Quantifying Supply Chain Co2 Emissions

COP28, which begins today, will see global business leaders take stock of progress since the 2015 Paris Agreement, emphasising the need for action to drive forward net-zero goals. Efficio, a global procurement and supply chain consultancy, is working with business leaders to do just that – turning attention to the supply chain to make the biggest impact on ESG. That’s because supply chain emissions typically make up 40-80% of an organization’s total carbon emissions – sometimes even reaching over 90%.

According to Efficio research, 73% of business leaders (77% of C-suite) cite minimising or eradicating environmental impacts as a key priority for the next two years – but a clear line of sight surrounding ESG factors remains a barrier to success. Data needed to quantify carbon emissions within the supply chain can span multiple systems and suppliers. This can be difficult to gather, let alone analyse for future decision-making.

In response to this challenge, Efficio is working with businesses to implement the CarbonCube®, a tool that lets procurement teams efficiently measure and monitor supply chain emissions, set targets, and monitor supplier performance.

Today, CPOs from Kantar, a global data, insights and consulting company, and Permanent TSB (PTSB), a provider of personal financial services in Ireland, are among some of the organisations using the technology to deliver their sustainability strategies. Using the CarbonCube®, PTSB has been able to leverage spend data to identify priority categories with high greenhouse emissions, gain visibility over sustainability commitments made by its supply base, and support the business’s overall sustainability strategy through target assessment and supplier outreach.

Rachel Hollywood, Procurement ESG Manager at PTSB recently commented: “Efficio’s CarbonCube® enabled us to set a strong and realistic emission baseline from which to prepare carbon reduction initiatives, supporting the bank’s strategic agenda for its 2024 SBTi submission and fostering a culture of sustainability and environmental awareness throughout our value chain – from our employees through to our supply base.”

Meanwhile, Kantar is using the CarbonCube® to accelerate its carbon reduction strategy. In a recent interview, Steve Day, Chief Procurement Officer at Kantar, acknowledged that the supply chain is representative of a very significant part of any business’s carbon footprint. He sees this as an opportunity for procurement to own the topic and highlight the value the function can bring to the wider business beyond the traditional back-office function.

However, before this is possible, Day emphasised that work needs to be done, commenting: “I see a lot of people inflating their carbon strategies and thinking about net neutrality, but in truth, you must first get to a point where you can start to measure what scope three looks like. This is where the CarbonCube® comes into play – it has helped us accelerate our thinking and begin richer conversations around what categories of spending to focus on and what our category strategies are going to be.”

Commenting on the two projects, Edward Cox, Director and Sustainable Procurement Practice Lead at Efficio, concluded: “These projects are real-world examples of how procurement and supply chain teams can take the lead in driving sustainability impacts, and how trusted data sources can be used to simplify processes like quantifying carbon emissions.

“Supply chains are most organisations’ largest source of emissions, and procurement can and should be the engine for change. Procurement needs to be accountable for a growing set of metrics that have ESG at their core. Buying the right things from the right suppliers is more important than ever.”

Quantifying Supply Chain Co2 Emissions

COP28, which begins today, will see global business leaders take stock of progress since the 2015 Paris Agreement, emphasising the need for action to drive forward net-zero goals. Efficio, a global procurement and supply chain consultancy, is working with business leaders to do just that – turning attention to the supply chain to make the biggest impact on ESG. That’s because supply chain emissions typically make up 40-80% of an organization’s total carbon emissions – sometimes even reaching over 90%.

According to Efficio research, 73% of business leaders (77% of C-suite) cite minimising or eradicating environmental impacts as a key priority for the next two years – but a clear line of sight surrounding ESG factors remains a barrier to success. Data needed to quantify carbon emissions within the supply chain can span multiple systems and suppliers. This can be difficult to gather, let alone analyse for future decision-making.

In response to this challenge, Efficio is working with businesses to implement the CarbonCube®, a tool that lets procurement teams efficiently measure and monitor supply chain emissions, set targets, and monitor supplier performance.

