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Green logistics
BEENA EDWARD
BCOM ( REG)
Introduction:
Green logistics describes all attempts to measure and
minimize the ecological impacts of logistics activities.
The focus of green logistics would be to provide quality goods at lower
costs with the environmentally friendly aspect attached to it.
Examples of green logistics in the business can be: shipping
products altogether rather than in batches or it could even be recycling
and reusing a product.
Characteristics and Scope:
 Green logistics is considered compatible and beneficial to the
environment.
 It helps in an environmentally friendly and efficient transport
and distribution system.
 It helps in material handling, waste management, packaging
and transport.
 It is related to the eco-efficient management of flow of
product and information between the point of origin and the
point of consumption
Environmental problems caused by logistics:
 162 billion tons of truck emissions in Europe
 Availability and price of fuel
 253 million tons of packaging is used annually in the consumer industry
(half paper and half plastic)
 Production of paper requires 7 million trees to be felled.
 The aerodynamic drag is responsible for 40% of the fuel consumption of
heavy duty trucks at motorway speed.
Benefits :
• Improved customer satisfaction
• Reduces emissions and waste
• Higher productivity through higher motivation of the employees
• Job opportunities
• Reduced environmental impact (e.g. CO2-emissions, noise levels)
• Better utilization of natural resources (e.g. fuel, packaging)
Green logistics can be seen in:
1. Transportation
2. Warehousing
3. Value added services
Transportation
Transportation is a logistics activity with a high impact on the
environment. Most green logistics activities in transportation
generate cost reductions.
The main green practices in transportation are :
 Clean vehicles/fuel efficiency
 Modal choice (rail versus truck)
 Reconditioning and reuse of pallets and containers
 Freight consolidation
 Load optimization
Warehousing
Today’s warehouses often have eco-friendly features such as solar walls,
on-site recycling, or Heat- reducing power plants that reduce the global
impact of their operations.
The main green practices found in warehousing are :
 Clean material handling equipment/fuel and energy efficiency
 Reconditioning and reuse of pallets and containers
 Automatic warehousing systems (AWS)
 Minimization of inventories
 On-site recycling
 Product disposition
Value Added Services
Value added services are the third type of operations considered within
this analysis. Since outsourcing is currently still one of the main trends in
logistics, several value added services have evolved to meet the logistical
needs of companies.
The main green practices found are :
 Pallet and container pooling
 Packaging technologies
 Tracking and tracing
“Wal-Mart’s “Green” Supply Chain
Management by Adam Heying and Whitney
Sanzero
• Lee Scott who took control of Wal-Mart in 2000
wanted Wal-Mart to have a more economically
friendly: “Green” logistics.
• Lee Scott laid out three very ambitious goals in
which he vowed Wal-Mart would:
 Be supplied 100 percent by renewable energy in
the very near future
 Create zero waste
 Sell products that sustain Wal-Mart’s resources
and the environment
Conclusion:
According to the 2009 Wal-Mart Sustainability Report, Lee Scott was
quoted as saying,
“The facet is sustainability at Wal-Mart isn’t a stand-alone issue that’s
separate from or unrelated to our business. It’s not an abstract or
philanthropic program. We don’t even see it as corporate social
responsibility. Sustainability is built into our business. It’s completely
aligned with our model, our mission and our culture.”

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GREEN LOGISTICS

  • 2. Introduction: Green logistics describes all attempts to measure and minimize the ecological impacts of logistics activities. The focus of green logistics would be to provide quality goods at lower costs with the environmentally friendly aspect attached to it. Examples of green logistics in the business can be: shipping products altogether rather than in batches or it could even be recycling and reusing a product.
  • 3. Characteristics and Scope:  Green logistics is considered compatible and beneficial to the environment.  It helps in an environmentally friendly and efficient transport and distribution system.  It helps in material handling, waste management, packaging and transport.  It is related to the eco-efficient management of flow of product and information between the point of origin and the point of consumption
  • 4. Environmental problems caused by logistics:  162 billion tons of truck emissions in Europe  Availability and price of fuel  253 million tons of packaging is used annually in the consumer industry (half paper and half plastic)  Production of paper requires 7 million trees to be felled.  The aerodynamic drag is responsible for 40% of the fuel consumption of heavy duty trucks at motorway speed.
  • 5. Benefits : • Improved customer satisfaction • Reduces emissions and waste • Higher productivity through higher motivation of the employees • Job opportunities • Reduced environmental impact (e.g. CO2-emissions, noise levels) • Better utilization of natural resources (e.g. fuel, packaging)
  • 6. Green logistics can be seen in: 1. Transportation 2. Warehousing 3. Value added services
  • 7. Transportation Transportation is a logistics activity with a high impact on the environment. Most green logistics activities in transportation generate cost reductions. The main green practices in transportation are :  Clean vehicles/fuel efficiency  Modal choice (rail versus truck)  Reconditioning and reuse of pallets and containers  Freight consolidation  Load optimization
  • 8. Warehousing Today’s warehouses often have eco-friendly features such as solar walls, on-site recycling, or Heat- reducing power plants that reduce the global impact of their operations. The main green practices found in warehousing are :  Clean material handling equipment/fuel and energy efficiency  Reconditioning and reuse of pallets and containers  Automatic warehousing systems (AWS)  Minimization of inventories  On-site recycling  Product disposition
  • 9. Value Added Services Value added services are the third type of operations considered within this analysis. Since outsourcing is currently still one of the main trends in logistics, several value added services have evolved to meet the logistical needs of companies. The main green practices found are :  Pallet and container pooling  Packaging technologies  Tracking and tracing
  • 10. “Wal-Mart’s “Green” Supply Chain Management by Adam Heying and Whitney Sanzero • Lee Scott who took control of Wal-Mart in 2000 wanted Wal-Mart to have a more economically friendly: “Green” logistics. • Lee Scott laid out three very ambitious goals in which he vowed Wal-Mart would:  Be supplied 100 percent by renewable energy in the very near future  Create zero waste  Sell products that sustain Wal-Mart’s resources and the environment
  • 11. Conclusion: According to the 2009 Wal-Mart Sustainability Report, Lee Scott was quoted as saying, “The facet is sustainability at Wal-Mart isn’t a stand-alone issue that’s separate from or unrelated to our business. It’s not an abstract or philanthropic program. We don’t even see it as corporate social responsibility. Sustainability is built into our business. It’s completely aligned with our model, our mission and our culture.”