From Organizational Readiness to Industry 5.0: An EFQM Model Pathway to Net Zero

The automotive industry faces urgent pressures to transition to carbon-neutral operations amid evolving policies, shifting consumer demands, and stringent environmental regulations. This study examines how implementing the EFQM Model 2020 can drive sustainability-oriented transformation in a leading European automotive plant. Over a two-year period (November 2021–December 2023), the company reduced CO2 emissions by 17%, decreased water usage by 9.3%, and elevated recycling rates from 93.3% in FY19 to 98.1% in FY23. Although these improvements demonstrate the EFQM Model’s effectiveness in integrating economic, social, and environmental objectives, further progress toward net zero remains challenging due to diminishing returns on efficiency. Sustaining momentum will require continuous innovation such as passive building designs and on-site renewable energy generation supported by robust stakeholder engagement and compliance with evolving ESG reporting standards. These findings affirm the value of the holistic management framework for operational excellence and environmental stewardship, providing a replicable pathway toward carbon neutrality in resource-intensive industries.