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8/3/2019 FAROUQ Amine Green Logistics Report
1/15
GREE
GREE
CARB
BEST
By
UPPLY CH
AN INSTRU
FOR TAC
LIMATE CHFAROUQ Amine
1st Year Logistics
N LOGISTICS
N LOGISTICS vs TRANSPORT S
ONE EMISSIONS IN A SUPPLY
PRACTICES
IN AS
MENT
LING
ANGE
2011
ngineering
STEMS
HAIN
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SOMMAIRE
INTRODUCTION .......................
AIM OF THIS REPORT...............
WHAT IS GREEN LOGISTICS? ..
THE PARADOXES OF GREEN L
CARBON EMISSIONS IN SUPPL
MEANS OF FREIGHT TRANSPOR
LOGISTICS AND ENVIRONMENT
POSSIBLE AREAS FOR IMPROV
CASE STUDY:TECHNOLOGY AN
CONCLUSION: ........................
.....................................................................
.....................................................................
.....................................................................
GISTICS IN TRANSPORT SYSTEMS: .................
CHAIN..........................................................
T IN EUROPE: ................................................
AL BEST PRACTICES .....................................
EMENT...........................................................
D ORGANISATION IN PARIS .............................
.....................................................................
..................... 2
..................... 2
..................... 3
..................... 4
..................... 5
..................... 7
..................... 9
................... 11
................... 13
................... 14
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INTRODUCTION
Logistics represents an importa
aim is to improve the cost, effici
a supply chain. However, trans
impact leading to high fuel c
movement vibrations and acci
proportions that the sustaina
discussions all over the world.
In this context, the concept of
with Reverse Logistics whicsignificance.
Green logistics is quickly gaini
chain management. Logisticians
issues, and international legislati
all aspects of business.
AIM OF THIS REPORT
This report aims to discuss th
transport industry related Green
in a supply chain, freight bes
practices and technologies that
transport impacts in general.
I will explore how logistics activit
tackled. Analysis of the most
Logistics T
t link in the present transportation systems. The
ncy and reliability aspects along different links in
port movements have a negative environmental
nsumption emissions, increased noise levels,
ent rates that have now reached such high
ility issues have become a real subject of
Green Logistics takes its place in relationship
is a particular aspect and assumes great
ing resonance throughout logistics and supply
are becoming more and more aware of green
ion is being introduced and applied world-wide to
significance of the concept of green logistics,
House Gas (GHG) emissions, carbon emissions
t practices, and finally numerous sustainable
could improve efficiency and reduce negative
ies can improve the way climate change is being
elevant measures to achieve Green Logistics,
ransportSupplyChain
l
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focusing on the essential best p
meet the challenge of reducing
WHAT IS GREEN LOGIS
Green logistics is a form of lo
friendly and often takes into con
functions.
Logistics involves the movem
materials and final consumer of
delivering a product which will
possible cost. A variety of cre
reduce overall costs. In transp
Supply chain management, wa
and safety inspections are all a
Indeed, the words that make
meaning, but combined, they for
Ultimately, Green Logistics can
practices and strategies that re
freight distribution. It focuses
packaging and transport.
Here is a figure that explains
consequences on the environme
actices, to identify the most promising actions to
HG emissions.
ICS?
istics which is supposed to be environmentally
sideration social aspects in addition to economic
nt of products from every step between raw
a finished product. One of the keys of logistics is
satisfy consumers requirements at the lowest
ative measures can be used to cut costs and
ortation we speak about itinerary optimization.
rehousing, retailing, manufacturing, distribution
art of logistics.
p the title of this paper are each loaded with
m a term that is particularly evocative.
be defined as part of Supply chain management
duce the environmental and energy footprint of
on material handling, waste management,
reen Logistics according to Economy and its
nt and society.
