Oct 22, 2013

Top 10 green supply chains

4 min
Who has the greenest supply chain?
10. GlaxoSmithKline (GSK) Some companies have discovered a large portio...

10. GlaxoSmithKline (GSK)

Some companies have discovered a large portion of their carbon emissions result from outside operations, for example sales and distribution. The drugs giant GSK is one which realised, regardless of whether outside operations are outsourced, the opportunity for significant carbon footprint reduction – 80 percent in GSK’s case – comes from indirect emissions, and have begun to look at how to fix it.

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9. Marks and Spencer and MAS Holdings

The British-based retailer worked with supplier, MAS, on the first of four 'eco-factories' opened in May 2008. Designed to be carbon neutral, the lingerie factory, in Thuruliya, Sri Lanka, combines energy saving devices, renewable energy, waste reduction processes and a healthy working environment. It uses 40 percent less electricity than similar factories and enabled Marks and Spencer to launch the first ever carbon neutral bra

8. BT (British Telecom)

BT has three Climate Change Procurement Principles in its Procurement Governance Framework. First is to harness the capability, diversity and innovation of its supply base for the business and encourage suppliers to reduce environmental impact (EI), secondly, that energy consumption and EI of a service is mandatory in tender adjudication and thirdly, that energy consumption and EI of any replacement service is less than its predecessor. 

7. Nike

The American sportswear brand has taken big steps to ‘green’ its supply chain. The company’s website states: “Every product and partner, every decision, every gateway, every stage from concept to reclamation adds to a near infinite ecosystem of cause and effect. To offer as much clarity into this ecosystem as possible, we’ve distilled it down to seven fundamental stages – Plan, Design, Make, Move, Sell, Use, Reuse.” 

6. Adobe Systems

In 2012, the American software company launched an environmentally sensitive redesign of its software packaging.  Plastic was abandoned in some areas and discs were packaged with one layer of cardboard overwrap instead of three, using the innovation of Martini Design, a small design company. Martini said, the aim was to “dematerialise the package while maintaining durability and a large surface area for shelf presence in stores”.

5. Toyota

In June the Japanese automaker was declared the world's Best Global Green Brand for the third year running by the 2013 Best Global Green Brands report, compiled by international brand consultancy Interbrand.

It has been one of the forerunners and has reduced emissions connected with its logistics processes, achieving results through improved assets utilisation, sharing vehicle transportation with other companies, and modal shifts.

4. UPS

American logistics Company UPS recently announced that all of the new 700 class 8 trucks it will be running from late 2013 into 2014 will be powered by liquefied natural gas (LNG). The company also provides paperless invoices for international shipments and claims to use pioneering fuel conservation strategies.

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3. Maersk Line

While it may seem crazy to include a container ship company among a green list – said to contribute 4 percent of the world’s greenhouse emissions – Maersk deserves praise for reviewing its 2,000 suppliers and signing 1,500 of them up to its Responsible Procurement. In 2012 Maersk had already reached its 2020 target of reducing CO2 emissions by 25 percent per container from 2007 levels. 

2. Johnson and Johnson

The American medical devicesand pharmaceutical goods manufacturer is a rare example of a non-tech or automotive company hitting the heights of carbon reduction. While it has an external supply chain, it claims to be committed to ensuring operations conducted on its behalf are consistent with its values.

As a participant in the Carbon Disclosure Project’s (CDP) Supply Chain Program, it encourages suppliers to measure energy use and greenhouse emissions, and develop and publicly report their reduction plans.

1. Shaklee

This little known American natural nutrition products company was the first in the world to obtain Climate Neutral™ certification and totally offset their CO2 emissions, resulting in a net zero impact on the environment.

This means that on any list, whether it is broadly about businesses or focusing in on their supply chains, as this list is, Shaklee will come top.

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The company was founded 60 years ago with Dr. Forrest C. Shaklee, whose philosophy of Living in harmony with nature fueled an ongoing movement to help people live happier and healthier.

The company is known for tackling carbon reduction before it was fashionable, going above and beyond industry standards to ensure their operations are green.

The company’s supply chain involves franchised Shaklee businesses and distributors who have to agree to follow environmental standards and to date the company has paid more than $6 billion in commissions to its distributors. 

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Aug 24, 2018

Top 10 air freight carriers

Supply Chain
James Henderson
5 min
Supply Chain |Digital runs down the world's top 10 air freight carriers
10. Cargolux Group

10. Cargolux Group

The Luxembourgish freight carrier Cargolux Group (comprised of Cargolux Airlines and Cargolux Italia, established in 2008) remained in the number 10 spot, with a total reported FTK (Freight Tonne Kilometer) equaling 7.45 bn, which represents a 7.7% expansion year-over-year. The carrier group currently operates a fleet of 30 aircraft (26 through Cargolux Airlines and an addition four through Cargolux Italia), primarily variants of the Boeing 747.


