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SUSTAINABLE LOGISTICS
MOVES INTO THE SPOTLIGHT
Sustainability can no longer be treated as a footnote. But done properly, it can build
goodwill and increase business. And there are companies that can do the work for you.
There was a time when many companies treated sustainability
as a voluntary effort, something akin to a public relations
campaign that conveyed the message of responsible stewardship
of the environment.
That changed when a growing number of businesses saw
requests for proposals that, for the first time, contained detailed
questions about their sustainability programs. It changed further
when competitors, suppliers and customers started to forge their
own sustainability initiatives. It changed further still as social
media, which can break reputations in the blink of an eye, targeted
corporate sustainability as a way to put a company’s perception of its
image and brand in play for all to evaluate.
Sustainability practices are no longer optional. Business can be
won or lost on the strength of a bidder’s environmental strategy.
The perception of being a corporate polluter can wreak havoc on
a brand’s value, with devastating impacts on shareholder wealth
and a business’ ability to invest. At the same time, recognition as a
company that makes products in the most sustainable fashion can
be a huge boon to value and wealth creation.
For those in our field, the stakes are even higher. Transportation
typically accounts for the lion’s share of a company’s supply chain
carbon footprint. Your internal and external stakeholders will hold
you accountable for how this is addressed and resolved.
As a global logistics provider that operates nearly 94,000 vehicles
in more than 220 countries around the world, UPS is keenly aware
of these challenges and uniquely qualified to lead the charge to
build more efficient and sustainable supply chains, both globally
and locally. In addition to the more than 1,800 facilities, UPS is also
among the world’s top 10 airlines. In the first quarter of 2013, it
shipped, on average, more than 16 million parcels and documents
each day across its single, optimized global network. Furthermore,
it provides nearly nine million customers with daily pick-up and
delivery services.
Today, more people demand more goods and services than
ever before. To increase the economic vitality and environmental
sustainability of the global economy, UPS aggregates the shipping
and supply chain activity of millions of businesses and individuals
worldwide in the most efficient, sustainable way possible. Because
UPS is committed to sustainable excellence in its own operations,
it can deliver almost anything, anywhere more efficiently than a
customer would be able to do on their own. And that’s good for
business and the planet.
It is analogous, in some respects, to the Y2K fervor at the turn of
the last century. That the new millennium came without incident led
many to deride the preparation as much ado about nothing. Lost
in the controversy was the notion that January 1, 2000 became
a non-event because companies had already taken the steps to
upgrade their I. T. tools and processes. Many of those enhancements
still benefit businesses today.
The path to environmental awareness is not an easy one. Corporate
sustainability went mainstream only a few years ago. The roadmap is
relatively new, and the development of Best Practices, though now
well underway, has yet to fully mature. Companies, especially those
in the publicly traded realm, question the importance of projects that
involve significant time and investments in capital and resources, but
may not produce what the C-suite sees as an adequate return.
Then there are the complexities of the supply chain itself. A multinational manufacturer might move many thousands of parts; it has
thousands of suppliers, customers and manufacturing and distribution
locations across the globe. The size and scope of these organizations
make it difficult to implement sustainability programs in a uniform way.