Carbon Footprint Monitoring in the Logistics Chain
Arviem AG announced the launch of its new service, real-time carbon footprint monitoring in the logistics chain to support sustainability initiatives of clients. Arviem’s carbon emissions reporting is calculated based on effective transport data instead of the less accurate planning data.
Sustainability initiatives are gaining momentum. As many stakeholders including customers, investors, and employees are showing an increased interest in monitoring the business practices of organizations with regards to sustainability, many forward-looking companies are recognizing that sustainability is beneficial for all: it is good for the planet, appreciated by consumers and investors and leads to cost savings and improved brand image.
The transport and the shipping of goods is responsible for a large proportion of greenhouse gas emissions in the value chain. Fuel consumption, maritime transport and refrigeration of goods are energy intensive and costly.
“We are able to help clients optimize the utilization of various transport modes across their supply chains and analyze the performance of their carriers and third party logistics providers,” said Stefan Reidy, CEO of Arviem. “This not only provides business intelligence but also saves money while lowering the impact of transport on the environment.”
The new feature of Arviem’s cargo tracking and monitoring service enables organizations such as Douglas Products to gain visibility into the environmental impact of the movement of their goods across the supply chain by using Arviem’s monitoring devices.
“Knowing where our product is located is a key part of our stewardship practices,” said Heather Kern, Commercial Leader at Douglas Products. “The Arviem solution makes sure we are able to track our product around the globe.”
Research shows that supply chains can be responsible for up to four times the greenhouse gas emissions of a company’s direct operations, while transport is the second highest emitter of greenhouse gases worldwide as reported by Eurostat. Considering that transport represents such a significant share of greenhouse gas emissions in the supply chain, it is crucial for organizations to account for the impact of their logistics processes in the environmental analysis of their supply chains.
Companies understand that lowering the carbon footprint in their supply chain can not only substantially contribute towards the company’s sustainability initiatives, but it has also quantifiable business effects such as lowering operational costs. To find out where carbon emissions are concentrated in the logistics chain and develop and put in place reduction plans, organizations need quality metrics and assurance. However, measuring the complete carbon footprint across a global supply chain is challenging, it is a complex task that is time and resource intensive.
The solution developed by Arviem enables exporters, importers, distributors and manufacturers of goods to understand what’s going on in their supply chains with regards to environmental impact with granularity down to each individual shipment. Companies can use the tools developed to monitor the carbon footprint in the logistics chain to make key business decisions, to reduce energy use and to lower their carbon footprint.
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