Leading Sustainability: Examining Green Logistics in Contemporary Global Business Management

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Green Logistics

Tiasha Sarkar Student, Department of Business Administration, JIS College of Engineering, Kalyani

Introduction

“The green logistics market size was calculated at USD 1,506,990.5 million in 2024 globally and is promised to grow USD 2,347,222.4 million by 2030.” As the demand for e-commerce and retail logistics is expanding, several countries in the world are experiencing a hike in green warehouses and sustainable solutions. One of the principle reasons for adopting Green Logistics is that the customers (consumers and businesses) are moving towards green business and eco-friendly approach which results into shifting towards alternative fuels or promoting the concept of a closed-loop supply chain by the enterprises.

Green Logistics defines strategies and techniques to reduce the environmental impact of the logistics network and delivery. Sustainable logistics or green logistics hold a strong foundation without giving up customer satisfaction, or the well-being of the world. Modern businesses are going to understand and adopt sustainable logistics management, guided by strong technologies such as artificial intelligence, machine learning and advanced analytics.

The Top Green Logistics Practices are as follows:

Environmental protection is becoming a crucial part of business strategy and in this era the industry of logistics and transport is no longer falling behind. Since companies are handling increased duties and responsibilities from official bodies and consumers, initiaing sustainable practices should not be a choice anymore but a necessity. Not only green logistics helps reduce the carbon footprint but also shapes operational enhancement, cuts costs, and improves the overall brand reputation. From enhanced route planning to Smart inventory management, the following practices are shaping the way for a more greener and more sustainable future in logistics world.

Top Green Logistics Practices

  • 1. Enhanced Route Planning

    Enhanced and effective route planning is necessary to minimize fuel consumption and emissions. By utilizing advanced algorithms, optimal routes are created by GPS technology, DHL, UPS and real-time data, logistics companies that reduce travel distances and avoid unnecessary traffic. This not only utilizes fuel but also enhances delivery efficiency and customer satisfaction. In Europe DHL and UPS are very common.

  • 2. Green Warehousing

    Green warehousing includes the use of energy-optimized technologies and sustainable establishing practices. Solar panels, LED lighting, and advanced coverage reduce energy consumption. India is an developing green warehousing sector in which LEED,GRIHA or IGBC certified are occupied by approximately 72 % of institutional-grade space .Energy use is enhanced by the help of automation and smart systems by handling lighting, heating, and cooling based on real-time emergency.

  • 3. Electric and Alternative Fuel Vehicles

    The acquisition of electric and alternative fuel vehicles is a significant step at sustainability. Electric trucks and vans can minimize radiations and dependency on fossil fuels. Applicable alternatives i.e. hydrogen fuel cells and biofuels are also being explored rather than exploring traditional diesel engines, which gives eco-friendly options for enterprises. In the country like the UK, Nissan’s Sunderland plant launched a 1.4M Euro EV charging hub for e-HGVs to provide power to a low-carbon fleet.

  • 4. Carbon Offsetting Programs

    Carbon offsetting programs are necessary to reduce the environmental impact due to the logistics activities in this world. These programs infuse in projects that minimize greenhouse gas emissions, such as reforestation, renewable energy. By balancing their carbon footprint, logistics companies can provide contribution to huge environmental goals.

  • 5. Efficient Load Management

    Increasing load efficiency makes sure that vehicles run at full capacity, minimizing the number of trips. Companies are helped by advanced load management systems and collaborative logistics networks to share capacity and enhance cargo space, enhancing overall efficiency. Practices are seen in countries i.e. India, Germany, Sweden.

  • 6. Reverse Logistics

    Return, refurbishment, recycling, and responsible disposal of product are focused by reverse logistics. By establishing efficient systems for handling returns, waste can be reduced by companies and circular economy is supported. This practice also recovers value from returned goods.

  • 7. Smart Inventory Management

    Developed inventory management systems reduce the need for excessive stock, reducing storage costs and waste. Just-in-time (JIT) inventory practices make sure products are delivered as needed by customers and enterprises, preventing overproduction and unnecessary resource usage. More efficient and sustainable supply chain are contributed.

Green Logistics and Its Future

The core of the supply chains of the future are robust, AI-powered, cloud-based logistics solutions are at– helping businesses to integrate loads, automate dispatch and tracking, routes, determine when and where to charge batteries, calculate ETAs, monitor vehicle maintenance, and more. Data modelling and simulations can test routes and fleet capacities, and integrated technologies can help incorporate and analyze supply chain and delivery data across the entire value chain. Every step toward the smoother and faster movement and delivery of goods, is a win/win, making customers happier and more engaged, and helping businesses to improve both their sustainability profiles and their bottom lines.

References

  • grandviewresearch.com
  • Green Logistics: What It Is and Why It Matters | SAP Insights sap.com
  • https://climate.sustainability-directory.com/question/what-are-the-core-green-policyprinciples/
  • https://tlimagazine.com/news/the-top-10-sustainable-logistics-practices.