Green Logistics : starts with transports and supply chain processes

Reducing environmental impact through fleet management

CarrierShipper

by Clémence Levieil, on 7/27/2023

7 min read

What is green logistics? Can it be applied?

Green logistics is a concept designed to reduce the environmental impact of logistics activities, from the transportation of materials to the distribution of products.

As you'd expect, it's an issue that concerns both carriers and logistics site managers. 

The aim of green logistics is to :

  • reduce greenhouse gas emissions (also known as GHGs)

  • promote the conservation of natural resources 

  • prevent air, water and soil pollution

  • encourage the recycling and reuse of materials.

Which companies apply green logistics criteria in the US for instance ?

A number of companies have decided to reduce their carbon footprint and turn to a green supply chain. Examples include FedEx and Coca-Cola.

  • Amazon: The e-commerce giant has announced sustainability goals, including reducing carbon emissions in its supply chain and using electric delivery vehicles.

  • UPS: The delivery and logistics service UPS has invested in cleaner vehicle fleets, including electric vehicles and fuel-saving technologies.

  • FedEx: Similar to UPS, FedEx has invested in more environmentally friendly technologies for its fleet and made sustainability commitments.

  • Coca-Cola: The company has committed to reducing its carbon footprint and implemented green logistics practices for its distribution activities.

ESG: what are we talking about? Does green logistics fit in?

It's an acronym representing the three dimensions of sustainability: environmental, social and governance. Green logistics is therefore concerned at least on the first level.

Companies adopting an ESG approach aim to integrate sustainable practices into their operations in order to meet the expectations and demands of investors, customers, employees and society as a whole. They are also committed to moving towards green logistics and decarbonization, making this one of the key challenges of their supply chain.

The environmental dimension of ESG concerns the management of the company's environmental impact, notably by reducing greenhouse gas emissions, using renewable natural resources, effectively managing waste and adopting sustainable practices throughout the production chain.

The social dimension of ESG focuses on the company's social impact, addressing issues such as equal opportunities, diversity and inclusion, employee health and safety, protection of human rights and social responsibility.

In other words, it answers questions such as: How can we promote equality and diversity within our company? How can we ensure the safety and well-being of our employees?

The governance dimension of ESG concerns the company's management practices and transparency, particularly with regard to the actions of the board of directors, the independence of board members, executive compensation, the management of conflicts of interest and the transparency of information communicated by the company to the public and its employees.

Transport and logistics: when good fleet management leads to reduced environmental impact!

Reducing GHG emissions from vehicles A key benefit of fleet management with the help of a fleet management system is the elimination of truck queues off-site.

On-site waiting times: exacerbated pollution

As well as creating a real loss of earnings for transport and logistics companies, since drivers must of course be paid even if they are stuck on loading bays and logistics teams have to busy themselves loading and unloading, waiting times on site are also a source of pollution.

Most drivers leave the engine running when they're queued up and close to the truck docks, resulting in additional CO2 emissions into the atmosphere.

In general, it is estimated that a diesel-powered freight truck emits around 2.6 kg of CO2 per liter of fuel consumed.

It cannot be stressed enough that the average fuel consumption of a truck may vary according to model and operating conditions. However, the average fuel consumption is between 2 and 4 liters per hour for light trucks and 10 to 30 liters per hour for heavy trucks. That's high consumption, especially when you consider that fuel prices are rising all the time!

Properly managing the fleet and operations at your logistics site therefore helps to regulate CO2 emissions.

Time Slot Management to anticipate and to organize all the flows, as well as to reduce the trucks loading time, can be as real solution.

Too many trucks waiting in a queue to be unloaded on logistics site
Trucks waiting to be unloaded

Efficient use of resources with assets 

The reduction in CO2 emissions is due to the efficient use of so-called active resources, such as diesel, oil and water, among others.

This impact leads to a cascading optimization which, taken as a whole, has a considerable impact on reducing the damage caused to the environment, damage caused directly or indirectly by logistics.

Elimination of paper and spreadsheets 

By replacing manual processes with the help of a fleet management system, you eliminate a large proportion of paper use in day-to-day logistics operations.

The gain is both socio-environmental and economic! Costs are automatically reduced: 

  • Less paper for management (digitized transport documents and certifications)

  • Less administrative waste

  • Fewer delays in pre-invoicing

Dashdoc is part of this logic of dematerialization and decarbonization with its TMS transport service and online appointment scheduling for logistics sites.

I want to reduce my CO2 impact with Dashdoc

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