Businesses Are Opening Again, But Can They Cut Costs And Save Money?


Way before the pandemic hit, businesses have been doing everything they can to scale down on company expenses as much as possible, especially when it comes to energy consumption. This strategy enables them to increase their profit without compromising too much on their productivity and output.

That was before. Now that we’re already more than a year into the pandemic, even the more prominent industrial and manufacturing companies are tightening their belts so they can continue to manufacture products, keep people employed, and still somehow do a little better than break even.

10 Ways Factories and Manufacturers Can Cut Their Costs

When it comes to cutting down on energy consumption, several things come to mind that bigger companies and manufacturers can implement. Here are some very practical tips that they can carry out to save money:

1. Be wise with how lights are used

Perhaps one of the simplest yet most effective ways of conserving energy is to turn off lights when they are not in use. Doing this already saves up a lot of money annually. One great solution for this is to automate your lighting system, which allows it to make the necessary adjustments based on what’s needed at a particular time of day in an area.

2. Replace your lights with LED lights

Since we’re already talking about lighting, we highly recommend that all non-LED bulbs be replaced with LED lights. LED bulbs only consume about a quarter of the energy used to light up incandescent and halogen bulbs. They also last five to ten times longer than the average bulb.

3. Turn off all machinery and equipment when not in use

Just like turning off lights when not in use can save lots of money, turning off all equipment and machinery also has a significant impact on a company’s bottom line. Be particularly wary of air compressors as they alone account for at least 10% of industrial power usage.

4. Regularly equipment cleaning and maintenance

factory equipment

This is pretty basic and should never be overlooked. When a piece of equipment is well-maintained, you are keeping it at the optimal operating shape and prolonging its life which gives you greater savings in the long run. If you use industrial gas heaters, you might need to check your flue arrangements and have its safety devices checked. From your air compressor to the IT system, proper equipment and machine maintenance will significantly lower its annual expenses.

5. Improve heating and air conditioning system

20 to 40% of a building’s energy goes to heating and cooling, according to Siemens. While regular maintenance can get you a long way, newer units are far more efficient compared to older models. If your unit is ten years old or more, consider replacing your heating and air conditioning system. The initial purchase might be a bit steep, but in terms of long-term savings, you are guaranteed a good return.

6. Make sure you have proper insulation installed in the entire facility

A properly insulated facility can stay warm during winter and cooler during summer, making it a comfortable place for workers to be more productive. Installing the right insulation on your roof and walls reduces the amount of energy consumption needed to maintain a comfortable room temperature.

7. Check your air conditioning lines regularly


We’ve already touched on equipment maintenance earlier. But maintenance on your air conditioning unit is crucial, especially its insulation. If your AC unit’s line is not insulated, then it is just absorbing the heat from its external surroundings, especially if it’s an outdoor unit. In effect, what this does is cooling the outside air instead of the building’s interior.

8. Open those windows

Natural lighting and ventilation are some of the things that should be at the forefront of any designer or building owner if they want to conserve as much energy as they can. Opening windows allows fresh cool air to come in. It also improves the air quality inside by displacing the damp and warm indoor air.

9. Optimize appliance performance with their energy-saving features

Almost all appliances nowadays have energy-efficient features, especially those with Energy Star labels on them. For instance, you can reduce a fridge’s temperature by a degree or two and keep your drinks cooler sans the environmental and business impact.

10. Always communicate this concern and keep it at the forefront in discussions

Lastly, for this to work, this concern should be constantly communicated from the top down. Employee behavior will not change with just mere once-a-month reminders. Everyone in the organization should understand that it will take a massive collaboration to pull this off. Communicate clearly how this will affect the company’s bottom line, which ultimately affects everyone’s livelihood. Once its importance has gotten across, most people will take ownership of it and do what they can to contribute to the greater cause.

Times are hard for many companies even if most countries are going back to normal. But we all need to do our share and preserve as much of our companies’ resources as possible. Doing this helps save money and preserves the environment by minimizing our carbon footprint.

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