Sustainable Supply Chain
Logistics & Distribution
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Logistics & Distribution

Logistics and distribution are THE QUICK WIN to reduce GHG emissions. Optimising mode and route, switching to low carbon intensive transport will directly contribute to greener logistics.

This section also covers warehousing, retail, last mile delivery and reverse logistics.

Optimise warehousing operations - BASIC
Cost
LOW
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MEDIUM
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HIGH
EFFORT
low
EFFORT
medium
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HIGH
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low
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Whether you own/rent your own warehouse or pay for warehousing services, a best-in-class green warehouse would consider the following green initiatives at the operations level:

  • Reducing stock holding is the fastest way to reduce the carbon impact of warehousing.
  • Investing in a Warehouse Management System to maximise storage and reduce the number of trips made by the handling equipment.
  • For fuel-based of mechanical handling equipment, reduce fuel consumption, carry out appropriate maintenance, provide fuel efficient driving training. At end of life, replace with electric MHE (ensuring the electricity used is low carbon).
  • Measuring waste (tonnes/sqm per day), % of waste recycled, reducing waste (reduce inventory disposal due to overproduction, obsolescence, faulty product / go paperless / use eco-friendly packaging).
  • Responsible sourcing of store pallets, labels and packaging.

200 tons CO2e

is emitted by a fuel-based forklift over 10 years.

(bchydro.com)

ADDITIONAL RESOURCES
Suppliers that provide solutions:
Environmentally friendly packaging manufacturer
Greenpac

Greenpac offers environmentally friendly packaging solutions in Asia, especially pallets with its RSCP™ Pallet. They are made to use few material to light weight and decrease freight costs, to be reused or easily recycled.

Reseller & Reuser of containers
Hock Ann Seng Industries

Hock Ann Seng Industries Pte Ltd is a company based in Singapore which organises the cleaning for reselling/reuse of industrial containers such as metal drums, plastic drums, Intermediate Bulk Containers (IBC).

Optimise transportation of purchased goods (inputs) and final products (outputs) - INTERMEDIATE
Cost
LOW
Cost
MEDIUM
Cost
HIGH
EFFORT
low
EFFORT
medium
EFFORT
HIGH
IMPACT
low
IMPACT
MEDIUM
IMPACT
HIGH

There is one area of immediate opportunity that organisations can leverage for CO2 reduction: operational efficiency in transport. Operational efficiency is usually aligned to cost reduction. Adding CO2 impact to the decision-making process can lead to real reduction opportunities.  

Three of the main areas of focus around efficiency are Mode, Fill, and Fuel:

  • MODE: Achieving an optimal mix of modes used is probably the biggest opportunity especially if there is high reliance on air freight. Air freight can easily generate 50 times or more CO2 per tonne shipped than ocean freight.  The optimal mode of transport needs to be assessed, with the idea being to shift to lower CO2 modes where possible, such as air to sea or road to rail. In addition, looking at multimodal solutions, such as air-sea solutions for intercontinental shipments, can reduce CO2 and costs, with medium lead-times.
  • FILL: Increasing the utilisation of cargo, usually more targeted at ocean and road freight. The goal here is to maintain high capacity-utilisation of containers and trucks (optimising loads in terms of weight and volume, possibly partnering with complementary products) and to minimise empty miles (e.g. empty return trips). This can have a significant impact on CO2 through reduced use of assets resulting in fewer kilometres travelled. Shifting from owned fleet to transportation providers often helps optimise loads and routes to reduce overall carbon emissions.
  • FUEL: Increasing fuel-efficiency, primarily applicable to road freight. As the goal here is to continually improve the overall fuel efficiency of the fleet, through asset renewal programmes to ensure compliance with the latest emission standards, route optimisation through a TMS (Transport Management System), driver training programmes, fuel loyalty programmes with companies investing in green energy or carbon offsetting, or other initiatives.

