October 7, 2008

Green Efforts Insignificant in Winning, Keeping 3PL Business

The 3PL industry has made significant strides in establishing environmental responsibility as part of broader corporate visions, with companies reporting numerous internal changes in response to these concerns, according to results from the 2008 3PL Provider CEO Perspective by Northeastern University and Penske Logistics. However, to date, the CEOs involved in the surveys believe these “green” capabilities are relatively insignificant in winning new business or retaining existing customers.

•        “Green” initiatives and environmental sustainability are considered unimportant when it comes to attracting or keeping 3PL customers.  In Europe, 100 percent of respondents said “green” efforts are insignificant in winning and keeping business; in North America, 95 percent; and in the Asia-Pacific region, 89 percent.
•        Most CEOs indicated they are increasing spending on “green” initiatives primarily as a corporate social responsibility initiative as opposed to customer demand.
•        Though 79 percent of all companies surveyed have a formal sustainability program, 87 percent have a formal sustainability statement and 74 percent have appointed a formal leader of sustainability, less than three percent of customers globally have performance metrics for their 3PLs that track the 3PL’s ability to help customers achieve its “green” goals.

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