials but also reduces the waste generated during the production process. For example, digital twins can simulate the outcomes of using alternative materials that are more sustainable or more readily available, thereby reducing the reliance on scarce resources.

Organizations can also leverage digital twins to improve the lifecycle management of their products. By simulating the entire lifecycle, from production through to disposal, manufacturers can identify opportunities to extend product life, enhance recyclability, or reduce environmental impact. This holistic view of the product lifecycle is invaluable in transitioning towards circular economy models, where the goal is to minimize waste and make the most of existing resources.

Case studies from the aerospace industry illustrate the impact of digital twins on resource optimization. Companies like Airbus have utilized digital twins to test aircraft designs and materials, leading to lighter aircraft that consume less fuel and produce fewer emissions. These advancements not only contribute to sustainability but also offer competitive advantages in an industry where fuel efficiency is a key factor.

Reducing Waste and Emissions

Reducing waste and emissions is a direct route to achieving sustainability in manufacturing. Digital twins aid in this endeavor by enabling precise control over production processes, thus minimizing the generation of waste and the emission of pollutants. Through the detailed simulation of manufacturing operations, digital twins can identify where waste and emissions are most likely to occur and suggest alterations to mitigate these issues. This might involve adjusting the timing of processes, changing the sequence of operations, or implementing more efficient technologies.

Furthermore, digital twins facilitate the implementation of advanced manufacturing techniques such as additive manufacturing (3D printing), which inherently produces less waste than traditional subtractive methods. By simulating the additive manufacturing process, organizations can optimize designs for material efficiency and reduce the overall environmental impact of their production activities.

An example of this application can be seen in the energy sector, where companies are using digital twins to enhance the efficiency of renewable energy installations. For instance, wind farm operators use digital twins to simulate and optimize the placement of turbines, maximizing energy production while minimizing the land use and environmental disturbance. This not only increases the sustainability of the operations but also improves the economic viability of renewable energy projects.

Digital twins represent a powerful tool for manufacturers seeking to enhance their sustainability. By optimizing energy consumption, enhancing resource optimization, and reducing waste and emissions, digital twins offer a path towards more sustainable manufacturing practices. As technology continues to evolve, the potential for digital twins to contribute to sustainability efforts in manufacturing is likely to grow, offering new opportunities for organizations to reduce their environmental footprint while improving operational efficiency and competitiveness.

Best Practices in Sustainability

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Sustainability Case Studies

For a practical understanding of Sustainability, take a look at these case studies.

Sustainable Operations Enhancement in Power & Utilities

Scenario: The organization operates within the Power & Utilities sector and is facing challenges in aligning its operational practices with the increasing demand for Corporate Sustainability.

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Sustainable Strategy Initiative for Luxury Fashion Retailer

Scenario: A firm specializing in luxury fashion retail is facing challenges in aligning its business operations with the principles of Corporate Sustainability.

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Carbon Footprint Reduction in Power & Utilities

Scenario: The organization is a mid-sized power generation company in the renewable sector, facing substantial pressure to further reduce its carbon footprint amidst tightening environmental regulations and increasing market competition.

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Sustainable Growth Strategy for Agritech Firm in North America

Scenario: An agritech firm operating in North America is grappling with integrating sustainable practices into their rapidly scaling operations.

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Low-Carbon Transition Strategy for Mid-Sized Agricultural Firm

Scenario: A mid-sized agricultural firm in the Midwest is facing pressure to align its operations with emerging sustainability standards and reduce its carbon footprint.

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Sustainability Optimization for a Global Food Production Company

Scenario: A global food production company, striving to become a leader in the industry, is facing challenges in integrating Sustainability into their core operations.

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Related Questions

Here are our additional questions you may be interested in.

What are the key challenges in aligning corporate sustainability goals with global supply chain operations?
Aligning corporate sustainability goals with global supply chains involves tackling complexity, regulatory divergence, and supplier engagement through Strategic Planning, Innovation, and Collaboration. [Read full explanation]
How is the rise of green finance influencing corporate sustainability strategies?
The rise of green finance is reshaping corporate sustainability strategies by emphasizing ESG integration, driving innovation in sustainable technologies, and pushing companies to align operations with sustainability goals for competitive advantage. [Read full explanation]
How can organizations navigate the regulatory landscape regarding sustainability reporting and compliance?
Organizations can navigate the sustainability reporting and compliance landscape through Strategic Planning, understanding regulatory environments, integrating sustainability into corporate strategy, and leveraging technology and data analytics for effective reporting and competitive advantage. [Read full explanation]
In what ways can sustainability efforts help in attracting and retaining top talent?
Sustainability Efforts Boost Talent Attraction and Retention by Aligning with Workforce Values, Enhancing Employer Brand, and Fostering Employee Engagement and Corporate Responsibility. [Read full explanation]
How are HSE (Health, Safety, and Environment) practices being integrated into sustainable business models?
Integrating HSE into sustainable business models is crucial for Operational Excellence, improved profitability, and corporate reputation, requiring Leadership commitment, advanced technologies, and a culture valuing HSE excellence. [Read full explanation]
What role does blockchain technology play in enhancing transparency in sustainability practices?
Blockchain technology enhances Supply Chain Transparency, facilitates Carbon Footprint Tracking and Trading, and improves Stakeholder Engagement and Reporting, supporting organizations in achieving Sustainability Goals. [Read full explanation]

Source: Executive Q&A: Sustainability Questions, Flevy Management Insights, 2024


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