8 Giga tons of CO2

are emitted each year by the transport sector globally.
(statista)

46%

of the transport sector emissions are related to the sole transportation of goods (road, sea, air and rail).
(statista)

ADDITIONAL RESOURCES

The very basic formula for calculating CO2 related to transportation is a (weight * distance * CO2 emissions factor) calculation. This is important to remember as any of these three parameters can be drivers on the CO2 reduction journey.

Here is a carbon calculator for logistics.

Suppliers that provide solutions:
Enabling airfreight carbon emission calculation and reduction strategy with Cargo2ZERO
Cargo AI

Cargo2ZERO, our latest sustainability solution available via APIs integrates and accelerates climate action into the airfreight procurement process. By integrating CO2 emissions data in your decision-making process, we help you select the most CO2 efficient airfreight options and reduce emissions via direct purchases of Sustainable Aviation Fuel (SAF) during the booking flow.

Operates: Worldwide

Swap to renewable energy sources for transportation - INTERMEDIATE
Cost
LOW
Cost
MEDIUM
Cost
HIGH
EFFORT
low
EFFORT
medium
EFFORT
HIGH
IMPACT
low
IMPACT
MEDIUM
IMPACT
HIGH

The main entry points for renewables in the transport sector are:

  • The use of biofuels blended with conventional fuels, as well as higher blends including 100% liquid biofuels;
  • Natural gas vehicles and infrastructure converted to run on upgraded biomethane; and
  • The electrification of transport modes, including through the use of battery electric and plug-in hybrid vehicles or of hydrogen, synthetic fuels, and electric fuels, where the electricity is itself renewable.

95%

of energy in transport is from fossil fuels in 2018.
(SLOCAT)

ADDITIONAL RESOURCES
Suppliers that provide solutions:
Enabling airfreight carbon emission calculation and reduction strategy with Cargo2ZERO
CargoAi

Cargo2ZERO, our latest sustainability solution available via APIs integrates and accelerates climate action into the airfreight procurement process. By integrating CO2 emissions data in your decision-making process, we help you select the most CO2 efficient airfreight options and reduce emissions via direct purchases of Sustainable Aviation Fuel (SAF) during the booking flow.

Operates: Worldwide

Select or Build optimised warehousing facilities - INTERMEDIATE
Cost
LOW
Cost
MEDIUM
Cost
HIGH
EFFORT
low
EFFORT
medium
EFFORT
HIGH
IMPACT
low
IMPACT
MEDIUM
IMPACT
HIGH

Whether you own/rent your own warehouse or pay for warehousing services, a best-in-class green warehouse would consider the following green initiatives at the building level:

  • Adherence to the Code for the Environmental Sustainability of Buildings drafted by The Building  and Construction Authority of Singapore which has largely adopted the  Green Mark’s criteria as the compliance method for assessing the environmental performance of a building development. At the end of the construction the building receives a Green Mark score for its environmental performance.
  • Adherence to a recognised environmental management system such as ISO14001, possibly with a certification such as Green Mark Platinum or Energy and Environmental Design Gold Certification can be a good start to improving carbon emissions. Some warehouses claim to be carbon net-zero and need to justify this (CarbonZero, CEMARS certification).
  • The design and construction of a warehouse is the preferred stage to optimise future energy consumption of the facility: use of eco-concrete and other green building materials, orientation of the building to maximise daylight source and minimise heat from the sun, building vertically,  layout to minimise travel, maximise greenery around the warehouse, collection of  rainwater for gardening or toilets, use of water efficient sanitary ware.
  • Next is the energy of the building. Obtaining the electricity consumption (in kWh/sqm) is a good way to benchmark the energy efficiency of the warehouse. Then, switching to a utiliy provider or electricity plan that uses renewable energies rather than gas/fuel-mixed power from the Singapore grid is another good way to reduce the carbon impact.
  • Utilising the roof or land area to install photovoltaic panels is a great way to reduce the carbon impact of the warehouse operations.
  • Energy efficiency can be improved with an efficient air conditioning system, cooling system, roof and window insulation, solar shading, solar water heating.
  • Investing in a Building Management System (BMS) with automatic control of solar blinds and sun louvres, automatic control of windows for natural ventilation, automatic control of plant and systems, integrated with lighting control system, temperature control and door control. A BMS can provide an energy and water monitoring system and help identify areas for improvement.
  • Switching to LED lighting where required
  • Consideration with regards to neighbourhood inconvenience (noise, odour, dust).