Today, CPOs from Kantar, a global data, insights and consulting company, and Permanent TSB (PTSB), a provider of personal financial services in Ireland, are among some of the organisations using the technology to deliver their sustainability strategies. Using the CarbonCube®, PTSB has been able to leverage spend data to identify priority categories with high greenhouse emissions, gain visibility over sustainability commitments made by its supply base, and support the business’s overall sustainability strategy through target assessment and supplier outreach.

Rachel Hollywood, Procurement ESG Manager at PTSB recently commented: “Efficio’s CarbonCube® enabled us to set a strong and realistic emission baseline from which to prepare carbon reduction initiatives, supporting the bank’s strategic agenda for its 2024 SBTi submission and fostering a culture of sustainability and environmental awareness throughout our value chain – from our employees through to our supply base.”

Meanwhile, Kantar is using the CarbonCube® to accelerate its carbon reduction strategy. In a recent interview, Steve Day, Chief Procurement Officer at Kantar, acknowledged that the supply chain is representative of a very significant part of any business’s carbon footprint. He sees this as an opportunity for procurement to own the topic and highlight the value the function can bring to the wider business beyond the traditional back-office function.

However, before this is possible, Day emphasised that work needs to be done, commenting: “I see a lot of people inflating their carbon strategies and thinking about net neutrality, but in truth, you must first get to a point where you can start to measure what scope three looks like. This is where the CarbonCube® comes into play – it has helped us accelerate our thinking and begin richer conversations around what categories of spending to focus on and what our category strategies are going to be.”

Commenting on the two projects, Edward Cox, Director and Sustainable Procurement Practice Lead at Efficio, concluded: “These projects are real-world examples of how procurement and supply chain teams can take the lead in driving sustainability impacts, and how trusted data sources can be used to simplify processes like quantifying carbon emissions.

“Supply chains are most organisations’ largest source of emissions, and procurement can and should be the engine for change. Procurement needs to be accountable for a growing set of metrics that have ESG at their core. Buying the right things from the right suppliers is more important than ever.”

Advance Calculation of New Toll Prices

PTV Logistics today announced the availability of a new toll calculation in PTV Map&Guide and PTV Developer products for Germany and Austria. This enhanced functionality is based on the official announcements of toll rates from Germany and Austria. The update allows customers to calculate their costs based on the new toll fees and reliably estimate the resulting costs in advance.

The new toll calculation enhancement offers companies a practical solution to respond to the legal requirements in Germany and Austria in a timely manner. In Germany, the introduction of CO2 emission classes for truck tolls will come into effect on December 1, 2023. The new toll tariff regulation in Austria, which also involves the introduction of a tariff for traffic-related CO2 emissions, will take effect in 2024.

Customers that use PTV Map&Guide, or PTV Developer, receive updated toll predictions and accurate toll prices at any time. Multiple factors such as vehicle type, distance travelled and time of day are all factored into the toll calculation for customers. Accurate toll prices are a critical factor in professional route planning. Toll costs can represent a significant portion of total transportation costs and therefore have a significant impact on the financial decisions of companies.

“With the developer components from PTV Logistics, we have been able to reliably calculate toll costs for years,” says Thomas Pentza, IT-Leiter of Geis-Gruppe Deutschland. “We always have the current tariffs, sometimes even before they come into effect so that we can calculate our offers precisely in advance.”

“We believe that the new toll calculation enhancements in PTV Map&Guide and PTV Developer will help our customers save money and time to ultimately have a positive impact on their business profitability and sustainability goals,” says Knuth Sexauer, Chief Commercial Officer, PTV Logistics. The new toll calculator enhancement in PTV Map&Guide and PTV Developer is now available to customers.

Advance Calculation of New Toll Prices

PTV Logistics today announced the availability of a new toll calculation in PTV Map&Guide and PTV Developer products for Germany and Austria. This enhanced functionality is based on the official announcements of toll rates from Germany and Austria. The update allows customers to calculate their costs based on the new toll fees and reliably estimate the resulting costs in advance.

