Environmental Engineering Reference
In-Depth Information
FUTURE RESEARCH
will increase GHG emissions on the production
side. The overall effect on the total logistical costs
along the supply chain would be hard to determine.
The nature of the trade-off is very complex. Green
logistics and supply chain management adds yet
another layer of complexity to an already com-
plex system of business relations with significant
environmental implications.
Managing logistics and supply chains is, as noted
above, an exercise in trade-offs. Also, trans-
portation is currently the sector responsible for
the largest share of carbon emissions. Bringing
down GHG emissions in transportation, through
larger loads with less frequent hauls, may serve
to increase emissions in the production sector.
Whether this ends up as a net increase or loss in
GHG emissions is a matter of further research.
Still, inventory sitting in a warehouse contributes
less of a carbon footprint than having the items in
transit (especially in a just-in-time format).
Also, companies deploying higher-cost Green
technologies are at a first-mover disadvantage but
are, at least, embarking on a learning curve which
might serve to improve the design and use of the
technology over time. Further research involves
estimating the cost of deployment, and its effect
on the bottom line of key companies. Of course,
with such information the government may be
in a better position to regulate their use and/or
subsidize companies which choose to use Green
technologies.
REFERENCES
Cooke, J. (2009). On the road to a smaller carbon
footprint. CSCMP's Supply Chain Quarterly , 40-3.
The Economist . (2010, January 2-8). (p. 43).
The Journal of Commerce , 10 (48), 8. (2009).
Theofanis, S., & Boile, M. (2009). Empty marine
container logistics: Facts, issues and management
strategies. GeoJournal , 74 (1), 51-65. doi:10.1007/
s10708-008-9214-0
U.S. Bureau of Transportation. (2008). Transpor-
tation statistics annual report .
Wright, R. (2007, February 23). Acute congestion
forces Dutch terminal to ban empty containers.
Financial Times (North American Edition) , 4.
CONCLUSION
Green logistics and supply chain management
must be primarily concerned with the environ-
mental impact of transportation. As the logistical
activity responsible for the largest share of GHGs,
and its role in facilitating the extension of supply
chains across the world, the key to controlling
GHG emissions comes from leveraging new
technology applied to transportation. Yet there are
trade-offs which occur as one logistical activity
is managed and another is adversely affected as a
result. Such technology has a first-mover disadvan-
tage unless subsidized by the government. Larger,
less frequent loads may reduce GHG emissions
from transportation but the larger productions
ENDNOTES
1
The term “Green” will be used here to en-
compass all the various environmental goals
a business might have.
2
Rail, for example, has an economy of scale
that a truck cannot match. A freight train can
move one ton of cargo about 450 miles on
a single gallon of diesel fuel.
3
Yogurt-maker, Stonyfield Farm of Lon-
donderry, New Hampshire was able to cre-
ate truckload (TL) shipments because of its
ability to negotiate minimum orders with its
downstream customers. As a result its carbon
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