14

warehouses in Singapore currently hold a Green Mark certification.
(SLEB)

ADDITIONAL RESOURCES

The Green Mark certification scheme was launched in January 2005. It is a green building rating system designed to evaluate a building’s environmental impact and performance. It provides a comprehensive framework for assessing the overall environmental performance of new and existing buildings to promote sustainable design,and best practices inconstruction and operations in buildings.

Most existing air-conditioning systems use refrigerants from the HFC gas family (hydrofluorocarbons) which are extremely harmful to the environment. The detection of gas leakage and the recovery of refrigerants at end of life is crucial to avoid GHG emissions to the atmosphere.
For new built, it is encourage to opt for low Global Warming Potential refrigerant gases such as R32 or R290.

Singapore has a roadmap to reduce emissions from refrigeration & air-conditioning

Suppliers that provide solutions:
Reducing energy consumption in buildings
Beez.fm

We are beez-fm, a Singaporean head quartered Facility Management company specialized in the delivery of BMS as a Service (BaaS). Thanks to our state-of-the-art technology, smart devices, IoT, Cloud and Artificial Intelligence, we deliver highly efficient and innovative BMS solutions, without initial investments from the customer.

Our model is based only on OPEX fees, which are a portion of the energy savings realized on the customer’s building, a rent-to-own solution allowing customers to save energy and money from day one without any investment nor risk. An evolved and matured version of the old ESCo (Energy Saving Contracting) concept.

Operates in: Singapore, Australia, Thailand, Philippines, Malaysia

Sustainability Solutions Provider
Saxon Renewables

At Saxon Renewables, headquartered in Singapore, we focus on providing sustainable solutions to organizations looking to reduce their carbon footprint and greenhouse gases emissions. We offer services in the form of sustainability consulting and reporting, solar power purchase agreements (PPA) as well as environmental attribute solution such as carbon credits and Renewable Energy Certificates (RECs).

Operates in: Malaysia, Singapore

End-to-End sustainability and Energy Efficiency intelligence platform
Faradai

Company providing End-to-End sustainability and Energy Efficiency intelligence services.

It contains three main components:

Faradai Sustain helps enterprises achieve and report on their Net Zero goals, improve data visibility, and utilize AI to provide actionable insights.

Faradai Energy is a data science-centric Intelligence Platform that employs machine learning algorithms and big data analytics to provide energy saving, operational efficiency, energy procurement optimization, predictive maintenance, and sustainability management for its customers.

Faradai Grid is orientated directly to Renewable Energy Sources, EV infrastructure, and BESS management.

Products & Services to reduce your company's footprint
Bizsu

Bizsu helps companies grow while reducing their environmental footprint by offering innovative, exclusive and regional solutions to reduce air-conditioning energy consumption (25% reduction on average)

Energy monitoring & Smart IoT solutions
EcoXplore

With more than 15 years expertise, EcoXplore provides integrated automation, smart meters and IoT products in Singapore.
Their solutions range from Datacentres Infrastructure Management (DCIM) and Energy Management System (EMS) to Building Management System (BMS) and Lighting Control Management System.

Optimise packaging in logistics and distribution - INTERMEDIATE
Cost
LOW
Cost
MEDIUM
Cost
HIGH
EFFORT
low
EFFORT
medium
EFFORT
HIGH
IMPACT
low
IMPACT
MEDIUM
IMPACT
HIGH

Optimizing packaging for sustainability involves a combination of strategic planning, material selection, design considerations, and operational practices. Here some steps that you can take:

  • Choose sustainable materials such as recycled cardboard, paperboard, or biodegradable/compostable plastics and prioritize materials that are easily have a lower environmental impact throughout their lifecycle.
  • Design packaging to be minimalist, using only the necessary amount of material to protect the product and optimize dimensions to minimize empty space and reduce transportation costs and carbon emissions.
  • Explore options for reusable secondary packaging, such as containers or boxes that customers can return for refilling or recycling.
  • Collaborate with suppliers to source sustainable packaging materials and explore innovative solutions throughout the entire supply chain, from production to disposal.
  • Ensure compliance with relevant standards and requirements in your country / region to minimize environmental impact and avoid penalties.
  • Regularly review and update your packaging strategy (continuous improvement) to incorporate new technologies, materials, and best practices.

