60% Of Supply Chain Execs Measure Emissions

July 24, 2008

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Sixty percent of supply chain executives are measuring their transportation and logistics emissions, according to ‘Green Transportation & Logistics North American Report‘ from eyefortransport.

The survey of over 500 North American supply chain executives shows that the vast majority of respondents, 90 percent, think that over the next three years green issues will remain or become more important to their transport and logistics processes.

Nine percent identified green issues as their No.1 priority over the next three years, while only one percent expects a lessening of importance.

This push towards green is reported to be driven by a number of factors, including financial ROI (61%), public relations payback (78%), improved customer relations (83%), decreased fuel bills
(70%), and improved supply chain efficiency (59%).

Twenty percent of respondents are currently using a logistics partner or service provider to help green their supply chain, and a further 26% are actively exploring the possibility of adding a partner company.

Respondents were asked what actual green initiatives have been implemented or planned in their companies. The results revealed that 72 percent are or are planning to improve energy efficiency, 37 percent are redesigning warehousing and distribution center networks, and a dramatic 60 percent are measuring and/or reducing emissions.

Amidst the slew of supply chain carbon measurement tools and technologies that have come onto the market in the last year, only a handful of respondents are already using an external measurement tool. But while 16% have deployed an internal system for this purpose, another 30% are currently researching which software to use or purchase in the short term.

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Reader Comments

Fundamental to the carbon efficient economy will be a reliable metrics for the enterprise to dynamically account for carbon (GHG) across the supply chain.

Traditional life cycle analysis is a labor intensive, costly, and does not provide a comprehensive footprint. In addition LCA is not easily updated. A top down hybrid approach to carbon footprint accounting enables an organization to identify, model and optimize their greenhouse gas impact across the entire supply chain.

Andrew Deitz | August 3rd, 2008