A More Sustainable Supply Chain with Location Analytics
August 17, 2021
Sustainability is a growing trend for many organizations. In 2021, companies sustainability is a growing trend for many organizations. In 2021, companies need to start looking at their environmental footprint or risk missing out on high-value opportunities. This becomes even more important as companies dissect the sustainability of every facet of their business. When an organization implements sustainability policies into their supply chain, they can save money and even prevent damage to their reputation.
Location intelligence can help organizations identify opportunities to implement sustainable processes. By using a data-driven approach, companies can reduce their carbon footprint by evaluating their supply chain network, considering sustainability during site selection, and understanding supplier performance.
Re-evaluate Your Supply Chain Network
To create a sustainable supply chain, organizations need to take a closer look at their supply chain network. Insights from location intelligence provide companies the information they need to understand truck traffic patterns along their supply chain. This allows them to determine where bottlenecks are occurring along truck routes and address logistics issues related to carbon emissions.
Site Selection for Sustainability
As organizations adjust their supply chains to be more sustainable, they should consider their location. According to the U.S. Green Building Council, buildings use the most energy, making up for 41.0% of emissions. Changing warehouse or plant locations can help your company reach its sustainability goals.
For example, a company decides that they want to find a better location for their warehouse. It would be more eco-friendly for the warehouse to be located in an urban area, closer to the airport and major transportation hubs. Site selection analytics driven by location intelligence can help leaders compare locations in different urban areas and decide on the best choice based on real-world insights. Let’s say that all of the locations that they have looked at met their criteria, but their suppliers were too far away. By using location intelligence, the company can analyze traffic patterns to determine proximity to its suppliers. With this real-world data, the company can select the best site for its warehouse while being mindful of its carbon footprint.
If an organization is trying to go green with its supply chain, then it’s very likely that it will want to evaluate its suppliers. Companies can use location intelligence to gain insight into supplier activity. If there is increased truck traffic at a supplier, then there is an opportunity to consolidate arrivals and shipments from vendors. This information can not only assist organizations with evaluating their current suppliers but can also help them find new suppliers to add to their sustainable supply chain.
While it is crucial to evaluate supplier performance to create a more sustainable supply chain, you’ll also need to consider all supplier touchpoints. Consider analyzing traffic at your supplier’s suppliers. Truck traffic data can then be enriched with other data sets from your suppliers. This can help you make sure that all suppliers are meeting your organization’s sustainability goals.
Location Intelligence for a Sustainable Supply Chain
While it is crucial to evaluate supplier performance to create a more sustainable supply chain, you’ll also need to consider all supplier touchpoints. Consider analyzing traffic at your supplier’s suppliers. Truck traffic data can
Location intelligence can save organizations money as well as increase ROI not only right now but in the future as well. A sustainable supply chain isn’t just a passing fad, it’s something that’s here to stay and will continue to be a benchmark for organizations in the future.
For more information on creating a sustainable supply chain using location intelligence, contact us to speak with our experts today.