38%

only of cardboard and paper waste were recycled in Singapore in 2020.
(NEA)

900 million

Kilograms of plastic waste are discarded every year in Singapore.
(WWF)

ADDITIONAL RESOURCES
Suppliers that provide solutions:
Planet-centric innovation and design consultancy
Chemistry

Chemistry is an independent, B-Corp Certified strategic design consultancy based in Singapore and Amsterdam. Established in 2000 with the belief that great ideas come from the synergy of people, we bring together a diverse and multi-talented team of innovators and designers.

We are conscious of the impact we create, for communities, organisations, and the planet. Our expertise has been helping companies from a broad range of industries find breakthroughs to complex systemic challenges.

Design can be a powerful tool for change. With people and the planet at the centre of our work, circularity has become a tenet of who we are. We're committed to playing an active role in creating a meaningful impact with design.

Operates in: Singapore, Amsterdam

Zero Waste Consultants
Zero Waste City

Zero Waste City is an engineering consulting business specialised in waste reduction for commercial and industrial facilities. They help businesses to save money by reducing waste and to achieve Zero Waste goals. Their services include:

  • Waste audit
  • Grant funding application
  • Reporting
  • Regulatory compliance
  • Project management
  • Training
  • Guidance towards Zero Waste certification
Plastic Reduction Platform
Sourcegreen

We help Brands quit plastic: TRULY sustainable packaging sourcing and consultancy.

Operates: Worldwide

Environmentally friendly packaging manufacturer
Greenpac

Greenpac offers environmentally friendly packaging solutions in Asia, especially pallets with its RSCP™ Pallet. They are made to use few material to light weight and decrease freight costs, to be reused or easily recycled.

Wood Pallets manufacturer
LHT Holdings Limited

LHT Holdings Limited is a manufacturer of wooden pallets, boxes and crates in Singapore. In addition to the manufacturing business, they also organise the recycling of wood products to be repaired, reused, or recycled into new wood products.

Paper recycling, waste paper import, pre-consumer waste export
ST Paper Resources Pte Ltd

ST Paper Resources have more than 20 years of experience as a paper recycling, importer of waste paper and exporter of pre-consumer waste.
The company operates from its 40,000 sqft office and factory with a computerized automated system, consisting of fully automated two-ram balers with the capability to bale up to 50 tons of recyclable material per hour.

Besides collection, recycling and trading, they provide off-site confidential shredding services and a wide range of compactors and specialist containers - request a free audit for your business needs.

Reduce your emissions for last mile delivery services - INTERMEDIATE
Cost
LOW
Cost
MEDIUM
Cost
HIGH
EFFORT
low
EFFORT
medium
EFFORT
HIGH
IMPACT
low
IMPACT
MEDIUM
IMPACT
HIGH

Singapore is a unique market where many consumers have their food or products delivered to their homes. E-commerce has grown significantly in the last few years, providing a convenient way for many Singaporeans to shop.

Opting for a Sustainable Last Mile Delivery (or GLAD - green last mile delivery) is mainly about taking action:

  • Using a fleet of electric vans or considering bicycles/e-bikes for smaller items. There is a new approach for two-wheel delivery fleets using battery swapping technology. Singapore currently has 3,600 charging points for electric vehicles nationwide, with a target of 60,000 points by 2030. While the national grid is still highly carbon-intensive, it is important to remove carbon emissions from residential areas and concentrate them in power plants. In addition to reducing air pollution, EVs also reduce noise pollution.
  • Optimising delivery routes using a last-mile technology system (shared assets (vehicles) and driver pool, traffic data, bundling deliveries to one customer, offering customers an eco-delivery with a slight delay).

