· 5 min read
Sustainability and profit – is it possible?
While these two words are not often used in the same sentence, they are closely connected—oftentimes in ways businesses may never expect.
With proper waste management, businesses can create more sustainable processes, enjoy the environmental benefits of reducing food waste, and drive profitability all at the same time.
Keep reading to explore 5 innovative strategies that Upstate businesses can adopt to achieve their financial targets.
1. Prevent waste at the source
What better way to improve sustainability than to prevent waste before it even occurs?
This solution is often overlooked, though it may be the most beneficial of all. That said, there’s no one-size-fits-all solution, as every business has unique processes, challenges, and goals. By performing a food waste audit, companies can quantify and analyze the waste generated throughout their supply chain—a great first step towards waste reduction.
With this information, you can then identify areas for improvement in order to create more efficient processes while preventing waste. By reducing excess landfill use, you can address a range of environmental issues, such as climate change and resource depletion.
Even more, reducing waste means companies can use their resources more efficiently—this is where profitability comes into the picture. By optimizing processes, such as enhanced inventory management and improved storage conditions, businesses can reduce spoilage, put more items on the market, and increase profitability.
2. Implement recycling and composting programs
Companies that implement recycling and composting programs can divert food waste from landfills and contribute positively to the environment. By increasing landfill diversion, businesses help reduce greenhouse gas emissions, minimize pollution, and transform waste into valuable resources, such as nutrient-rich compost or renewable energy.
In addition, recycling programs are a cost-effective waste management solution. Why?
Because businesses that divert food from landfills can often reduce the frequency of trash pickup, meaning they can enjoy lower trash hauling expenses and reduced landfill fees. They can also turn this into an extra profit by selling high-quality compost on the market.
This brings us to our next point.
3. Turn waste into revenue streams
One man’s trash is another man’s... revenue stream?
Well, you get the point. Rather than thinking of waste as lost revenue, you can actually turn it into a profit. There are various strategies that you can use to accomplish this, such as composting, biogas production, turning food into animal feed, or selling byproducts to industries that can use them.
You can also turn surplus ingredients into new products to sell to customers. For example, let’s say you own a bakery. If you have excess dough after making a recipe, you can create a new product for customers rather than throwing it away.
These two strategies help you use resources more efficiently, turn inevitable food waste into something beneficial, and increase profitability.
4. Create partnerships that encourage sustainability
Don’t underestimate the power of partnerships.
Depending on your specific needs and goals, you could partner with a food donation organization, a large-scale composting program, or an organic waste management company. These partnerships can be beneficial in multiple ways, such as helping you turn your waste into new revenue streams, providing you with resources you wouldn’t have had otherwise, and helping you stay compliant with food waste laws (which, in turn, helps you avoid fines).
These partnerships can also give you great visibility among customers who value sustainability. By creating a positive brand image, you can attract new clients and gain a competitive edge in the market, therefore increasing long-term profitability and growth.
5. Leverage state support and incentives
Many businesses are unaware of the incentives available to encourage waste reduction. While every state is different, companies should explore what resources they can take advantage of.
For instance, South Carolina offers specific tax incentives to encourage food donations, particularly within the meat processing industry. Under S.C. Code Ann. § 12-6-3750, licensed meat packers, butchers, and processing plants are eligible for a tax credit of $75 per carcass when they donate deer to nonprofit organizations engaged in food distribution.
As sustainability efforts grow, we expect to see an increase in incentives and resources available. Since each state is unique, we recommend exploring what incentives exist in your area.
By taking advantage of tax incentives and using the resources provided to you, you can ensure your waste management plan is on the right track.
Final thoughts
As we’ve seen in this article, sustainability and profitability go hand in hand, with multiple routes available to help businesses achieve both.
While some strategies have a more direct path to profit, such as creating new revenue streams, others drive profitability by reducing landfill fees, improving efficiency, and using waste management to access tax incentives—all while helping lower greenhouse gas emissions, minimize pollution, optimize resource utilization, and create a healthier future.
As you start exploring waste management solutions, we encourage you to make valuable partnerships, use the free resources available to you, and always take advantage of the incentives offered in your state.
With increased collaboration throughout the supply chain, we can make a huge impact on the world and, as a bonus, help our businesses flourish.
illuminem Voices is a democratic space presenting the thoughts and opinions of leading Sustainability & Energy writers, their opinions do not necessarily represent those of illuminem.
