Abstract
A large share of the energy efficiency improvement measures available for industrial companies remains unadopted due to the existence of various barriers to energy efficiency. One of the main means of overcoming barriers to energy efficiency is via energy management operations. The major parts of the published scientific papers have covered energy management on a company level or on a sector level. However, so far, the literature is scarce regarding empirical studies on energy management on a corporate level. With the aim of filling the research gap, the aim of this paper is to empirically assess the performance of an in-house energy management program adoption from the year of initiation and four years ahead in the multinational company Volvo CE. The paper was conducted as a case study including a participative approach, which has not previously been done in energy management research. This paper adds value, through complementing the existing literature on energy management on a factory or sector level, by highlighting the importance of leadership, speed of execution, and cultural transformation on a corporate level.
Highlights
For the individual industrial company, it is of vital importance to remain cost-effective in all areas of the value chain in order to remain competitive
Companies that are not as energy-intensive may have much larger energy improvement potentials left to deploy as energy efficiency historically has not been prioritized in non-energy-intensive companies [1,2]
To deploy the full energy efficiency potential in a corporate group, the elements for success regarding in-house energy management program adoption have to be considered at all organizational levels of the company, as seen in the before and after scenarios
Summary
For the individual industrial company, it is of vital importance to remain cost-effective in all areas of the value chain in order to remain competitive. To manage energy improvement in a large corporation is a challenging task, for example, the locally distributed production units carry their own hidden costs of energy use. Another challenge is that the production units in a global network could have different cultures and management traditions in which the energy management program shall be integrated. To reach a sustained effort over time and deploy the potential energy-saving measures present, the global management has to efficiently integrate the energy management program and follow up energy improvements locally. Improved industrial energy efficiency remains a cornerstone in mitigating climate change, and it is of importance to understand how to manage these programs for non-energy intensive companies as well
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