Sustainability in the palletised freight industry is not just a trend; it’s a critical factor that directly impacts business operations and consumers alike. The industry as a whole is a significant contributor to greenhouse gas emissions. Transport as a whole emitted 26% of the UK’s total emissions in 2021. (gov.uk)
TLDR
- What Is The Definition Of Sustainability In Business?
- Why Is Sustainability In Business Important?
- Benefits Of Sustainability In Business
- Environmental Impacts On Customers
- Benefits Of A More Sustainable Freight On Customers
- How To Choose A More Sustainable Freight Provider
- What Can Mitchells Offer?
What Is The Definition Of Sustainability In Business?
The definition of sustainability in business is ‘doing business without negatively impacting the environment, community or society as a whole.’
Sustainability in business can fall into two categories:
- The effect of the business on the environment
- The effect the business has on society.
Sustainable businesses aim to make an impact on at least one of these categories.
Why Is Sustainability In Business Important?
Sustainability in business is important because beyond helping address global challenges, sustainability can drive business success.
‘Doing good’ for society can have a direct impact on ‘doing well’ as a business, as in making money. Including a sustainability strategy as a part of your business strategy is important. Having a negative impact on the environment or society will really damage your business’ reputation. It’s important not to chase short-term profitability which leads to long-term costs.
Benefits Of Sustainability In Business
Sustainability isn’t just a trendy phrase. It’s a strategic imperative for businesses today. It offers a range of benefits from the obvious environmental and social benefits to improved business performance and reputation. Here are some key benefits of sustainability in business:
Environmental Impacts
The obvious benefit to practising sustainability in your business is the positive impact this will have on the environment long-term for future generations.
Sustainability practices help minimise a company’s carbon footprint by reducing greenhouse gas emissions, conserving energy, and reducing waste. For example, companies can implement energy-efficient technologies, reduce water consumption, and adopt recycling programs to reduce their environmental impact.
By adopting more sustainable measures, businesses can contribute to addressing the global climate crisis. This can involve reducing greenhouse gas emissions, transitioning to renewable energy sources, and supporting more sustainable supply chain practices.
We have made various changes to our own business by changing the lighting in our buildings to be more environmentally friendly, we have replaced our forklift trucks with electrical versions and even purchased the UK’s first electrical HGV.
Benefits of More Sustainable Freight for Customers
More sustainable freight brings many benefits for our customers and yours. More sustainable practices often lead to more efficient use of resources that can ultimately reduce costs for customers.
Reduced fuel consumption, whether that’s petrol, gas or electricity usually leads to reduced costs, with such savings then being able to be passed on to customers.
More sustainable business practices are also important as consumers are more and more conscious of sustainability issues. According to a 2023 NielsenQ study, 3 in 4 consumers (76%) are calling out for companies to take the initiative to reduce their environmental footprint.
Increased demand for products that are transported sustainably and a willingness to pay a premium for such products means that sustainability in the palletised freight industry is no longer a nice to have but a necessity.
More and more customers value sustainability and those that do are more likely to be loyal to brands that share their values. Brands that have more sales of products that make environmental, social and governance-related claims enjoy greater loyalty from consumers. A strong commitment to sustainability can improve a company’s reputation as consumers seek assurances over the responsible transportation of their goods throughout the supply chain. According to the same 2023 NielsenQ study, 78% of consumers say companies should be mandated to give full transparency into their supply chain so shoppers can make informed choices
Companies that prioritise sustainability are less likely to be exposed to regulatory risks and are more likely to comply with environmental regulations and requirements. They’re also well placed to comply should those regulations change in the future, compared to those that aren’t taking their obligations seriously now.
How To Choose A More Sustainable Freight Provider
Finding partners for your business that share your values can be the key to success. If sustainability and environmental initiatives are important to you, you’ll want partners that feel the same way.
So how do you choose a more sustainable palletised freight provider?
- Look for certifications and accreditations.
- ISO 14001 shows a business is committed to environmental management
- CarbonNeutral Certification: This certification shows that a business has offset its carbon emissions.
- BREEAM certification is for the built environment and shows a commitment to sustainable building practices.
- Ask about their sustainability initiatives.
- Do they have plans in place to reduce carbon emissions (and can they provide data about their existing footprint)? What are they doing to reduce energy consumption, or to save water? Are they using renewable energy?
- Ask about their suppliers.
- What are their sustainability credentials? Can they provide any traceability?
So How About Mitchells?
We have ambitious targets in place regarding our sustainability goals. We are aiming to be Net Zero by 2050. We have plans in place to reduce our carbon footprint over the coming years and we have already made positive steps. It’s important to us to be a leader within the palletised freight industry.
We have also partnered with Ecologi to assist in offsetting our carbon emissions, and reduce our impact on the planet. We have also developed the industry’s first carbon calculator that works out the carbon emissions to every UK postcode.
We encourage our customers to get involved. For them we have created the Mitchells Carbon Co-op. The Carbon Co-op is an option for all of our customers, where they can offset the carbon emissions from their deliveries made with Mitchells. Our customers can also offer their own customers carbon-positive deliveries.
We also host Carbon-Free days throughout the year where we offset the emissions from our deliveries and invest in renewable projects in our customer’s names.
These initiatives as well as the previously mentioned vehicle and building upgrades are just some of the ways we are making a difference to our community and the planet.
Future Advancements
Of course, sustainability within the palletised distribution sector will largely depend on several key areas.
For example, the implementation of vital infrastructure such as electric charging stations will dictate the widespread adoption of fully electric vehicles, which will significantly reduce carbon emissions from the palletised freight industry.
For further reduction in emissions, the next step might be autonomous vehicles and drones that reduce congestion, and optimise routes and efficiencies.
Additionally, government policy will dictate the speed at which things change. The previous UK government delayed a switch to electric vehicles which the new government plans to reinstate to 2030. Such flip-flopping will cause uptake in electric vehicles to stagnate, resulting in slow change. This however has not stopped us from progressing our own plans to reduce our emissions.
Another area where the industry can look to make inroads is the use of biodegradable, or recyclable materials to reduce the impact on the environment. Lighter materials will also reduce the weight of shipments, reducing fuel consumption.
In Summary
Sustainability in business is no longer a luxury but a necessity. As consumers become increasingly aware of environmental and social issues, they are demanding products and services from companies that prioritise sustainability. By adopting more sustainable practices, businesses can not only improve their environmental impact but also enhance their reputation, attract loyal customers, and mitigate risks.
More sustainable palletised freight providers play a crucial role in supporting businesses’ sustainability goals. By choosing a more sustainable freight provider, you can contribute to a more sustainable supply chain.
Remember, sustainability is not just about doing good for the environment; it’s also about doing well for your business. By embracing more sustainable business practices, you can create a more resilient, ethical, and successful enterprise.