GREEN LOGESTIC

PRESENTED BY- PREETI

ASTHA

MANISHA

TOPIC TO BE COVERED…..

• Introduction of green logistic

• Drivers of green logistic

• Green logistic management

• Control and compliances

• Responsiveness of green logistic

Environmental problem

Out of 1,62 billion tons of truck emission in Europe.

The availability and price of fuel.

Up to 80% of warehouses energy consumption is due to lightning.

252 million tone of packaging is used annually in the consumer

industry- half paper, half plastic.

Production of the paper required 7million trees to be felled.

Aerodynamic drag is responsive of 40% of fuel consumption of

heavy duty trucks of motorway speed.

Truck represent 80% of the group’s road emissions.

….but there exists a way

to minimize them..

….Green Logistics!

Introduction of Green logistics

Logistics are at the heart of the operation of modern transport systems systems and implies a degree organization and control over freight movements that only modern technology could have brought into being.

Greenness has become a code word for a range of environmental concerns, and is usually considered positively. It is employed to suggest compatibility with the environment, and thus, like logistics is something that is perceived as beneficial.

When put together the two words suggest an environmentally friendly and efficient transport and distribution system.

Cont…The main objective of Green logistics is to coordinate the activities

within a supply chain in such a way that beneficiary needs are met at

"least cost" to the environment.

It is a principle component of reverse logistics. In the past “cost” has

been defined in purely monetary terms, where-as "cost" can now also

be understood as the external costs of logistics associated with:

climate change

air pollution

dumping waste (including packaging waste)

soil degradation

noise

vibration

accidents

• Green or sustainable logistics is concerned with reducing

environmental and other negative impacts associated with the

movement of supplies.

• A good example of one Logistics aspect that poses great risk to

the environment is packaging.

• Packaging represents one of the greatest challenges to

environmental friendly logistics while at the same time being

vital in shipping and storage.

• Correct or incorrect packaging has consequences for how

much of a product can be stored, how it is stored and or

transported in a given space. This can increase to the unit cost

if the packaging hinders optimization of storage space.

Environmental Management Systems

(EMS)

• Logistics and transport activities have been identified as

having a major impact on the environment in which we all

live.

For example, excess carbon emission has changed the

environmental landscape, by destroying the ecosystem.

Indigenous forests have thinned out and changed rain patterns

thus impacting farming and food production.

• Consequently logistics and transport have attracted significant

legislation at both national and international level.

Cont…The ISO 14000 series of standards provides a formal system for the

management of environmental matters.

The ISO 14000 family addresses various aspects of environmental

management.

The very first two standards deal with environmental management systems

(EMS).

ISO 14001:2004 provides the requirements for an EMS.

ISO 14004:2004 gives general EMS guidelines.

The other standards and guidelines in the family address specific

environmental aspects, including:

labelling.

performance evaluation.

life cycle analysis.

communication and auditing.

Drivers of Green logistics

Mounting energy costs.

Increasing power and fuel costs, together with the cost of related raw materials used in infrastructure building and functioning has led to chances for looking into green alternatives that can significantly lead to a reduction in the price. Reducing the power consumed by IT apparatus, energy efficient lighting and cooling, recycling can help develop the bottom line in business financial sheets.

Worldwide alarms among corporate over GHG (Green House Gases) emissions.Many corporate policies now consist of targets for decreasing their impact on the surroundings. With IT equipment, infrastructure and people having a significant footprint in any business today, identifying and lowering its impact is becoming very important. Green IT is thus as important to an industrial manufacturer as it is to a telecom or an IT services organization.

Climate change

Global Warming impacts weather, ice-caps and glacier. On an average, mountain glaciers and snow cover have reduced in both the northern and southern hemispheres. This widespread lowering in glaciers and ice caps has contributed to observed sea level rise.

Regulations such as EPA (Environmental Protection Agency)

Green IT knowledge and concerns are leading to the development of legislations along all the areas. For example ROHS (Restriction of Hazardous Substances)

Improved community awareness of

environmental issues.

