THE logistics sector tackled multiple challenges in 2020 while simultaneously meeting a boom in delivery volumes, thanks to an increase in online purchases.

A new and growing challenge for this transport-reliant sector, however, is balancing its business goals with the desire, and expectation, to lower emissions and become environmentally sustainable.

Global risk management provider SAI Global reveals a straightforward strategic pathway for the sector to reduce its environmental impact.

Saeid Nikdel, environmental management systems expert at SAI Global, said, “2021 and beyond will require a balance of business and carbon-reduction objectives”.

He believes governments are leading the way, and cites various sustainable projects and emission-reduction goals in play across Australian jurisdictions.

“Sooner or later, governments will act to ensure businesses take full responsibility for their environmental impact. Those businesses that have already begun a process of action that is on-going, accountable and measurable will reach the standards required in the timeframes set out by any new legislation, and future-proof their brand,” Mr Nikdel said.

“Some major players in the logistics sector are likely to have corporate social responsibility goals, and demonstrating a responsible approach to environmental management can improve public confidence in their brand.”

Mr Nikdel said the transport-dependent logistics industry cannot avoid an environmental impact. Australia’s transport emissions account for 19% of the country’s overall carbon emissions – a higher rate than the world-combined transport emissions figure of 15%.

“The sector can, however, reduce its footprint across waste, energy use, transportation and operations,” he said.

A strategic pathway to providing reassurance to the public that a business has set environmental goals, is accountable to those goals, and continually exceeds international benchmarks is certification to the ISO 14001 Environmental Management System.

Mr Nikdel said ISO 14001 is the international benchmark.

“Unlike carbon-reduction-specific certifications, ISO 14001 ensures businesses respond to all environmental issues – it helps to improve resource efficiency, reduce waste and reduce energy costs. However, it is flexible and allows businesses to choose outcomes.”

The standard ensures businesses follow a clear five-pillar approach:

1. As an initial step in their strategy, businesses must understand external and internal factors that may affect their ability to achieve desired sustainability outcome. Objectives and timeframes can, therefore, be regularly updated to remain realistic and attainable.

2. Organisational leaders must commit to the environmental strategy and management system implemented in their workplace and take accountability for its effectiveness. They must ensure regular reviews and refinements take place along the way, sufficient resources are allocated, and environmental policies and objectives are clearly communicated.

3. Developing a robust environmental strategy takes careful planning to address any risks and opportunities within the industry and the organisation itself. A plan must outline environmental objects and steps to achieve them, and necessary changes to management.

4. The plan may include the redistribution of resources to ensure progress is made on the environmental management system and that it is carefully monitored. A lifecycle process is recommended to plan, implement and control processes and meet environmental requirements for its products and services.

5. Lastly, the business should verify and evaluate the capabilities of the processes it has developed, including customer feedback.