The Impact of Energy-Efficient Delivery Management on Scope 2 Emissions
Scope 2 Emissions introduces a standardized way of how corporations measure their carbon emissions set by the GHG Protocol. This article discusses Scope 2 Emissions and how energy-efficient delivery management assists in reducing it.
Organizations are realizing that they have a responsibility to reduce greenhouse gas (GHG) emissions after understanding the consequences of reckless carbon emissions. Businesses must measure and comprehend emissions across various categories in order to manage their environmental impact.
Many companies aim to lower their greenhouse gas emissions, and this is where the GHG Protocol can help. The term Scope 2 emission is frequently used when reporting progress, but what does this mean? We must identify and quantify the initial source of emissions before we can take any action to reduce them.
This article examines the significance of Scope 2 and eco-friendly delivery solutions used in environmental accountability to help us move toward a more sustainable future. We’ll also understand how delivery management software can help organizations adopt sustainability.
What is Scope 2 of Carbon Emissions?
According to the Greenhouse Gas Protocol, companies can develop a full emissions inventory, including Scope 1, Scope 2, and Scope 3 carbon emissions, to understand their full value chain emissions and concentrate their efforts on the greatest reduction opportunities. This leads to reducing energy consumption in logistics.
Scope 1 emissions cover emissions from sources owned by the organization, and Scope 3 emissions include sources or assets not directly or indirectly owned by the organization. Scope 2 emissions define the sweet spot between these two Scopes.
Scope 2 emissions come from purchased energy consumption. You can use the word “buy” as a simple shorthand to remember scope 2, as your organization usually purchases energy to run its operations. Emissions falling under scope 2 originate from steam, heating, cooling, and purchased power. Scope 2 emissions are typically computed using the consumption listed on energy bills.
What’s Covered in Scope 2 Emissions?
Scope 2 emissions represent the greenhouse gases released during electricity generation or other forms of power purchased by a company. Here are some indirect sources that may contribute to Scope 2 emissions:
- They arise due to the company’s energy consumption
- GHG released from the company’s facilities outside their control
- The emissions that are generated from sources before the company’s operational facilities
All of these activities contribute heavily to the total carbon emissions, around 40% of the total emissions.
How Energy Efficiency Delivery Management Can Help?
One of the best ways to reduce emissions is to ask employees to opt for sustainable commuting options. However, with the rise in home delivery and rapid customer service, your field service management team must utilize their personal vehicles to provide seamless services.
Nonetheless, there are different sustainable logistics practices to make your delivery management simplified.
Tracking Delivery Metrics For Actionable Insights
What is measured is indeed improved in terms of energy efficiency. Setting these important metrics as priorities is essential for delivery operations optimization:
- Track the percentage of deliveries that arrive at their destination by the scheduled time or date. Aim for a minimum of 97% and benchmark.
- Keep track of the average time it takes for each delivery leg, from pickup to drop-off. Remember, less is better at these times.
- Reduce the average time at each stop to make the most of every second.
- Determine the proportion of orders with correct items, quantities, and addresses. Strive for 100%.
Strategic Route Planning And Delivery Management
Long routes use up driver energy, fuel budgets, and time. For orders to be delivered promptly, the most efficient transit route must be established, thereby leading to energy efficiency. Strategic route planning aims to maximize the potential for time savings on travel and determine the shortest path. Delivery management software makes it easy to plan timely and fuel-efficient deliveries.
Optimal Vehicle Selection
When it comes to deliveries, the vehicle you select is a strategic asset that can redefine and boost delivery efficiency rather than just a means of transportation. Selecting the appropriate wheels for the operations is essential. To help you choose the best vehicle for reducing energy consumption in logistics and maximizing its use, keep a few points in consideration.
- Do you handle more small packages, bulky items, or a combination of both types of deliveries? Understanding your delivery requirements provides the foundation for choosing the best vehicle. Adjust the size of your vehicle to the quantity and type of deliveries you make.
- Is it possible for your delivery vehicle to hold more packages without endangering its security? Long-term delivery costs will be reduced if your vehicle can travel farther on a single tank of gas.
Nomadia: Your Partner in Reducing Carbon Emissions
Whether it is Scope 1 or Scope 2 carbon emissions, poorly optimized routes can increase the carbon emissions. This is where Nomadia Delivery comes in, bringing the best of optimization and traceability to design responsbile supply chain.
- You can easily track your parcels, beginning from the warehouse till its delivery destination.
- It allows you to group the deliveries in time and space reducing distance covered for completing the deliveries and CO2 emissions as well.
- Route optimization allows to improve drivers productivity by 20% – 30% as it reduces the number of delivery vehicle stops.
- With this solution, you can easily comply with stringent regulations while maximizing your productivity gains.
The Bottom Line,
Organizations aiming to lower their carbon footprint must comprehend and control scope 2 emissions for energy efficiency. Delivery management companies can learn a lot and identify areas for improvement by tracking delivery, strategic route planning, and environmental impact in real-time.
With the help of appropriate technology and a data-driven approach, organizations can make informed choices about energy consumption, implement energy-saving measures, and eventually lower their Scope 2 emissions. Adopting sustainable logistics practices can help businesses of all sizes, small and large, achieve their environmental objectives and contribute to a sustainable future.