Sustainable
Transport
Delivering Fewer
and Friendlier Miles
This session covers…
•
Our Ambition
•
Background to sustainable transport project
•
The Sustainable Transport Road Map
•
Call to Action
•
Questions
The issue…
Why sustainable transport?
• Environment
20% CO2 reduction 2020 – EU Target
Why sustainable transport?
• Scarce resources
Oil price development is unpredictable
• According to EU-Bulletin, the price for gas oil
automobile (for 1000 l) increased about 6% from JAN2005 to DEC-2008, and has decreased since. Oil
price volatility forces manufacturers and retailers to
look for alternatives to fossil fuels.
1.600
1.500
1.400
1.300
1.200
1.100
1.000
900
Ja
n
Fe 200
b 5
M 200
ar 5
Ap 200
r 5
M 20
ay 0 5
2
J u 005
l
Au 20
g 05
Se 200
p 5
O 200
ct 5
D 200
ec 5
J a 200
n 5
Fe 200
b 6
Ap 200
r 6
M 200
ay 6
J u 200
n 6
2
J u 00
l 6
Au 20
g 06
O 200
ct 6
N 200
ov 6
D 20
ec 06
J a 200
n 6
M 200
ar 7
Ap 200
r 7
M 20
ay 0 7
J u 200
n 7
2
J u 00
l 7
Se 200
p 7
O 200
ct 7
N 200
ov 7
D 20
ec 07
Fe 200
b 7
M 200
ar 8
Ap 200
r 8
M 20
ay 0 8
J u 200
n 8
Au 20
g 08
Se 200
p 8
O 200
kt 8
N 20
ov 0 8
20
08
800
Why sustainable transport?
• Social - disposable
income
EU Inflation Rate (Source eurostat)
4,5
4,0
3,5
3,0
2,5
2,0
1,5
1,0
0,5
20
08
-0
7
20
08
-0
4
20
08
-0
1
20
07
-1
0
20
07
-0
7
20
07
-0
4
20
07
-0
1
20
06
-1
0
20
06
-0
7
20
06
-0
4
20
06
-0
1
20
05
-1
0
20
05
-0
7
20
05
-0
4
20
05
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1
0,0
Sustainable transport project team
Retailers (8):
•
Alliance Boots, Asda Wal*Mart, Carrefour,
Coop Italia, Cora, Metro, Rewe, Tesco
Manufacturers (17):
•
Bacardi, Barilla, Beiersdorf, Cadbury,
Colgate, Energizer, Henkel, Kimberly-Clark,
Kraft Foods, L’Oréal, Mars, Nestlé, PepsiCo,
P&G, Reckitt-Benckiser, Sara Lee, Unilever
Service Providers (7):
•
DHL, Emonscargo, Frode Laursen, Kühne &
Nagel, LKW Walter, Number1 Logistics
Group, Isotrak
National ECR’s and other organisations (7):
•
ECR Denmark, France, UK
•
GCI, GS1, EuroCommerce, Institute of
Logistics
Our ambition for this project…
•
Inspirational
•
Inclusive
•
Practical
•
Deliverable
Inspiring hundreds of
companies to deliver fewer and
friendlier miles
To help companies in the
consumer goods supply chain to
reduce the environmental impact
of transport in Europe, in a way
that is socially and economically
sustainable, demonstrating
commitment to make a difference
now!
Deliverables
• A roadmap listing all best practice areas
• A self-assessment tool
– to assess your maturity in sustainable transport
operations
– to identify opportunities for improvement
• A set of case studies
• Guidance on how to overcome the challenges we
are still facing
• A set of KPIs to measure how you contribute to
sustainable transport
The Sustainable Transport
Road Map
Sustainable transport road map & self assessment tool
Efficient Load Fill
Efficient Deliveries
People
Technology
Network Design
Transport Modes
Information Sharing
Measurement
The ECR Europe Home Page
www.ecrnet.org
New: Sustainable Transport Roadmap
Click here!!
Sustainable Transport Road Map & Self Assessment Tool
Welcome Page
Sustainable Transport Road Map & Self Assessment Tool
User Guide
Sustainable Transport Road Map & Self Assessment Tool
Summary of Best Practice Themes
Example - Network design – Level 1
•The supply chain strategy is internally optimised and formulated in
isolation from other trading partners but influenced by common industry
trends
•Information exchange processes exist between some trading partners
enabling periodic tactical review and collaboration to reduce transport
miles
•An annual network optimisation review supports efficient alignment of
stores, DC's and product ranges but is unsupported by network planning
software
Example - Network design – Level 4
•Regular supply chain strategy reviews between all major trading partners
•Common systems platforms exist between most major trading partners
•Commercial frameworks between trading partners to enable right
behaviour
•Continuous improvement programme for optimal alignment of stores,
DC’s and product ranges
•Physical distribution network has in-built flexibility to respond to changes
without increasing road miles
•Reducing road miles is the minimum hurdle rate decision criteria for all
supply chain change projects, sourcing decisions and network design
strategies
Sustainable Transport Road Map & Self Assessment Tool
Results Page
Measurement – Metrics, Savings calculator & KPIs
Input metrics
•Km travelled
•Litres of fuel consumed
•Tonnes carried / lifted
Savings calculation
A pragmatic tool has been developed to assist in quantifying
these metrics and converting them into calculations of
estimated CO2 savings.
 The ECR UK savings calculator tool : www.igd.com/ecr
KPIs
•Empty running - % of km driven that have NO product
•Load fill - % of weight or cube of used.
•Avoiding congestion - % of running in non-peak vs. peak hours
What else have we delivered?
• A set of case studies
ECR sustainable
transport project
Case studies
What else have we delivered?
• Guidance on challenges
ECR sustainable
transport project
Challenges
Call to Action
Recap
•
The right thing
•
Practical tool kit
•
Not just theory
And what are you going to do next...
Go make a difference NOW:
• With your own fleet, or…
• With your carriers, or…
• With your trading partners