Inbound Logistics | September 2009 | Digital Issue

John Westerholm is vice president of assets, Ruan Transport Corporation. 402-689-0672 • jwesterh@ruan.com

GREEN LANDSCAPE

SUSTAINABILITY IN THE SUPPLY CHAIN

by John Westerholm

Ensuring Your Carrier Promotes Supply Chain Value Through Sustainability C onsumers used to appreciate an environmental consciousness in the businesses they patronized.

chain. Hire carriers that demonstrate their sustainability strengths with pro- active, purposeful endeavors, such as: ■ Participation in government sus- tainability programs such as SmartWay. SmartWay is a voluntary collaboration between the EPA and the freight indus- try designed to increase energy efficiency while significantly reducing greenhouse gases and air pollution. SmartWay des- ignation means participating carriers work to improve aerodynamics, freight logistics, engine idling, and driver train- ing regarding fuel economy, and employ automatic tire inflation systems, among other vital initiatives. ■ Formal driver training programs. Proper training shapes drivers’ influ- ence on vehicle maintenance and fuel consumption. Carriers should also implement speed reduction policies, such as 65 mph limits, as roughly 60 percent of consumed fuel is used to over- come air resistance on the vehicle with increased highway speeds. ■ Eco-friendly facilities. New and ren- ovated terminals, maintenance facilities, and offices may be LEED-certified by the U.S. Green Building Council, which recognizes green design standards and construction practices that increase

efficiency and profitability. ■ Investment in technology and equipment. Expect carriers to use clean equipment–both in appearance and emissions controls–with the least pos- sible environmental impact. Trucks should use low viscosity, synthetic lubri- cants. Installing Auxiliary Power Units in sleeper cabs reduces emissions from idling engines. Also, attention to aerody- namics is a must, with upgraded tractor designs consuming less fuel. ■ Compliance with government reg- ulations. In 2006, Congress passed the EPA’s 2007/2010 Diesel Engine Emissions Rule requiring oil refineries to manufac- ture and sell ultra-low sulfur diesel fuel that reduces nitrogen oxide and other particulate matter emissions. As a result, new engine technologies are available to comply with the ruling, which becomes effective January 2010. Finally, ask your carriers to propose creative, value-added green objectives that your employees can implement in their work and personal lives. By work- ing toward a common goal, shippers and carriers can improve supply chain value through persistent sustainability endeavors. Sustainability is no longer a choice, but an imperative. ■

Now they expect it. Improved sustain- ability has become the right choice for corporations – economically, environ- mentally, and legally. Corporate sustainability programs should provide guidelines and mea- sures for strategies such as reducing fuel consumption, reducing or eliminating materials for disposal, and preventing pollution. Shippers formalizing and strengthen- ing their programs need to recognize the benefits of choosing carriers with the same commitment. Some shippers now require carriers to provide sustainability positioning statements and participate in government sustainability programs such as the Environmental Protection Agency’s (EPA) SmartWay Transport Partnership. As a result, carriers are increas- ingly examining their processes and implementing innovative solutions to minimize impact on the environment while achieving efficiency, responsive- ness, and cost savings for shippers. Emphasizing sustainability promotes value along every channel of the supply

28 Inbound Logistics • September 2009

FACING LOGISTICS CHALLENGES? USE IL’S 3PL EXPERTS AND

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