While many retailers and consumers are currently focused primarily on the sustainability of the materials and manufacturing processes that go into retail environments, studies conducted by the Environmental Protection Agency (EPA) show that ground freight is a major source of greenhouse gas emissions. Ground freight is responsible for about 20 percent of carbon dioxide emissions from all transportation sources—and at the same time uses about 20 percent of all energy consumed by the transportation sector.

“Everyone involved in the supply chain of manufacturing, transporting, and selling of goods has an impact on the environment,” says Sam Anderson, president of Bay & Bay Transportation in Rosemont, Minn. “Transportation is involved at a variety of different stages—as raw materials move to manufacturers, as goods are shipped to warehouses, and as final shipments are made to the retail destination. In transportation, trains, planes, ships, and trucks produce carbon emissions—we all need to take greater responsibility for reducing our carbon footprint.”

Adds Colleen Chapin, sales manager at UniGroup Inc., Fenton, Mo., “When packing, moving and storing items that are earth–friendly and recyclable, it almost seems counterproductive to load them into a gas–guzzling machine for transport!”

“The industry as a whole has yet to recognize the impact that transportation and logistics can play in the greening of retail,” continues Tom Beard, vice presidentof marketing and sales for Fenton, Mo.–based Champion Logistics Group. “More focus is being placed on the manufacturing process versus the logistics side even though green/sustainable practices by green logistics providers can show significant reductions in energy use.” Champion, at the request of client Nike, became an early participant in the EPA’s SmartWay Transport Partnership, which requires participants to meet certain criteria set by the Environmental Protection Agency before a carrier can be certified. (Many of A.R.E.’s member transportation companies are now involved in this program that focuses on fuel efficiency and facility improvements.) But many transportation companies believe the tide is turning. “By the end of the year, more shippers will be asking what the transportation company is doing to reduce the carbon footprint of your clients and your company,” says Craig Olsen, president of Progressive Transportation Inc., based in Wausau, Wis.

Toward Greener Transportation
Here are steps that A.R.E.’s member transportation companies are taking in order to make moving and storage more environmentally friendly.

1. Packing materials
Transportation companies are taking steps to reduce—and in some cases eliminate—use of cardboard boxes. Many reuse cardboard, bubble wrap, plastic cartons, pallets, and other materials. As Bob Thomas, president of Jacksonville, Fla.–based Suddath Transportation Services, notes, this not only extends the life of the materials used in transportation and warehousing but also reduces the cost associated with disposal of packaging that is used only once. Many companies, including Suddath, promote reusable blanket wrap as a way to eliminate packaging materials, such a crates, cardboard, Styrofoam, and bubble wrap.

Progressive’s Olsen agrees. “Today, most companies shrinkwrap, carton, and/or skid fixtures for transportation. Our equipment allows the product to be padded, loaded, and delivered without any of the extra materials, plastics, and paper wrapping that many manufacturers believe are necessary,” he says.

Reducing solid packaging provides an additional benefit for fixture manufacturers and suppliers, says Teresa Wilcox, marketing manager of STI Delivers in Fort Wayne, Ind. “This allows for more space on the trailer, and the ability to deck the trailer enables customers to recognize a cost savings by maximizing the cargo space.”

2. Reducing CO2 Emissions
One of the highest priorities in reducing emissions is to stop trucks from idling. Perkins Logistics of Noblesville, Ind., for example, provides trailer pools so manufacturers and suppliers manufacturers can pre–load instead of having a driver live–load with a truck idling for three to four hours.

Idling practices that reduce CO2 emissions also prevent waste of expensive fuel. “Not having too many vehicles idling waiting to load or unload at a client’s facility can save hundreds of gallons of fuel per week,” says Debra Pluchino, vice president of GMG Transportation Inc., in Deer Park, N.Y. Other practices to prevent idling may be as simple as purchasing Pre–Pass or EZ–Pass transponders to avoid stopping, starting and idling at weigh stations and tollbooths.

Incorporating Smart Phone technology so van operators are always reachable, and extra stops to call in to dispatchers are eliminated. “We offer our drivers auxiliary power units, which are truck generators, allowing drivers to idle using their truck accessories, but using one pint of fuel per hour instead of one gallon per hour,” says Tony Russo, senior vice president of Indianapolis–based Perkins Logistics.

3. Warehousing and offices
Efficiency improvements in facilities, including energy–efficient lighting, also contribute to greener operations overall. Champion Logics Group now uses electric forklifts to move products around its warehouse. DAVACO Retail Services, based in Dallas, uses fans to circulate air in its warehouse in the summer and operates only 30 percent of its heaters in the winter to meet the minimal heating requirements and minimize electricity usage. Adds CEO Rick Davis, “Our warehouse is lit 100 percent by skylights during standard operating hours. When artificial lighting is used, it is primarily at nighttime for security purposes.”

Many transportation and logistics companies are reworking their entire office practices, from using recycled materials to rethinking how communications and transactions are handled. Many companies discourage the use of paper, such as faxes and paper invoices. DAVACO’s corporate green policy includes a paperless initiative and an employee awareness and education campaign with a “green” employee intranet. UniGroup’s board of directors now mandates the use of TransDocs, an automated document imaging system that allows for paperless transactions. Other efficiency efforts employed by many transportation companies include GPS, RFID, and a variety of online invoicing and communications strategies.

Computer–modeled loading and routing makes it possible for transportation companies to handle shipments efficiently across the retail supply chain. “This reduces the amount of diesel consumed as well as reduced greenhouse gas emissions from wasted movements,” says Paul Sherman, director of business development for Beltmann Group, Atlanta.

Focusing on efficiency and consolidating shipments reduces the number of trucks needed to deliver products, particularly when it comes to retail rollouts, notes GMG’s Pluchino. “This reduces fuel consumption, congestion driving, and mileage,” she says. “Efficiency in today’s world equates to conservation, consolidation, and eliminating wasteful practices.”

Efficiency relies on good communications between the manufacturer, the carrier, and the end user, adds Progressive’s Olsen. “Sometimes shipments are fasttracked only to reach the destination and find that the installer or general contractor is not ready for the product,” he says. “Or companies will wait until the last minute to ship, thus causing the driver to go as fast and as far as legally possible. A truck going 70 miles per hour may only get 5.8 miles per gallon while a truck going 62 miles per hour may get 7.3 miles per gallon. The better the scheduling, the less the carbon footprint of everyone.”

Ultimately, perhaps rising fuel costs will mean transportation and logistics companies will find more alternatives that will minimize costs and at the same time improve the environment. The next few years will certainly see more changes that will affect all in the retail business.