One area to watch in the coming years is drone delivery, which will dramatically reduce the carbon footprint of delivery.

60,000

EV charging point will be available in Singapore before 2030.
(LTA)

ADDITIONAL RESOURCES
Suppliers that provide solutions:
Make some impactful changes to your retail store - ADVANCED
Cost
LOW
Cost
MEDIUM
Cost
HIGH
EFFORT
low
EFFORT
medium
EFFORT
HIGH
IMPACT
low
IMPACT
MEDIUM
IMPACT
HIGH

Retail is the interface with the end customers. Going green in this space helps to raise awareness among a wide audience.

Green retailing is the  practice of running your business with eco-friendly processes. Below are some sustainable practices in retail that can be implemented:

  • Sell greener/ethical products
  • Use environmentally friendly POS displays (wood-based decor and displays), choose paints containing low levels of volatile organic compounds (VOCs), bring houseplants into your store,  switch to bulk dispensers,
  • Reduce your waste, avoid using single-use items, offer biodegradable bags, eliminate paper receipts, reuse boxes and other packaging materials, rescue food and decrease food waste
  • Offer in-store recycling programmes (customers can bring in their plastic waste and receive a voucher for various products in your store or a discount)
  • Make some eco-friendly store upgrades (automatic light sensors in bathrooms and stockrooms, LED light bulbs, water-efficient sinks and toilets)

88%

of consumers express that they will stay loyal to a company placing importance on sustainability.
(Forbes)

ADDITIONAL RESOURCES
Suppliers that provide solutions:
Empowering sustainability with Data
Custos

Custos provides data intelligence on carbon handprint and carbon emissions reduction to help improve corporate sustainability initiatives, starting with employee-related activities.

Operates in: Singapore and Taiwan

Planet-centric innovation and design consultancy
Chemistry

Chemistry is an independent, B-Corp Certified strategic design consultancy based in Singapore and Amsterdam. Established in 2000 with the belief that great ideas come from the synergy of people, we bring together a diverse and multi-talented team of innovators and designers.

We are conscious of the impact we create, for communities, organisations, and the planet. Our expertise has been helping companies from a broad range of industries find breakthroughs to complex systemic challenges.

Design can be a powerful tool for change. With people and the planet at the centre of our work, circularity has become a tenet of who we are. We're committed to playing an active role in creating a meaningful impact with design.

Operates in: Singapore, Amsterdam

Food Surplus Application
Yindii

Yindii is a mobile app connecting quality restaurants, bakeries, hotels & grocery stores with surplus food to consumers. Merchants sells “surprise bags” at affordable prices that customers can pickup at the end of the day. It’s a WIN-WIN-WIN for the merchant, the consumer and the planet. Yindii operates in Singapore, Thailand and Hong Kong.

Operates in: Hong Kong, Thailand and Singapore

Implement green solutions applicable to your reverse logistics - ADVANCED
Cost
LOW
Cost
MEDIUM
Cost
HIGH
EFFORT
low
EFFORT
medium
EFFORT
HIGH
IMPACT
low
IMPACT
MEDIUM
IMPACT
HIGH

Reverse logistics refers to the supply chain process of returning products from end users back through the supply chain to either the retailer or manufacturer.

Challenge: In reverse logistics, a company must expect its products to be returned from multiple origin sources, the volumes will be far less than those going down through forward logistics and handling costs will be much higher than the generic logistics because the assortment of returned goods is irregular, unlike manufactured goods.

Opportunity: customers benefit from a positive experience, it reduces customer waste and represents a "free" input back into the company's production process. The circular economy is the way forward, so the sooner a company embraces the change and rewires the supply chain, the higher the ROI will be.