The new toll calculation enhancement offers companies a practical solution to respond to the legal requirements in Germany and Austria in a timely manner. In Germany, the introduction of CO2 emission classes for truck tolls will come into effect on December 1, 2023. The new toll tariff regulation in Austria, which also involves the introduction of a tariff for traffic-related CO2 emissions, will take effect in 2024.

Customers that use PTV Map&Guide, or PTV Developer, receive updated toll predictions and accurate toll prices at any time. Multiple factors such as vehicle type, distance travelled and time of day are all factored into the toll calculation for customers. Accurate toll prices are a critical factor in professional route planning. Toll costs can represent a significant portion of total transportation costs and therefore have a significant impact on the financial decisions of companies.

“With the developer components from PTV Logistics, we have been able to reliably calculate toll costs for years,” says Thomas Pentza, IT-Leiter of Geis-Gruppe Deutschland. “We always have the current tariffs, sometimes even before they come into effect so that we can calculate our offers precisely in advance.”

“We believe that the new toll calculation enhancements in PTV Map&Guide and PTV Developer will help our customers save money and time to ultimately have a positive impact on their business profitability and sustainability goals,” says Knuth Sexauer, Chief Commercial Officer, PTV Logistics. The new toll calculator enhancement in PTV Map&Guide and PTV Developer is now available to customers.

MultiScan Master Data Solution Available

Knapp, leading technology partner for value chains, is making its MultiScan master data capture system available to customers through short-term rental or outright purchase.

MultiScan is an intelligent and customisable master data capture solution. As well as acquiring article dimensions, MultiScan features integrated weight recording and can also capture other data such as fragility and stackability. The solution records all the data needed to optimise the utilisation of storage space and the efficiency of fulfilment operations.

“The MultiScan system can be particularly beneficial for companies handling seasonal or promotional items of stock,” explained Ben Carroll, IT Business Development Manager for Knapp UK, “as well as for retailers or 3PLs working with multiple vendors, smaller warehouse operators looking to boost efficiency in their e-fulfilment operations or organisations needing to capture article data for robotic systems.”

Maximum efficiency

As well as enhancing manual warehouse operations, capturing accurate master data is essential for automating material flows and achieving maximum efficiency through digitalisation of work processes. MultiScan automatically records all relevant data for an application, transmitting the information to the WMS or ERP system to enable optimal warehouse management. By maximising space utilisation – in totes, on shelves and in racking – and optimising the efficiency of packing operations by fitting more items into each carton or bag, MultiScan enables warehouse operators to achieve environmental benefits and lower transport costs. In addition, improving fulfilment efficiency – by requiring fewer visits to each location and fewer tote retrievals – means shorter picking times for both automated and manual systems, thereby improving the customer experience.

Accurate and versatile

MultiScan is suitable for a wide range of articles and records data with consistent accuracy. Optional precision scales and digital callipers enable measurement of smaller items, starting at 0.01mm and 0.5g. Another accessory, SCANtape, allows wireless measurement and identification of goods sized up to 3m. Further accessories include a bar code scanner and an industrial camera for high-resolution product photos, which can be directly interfaced to merchandising systems. An optional cart and battery mean that MultiScan can be used for mobile operations for up to 16 hours between charging, with the advantage that a 1-hour charge returns the battery to 80% capacity.

Intuitive operation

Featuring intuitive design, MultiScan enables rapid operation and avoids the need for lengthy training. Items can be placed anywhere on the measuring plate and data is captured quickly and automatically at the push of a button. The design is rugged and ergonomic, making it simple to use even when wearing gloves. “The solution’s software is compatible with any end device,” added Ben Carroll, “as well as with various interfaces and all common operating systems. MultiScan is also compatible with KNAPP’s AI-enabled KiSoft Genomix software in order to capture additional attributes and accelerate the process.”

Container Shipping Lines Over-ordered Vessels

Container shipping CEOs have killed the golden goose by ordering too many ships, and also might need to re-examine the type of vessels suited to a more regional world dominated by geopolitical tensions, according to the former chairman of two of the world’s leading carriers.

