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Investing in Technology For Sustainability: A Conversation with Luis Ruesga 

Karthik Chidambaram
November 21, 2024 |
Investing in Technology For Sustainability  | Blog Banner

As businesses around the world face increasing pressure to address climate change and adopt more sustainable practices, technology has emerged as a powerful ally in this transformation. By investing in the right tools, companies can streamline their operations to reduce their environmental impact.

Luis Ruesga, Co-Founder and CEO of Zuo Modern Contemporary, shared his insights on how technology can fuel both business growth and sustainability on a recent Driven by DCKAP episode. While his company’s work in furniture manufacturing provides a clear example, the lessons drawn from his approach are broadly applicable to businesses of all kinds. Here’s how investing in technology can accelerate sustainability and create lasting value.

Technology as a Growth Driver

Companies that invest in technology gain a significant advantage. For Luis, technology is about improving efficiency, staying ahead of the curve, and setting a strong foundation for future growth. “Technology isn’t just a differentiator; it’s essential for survival in today’s competitive landscape,” he shared.

From automated systems that streamline supply chain management to AI-driven tools that enhance customer service, it’s now a well-documented fact that the right technology is transforming how businesses operate. 

Luis highlighted that, at Zuo Modern, technology is a major factor in making operations more efficient and less resource-intensive. From their customer portal, which allows clients to track orders and inventory without human intervention, to using advanced 3D rendering technologies that eliminate the need for physical prototypes, Zuo Modern is leveraging technology to create smarter business practices.

However, it’s not just about improving the bottom line. The right technologies can also provide businesses with the tools they need to achieve their sustainability goals.

Sustainability Through Technology

Sustainability has become one of the most important goals for businesses worldwide, and technology plays a key role in achieving this. Companies today are integrating technology into every facet of their operations to reduce waste, optimize energy use, and minimize their environmental footprint. Luis spoke about how Zuo Modern applies this concept by using technology to reduce material waste. For instance, instead of constantly using new materials, they recycle leftover resources from previous products to create new ones.

“This isn’t about cutting corners. It’s about being conscious of our impact,” Luis explained. By recycling materials like foam and steel, the company avoids the environmental costs associated with producing new raw materials. Instead, they harness technology to find the best ways to reuse, repurpose, and recycle, ultimately reducing their overall carbon footprint.

This use of recycled materials is part of a larger trend that’s taking shape across various industries. According to the Ellen MacArthur Foundation, embracing a circular economy; where products and materials are kept in use for as long as possible—can significantly reduce waste and pollution. Advancements in recycling technology, material innovation, and supply chain optimization are key enablers of this shift.

Why Investing in Technology for Sustainability Matters

Investing in technology for sustainability isn’t just a business choice; it’s a social responsibility. The UN’s 2030 Agenda for Sustainable Development stresses that technological innovation is essential to meeting global sustainability goals, particularly in reducing emissions, conserving resources, and fostering more efficient production methods.

Luis stressed that technology empowers companies to make decisions that are both economically viable and environmentally responsible. Through data analytics, businesses can track their energy usage, identify inefficiencies, and optimize their operations for maximum sustainability. For example, AI-driven software can help companies monitor and manage their energy consumption in real-time, allowing them to make adjustments to reduce waste and lower costs.

Moreover, technology facilitates transparency in operations. Consumers increasingly want to know where their products come from and how they’re made. Companies that invest in technology that tracks and reports their sustainability efforts are not only meeting customer expectations but also contributing to a broader culture of environmental accountability

Also see: The Role of AI in Distribution

Technological Solutions Across Industries

Luis’s approach to using technology to drive sustainability is a model that can be applied to many industries. In manufacturing, for example, businesses are using AI and automation to optimize production lines, minimizing waste and maximizing efficiency. In agriculture, precision farming technology helps farmers reduce water usage and optimize pesticide application, reducing environmental impact. And in energy, smart grids are making it possible to better manage electricity distribution, reducing both waste and carbon emissions.

One area where technology is making a significant impact is for companies seeking to participate in the circular economy. Companies are increasingly using digital platforms to track products through their entire lifecycle, from raw materials to end-of-life disposal. This data helps companies identify areas where they can reduce waste and create more sustainable products.

For example, In the fashion industry, 3D design tools reduce waste and enable a more efficient product lifecycle by limiting excess production. Similarly, in construction, BIM technology reduces material waste and also facilitates the reuse and recycling of building components, aligning with circular economy principles.

The Bigger Picture: Why Sustainability Through Technology Is the Future

The need for businesses to prioritize sustainability is no longer optional. According to a report by McKinsey & Company, companies that focus on sustainability initiatives are more likely to outperform their peers in terms of profitability and long-term growth. The report also notes that consumers are increasingly choosing brands that align with their values—particularly when it comes to sustainability. In fact, In their global survey of 7,751 consumers, 87 percent are concerned about the environmental and social impacts of the products they buy, and 54 percent are willing to pay a premium for products that are sustainably manufactured.

For businesses, sustainability through technology offers the potential for both environmental and financial benefits. It reduces operational costs, enhances brand reputation, and positions companies as leaders in innovation. As Luis Ruesga said, “The idea is to innovate and inspire. When we show that eco-friendly practices can be profitable, we set an example for others to follow.”

A Call to Action for Businesses

As the world faces mounting environmental challenges, the role of technology in driving sustainability has never been more important. Businesses that invest in technological solutions that prioritize sustainability are not only doing their part to protect the planet—they’re also setting themselves up for long-term success.

From smarter manufacturing to innovative recycling solutions, technology offers a wealth of opportunities to create a more sustainable future. By embracing these innovations, companies can reduce waste, optimize resources, and drive positive change in their industries.

Luis Ruesga’s insights serve as a reminder that investing in technology is an investment in the future that can have lasting benefits for both businesses and the environment.

Karthik Chidambaram

Karthik Chidambaram is the Founder & CEO of DCKAP. He bootstrapped the company from his small apartment in Chicago, Illinois. DCKAP simplifies commerce for distributors. DCKAP was started with 2 people, 2 computers and 2 desks and is now a global and distributed team. Karthik reckons industry setbacks and renders solid & practical solutions to organizations. He holds a Master’s Degree in Computer Engineering from Illinois Institute of Technology, Chicago. You can read more about him on his personal blog here.

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