You could:

  • Start by defining your returns policy & process
  • Rewire your manufacturing or refurbishment process
  • Set up a repair or maintenance business
  • Partner with a logistics provider
  • Re-think your packaging for returns
  • Manage product end-of-life

x3

the reverse logistics market is expected to triple by 2030.
(Precedence Research)

ADDITIONAL RESOURCES

- DELOITTE - Sustainable manufacturing From vision to action. Read, Page 18, example 3 on reverse logistics.

Suppliers that provide solutions:
Planet-centric innovation and design consultancy
Chemistry

Chemistry is an independent, B-Corp Certified strategic design consultancy based in Singapore and Amsterdam. Established in 2000 with the belief that great ideas come from the synergy of people, we bring together a diverse and multi-talented team of innovators and designers.

We are conscious of the impact we create, for communities, organisations, and the planet. Our expertise has been helping companies from a broad range of industries find breakthroughs to complex systemic challenges.

Design can be a powerful tool for change. With people and the planet at the centre of our work, circularity has become a tenet of who we are. We're committed to playing an active role in creating a meaningful impact with design.

Operates in: Singapore, Amsterdam

Buddies - Experience sharing

The « green journey » may feel overwhelming sometimes, but you are not alone.

Our Buddies have tried, succeeded, failed to implement change in their companies. They share their experience so you can learn, take shortcuts, get inspired and ask questions.

Everybody can become a Buddy and give back to the community; if you are keen, get in touch with us.

Violaine Balland
Head of Procurement - Wilhelmsen Ships Service

I am a leader in Procurement with over 15 years of experience spanning diverse industries such as Energy, Rail and Maritime across regions including Europe, Australia and Singapore. I believe Procurement has the huge responsibility to influence the supply chain to make a difference for our planet and communities. This belief fuels my passion and elevate my ambitions. There are countless opportunities to embed sustainable practices in Procurement, which fascinates me!

Countries where Violaine can help you: Australia, Singapore

Adrien de Buttet
Sustainable Supply Chain Transformation - Greenfinity

In 2023, I co-founded Greenfinity, a Singapore-based supply chain sustainability venture focusing on sustainable and low-carbon transformation for supply chains. The objective is to help people and companies strategize their sustainability action plans to make a difference for the planet, the people, and the business.

I have a background in industrial engineering and supply chain management and 20 years of multi-national company experience in Europe and Asia, driving best-in-class logistics, manufacturing, customer services, and planning processes (S&OP/IBP).  With climate change becoming an additional consideration to supply chain management over the past decade, I decided to help supply chain professionals juggle between achieving the best service, optimal cost, cash efficiency, and now decarbonization.

Countries where Adrien can help you: Japan, Singapore

Naomi Vowels
Director - givvable

I am Naomi, currently co-founder & director of givvable. I started my career as an Australian diplomat with postings in East Timor, Thailand and Switzerland then moved into private banking where my interest in ESG and sustainability was seeded.

Today my company helps businesses screen and track the sustainability profile of their suppliers to help them achieve their goals and targets.

Claire Chabrières
Founder – ShiokFarm

Entrepreneurial by nature, Claire started ShiokFarm in 2015 when realising the high prices for organic fruit and vegetables in Singapore. Based on the French AMAP model, in which Farmers and a community create a partnership in order to reduce food waste and cost, ShiokFarm aims to provide families and offices in Singapore with affordable organic fruit and vegetables while reducing food waste.

Starting with a small Facebook group, Claire has succeeded in making ShiokFarm an outstanding organic business. ShiokFarm received its BCorp certification in 2023.

Quentin Dumas
Sustainable Value Chain Strategy - Accenture

I have over 15 years experience in Responsible Value Chain. I started as a Sustainable material experts to slowly cover the entire Value chain and life cycle of products.

Countries where Quentin can help you: APAC

Zofia Chlapowski
Stakeholder Engagement

I have more than 20 years experience leading change and transformation in Europe, Africa and Asia. I have had the privilege of managing and contributing to diverse industries, organisation (Humanitarian and corporate) to secure engagement and impact. In my last role I worked in a large MNC supply chain environment engaging external partners to increase our impact in sustainability.