How do I create an environmentally sustainable logistics solution that is profitable today and in the future?

Many businesses still have several steps to take in order to become more sustainable in their logistics operations. The main focus is on reducing energy use and greenhouse gas emissions. Demands from customers and employees, new laws, technologies, and research mean that your supply chain today not only needs to be environmentally sustainable in the long term but must be. At the same time, the focus on sustainability must be integrated with your core business idea and operational goals, such as profitability – luckily, profitability and sustainability often go hand in hand.

But honestly, you already know that something needs to be done. At DB Schenker Consulting, we’ve noticed a trend in recent years where more and more customers, almost all of them today, are requesting analyses of future logistics solutions that take environmental impacts into account. It’s often the “how” that becomes the challenging puzzle to solve.

It’s important to distinguish between meeting legal requirements for sustainable logistics (reactive) and actually (proactively) creating an environmentally sustainable supply chain that considers the environment and nature in the long term while also achieving profitability goals. So, how can you take the next step to be prepared for upcoming challenges while staying competitive?

Well, through the following steps, your company can actively begin working with environmental sustainability that goes beyond basic requirements and be one step ahead:

1. Assess the current situation

Map your current supply chain to identify areas for improvement and risks in all parts. Measure where you stand today and identify any gaps and risks that exist.

2. Set your strategy

Environmental goals should permeate the entire business and cover both short-term changes in the current setup (low-hanging fruits) and long-term investments (where decisions about the way forward need to be made now). Furthermore, it should be clear what will be measured, how it will be followed up, and what actions must be taken if the goals are not achieved.

3. Optimize processes

Based on the current situation assessment and strategy, logistics processes should be optimized, which will ultimately result in them becoming more sustainable both environmentally and economically. At this stage, new technologies should be tested as part of achieving a top-tier supply chain.

4. Create a motivated organization

Create a motivated organization with employees and suppliers working closely together, who understand the importance of sustainability. This sets the stage for an informed and change-positive organization that is ready when changes come, and which also serves as natural marketing channels that can spread the message of your efforts.

So, it’s not a question of whether you should work more actively with environmental sustainability in your supply chain, but what you need to do today and in the future. Good luck with future-proofing your supply chain!

Curious to learn more about how we at DB Schenker Consulting work with sustainable logistics? Reach out to find out how we can help you and your company create a more sustainable supply chain!