Green Logistics

Outline Green Logistics What is GL? Why important? Components Measuring GL

What is Green Logistics? Consideration of sustainability/ environmental impact/ friendly policies in logistic decision making and its systems. Balances economical benefit with environmental impact. Many GL policies primarily relate to forward logistics (material flowing towards customer).

Why is GL important? Protect the environment Reduce costs Air pollution, Noise, Less landfill use Reduce costs Reduction of fuel use, reuse of materials, elimination of paper and other unnecessary items Recycle materials (revenue)

Why is GL important? Strategic value: image and customer requirements. GL can differentiate a product/ company. Some market segments interested in their “green image” would pay premium prices for products that have reused/recycled components, transported in ….

Components of GL Green procurement Green packaging Green transportation (freight) Green warehousing/ facilities

Green Procurement …. means purchasing products and services that cause minimal adverse environmental impacts. It incorporates human health and environmental concerns into the search for high quality products and services at competitive prices. https://www.epd.gov.hk/epd/english/how_help/green_procure/green_procure.html

Green Procurement Guide to purchase the most environmentally friendly and lowest cost products available (with the right quality), and help raise the bar in terms of sustainability throughout their industry. 1. Ask for Green. when issuing RFPs be deliberate in asking your potential suppliers to provide you with the most environmentally sound product, with the highest quality, at the lowest price. 2. Develop a Code of Conduct that includes Green. spell out expected behaviors in terms of labor, products, GHG emissions and handling of waste. 3. Educate your supply base. about how to operate more sustainably. 4. Reward good behavior. Keeping tabs on your suppliers, either by encouraging them to respond to the Carbon Disclosure Project (CDP) or through other audit mechanisms. Reward that good behavior with a larger share of your business. 5. Practice what you preach. complete your own reports and shifting more purchasing to companies that operate sustainably … https://www.greenbiz.com/blog/2010/11/11/5-simple-ways-create-green-procurement-program

Green Packaging also known as sustainable packaging, is the use of materials and manufacturing methods for the packaging of goods that has a low impact on both energy consumption and on the environment.  … is created in an environmentally aware manner, using biodegradable and recyclable materials, and is energy efficient. https://www.plushbeds.com/blog/green/what-is-green-packaging/#ixzz5GEkwIoO6 http://www.electroluxgroup.com/en/electrolux-wins-green-packaging-award-24119/

Green Packaging Renewable resource-based packaging. Starch-derived PLA (lactic acid) is 90 percent biodegraded within nine months when placed in an industrial composting facility. PLA comes from sugar cane, potatoes, corn or other starchy foods. Packaging with additives. There are currently two types of additives on the packaging market – OXO and BIO additives. These are added in order to make the packaging degradable. Packaging optimization. Packaging reduction, while retaining product protection, is a prime area on which many companies have their focus. Recycled materials. Recycling materials is a familiar concept for us all, and remains a staple process within the green packaging industry. https://www.plushbeds.com/blog/green/what-is-green-packaging/#ixzz5GEkwIoO6

Green Transportation (freight) Green freight refers to a collection of technologies and practices that improve the efficiency of the freight sector and provide a means to benchmark and track performance. Green freight programs promote these technologies and practices across the freight sector to help cut costs, track carbon, and benefit the environment.    A green freight program combines carbon accounting and disclosure with action plans, collaboration, and recognition for businesses’ efforts (e.g., through a label). http://www.globalgreenfreight.org/why-green-freight/what-are-green

Green Transportation Multiple regional and country programs Measure emmisions Develop collaborative efforts to develop technologies and improve resource use Develop regulations and policies

Green Transportation http://info.lynden.com/blog/topic/fuel-efficiency

Green Transportation

Green Warehousing/Facilities Energy efficient buildings including heating and cooling, lighting, water use. Use of intelligent systems to monitor and control use Netzero: Solar panels and other mechanisms to generare own power Zero landfill: Recycle all materials used

Measuring GL http://www.rlmagazine.com/edition12p28.php

Measuring GL http://www.alps-logistics.jp/eng/service/green_logi.html