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THE PARADOXES OF GREEN LOGISTICS IN TRANSPORT
SYSTEMS:
If we analyse the main characteristics of a logistical system, we can show several
basic paradoxes that are discussed below:
Costs: The purpose of logistics is to reduce costs, notably transport
costs. In addition, economies of time and improvements in service
reliability, including flexibility, are further objectives. Companies that are
involved in the physical distribution of freight are highly supportive of
strategies that enable them to cut transport costs in a competitive
environment. Most of the time environmental costs are externalized. This
means that these costs have to be absorbed by the final consumer (e.g.
environmental tax). Society in general and many individuals in particular,
are becoming hostile to the idea of accepting these costs.
Time / Speed: In logistics, time is very important, we should be reactive.
By reducing the time of flows, the speed of the distribution system is
increased, and consequently, its efficiency. This means that logistical
activities impose increasing air freight and trucking. Flexibility in logistics
& industrial production is mainly represented by two principal concepts:
Door-To-Door (DTD) services, mostly coupled with Just-In-Time (JIT)
strategies. On the other hand, Last-Mile-Logistics (LML) or Urban
Logistics (UL) requires the use of panel vans that cause traffic jams in
cities. In short, the more DTD and JIT strategies are applied, the further
the negative environmental consequences of the traffic it creates.
Reliability: Service reliability is considered as the heart of logistics. This
success is based upon the ability to deliver freight on time with the least
threat of breakage or damage. Logistics providers often achieve these
objectives by utilizing the modes that are perceived as being most
reliable. Unfortunately, the least polluting modes are generally regarded
as being the least reliable in terms of on-time delivery, lack of damage
and safety. Ships and railways have inherited a reputation for poor
customer satisfaction, and the logistics industry is built around air and
truck shipments which are the two most polluting modes of transport.
Warehousing: Logistics is an important factor promoting globalization
and international flows of commerce. Modern logistics systems
economies are based on the reduction of inventories, as the speed and
reliability of deliveries removes the need to store. Consequently, a
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reduction in warehousing demands is one of the advantages of logistics.
This means however, that inventories have been transferred and
integrated in a certain step of transport system, especially the roads.Inventories are actually in transit, contributing still further to congestion
and pollution. The environment and society, not the logistical operators,
are assuming the external costs. Not all sectors are following this trend,
however. In some industrial sectors, computers for example, there is a
growing trend for vertical disintegration of the manufacturing process, in
which extra links are added to the logistical chain. Intermediate plants
where some assembly is undertaken have been added between the
manufacturer and consumer. While facilitating the customizing of the
product for the consumer, it adds an additional external movement of
products in the production line.
CARBON EMISSIONS IN SUPPLY CHAIN
Successful companies have expanded their field of vision to take into account
processes and operations of the companies that they buy from (Suppliers &
subcontractors), and companies that they sell to (Customers). This has allowed
them to adopt a collaborative approach with their partnerships, and to take
efficient decisions about how to run their own operations. Many benefits have
been seen: improved productivity, increased efficiency, reduced waste, lower
capital requirements etc.
Managing the carbon footprint of products across the supply chain is the next
step for business to take in the effort to reduce carbon emissions and mitigate
climate change.
Industry is responsible for 29% of the greenhouse gas emissions, and
transportation for more than 30% of which 8% is from freight transportation.
Supply chains drive nearly 45% of greenhouse gas emissions.
So transport constitutes a significant portion of logistics activity and is
responsible for more GHG emissions than the other activities notably industry, so
it can be an instrument to achieve wider GHG reduction objectives.
GHG emissions across different freight transport modes are presented below:
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The schema below (cf. figure 1)
Carbon is emitted through tran
and production activities.
Here is a schematic representat
proportional carbon footprint as
3% 2%
describes the different steps in carbon emissions
portation, facility lighting, heating, and cooling,
ion of the supply chain of a can of cola, and its
n illustrative case in point.
93%
% 1%
Road
Civil avi
Inland
Railway
Other
Figure 1freight t
Figurcarb
:
ation
avigation
: GHG emissions forransport modes
e 2: Different steps ofns emissions
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The cola example illustrated in t
the contribution that each of the
carbon footprint of the product.
to the manufacturing processes
on all the steps in the supply ch
can of cola.
This approach, often called carb
reasons why emissions are gen
emissions, do not occur in isola
different products or services.
For more details concerning wh
please refer to appendix 1.
