While cost savings and increased efficiency are great drivers for the adoption of warehouse management solutions, one benefit many organizations may not think about is the reduced emissions that would come with it as well. Software professional Razat Gaurav told ITWeb that by establishing a more efficient logistics and transportation strategy, manufacturing companies can reduce much of the greenhouse gas emissions. Twenty percent of the worlds' annual emissions come from these activities, so any reductions companies can have would be significant.
"There is a lot of focus on the environment at the moment, and what we are finding is that many companies that initiated energy-efficiency programs and carbon emission reduction programs for PR [public relations] reasons are starting to move beyond just the rhetoric and are making tangible steps to be more efficient," said Gaurav.
With smart use of supply chain management software and a better production strategy, organizations can see environmental benefits alongside financial savings. Retailers will be able to gain more control over their own operations as well which he said is preferable to allowing a third party to take over. There's no single way to make vast improvements, but organizations can look at the current state of their company and take concrete steps to make the entire supply chain better through new technology and more efficient ways of work.
GreenBiz said companies such as The Gap, Nike, Target, Kohl's, EMC, Texas Instruments, Best Buy and Xerox have already made pledges to become better with their safety precautions and environmental practices to help emit less greenhouse gas. Some of the urgency on this issue comes from efforts undertaken by politicians like New York City Comptroller John Liu, according to the news source.
"We're encouraged that more companies agreed to increase the sustainability and transparency of their suppliers as we expanded our efforts beyond the technology sector to include major retailers," said Liu. "The risk they face from suppliers' human and worker rights abuses was made clear by the tragedies in Bangladesh. More needs to be done, particularly in Bangladesh, but sustainability reporting is an important component."
Tips for Becoming More Friendly to the Environment
Entreprenuer.com contributor Catherine Clifford wrote that the first way supply chains should look to help the environment is to reduce their transportation miles, something that can be done via operations and supply chain management software. As one expert told Clifford, taking small steps toward being more environmentally friendly and efficient really do matter and can shift how organizations operate.
Industry professional Bobby Kaemmer gave some tips on Manufacturing.net on how to better manage the supply chain, writing that organizations should overcome their technical competencies between participants in the supply chain community.
"Perhaps the greatest challenge is that most IT departments have their hands full managing internal systems, with little time - or expertise - to spare for the complexities of supply chain management," he said. "That makes implementing collaboration and visibility tools from the ground up an overwhelming challenge. The time and capital required to acquire and implement systems are expensive and long-term."
The solution to this, he said, is to find what can be broadly adopted and give companies something that will be easy to select, buy and train on. Finding a warehouse management system that an organization can easily use to make their supply chain and business operations better all around will be key, so there should be plenty of research and diligence done into the best possible solution.