How do you measure and improve the carbon footprint of your product distribution and logistics?

2 How to measure your distribution and logistics footprint

The first step to improve your distribution and logistics footprint is to measure it. There are different methods and tools available for calculating the carbon emissions associated with your product's movement. One of the most common and comprehensive ones is the Life Cycle Assessment (LCA), which evaluates the environmental impacts of a product throughout its life cycle, from raw materials to end-of-life. LCA can help you identify the hotspots and trade-offs of your distribution and logistics choices, such as mode of transport, distance, fuel efficiency, packaging material, and recycling rate. You can use LCA software, such as SimaPro or GaBi, or online calculators, such as Ecotransit or Carbon Footprint, to perform an LCA of your product.

3 How to improve your distribution and logistics footprint

Once you have measured your distribution and logistics footprint, there are many ways to reduce it. Depending on your product characteristics, market conditions, and customer preferences, some of the common strategies include choosing low-carbon modes of transport over high-carbon ones, consolidating shipments and optimizing routes to minimize distance, time, and fuel consumption, using reusable, recyclable, or biodegradable packaging materials and reducing packaging size and weight, implementing reverse logistics systems to collect and reuse or recycle packaging and products after use, and encouraging customers to choose eco-friendly delivery options such as click-and-collect, locker pick-up, or carbon offsetting.

4 How to communicate your distribution and logistics footprint

Communicating your distribution and logistics footprint to stakeholders, particularly customers, can be a key factor in building trust, loyalty, and differentiation in the market. There are several ways of conveying your environmental performance, such as displaying eco-labels or certifications on your product or packaging, providing carbon information or calculators on your website or app, sharing stories or testimonials on social media or blog, and engaging customers in feedback or co-creation activities. For example, you could use the Carbon Trust Label, Environmental Product Declaration (EPD), Carbon Disclosure Project (CDP), CoolClimate Network, Patagonia Footprint Chronicles, IKEA People and Planet Positive, surveys, quizzes, or challenges to raise awareness and involvement.

5 How to monitor and improve your distribution and logistics footprint

Finally, improving your distribution and logistics footprint is not a one-time project, but a continuous process. You need to monitor and evaluate your progress and performance regularly, using relevant indicators and metrics, such as the Carbon Intensity (CI) or the Carbon Footprint per Unit (CFU). You also need to keep up with the latest trends and innovations in the field of green distribution and logistics, such as drones, robots, or blockchain. By doing so, you can identify new opportunities and challenges, and adjust your strategy accordingly.

6 Here’s what else to consider

This is a space to share examples, stories, or insights that don’t fit into any of the previous sections. What else would you like to add?