Industry TalkRegular Industry Development Updates, Opinions and Talking Points relating to Manufacturing, the Supply Chain and Logistics.
How Supply Chain Businesses Can Have Greener Operations
Sustainability is becoming more in demand with today’s customers, and more and more consumers are looking to shop with companies that have a commitment to preserving the environment. While you might think it is expensive to maintain greener operations, it can actually save you money in the long run. Here are a few ways for you to do just that.
Use a Fleet Management System
If you can’t track it, you won’t be able to improve operations, so take some time to ensure you are using a good fleet management system. One way of keeping tabs on operations is to use tracking devices, such as Samsara GPS tracking. These tools will help you choose more efficient routes, so you can save money and find the greenest way to deliver your load.
Consider Lightening the Load
Reducing the weight of each load can ensure each vehicle uses less fuel and is more efficient. Reducing it by just a hundred pounds can help the savings add up when you consider the number of vehicles and how much each is driving. Of course, ensuring each vehicle gets the best mileage possible ensures you are not emitting as much pollution into the air. When you aren’t getting great gas mileage, the engine will have more wear and tear placed on it, and this can shorten the lifespan of the vehicle. When you have to make repairs sooner, it is more likely that parts will end up in landfills.
Choose Greener Suppliers
Greener suppliers might have higher upfront costs, but they can impact the carbon footprint of your company. Consider looking into alternative suppliers so you can find another option. You might find unexpected benefits of switching to a new supplier, such as being able to appeal to a broader audience. This can help you handle competition that perhaps has not made these changes yet, customers that require a green approach will appreciate that your business does too and ignore your competitors who do not.
Proactively Monitoring Fuel Usage
Making your operations greener is all about keeping track of the amount of fuel you are using on a regular basis. if you use too much, you are making a negative impact on the environment, and it is bad for your business finances. Taking steps to understand fuel consumption will help you make better decisions so you can cut down on costs and take better care of the environment. Consider using business fuel cards to track expenses. Allowing each driver to have one of these cards allows you to avoid having to reimburse drivers for these expenses. And you can keep better track of how much each driver is using so you can catch any potential issues early on.
Expenses incurred through fuel cards all go to one account, allowing you to get a better look at the numbers to see how much fuel is being purchased by your drivers. Creating a fuel management program helps you figure out how much each driver is getting during each shift. And you might be able to restrict the type being purchased. You may limit them to getting a certain grade, allowing you to ensure the least expensive option is chosen.