Streamlining Logistics for a Greener Future: How Smart Supply Chain Changes Drive Sustainability
At Online Distribution, as a third-party logistics (3PL) provider, our primary focus is on improving supply chain efficiency while championing sustainability. However, our approach goes beyond simply tracking emissions – it’s about creating sustainable, long-term environmental benefits, even if those improvements don’t always directly reflect in our own emissions statistics.
A recent example of our commitment to sustainability comes from a partnership with one of our clients. Previously, their logistics model involved a multi-continental approach: goods were manufactured in New Zealand, shipped to the USA, and then sent to Australia. This process involved long-distance shipping that resulted in significant emissions from the steps involved.
By shipping directly from our New Zealand warehouse to Australia and eliminating the USA leg of the journey, we were able to dramatically reduce the environmental impact of their supply chain. This change resulted in a reduction of almost 500,000 CO2eKG, representing an 86% decrease in supply chain emissions.
While this shift does increase our own emissions, the overall environmental outcome is unquestionably positive. By shortening the travel distance and eliminating unnecessary shipping routes, we’ve significantly reduced the total carbon emissions associated with delivering these goods to Australia.
This case serves as a prime example of how focusing solely on a company’s own emissions can sometimes overlook the broader picture. By looking at the whole supply chain and improving operational efficiency, we can create a net positive environmental impact – it’s about supporting our clients in creating smarter, greener logistics solutions. By making mindful decisions, we aim to continue playing a part in creating a cleaner, more efficient future for New Zealand logistics.