A Green Factory as an Investment in the Future

Interview with Andreas Müller, Managing Director of Alois Müller GmbH, a manufacturer of energy and building technology as well as industrial plant engineering

Today’s factories are undergoing a transformation. But where are these transformation processes headed? Tobias Herwig, Business Unit Manager for Factory Design at io, sheds light on the matter: In his podcast “Factory of the Future,” he explores innovative concepts, smart technologies, and bold ideas that will shape the production conditions of tomorrow. Since February 2021, he has been hosting weekly conversations with plant managers, factory planners, production managers, and other fascinating personalities. He discusses with them their visions for the future, best practices, and the courage needed to navigate the industrial revolution. 

In // plus, you can read the transcript of the podcast—this time featuring Episode #55. It’s part of the “Green Factory” series, in which Carina Mieth serves as co-host. His guest is Andreas Müller, managing director of Alois Müller GmbH. In the conversation, he discusses sustainability as a business model, the importance of energy management systems, and sensible neighborhood planning in industrial parks.

For nearly 50 years, your company has stood for forward-thinking and sustainable practices. As a long-established family business, you think in terms of generations, not quarters. What sustainability goals have you set for your company?

Of course, we want to strive for carbon neutrality. And not just in production, but also throughout the entire supply chain, in our services, and in mobility—all the way until our products reach the customer.

Why is the issue of sustainability so important to you personally?

For one thing, we owe this responsibility to future generations. And secondly, sustainability is an important business model today. If you don’t embrace key trends, you’ll be out of the market faster than you think. We want to be successful—and, of course, serve our customers professionally and to the best of our ability. That’s only possible with sufficient business acumen.

Is there also a personal motivation for you?

I have three young children. There are key moments when I think about the prospects for young people. I believe that we don’t necessarily lose out on prosperity when we focus on sustainable energy. We just have to consistently implement the technologies. Then, under certain circumstances, they may not only make ecological sense but also economic sense.

Do your goals extend beyond carbon neutrality? Have you set efficiency targets for the coming years? 

Sustainability is a very broad topic. How do we treat people? How do we use resources wisely? What will the new work environments look like? Nutrition is also an issue. What do I offer my employees? Do we need to change certain lifestyles? First, we need to consume less energy by investing in efficient machinery and processes and becoming more flexible. Then we need to use the available energy as efficiently as possible. This requires intelligent systems, software solutions, and AI.

What strategies do you employ in production to achieve these sustainability goals? 

Solar and wind power are more readily available at certain times of the day than at others. To use them effectively, we need to shift energy flexibly and create networks. Standalone solutions don’t make sense here. We have a heating network, a cooling water network, and a media network through which we collect data. We always know in real time what energy our major consumers need. With the help of weather forecasts, we can then coordinate our efforts. 

Energy supply is also an issue. How are you positioned in that regard? 

Today, we think in terms of neighborhoods. In industrial parks, it makes sense for several medium-sized companies to form alliances rather than each one thinking solely of itself. For example, our neighboring company uses the waste heat from our combined heat and power process, and we share the large cooling water system. To maximize efficiency, we can also heat the halls or cool the machines and ventilation systems at staggered times.

What added value do you see in sustainability for your company?

We’re growing steadily every year and, I believe, are also attracting the better clients who can afford to prioritize sustainability. Plus, we’re able to attract young, talented employees because we rely on sustainable technology. It’s easier to make money with a sustainable business model.

How did you get started in the area of carbon neutrality? What have you learned along the way? And what would you recommend?

I’ve been working with renewable energy systems for 25 years. We can no longer afford to install energy systems that don’t meet the world’s needs. In my experience, you have to bring people along and educate them, rather than overwhelming them with the topic of energy.

How important is data collection when entering the field of sustainability?

Data collection is one of the most important aspects—both during ongoing operations and even in the preliminary planning phase. That’s why we use dashboards, so we can constantly monitor how the hybrid systems are performing and know when to intervene.

 

What consumes the most energy at your facility? And what is the main driver of energy consumption in your production process?

We primarily rely on solar power. Accordingly, we view roof surfaces as energy-generating areas. We also use biomass as an additional energy source for heat. When no solar power is available from the roof, we use green gas via combined heat and power (CHP). We generate compressed air using green electricity. And we operate our osmosis water treatment systems. We have a large 150 kWh electric storage unit as well as a heating and cooling storage system. The main energy consumer is our building services system, which should not be underestimated: it often accounts for 30 to 40 percent of total energy consumption. And then we have major energy consumers like paint booths. We cool the large laser with geothermal groundwater. Added to that are the exhaust systems from the welding operations and the lighting for the total of 15,000 square meters. For the latter, we have lighting control systems—specifically, occupancy sensors.

How exactly was the factory’s flexibility implemented? 

First, we focused on efficiency. Then we installed additional energy traffic lights throughout the facility that display the factory’s current status—that is, whether there is a surplus of energy. A 100-percent solution is very demanding. We’ll likely need further technological developments to achieve that. 

Besides nitrogen production and water treatment, do you have other ways to store energy? 

Yes, in the form of heat. We have a 100-cubic-meter buffer tank. On weekends, we convert excess solar power so we can use it on weekdays. We also store energy through concrete core activation and radiant heating systems.

How do you assess the importance of energy management systems in factory planning? Do things need to change in this area? 

No factory will be able to operate without energy management systems. The more volatile the power supply becomes, the more important these systems will be. They must therefore be incorporated into the planning process early on. In existing buildings, we create a digital twin to map the current state of production, building services, and energy generation, so that we can define the actual goal right from the start. 

Why do sustainability efforts fail at manufacturing companies? 

I think there’s a lack of capacity in engineering and consulting. It’s rare to find experts and teams with comprehensive expertise in mobility, building services, and production technology.

Finally: How will your Green Factory continue to evolve over the next ten years? 

We want to replace the green grass with hydrogen. Then I believe that energy management systems will improve even further, thanks to AI, weather forecasts, and production data. We also want to become more efficient and sustainable in areas such as cafeteria catering, employees, packaging, timber construction, and so on.