Bronson Hsieh (pictured), former chairman of both Evergreen and Yang Ming container lines, told the latest episode of The Freight Buyers’ Club podcast,  that while containerized shipping volumes were predicted to grow by 2.2% in 2024 compared to 1.4% this year this, “doesn’t mean shipping companies are going to be profitable.”

Instead, he said an improved cargo demand picture would be swamped by a forecast 9.1% increase in global box shipping capacity as more newbuilding container vessels joined the fleet. As a result, Hsieh believes 2024 will be, “really very tough for shipping companies.”

Smaller ships needed?

Hsieh also argued that as investors located manufacturing to a wider diversity of locations to move risk away from China and closer to importers, the nature of global trade would evolve, a process he calls,  “globalisation with regionalisation.”

In future, as a larger share of global manufacturing output migrates to Central America, South Asia and Southeast Asia, this will mean the largest ships will be more difficult to deploy efficiently.

“I would suggest don’t build too many of these huge vessels in the future because part of the cargo will gradually be relocated [away from China],” he said.

Go vertical, my friends

However, Hsieh was positive about the strategies pursued by those carriers which have invested pandemic windfalls in value-added, end-to-end logistics service capacity. He believes this is more logical than hoping that port-to-port service revenues and heavy investment in assets will consistently deliver profits when this strategy has failed over previous decades.

“In my personal point of view, that’s the right direction,” he said, pointing to container lines which have invested in warehouses, trucking companies, consolidation businesses, ports and logistics capacity. I think a lot of shipping carriers, they learn something from the logistics service providers. They don’t build any vessels, but they make some profit. “But shipping carriers, they buy a lot of assets, but the money they earn every year is not the same as those logistics service providers earn.”

 

Container Shipping Lines Over-ordered Vessels

Container shipping CEOs have killed the golden goose by ordering too many ships, and also might need to re-examine the type of vessels suited to a more regional world dominated by geopolitical tensions, according to the former chairman of two of the world’s leading carriers.

Bronson Hsieh (pictured), former chairman of both Evergreen and Yang Ming container lines, told the latest episode of The Freight Buyers’ Club podcast,  that while containerized shipping volumes were predicted to grow by 2.2% in 2024 compared to 1.4% this year this, “doesn’t mean shipping companies are going to be profitable.”

Instead, he said an improved cargo demand picture would be swamped by a forecast 9.1% increase in global box shipping capacity as more newbuilding container vessels joined the fleet. As a result, Hsieh believes 2024 will be, “really very tough for shipping companies.”

Smaller ships needed?

Hsieh also argued that as investors located manufacturing to a wider diversity of locations to move risk away from China and closer to importers, the nature of global trade would evolve, a process he calls,  “globalisation with regionalisation.”

In future, as a larger share of global manufacturing output migrates to Central America, South Asia and Southeast Asia, this will mean the largest ships will be more difficult to deploy efficiently.

“I would suggest don’t build too many of these huge vessels in the future because part of the cargo will gradually be relocated [away from China],” he said.

Go vertical, my friends

However, Hsieh was positive about the strategies pursued by those carriers which have invested pandemic windfalls in value-added, end-to-end logistics service capacity. He believes this is more logical than hoping that port-to-port service revenues and heavy investment in assets will consistently deliver profits when this strategy has failed over previous decades.

“In my personal point of view, that’s the right direction,” he said, pointing to container lines which have invested in warehouses, trucking companies, consolidation businesses, ports and logistics capacity. I think a lot of shipping carriers, they learn something from the logistics service providers. They don’t build any vessels, but they make some profit. “But shipping carriers, they buy a lot of assets, but the money they earn every year is not the same as those logistics service providers earn.”

 

Taking Control of Parcel Delivery

Small ecommerce businesses are hugely reliant on the quality and timeliness of parcel delivery services to ensure customer satisfaction – and growing numbers are taking control of the process by bringing parcel labelling in house, as Jay Kim, Managing Director, BIXOLON Europe GmbH explains.