MEANS OF FREIGHT TR
European road freight
There are several changes in p
to the fact that this sector is in
reliable for door-to-door services
The European Union has been
freight transport movements bet
market economics. In fact, the
is figure illustrates carbon emissions and shows
steps along the supply chain makes to the total
he total carbon emissions are not just those due
or those due to food miles but should be based
in to produce, use and dispose of or recycle the
on life-cycle analysis, helps us to understand the
rated across the economy. Processes, and their
tion but are always part of the supply chains for
re we can find carbon footprint in a supply chain,
NSPORT IN EUROPE:
transport
licy and regulation regarding road transport due
total progress, and notably for its ability to be
.
hrough a total liberalisation of international road
een different states, based on principles of free
standardisation and harmonisation of regulation
Figure 3: Carbon fooa cane of cola.
l
tprint in
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made it simpler for logistics service providers to participate in international road
solutions.
Technology also helps transport operators limit the amount of pollutants in the
road freight sector through the regulation of engine emissions (Euro standards)
for new goods vehicles. In addition, states have agreed on a maximum weight
(gross weight and axle weight) and vehicle dimensions (length and height) limits1.
European rail freight transport
In order to struggle against the negative environmental impacts that come
principally from the growth of road transport (congestion, accidents and
considerable ground and atmospheric pollution), EU decided to open the rail
freight market to competition).
Even so, where a physical cross-border connection does exist, one of the biggest
infrastructure constraints for international rail flows is the different track gauges in
the construction of the rail system in each country. Where gauges differ, time and
cost are added to the rail cross-border transfer since goods have to be
transferred between rail wagons or the axles on the wagons have to be changed
for onward transport on the other gauge.
Another infrastructure-related issue is that of differing voltages on electrified
lines, which has traditionally required a change of locomotive at border crossingswhere electric locomotives are used. In many cases, diesel locomotives are used
for cross-border services.
So the biggest obstacles to the development of rail freight transport are related to
infrastructure harmony. If European Railway Agency develop and introduce new
standardised technologies and working practices, rail freight could be more
competitive with road.
European waterways freight transport
The freight passing through European ports is increasing constantly. Around 90%
of the European Unions trade with third countries passes through the ports of
Europe, with some 3.2 billion tonnes of freight being loaded and unloaded
annually. The European Unions seaports play a vital part in ensuring the
competitiveness of both its internal and external trade.
1The maximum weight for road trains and articulated vehicles with two- or three-axle
trailers is 40 tonnes. For three-axle motor vehicles with a two- or three-axle semi-trailercarrying a 40 foot ISO container, it is 44 tonnes.
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However, because shipments
European Union are treated in
maritime transport between Meand physical inspections by cust
To rectify this situation, the Eur
European maritime transport a
number of administrative proc
between European ports. The c
the European Union is to set up
sustainable development and
modernisation. The moderni
new customers and make
intermodal solutions for Eur
Ultimately, to meet logistic
of reliability and effectivene
to be very important on diff
that:
LOGISTICS AND ENVIR
The objective of this topic is to
costs arising from negative eco
of goods by sea between the ports of the
the same way as shipments to third countries,
ber States involves many documentary checksoms, health, veterinary, plant health, etc.
pean Commission has introduced the idea of a
rea with a view to eliminating or reducing the
edures that apply to goods shipped by sea
ommon aim of the initiatives already adopted by
a framework enabling European ports to achieve
to obtain the investments they need fo
sation of port facilities should help attrac
a crucial contribution to providing real
pean carriers.
and transportation requirements in term
s, the use of multi-modal transport seems
rent sides. Here is a schema that explains
NMENTAL BEST PRACTICES
provide some basic guidelines to help reduce
omic impact on the environmental, and achieve
Figure 4: Intermodal
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a more sustainable balance between economic, environmental and social
objectives that we talked about before.
Environmental Management Systems (EMS)
We have identified Logistics and transport activities as a major part of the
percentage of impact on the environment. For this reason, logistics and transport
have attracted significant legislation at both national and international level.
Targets for improving environmental performance have been set mainly by the
international community via the Kyoto protocol.
