When it comes to transportation and logistics, the decisions made by purchasing and the supply base can have a significant impact. It’s important to review these activities with sustainability in mind. For instance, by optimizing truckloads and combining multiple customer orders and products, you can maximize the number of full truckloads and reduce the overall number of loads needed. This not only saves money but also cuts down energy consumption and greenhouse gas emissions.
Below are some of the ways in which procurement can apply sustainability to the logistics area:
1. Decreasing the weight of packaging, products, and vehicles.
2. Improving fuel efficiency and utilizing aerodynamic vehicles.
3. Taking into account fuel economy and alternative fuels when acquiring transportation services.
4. Coordinating inbound and outbound shipments to lower carbon emissions by minimizing fuel usage.
5. Aligning customer returns with supplier shipments to optimize fleet utilization.
6. Automating transportation management systems to enhance transportation routing.
7. Transitioning to electronic freight bills and payment processes to minimize paper transactions.
8. Diminishing greenhouse gas emissions by eliminating or reducing specific transportation modes.