Delivery Imperative

Ecommerce companies have long recognised the importance of a robust, reliable delivery experience, from offering customers delivery choice to ensuring products arrive on time. New research, however, reveals just how damaging a poor delivery experience can be: almost two thirds (63%) of frequent shoppers in the UK will abandon an online retailer over a poor delivery experience. The situation is similar in France, where 53% of shoppers will abandon a retailer, dropping to 38% of German shoppers. Improving the shipping and delivery processes, therefore, has a very significant value. Yet from extended queues at Post Offices, to damaged barcodes and labels leading to parcels being returned, rather than arriving with the customer, many smaller businesses continue to struggle to achieve the level of delivery certainty required to support essential customer promises.

With Post Offices closing and the Royal Mail offering a parcel pick up service, many companies are reviewing delivery strategies and taking responsibility for their own parcel and post labelling.

Efficient and Green

Investment in technology such as label printers has, of course, always been an option, but traditional products had some limitations – such as the need to print several labels on one sheet of A4. The latest generation of linerless label printers is completely changing the experience for small businesses. These printers, which use a roll of sticky labels that require no backing, provide a new level of flexibility.

Labels are not pre-cut, allowing companies to print labels of any size. This means that all the information required – including barcodes, addresses and product safety information – can be included in a single label. Furthermore, linerless labels are far more robust, which means barcodes are safer from the damage caused by rain water, sunlight or scratches, leading for far greater delivery certainty.

In addition, linerless labels also support companies’ sustainability goals. The lack of plastic liner ensures businesses comply with the EU directive on packing and packaging waste. In addition, because labels are cut to size there is no wastage. And with the price of linerless labels dropping significantly in recent years, there is no additional cost associated with the green approach.

Post Office Improvements

Linerless label technology is also helping postal services to improve their delivery experiences. In Europe, postal workers are using mobile linerless printers for ‘you were out’ parcel delivery information. Rather than the scrawled paper notes that customers can struggle to decipher, a postal delivery person can print the time of delivery, location of parcel for collection and opening times on the label, which is then attached to a paper card and posted through the letterbox. The linerless technology ensures there is no plastic wastage that has to be carried – or dropped – making the process much easier and safer to manage.

In addition, this technology is being used to offer self-service access to services within Post Offices. Kiosks are becoming ever more popular, allowing people to pay for shipping and print their address labels in the Post Office – and reducing the pressure on queues. Critically, printer manufacturers are leveraging the vast amounts of data collected from diverse printer products to deliver the new levels of printer reliability that are essential in any self-service experience.

Ecommerce businesses increasingly need to offer flexible delivery options to entice customers to buy – and ensuring delivery promises are met is key to achieving repeat business. Whether through self-service kiosks or in-house printing, small businesses that embrace the chance to take control of the printing process, especially the use of robust and sustainable linerless labels, can achieve another level of vital delivery certainty to reinforce the end-to-end customer experience.

Taking Control of Parcel Delivery

Small ecommerce businesses are hugely reliant on the quality and timeliness of parcel delivery services to ensure customer satisfaction – and growing numbers are taking control of the process by bringing parcel labelling in house, as Jay Kim, Managing Director, BIXOLON Europe GmbH explains.

Delivery Imperative

Ecommerce companies have long recognised the importance of a robust, reliable delivery experience, from offering customers delivery choice to ensuring products arrive on time. New research, however, reveals just how damaging a poor delivery experience can be: almost two thirds (63%) of frequent shoppers in the UK will abandon an online retailer over a poor delivery experience. The situation is similar in France, where 53% of shoppers will abandon a retailer, dropping to 38% of German shoppers. Improving the shipping and delivery processes, therefore, has a very significant value. Yet from extended queues at Post Offices, to damaged barcodes and labels leading to parcels being returned, rather than arriving with the customer, many smaller businesses continue to struggle to achieve the level of delivery certainty required to support essential customer promises.

With Post Offices closing and the Royal Mail offering a parcel pick up service, many companies are reviewing delivery strategies and taking responsibility for their own parcel and post labelling.

Efficient and Green

Investment in technology such as label printers has, of course, always been an option, but traditional products had some limitations – such as the need to print several labels on one sheet of A4. The latest generation of linerless label printers is completely changing the experience for small businesses. These printers, which use a roll of sticky labels that require no backing, provide a new level of flexibility.

