Efficiency vs Sustainability: The Challenge of Balance in the World of Distribution and Its Benefits!
Wed, 13 Sep 2023
The distribution industry is one that requires high operational efficiency. Over time, this industry can contribute to environmental damage, such as air pollution and warehouse waste if not managed properly. This problem becomes a dilemma for industry players. They face challenges in meeting needs and maintaining environmental sustainability. Various ways are then considered in managing this problem, whether to choose one of them such as prioritizing efficiency and ignoring environmental sustainability, or vice versa. However, this was later answered with the idea of balancing the two, carrying out both simultaneously which in fact, can provide great benefits for distribution companies.
This problem became the basis for the emergence of green supply chain management. Green supply chain management aims to urge industrial activities to consider environmental sustainability while creating profits for the company. The challenge of balancing operational efficiency and environmental sustainability focuses on the entire supply chain, including how products are stored, packaged, how orders are processed, and delivered. There are several actions to balance operational efficiency and the environment:
1. Calculate Well the Distance of Goods Delivery
Companies can calculate the travel distance of their trucks or containers. This will certainly be more efficient, where the company can reduce fuel expenses if calculated correctly and also help to reduce the production of CO2 generated from the vehicle .
2. Taking Care of the Operational Warehouse
Start by using lights in the warehouse as needed. This may sound trivial, but who would have thought that this could save operational costs and reduce gas emissions. According to a study conducted by Energy Audit in 2018, industries in Zimbabwe could save up to $50,000 per year just by making their warehouse lighting more efficient.
3. Improving Services in the Green Sector
As the news of global warming becomes more and more alarming, people are starting to turn to things that are environmentally friendly. The distribution sector can capitalize on this by improving services by reducing energy-intensive warehouse operations. In addition, using recyclable packaging materials can make a positive impression on customers, so they will continue to shop at your company.
4. Pay Attention to the Management Processof Expired Products
Products that do not pass quality control or products that have expired require special attention, especially in the destruction process. Especially for products that contain active substances, you must pay better attention to the destruction process so they don’t cause negative impacts in the future.
In conclusion, all industrial sectors will have good and bad effects, but we can still reduce it by doing things that will certainly be beneficial. In the world of distribution, we can balance operational efficiency for the company while maintaining environmental sustainability.
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