The role of energy management has greatly expanded in industries. Major industries are contracting with energy service providers to implement energy management practices to improve efficiency. The effort to introduce energy management in small and medium scale enterprises (SME) is very limited due to the lack of initiation, expertise and financial limitations. In manufacturing, energy cost is usually a small portion of the total production cost, and therefore, energy cost receives relatively little attention. Another problem is lack of knowledge about the underlying principles involved in energy management. There is a well-recognized need to target SME with information on energy management concepts and practises. This paper aims to provide a guideline for entrepreneurs in implementing energy management. It reviews the methodology of energy management that was introduced in a German bakery with a clear and consistent path toward introducing energy management. The methodology, tools used, results and difficulties encountered during the study are discussed.