"How can logistics be sustainable?"
Sustainability and its importance to consumers nowadays is a value that continues to grow with each passing day, with this principle becoming ever more dominant within many sectors around the world, the logistics industry is looking to begin playing its part in lowering its ecological footprint.
The many forms of transportation that the logistics sector is responsible for have an undoubted impact on the environment, so much so that the industry is one of the largest generators of carbon footprint and greenhouse gas, which is without a doubt an important factor to pay attention to.
What is sustainable logistics?
The objective of sustainable logistics, otherwise known as green logistics, is to lower the environmental impact of its practices. The process of this can be anything from carbon emissions, noise pollution, and other related consequences. In this regard, the logistics industry has to pay attention to creating a consonance between financial growth, customer affinity and being environmentally conscious.
In alignment with this, logistics companies should begin to ensure that their supply chain operations and response to customers are met with solutions as government environmental regulations begin to become ever more strict.
Sustainable solutions- shipping processes
Land shipment
Logistics companies should begin implementing sustainable practices such as making the switch to more eco-friendly and efficient vehicles. The swap to electric vehicles ensures less pollution which could be the answer logistics suppliers are looking for. Logistics companies making the investment into such vehicles will reap the benefits of the initial costs it takes to purchase these efficient delivery vans for many different reasons.
One point as to why EVs, otherwise known as electric vehicles, are the answer to a more sustainable future for logistics providers is the lack of fossil fuels used to maintain them compared to diesel trucks. The process of getting your business’s shipment from one place to another with regular delivery vans can put co2 emissions up by 13%, however, using EVs provides companies with the same shipment time and less impact on the environment.
It is also proven that companies will save money in the long run as electricity costs less than petrol or diesel, and these vehicles also cost less to maintain due to fewer moving parts helping to keep the costs low. This is an advantage for many companies as money saved in this area ensures that supply chains still remain profitable while helping to meet sustainability goals.
Sea Shipment
Ocean freight is also being looked at as a savior within logistics operations in relation to its 3 to 4 times cheaper cost rate compared to other freight alternatives, as well as an answer to climate change within this sector.
The carbon emission output from sea freight shipping is 47x less than air freight, replacing a percentage of other freight options with ocean freight is a great way to cut down on environmental impact. Therefore, this is a crucial point for any company wanting to reduce emissions and their carbon footprint to ensure their business has sustainable supply chains.
Sustainable solutions- green technology & trends
Transport Technology
In order to ensure there is a movement away from environmental problems in the logistics sector, there needs to be technology in place that enables companies to meet demand in an efficient way, while still protecting the environment.
One way to do this is through the implementation of carbon footprinting software or route optimization software. This software enables companies to calculate their carbon footprint and emissions per fleet they are transporting, in order to predict how much they are outputting into the environment. The information concluded from this technology then allows firms to plan out their services in a way that is smarter and kinder to the environment, while still ensuring the demand to their supply chains are met and transport is still as efficient as ever.
Maritime Technology
Another way in which green technology can guarantee government regulations are met is through the enhancement of voyage operations. In today's society, it is more common than ever for shipping businesses to use software that predicts the likely performance of their ships and maritime conditions. This allows voyages to be planned in a more accurate way in light of safety and environmental impact.
In order to plan routes in a more sustainable way companies assess circuits that are not willing to run into rough seas or high winds. The practice of this reduces fuel consumption allowing money to be saved on fuel costs, as well as deducting the amount of co2 emissions put into the environment. This also ensures companies use shipping solutions that are as energy-efficient as possible while also reducing the cost of shipping as well.
>> Video Decodes: Sustainable Logistics
Sustainable solutions- environmentally certified
Environmental Certification
Sustainable logistics goals can also be met through adopting environmental certifications to not only execute sustainable logistics economically and open the doors to more customers and potential business partners.
Certifications such as The Clean Industry Certification and the Environmental Quality Certification verifies firms based on their logistics operations and effort to reduce carbon emissions, the practice of energy efficiency, and overall attitude and solutions to tackling global warming.
The certificates also confirm businesses have taken the time to train their employees on the solutions for environment care within the sector. In addition to this, logistics establishments are also beginning to look at creating a sustainability team to pay attention to the company's activities towards reducing waste and co2 emissions within shipping processes, climate change solutions, and of course sustainability when organizing supply chain services.
Such criteria are a recipe for success when opening the door to customers' demand and values, as well as progressing in building company partners for possible expansion into wider regions. This is due to the fact that firms advertising sustainable logistics are becoming all more attractive to today's society, both customers and investors alike.
Now is the time
Sustainable practices are becoming increasingly prevalent in the logistics sector as many companies focus shift towards the long-term effects their companies may have on the environment. As much as the sector creates heavy co2 emissions and extensive impact on the atmosphere, the logistics world is an important and valuable part of our working society.
Therefore, through the execution of sustainable logistics companies can find peace in knowing supply chain processes are not only meeting governmental regulations but also helping to reduce emissions by doing so.
This paired with the creation of profit and business opportunity ensures a win-win situation for all firms implementing such changes.
> Read more: Supply Chain for the Renewable Energy Sector
Reference from: Sustainability in the transport and logistics industry (PWC)