The most well know series of environmental quality certification are ISO 14000
standards.
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.
Monitoring
Once an EMS is set up, it is then formally monitored through an auditing process,
which will identify corrective action that will need to be implemented. This
process should encourage a commitment to continuous improvement in
environmental management as well as ensuring that the organisation will meet its
legal and moral obligations.
Performance Measurement
Organisations with environmental management systems will attempt to monitor
their performance, and simple measures might include:
Miles per gallon of fuel used;
Average life of tyres expressed in miles;
Percentage of tyres remoulded or re-grooved;
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Amount of waste lubrication oil generated by the operation;
Utilisation of vehicle load space expressed as a percentage;
Percentage of miles run by vehicle empty;
Targets for reducing waste packaging.
POSSIBLE AREAS FOR IMPROVEMENT
Areas of intervention for green logistics:
Area Actions within the area
Supply Chain Organisation
Reduce the number of links in the supply chain
Reduce the average length of links
Optimise routes
Despeed supply chains
Information and Communication Technology (ICT)
Reverse logistics/Recycling
Product and packagingrationalisation
Product design
Packaging optimisation
Vehicle utilisation
Use more space-efficient handling systems
Adopt more transport-efficient order cycles
Intercompany collaboration / Co-loading
Fuel efficiency through
driver behaviour
Drive efficiently
Raise standards of vehicle maintenance
Improve fleet management
Technological innovation Fuel efficient engines; aerodynamics; weight; tyres
Modal shift Rail and waterborne
Communication initiatives Training and communication
Compensatory measures Energy efficient buildings
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Further potential meas
In the short term, the contribut
modest, but in the longer term,
of oil increases and truck ma
actions such us optimisation of
better consolidation of consi
associated fuel consumption.
Areas where improvement can o
reduction of water wasta
avoidance of pollution o
areas by using intercept
careful management a
site;
keeping pallet stacks tid
Better management of t
For vehicles, we can consider th
driver training reduces a
monitor fuel consumptio
monitor vehicle utilisatio follow preventative ma
vehicle uses more fuel;
Dispose of used tyre ca
Analysis of the distribution
patterns, as depicted in the
following figure, shows that t
three transport legs are req
to bring the product from the
manufacturer to the shop or
consumer.
Figure 5: Distribution
analysis
ures and ideas
ion made by technological innovations may be
tronger innovations can be expected if the price
ufacturers intensify their R&D activities. Some
tour planning, increase of loading factors and
nments will reduce vehicle kilometres and
ften be made are:
ge by using simple water recycling methods;
f watercourses with run-off from fuel dispensing
or tanks;
d monitoring of other hazardous chemicals on
;
e production, collection and disposal of waste.
e following:
ccidents and improves fuel consumption;
;
in terms of both payload and empty running;intenance programmes as a poorly serviced
ings responsibly.
wo or
ired
the
flow
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CASE STUDY: TECHNOL
Core of the action: The action c
goods and reducing the impac
congestion and pollution.
The actors involved were Chron
Ministry of Transport.
Last-mile urban deliveries of g
from the Vehicles Reception Poi
the decrease of CO2 is due tw
organisation.
OGY AND ORGANISATION IN PARIS
onsisted of organising the last-mile deliveries of
s of urban freight transport in order to reduce
opost (a subsidiary of la Poste) and the French
ods were made by electric vehicles, travelling
int (platform of proximity) to the final destination:
o-thirds to new vehicles and one-third to better
:
Figure 6: Green transportorganisation (same item)
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CONCLUSION:
Industrial processes have beco
products and the incorporation
organisation forms explain the
flow economy, characterised by
cycle that enables more frequen
triggers the specialisation of pro
goal is to adapt offer to dem
increases and stocks are red
responsive, respect delivery tim
e more complex due to changes in demand for
of innovation in products. These new industrial
eath of the stock economy and the birth of the
personalised products with a faster production
renewal of all products. Moreover, this evolution
duction units of large regions of production. The
nd with best production costs, so productivity
ced. Freight flows must be fast, regular and
s and result in lower costs.
l
Figure 7: Green transportorganisation (many items)
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