Green Logistics Sustainable transportation management with SAP TM

For many sustainably operating companies, it is a high priority to design business processes in such a way that they are ecologically compatible and economically viable. DIN EN ISO 9001 (quality management system) and DIN EN ISO 14001 (environmental management system) are playing an increasingly important role in this context.

For many companies, sustainability and environmental management is not just a short-lived fad, but a company credo that is lived and breathed. However, it is also important to comply with legal requirements to adhere to certain environmental guidelines – which usually relate to CO₂ emissions.

One of these regulations, for example, is the decision taken by the European Parliament in November 2018 that CO₂ emissions caused by trucks in the EU must be reduced by 20% by 2025 and by 35% by 2030.

This means that 27% of all CO₂ particles emitted in road traffic are produced by HGVs.

Alongside the production of goods, transportation is often the biggest "block" when it comes to potential savings.

With a sophisticated transport management system, you always have real-time transparency about the carbon footprint of your transport logistics, both when using carriers and your own fleet.

Environmental benefits and cost savings

When planning routes with SAP Transportation Management (SAP TM), for example, the fastest transport route is used, which is usually also the shortest. This actively reduces the CO₂ value per shipment to be transported . This planning of transports is primarily used by shippers with their own vehicle fleet.

The additional connection of telematics to SAP TM represents a proactive measure in the effective implementation of an environmental management system. Telematics in conjunction with the transport management system supports you in the direct monitoring of your drivers and their driving behavior - thus achieving a demonstrably more efficient driving style and thus saving fuel.

SAP TM also makes it possible to carry out multimodal route planning in one system and by one person. It is well known that CO₂ emissions per km/t are lower when using rail and ship as modes of transport than with road transportation. This gives the dispatcher the opportunity to draw on the full portfolio of transport strategies/modes when planning transports and can therefore automatically influence the reduction of CO₂ emissions.

Advantages of Green Logistics

Measurement of CO₂ consumption (multimodal)

CO₂-
savings

Deposit to Green Logistics

Driver support

Optimum use of cargo space

Cost
savings

Better utilization of freight capacities

As it is often not possible for the shipper to actively influence the route selection when using external freight service providers, SAP TM offers a major advantage in this scenario, allowing the required freight space to be utilized as fully as possible.

SAP TM supports both dispatchers and shippers for particularly efficient cargo space planning by calculating all possible planning options, taking into account the specified restrictions such as stacking factor, mixed loading prohibitions, etc.

The number of target transports is automatically reduced, as the pull factor in the supply chain is the available freight space.

If the freight space can be optimally utilized, this also offers the possibility of controlling picking and packing processes with the help of warehouse integration in such a way that an optimal flow of goods can be guaranteed.

Another option for actively planning environmentally conscious transportation with SAP TM is to select the available carriers not only according to monetary aspects, but also to evaluate and use them according to environmental aspects.

For example, carriers with a modern fleet can be used more frequently and others with a poor environmental balance can be excluded from the selection process.

Nina Albert

Sales SAP EWM / TM

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