As we near the half-way mark between the Sydney Olympics and 2050 net-zero carbon-emissions, the focus on sustainability \u2013 while delivering shareholder value is accelerating.\u00a0 Can you imagine what the world will look like in the next 3-5 years as:<\/p>\n
An organisation\u2019s supply chain is at the heart of its consumption of resources and environmental impact and therefore a logical point of focus.<\/p>\n
While there are a lot of broad statements around the \u2018greening\u2019 of the supply chain, here we look to cover some practical steps on the journey to a sustainable supply chain:<\/p>\n
The Greenhouse Gas (GHG) Protocol categories emissions into three groups or ‘scopes’:<\/p>\n
The boundary of a Net Zero<\/strong> target includes scope 1, 2 and 3 emissions<\/strong> of the organisation (as compared to carbon neutrality which only requires scope 1 and 2, with scope 3 emissions encouraged but not mandatory).<\/p>\n Scope 3 requires us to look beyond the movement simple creation and delivery of the finished product \u2013 such as purchased goods & services, business travel, sales visits, service fleets, employee commuting, waste disposal, use of sold products, inbound and outbound distribution, investments and leased assets.<\/p>\n As with any transformation program this needs executive sponsorship, program governance of an integrated set of initiatives and importantly a well-defined set of KPI\u2019s that are linked to \u2018levers\u2019 that can be pulled to effect change \u2013 e.g. water used, Kg\u2019s of landfill, Km\u2019s driven (inbound and outbound) all per unit of final produced and broken up to controllable areas (e.g. Business Unit or individual site).\u00a0 Never has the old adage \u2013 what gets measured, gets managed<\/em> \u2013 been more pertinent.<\/p>\n Most companies have traditionally adopted a franchise-model to their last mile networks \u2013 static route development and then \u2018ownership\u2019 of the route vested in the operator that is only periodically reviewed (typically after a protracted negotiation with the operator).<\/p>\n Given that last mile is accounts for about 40% of total distribution costs and 50% of industrial carbon emissions (expecting to double by 2050), it is a logical place to challenge the current model though the application of dynamic routing:<\/p>\n Although still an emerging technology, e-trucks are far cheaper to run than their diesel counterparts \u2013 60-75% cheaper fuel cost (electricity at $0.30\/kWh and diesel at $2.0\/litre and varies on load) plus significantly reduced maintenance costs.\u00a0 There are a growing number of players in e-Trucks, including the majors:<\/p>\n Metro offering<\/em><\/p>\n Linehaul offering<\/em><\/p>\n Mercedes, Nikola along with Hyzon and Hyundai are also developing H2<\/sub> Fuel-cell linehaul vehicles with the same (or greater capacity) and ranges of 800 \u2013 1,400km<\/p>\n As distribution networks require expansion, sustainability needs to come into consideration when choosing:<\/p>\n Some thoughts before committing to that new build:<\/p>\n Rethink your business model<\/strong><\/p>\n Explore optimisation opportunities<\/strong><\/p>\n The above is a valuable exercise in getting your business \u2018match-fit\u2019 and may see you clear for a few or many years.\u00a0 Inevitably, that new (and exciting) build will be needed and should be the key to a transformational change:<\/p>\n All of this flows on the property (and hence tenancy) of the future as clients start to:<\/p>\n <\/p>\n Never have we been in such an exciting time of change \u2013 from pandemic recovery, significant growth in direct-to-consumer delivery, geo-political forces driving a re-think of our broader networks along with building a sustainable, prosperous future for the next generations \u2013 and intersecting with the break-neck speed of new and exciting technologies to realise the opportunities before us.<\/p>\n At Argon & Co, sustainability is not a standalone product, it is part of everything piece of advice we provide from location selection, energy monitoring and complete asset lifecycles including recycling obsolete and procurement of new. We have a global centre of excellence focused on insights and best practice and locally, we are a Carbon Negative and currently being certified as a B-Corp organisation.<\/p>\n \u00a0<\/strong><\/p>\n","protected":false},"featured_media":21053,"template":"","categories":[],"region":[162],"class_list":["post-21045","article","type-article","status-publish","has-post-thumbnail","hentry"],"acf":[],"yoast_head":"\nLast mile delivery route optimisation<\/strong><\/h3>\n
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Fleet electrification<\/strong><\/h3>\n
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\n Manufacturer<\/strong><\/td>\n Capacity<\/strong><\/td>\n Claimed range<\/strong><\/td>\n<\/tr>\n \n Volvo FL<\/td>\n 8.0 tons<\/td>\n 300km<\/td>\n<\/tr>\n \n Mercedes Actros<\/td>\n 5.5 tons<\/td>\n 400km<\/td>\n<\/tr>\n \n eCanter<\/td>\n 4.5 tons<\/td>\n 100km<\/td>\n<\/tr>\n \n Ford e-Transit<\/td>\n 1.6 tons<\/td>\n 200km<\/td>\n<\/tr>\n \n Mercedes e-Vito<\/td>\n 0.9 tons<\/td>\n 260km<\/td>\n<\/tr>\n \n BYD T3<\/td>\n 0.8 tons<\/td>\n 300km<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n \n\n
\n Manufacturer<\/strong><\/td>\n Capacity<\/strong><\/td>\n Claimed range<\/strong><\/td>\n<\/tr>\n \n Mercedes Actros Longhaul<\/td>\n 22 tons<\/td>\n 500km<\/td>\n<\/tr>\n \n Nikola<\/td>\n 22 tons<\/td>\n 560km<\/td>\n<\/tr>\n \n Tesla<\/td>\n 22 tons<\/td>\n 260km<\/td>\n<\/tr>\n \n Volvo<\/td>\n 22 tons<\/td>\n 300km<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n <\/h3>\n
Location, location, location<\/strong><\/h3>\n
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