As the European Parliament enacts stringent anti-greenwashing regulations, supply chains must adopt automated solutions to ensure transparency and meet environmental compliance.
The Push for Authentic Sustainability
The recent European Parliament’s endorsement of strict anti-greenwashing legislation marks a pivotal moment for supply chains, necessitating a shift towards genuine, transparent sustainability practices. The logistics industry, long plagued by inefficient and opaque processes, must now evolve to align with these new standards of environmental honesty.
The Automation Imperative
With over 90% of a company’s carbon emissions originating from supply chain activities, the pressure to accurately track and report these figures is immense. Traditional methods, characterized by excess inventory and product waste, contribute to a staggering $163 billion in annual losses globally. To combat this, supply chain leaders must leverage automated technologies to optimize operations and achieve the transparency required for precise sustainability metrics.
IoT: The Gateway to Clarity
The deployment of Internet of Things (IoT) sensors and devices is a critical step towards real-time visibility into inventory management and product handling. This technology enables companies to fine-tune stock levels, routing, and environmental conditions, thereby reducing waste and associated emissions. Moreover, IoT data is essential for calculating comprehensive supply chain emissions, energy consumption, and waste production.
Digitization: Streamlining for Efficiency
Transitioning from paper-based, manual processes to digital solutions is another significant opportunity for supply chains. Mobile workflow applications can enhance efficiency from proof of delivery to safety checks, providing instant data on product status and handling incidents. This digital shift not only streamlines operations but also offers complete transparency on sustainability efforts.
AI and Route Optimization: The Next Frontier
Integrating IoT tracking with AI-driven route optimization software can significantly diminish transportation emissions and energy waste. As supply chains look to the future, advanced automation technologies like autonomous mobile robots and AI-powered sorting systems will become increasingly vital for sustainable operations. However, the environmental impact of these technologies must be thoroughly evaluated, considering factors such as raw materials, manufacturing emissions, and recyclability.
Embracing Automation for a Sustainable Future
Initiating an IoT-enabled automated framework is essential for real-time asset tracking and visibility. Companies that act swiftly to implement these technologies will not only comply with the new anti-greenwashing regulations but also excel in sustainable operations and accountability.