• Widespread consciousness is likely to lead to privileged choices in vendor selection based on Green IT practices. A flourishing Green IT tactic is largely reliant on an end-to-end obedience across supply chains, along-with sharing the best procedures in companies across the supply chain.

Challenges

Implementing Green Logistics has never been easy. Some of

the challenges that Consumer Goods Organizations could face

are as follows:

I. Lack of information about the green supply chain best

practices:

The organizations might be left with a limited view because of

lack of information on decree and green supply chain best

practices. As previously construed investments costs do not

play a big role.

2. Lack of tools to optimize the supply chain with environmental

management:

Though there are plenty of tools available for supporting Green Supply chain initiatives, the challenge lies in selecting the right tool for a particular initiative.

3. Advent of global sourcing making tracing of carbon footprint difficult:

Since the advent of global sourcing, tracking the carbonfootprint of finished products have become difficult. However,the practice of requesting carbon footprints from suppliers isslowly progressing. One of the examples is the carbondisclosure project that is being piloted by 11 multinationalsincluding Dell, L'Oreal and Unilever. The project asksparticipating organizations to request carbon footprintinformation from suppliers and promote emission reductionmeasures across the supply chain.

Possible Areas for Improvement

Areas where improvement can often be made are:

reduction of water wastage by using simple water recycling methods;

avoidance of pollution of watercourses with run-off from fuel dispensing areas by using interceptor tanks;

careful management and monitoring of other hazardous chemicals on site;

keeping pallet stacks tidy; and

better management of the production, collection and disposal of waste.

Cont…

For vehicles, consider the following:

driver training reduces accidents and improves fuel

consumption;

monitor fuel consumption;

monitor vehicle utilization in terms of both payload and empty

running;

follow preventative maintenance programmes as a poorly

serviced vehicle uses more fuel; and

dispose of used tyre casings responsibly.

Drivers of Green logistics

Mounting energy costs.

Worldwide alarms among corporate over GHG (Green House

Gases) emissions.

Climate change.

Regulations such as EPA (Environmental Protection Agency)

Improved community awareness of environmental issues.

Green logistic companies

• Fujitsu• HP Logistics

• BALAJI MARILINE PVT LTD

• SKS Transport Company

• Om Murugan Packers & Movers

• SARASWATI LOGISTICS CARRIER

• JET COURIER & CARGO SERVICES

• MATA RANI PACKERS AND MOVERS

• NEEL VIMAL CARGO PVT LTD

• NTL logistics plus

CASE....

Fujitsu at a Glance

• Fujitsu is the leading Japanese information and communication technology (ICT) company offering a full range of technology products, solutions and services.

• World's third-largest IT services provider and No.1 in Japan.

• Over 170,000 Fujitsu people support customers in more than 100 countries.

• Consolidated revenues of 4.5 trillion yen (US$54 billion) for the fiscal year ended March 31, 2012.

Continued….

• Fujitsu customers include nearly half the Fortune Global 500.

Products…..

Fujitsu offers a full range of highly reliable computing and communications products and advanced microelectronics to deliver added value to customers.

Fujitsu’s approach to green logistics….

Fujitsu activities for green logistics began in July 2003 when they launch a working group to promote environmental prevention activities in logistics.

Focus areas were…..

1. To measure transport related CO2 emissions.

2. To study and promote specific activities towards reducing them.

Green logistics committee was formed in April 2006.

Targets….1. Procurement to product transport.

2. Delivery

3. Recovery

Goal….1. To enhance partnerships with transporters, group

companies and retailers.

2. To promote the reduction of environmental load.

3. To create environment friendly logistics that maintains a balance of cost, lead time and quality.

Fujitsu is meeting requirements of Revised Energy Conservation Law

Greenhouse Effect Gas Emission in Japan

Characteristics of products logistics

Activities towards reducing transport related CO2

Eco-Friendly Logistics Model

Joint Activities with Logistics Partnerfor Storage Improvement

Expand Modal Shift (1)

Expand Modal Shift (2)

Expand Modal Shift (3)

Other Activities

EMS in FujitsuSTRUCTURE FOR ENVIRONMENTAL ACTIVITIES