Labels are not pre-cut, allowing companies to print labels of any size. This means that all the information required – including barcodes, addresses and product safety information – can be included in a single label. Furthermore, linerless labels are far more robust, which means barcodes are safer from the damage caused by rain water, sunlight or scratches, leading for far greater delivery certainty.

In addition, linerless labels also support companies’ sustainability goals. The lack of plastic liner ensures businesses comply with the EU directive on packing and packaging waste. In addition, because labels are cut to size there is no wastage. And with the price of linerless labels dropping significantly in recent years, there is no additional cost associated with the green approach.

Post Office Improvements

Linerless label technology is also helping postal services to improve their delivery experiences. In Europe, postal workers are using mobile linerless printers for ‘you were out’ parcel delivery information. Rather than the scrawled paper notes that customers can struggle to decipher, a postal delivery person can print the time of delivery, location of parcel for collection and opening times on the label, which is then attached to a paper card and posted through the letterbox. The linerless technology ensures there is no plastic wastage that has to be carried – or dropped – making the process much easier and safer to manage.

In addition, this technology is being used to offer self-service access to services within Post Offices. Kiosks are becoming ever more popular, allowing people to pay for shipping and print their address labels in the Post Office – and reducing the pressure on queues. Critically, printer manufacturers are leveraging the vast amounts of data collected from diverse printer products to deliver the new levels of printer reliability that are essential in any self-service experience.

Ecommerce businesses increasingly need to offer flexible delivery options to entice customers to buy – and ensuring delivery promises are met is key to achieving repeat business. Whether through self-service kiosks or in-house printing, small businesses that embrace the chance to take control of the printing process, especially the use of robust and sustainable linerless labels, can achieve another level of vital delivery certainty to reinforce the end-to-end customer experience.

Planning Permission for Logistics Park

Planning permission has been granted for a further phase of development at Prologis Park Hemel Hempstead, Hertfordshire, UK, as a result of collaboration between leading owner, developer and investor of logistics property, Prologis UK and Dacorum Borough Council. The next wave of development will see five new units being built within Maylands Business Park, which is already home to a number of businesses, including Hermes and Vitabiotics.

Prologis UK and Dacorum Borough Council have worked closely over recent years to deliver large-scale and complex logistics property developments to the area. Prologis Park Hemel Hempstead has played an important role in supporting logistics and supply chain operations in South East England and, once complete, will see the Park grow by over 280,000 sq. ft., with the new units ranging between 19,000 and 75,000 sq. ft..

The granting of planning permission for this next phase of development forms part of a drive to deliver long-term, high-quality infrastructure, in line with the Think Hemel initiative; a vehicle to promote and drive investment for the town.

All of the new units have been designed with customer needs and sustainability in mind and will feature unique brise soleil cladding. In line with Prologis UK’s sustainability commitments, the units will all include a rooftop solar array, target an EPC A+ and BREEAM ‘’Outstanding” rating, as well as being net zero carbon in construction. Once complete, the new units will support the delivery of an additional £7 million of social value to the local area.

Construction is planned to commence in Q1 2024 and is due to be complete in Q1 2025.

Caroline Musker, Head of Planning, Prologis UK, said: “Gaining permission for our expansion to Prologis Park Hemel Hempstead is an example of what a truly effective partnership can look like. Over the years of working with Dacorum Borough Council, we have formed a deep understanding of what each other wants, resulting in the ability to deliver seamless packages of work. It is a privilege to be developing in such a great urban location and to be a part of a growing community. We look forward to seeing the units come out of the ground in 2024.”

Councillor Sheron Wilkie, Dacorum Borough Council, said: “Prologis UK continually proves itself to be a valuable and meaningful partner to the Borough, and we were pleased to collaborate in such a meaningful way on this development. The success of our partnership approach over the years has resulted in a number of swift planning applications, with the five new units at Prologis Park Hemel Hempstead the most recent. As our community continues to grow, we’re pleased to have Prologis UK grow with us, and in particular are looking forward to seeing how its developments help those in our community find work.”

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