Recently, manufacturing industries have increasingly prioritized efficiency, quality improvement, and sustainability in response to growing environmental concerns and competitive market conditions. Achieving these strategic objectives requires the optimization of industrial processes by balancing production quality, operational cost, and environmental performance simultaneously. Among advanced manufacturing technologies, CO₂ laser cutting has become widely adopted due to its high precision, flexibility, and capability to process various materials efficiently. However, the optimization of laser cutting parameters remains a critical challenge because process variables directly influence product quality, energy consumption, and operational sustainability. This study investigates the optimization of CO₂ laser cutting parameters to enhance quality and sustainability in industrial manufacturing. Using the Design of Experiments (DOE) methodology and statistical analysis through ANOVA, the study evaluates the impact of laser power, cutting speed, gas pressure, focal point position, and nozzle diameter on critical outcomes such as kerf width, surface roughness, and operating cost. The results show that increasing the laser power resulted in a wider kerf due to higher energy density, affecting precision. The findings further indicate that smoothest surfaces are achieved at moderate laser power and cutting speed, with higher nitrogen pressure. In addition, operating costs decreased with higher cutting speeds and optimized nitrogen pressures