Why an Efficient Supply Chain Is a Green Supply Chain

Increasingly, customers want to work with companies that take steps to reduce their carbon footprint. For shippers, that means that building a green supply chain is no longer just an environmental concern: it’s a business imperative, too.

The good news is, one of the most important steps you can take to go green is also highly cost-effective. In fact, it’s likely something you’ve been working toward already.

To reduce emissions (and costs), focus on efficiency

In an era when people are accustomed to getting things lightning-fast, working with carriers known for their efficiency makes sense from a business perspective. But it also fulfills an environmental need: the carriers that spend the least amount of time on the road each journey use less fuel and therefore produce fewer emissions.

Finding the most efficient routes and carriers is a win-win-win situation. You’ll reduce your transportation costs, impress clients with your rapid deliveries, and build a greener supply chain, all in one fell swoop.

The best carriers to work with also tend to be the greenest

Choosing carriers known for their efficient deliveries can pay off in another way. These carriers are often faster because they’re using more up-to-date equipment.

Why does that matter from an environmental viewpoint? Well, the older the fleet, the more emissions it’s likely to produce. Carriers that strive to improve their fleet continuously are often equipped with sophisticated technology, including tools designed specifically with safety, fuel efficiency, and reduced emissions in mind. That technology makes these carriers more eco-friendly and more reliable to work with, resulting in fewer costly issues across the relationship.

Other cost-cutting initiatives can also contribute to a green supply chain

Route and carrier optimization aren’t the only ways for shippers to reduce their environmental impact and their costs at the same time. Load optimization also matters.

Rather than wasting money and fuel by sending a half-empty truck halfway across the country, shippers can embrace more sustainable options like less-than-truckload (LTL) shipping. LTL shipping allows for smarter shipment consolidation, reducing the number of trucks on the road—and the amount of fuel being burned.

Going green is good for business

Ultimately, building a green supply chain is good for the environment—and the bottom line.

These steps aren’t the only ones required to reduce your company’s carbon footprint, but they are a good place to start and a good way to achieve buy-in for further initiatives. When leaders see that your team’s efforts to go green have had a real and measurable impact on your transportation costs, they’ll likely be more open to conversations about how to take things to the next level. And if customers ask what your company is doing to reduce the environmental impact of its shipments, you’ll have an answer ready to go, putting their minds at ease and helping you earn their business.

CTSI-Global’s proprietary logistics technology and deep network of trusted, high-quality carriers can help you get started with adopting greener, more efficient, and more cost-effective practices. Contact us today to learn more.

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