Sustainability

As the volume of global trade increases, so does the environmental impact associated with the transportation of goods over long distances. Sustainable practices in cross-border logistics are therefore becoming increasingly important in Freight Forwarding: they are not only crucial for reducing CO2 emissions, but also for ensuring a sustainable global supply chain in the long term. In our blog article, we present various ways in which companies can act more sustainably in the international movement of goods.

The logistics industry faces numerous challenges when it comes to reducing the environmental impact of global goods movements. Companies must continually adapt to reduce their environmental impact while remaining economically viable. Many supply chain managers are therefore increasingly shifting their strategic focus towards the so-called Big 5 of sustainability: procurement, packaging, storage, transportation and returns. In this blog article, we explain how each of these areas can contribute to a more environmentally conscious and responsible approach.

The adoption of the European Green Deal marks a turning point in the shaping of our economic future. Through new standards for sustainability, green logistics and environmentally friendly business, Europe is to become the first climate-neutral continent by 2050 and decouple its growth from the use of resources. As part of this transformation strategy, existing laws are constantly being adapted or redrafted – with serious implications for global supply chains. We explain what companies can expect and what role digitalization will play in this context.

In view of increasing legal requirements, sanction regulations and heightened public interest, companies are strategically strengthening their focus on sustainability. Under the Supply Chain Act or the new EU CSR Directive, it is therefore not just a matter of a company’s direct environmental impact, but also of Scope 3, i.e. the indirect emissions along the supply chain. Hence, if companies seek to achieve a net-zero objective, their efforts to reduce emissions must also focus on Scope 3. We discuss how environmental aspects can be integrated into the SCM strategy in order to advance the decarbonization of the entire value creation process.

Not only are companies constantly exposed to new challenges in their operating business – they also need to remain agile with regard to increasing sustainability criteria. This enhances the willingness to rethink and adapt supply chain processes: Green logistics aims to integrate environmental sustainability into all phases of logistics activities and thus makes a positive contribution to environmental protection. In our latest article on the blog, we discuss what options companies have to implement sustainability goals along their supply chain and what challenges need to be mastered in the process.

In view of changing customer expectations and legal requirements such as the German Supply Chain Act or the new EU CSR Directive, companies are increasingly responsible for keeping environmental impacts and risks as low as possible when purchasing products or services. For sustainable procurement, the ISO 20400 standard is particularly helpful, as it addresses aspects of social and economic sustainability in addition to environmental protection. We have summarized the criteria and benefits of the ISO standard and explain what role the digitally designed supply chain plays in meeting sustainability criteria.

The planned EU Corporate Sustainability Due Diligence Directive (CSDDD) stems from a proposal by the European Commission. The legislation is intended to help reduce environmental decay and human rights violations in the globalized economy. If the CSDDD is adopted, all EU member states will be obliged to transpose it into national legislation and to amend existing provisions. So, who is affected by the so-called EU Supply Chain Act, what does it contain and how can companies be supported in its implementation?

Ever more companies are placing their strategic focus on meeting sustainability criteria: After all, in addition to the increased requirements on the customer side, there is also a growing number of legal regulations that require ecologically justifiable and resource-preserving actions. Companies that rely on environmental management in accordance with ISO (International Organization for Standardization) norm 14001 therefore have a strategic advantage. In our latest blog article, we discuss the added value that is associated with certification and which criteria are relevant.

Supply chain laws, compliance requirements, the new EU CSRD and changing consumer behavior – in view of a new awareness of sustainability and against the backdrop of legal regulations, acting in an ecologically responsible manner is increasingly becoming a strategic corporate goal. An important factor in this context is the reduction of CO2 emissions: Yet, how high are the emissions generated during the transport and delivery of goods? Where is potential for optimization in order to make transports more efficient and environmentally friendly? In this interview, Tobias Ruscheweyh, Head of Branch Group Service and Lead Sustainability & Risk Management at Hermes International, explains how companies can use the 3-phase model of Hermes International, a business unit of Hermes Germany, in order to reduce and offset their CO2 emissions when transporting goods.

Resources are finite and unequally distributed on a global scale. Thus, a shortage of or difficult access to raw materials can result in economic risks such as production bottlenecks and rising prices. In order to minimize procurement risks, conserve resources and meet increasing sustainability requirements, the reuse and remanufacturing of products and materials in a Circular Economy is becoming increasingly important. In our most recent blog post on Circular Economy, we discuss the infrastructure that is needed in order to transform a linear supply chain into a sustainable supply cycle and how logistics can support this process.