9. Korean Air

Headquartered in Seoul, Korean Air provides cargo and passenger services to over 100 destinations in 44 countries. The carrier fell from eighth place in the previous year’s rankings, with a total FTK of 7.66 bn, representing a 7.1% decrease year-over-year. Korean Air reported a net revenue of $10.7bn in 2017, also reporting a return to profitability for the first time in five years, according to Forbes.





 8. Air France-KLM

The Air France-KLM freight carrier group was founded in 1947. The group is comprised of Air France, KLM, and Martinair, and is based in Paris, France. Falling from seventh place in the Freight 50 rankings, the carrier reported a total FTK of 8.13 bn, which represents a 9.2% decrease in traffic year-over-year. The group reported a net revenue of $29.08bn at the end of 2017 and is ranked #28 on Forbes Magazine’s list of Best Employers.




7. Qatar Airways

Qatar Airways, the nationally owned airline of the Kingdom of Qatar is based in Doha, and ascended two places in the Freight 50 rankings, with a total FTK of 9.22 bn, representing a 19.6% increase in comparison to the previous financial year. The carrier’s Cargo division recently launched facilities at its hub in Doha to provide a “Seamless Cool Chain”, comprised of a “2,470 square metres Climate Control Centre situated at the airside… equipped with segregated temperature-controlled sections for storing pharmaceuticals and perishables.” This end-to-end supply chain control is expected to further improve Qatar’s standing as a leader of Middle Eastern air freight.







6. Lufthansa Group

Based in Cologne, Germany, the Lufthansa Group (comprised of Lufthansa, Swiss, Austrian, and Brussels Airlines) fell from the fourth position in the Freight 50, with a combined FTK of 9.46 bn. While this represents a 1.6% increase in traffic, year-over-year, the carrier was forced down the list by drastic growth from other German freight company, DHL. According to Forbes, Lufthansa’s revenue and net profits ($41.5 bn and $2.78 bn, respectively) in 2017 are both the highest reported by the company over a ten-year period.



5. Cathay Group

The Cathay Group (composed of Cathay Pacific Airlines and Dragonair) is headquartered in Hong Kong and its Cargo division accounts for 21% of the airline’s total revenue. The company’s first dedicated cargo flight between Hong Kong, Frankfurt, and London, was established in 1981, according to the official site. Now, Cathay Pacific’s Cargo Division services over 47 destinations worldwide. The carrier fell from the fourth position on the Freight 50 ranking, as its total FTK fell by 3.6%, to 10.21 bn. According to Forbes, Cathay Pacific experienced a second year of unprofitability, although the airline’s asset portfolio reached a record high in 2017, with a net value of $24.1bn.





4. DHL Express Group

Operating as the largest European carrier group, DHL Express Group (composed of DHL Air, DHL International, Air Hong Kong, Polar Air Cargo, ABX Air, Southern Air, Aerologic, and EAT Leipzig) rose two positions in the Freight 50 rankings. The carrier reported a total FTK of 10.56 bn, which represents an increase of 15.1% year-over-year. In 2018, at the Farnborough Air Show, DHL Express announced the purchase of 14 Boeing 777s, part of a new strategy to modernise its fleet.




3. UPS Airlines

Headquartered in Atlanta, Georgia, UPS Airlines is part of United Parcel Service, Inc. Founded in 1908, UPS is the oldest company in the Top Ten, and retained third place in the Freight 50 rankings, with a total FTK of 11.26 bn. This represents a 3.9% increase year-over-year. The Company as a whole reported a net revenue of $67.7 bn, according to Forbes, representing a continuation of a ten-year trend of continuous growth. Forbes also ranks UPS among the world’s top 100 most-innovative companies, and the world’s top 50 most-valuable brands.


2. Emirates Skycargo

The state-owned air freight carrier for the UAE, Emirates Skycargo remains in second place on the Freight 50, with a total FTK of 12.27 bn, representing a 0.4% decrease year-over-year. The carrier’s central hub in Dubai allows its 259-strong fleet to reach over 1.5 bn consumers in under eight hours. Current purchasing plans are underway for Emirates Skycargo to almost double its fleet size. According to Albawaba, “In response to increasing demand from its customers, Emirates SkyCargo introduced a range of air transport solutions specific to industry verticals including Emirates Pharma, Emirates Wheels and Emirates Fresh.” Emirates Wheels has transported close to 150 cars per month since the program’s inception.


1. FedEx Express

Founded in 1998, FedEx Express is both the youngest and largest air freight carrier worldwide, with a total FTK of 15.71 bn. Haulage decreased by 0.9% year-over-year, while revenue increased to $60.5 bn in 2016, and again to $63.8 bn in 2017, continuing an eight-year growth trend. FedEx employs 395,000 members of staff, with FedEx Express operating across twelve transport hubs globally. The carrier purchased an additional 24 Boeing 777 variants in 2018, maintaining their company’s position as the largest airline in terms of cargo haulage.





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