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    • Trends in Green Supply Chain Practices

    Group O Blog

    Trends in Green Supply Chain Practices

    March 03, 2023
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    Tags: Supply Chain

    Trends in Green Supply ChainJoining the Global Push For a Sustainable Future

    There’s no question that the global push for a more sustainable future is impacting businesses in a multitude of ways – supply chain is no different. From investing in new modes of transportation to optimizing product packaging and circular supply chains – there are a plethora of ways businesses are optimizing their supply chains and making them more sustainable.

    In this article, we will dive into several of the most popular ways businesses are taking their supply chain practices to the next level.

    Investing in Transportation 

    Transportation is the most significant cause of greenhouse gas emissions, making it a crucial issue to address through sustainable practices. Investing in greener transportation and focusing on reducing upstream finished product freight emissions lays the foundation for the rest of the supply chain.

    For those using gas powered vehicles – there is an opportunity to switch to electric or hybrid vehicles. Between companies like Freightliner, Tesla, Nikola Motors, and Diamler, the options for shipping and delivery transportation are increasing drastically.

    For those using air freight – there is an opportunity to switch to ocean or rail freight in an effort to decrease overall emissions. As air freight is notoriously quickest, companies will need to analyze whether or not the shift from air to ocean or ground is viable.

    In all, there are several ways companies can modernize their transportation needs and make a profound impact on their carbon footprint.

    carbon emissions trading

    Circular Supply Chains

    The circular chain model aims to minimize the use of new materials and encourages reusing ostensible waste. Companies can recycle and repurpose materials to create a saleable product, giving the materials another life, which creates a circular supply chain. Circular supply chains reduce the amount of waste discarded into landfills, while also saving a company on spending costs for new materials.

    For example, the glass and metals in electrical devices (like cell phones) can be reused for the creation of new products. 

    Carbon Emissions Trading

    In an effort to limit the impacts on climate, governments have developed incentive programs to reduce greenhouse gasses. Organizations are issued an allowance for the amount of carbon emissions they can use. This incentive places a cap amount for each company, while also allowing organizations to trade their carbon credits – if some need more or less than others.

    For example, if an organization has reached their cap amount on carbon credits, they can purchase additional credits from another organization who have some leftover. This system provides flexibility, while still meeting environmental goals.

    Find Green Opportunities for Your Supply Chain Solutions

    In conclusion, new processes and technologies are constantly being developed to foster sustainable change. And with that, each business currently has the opportunity to look within and determine how it can start on a more sustainable path.

    Should you have questions regarding sustainability for your business – contact Group O today to learn more. We are happy to help you discover the green solutions you need for your supply chain. For more information on how Group O can help your company, get in touch via our website or give us a call at 866-476-8761.  

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