Sustainable logistics is becoming a priority for the EU, and a key focus of the United Nations Sustainable Development Goals (SDGs).
A frictionless logistics sector is the backbone of a prospering economy and the key enabler of the free flow of goods throughout the EU. At the same time, companies rely on logistics to keep their business strong and their daily routines going.
According to the EC report ‘Shaping the future of Mobility, making a vision reality’ the growth rate for freight transport is forecast to increase by 60% from 2010 to 2050. While the sector is set to grow at fast and steady pace, it is facing several sustainability issues such as:
- Increasing carbon emissions through congestion
- Inefficient loading of freight
- Persistent social issues caused by insufficient safety standards and working conditions
- Increasing shortage of qualified staff
Here are five reasons why collaboration is key for a sustainable logistics sector:
1. Inter-connected sector: Logistics is not a standalone sector, but highly inter-connected and the gear along the supply chain. Therefore, issues in the logistics sector will trigger issues in the supply chain.
2. High expectations of policy makers and international organisations: The European Commission and the United Nations set ambitious targets that are impossible to reach by one company or sector alone.
3. Mutual understanding of challenges and priorities: By collaborating with other actors along the supply chain, companies will better understand the challenges and priorities of their business partners.
4. Learning and adapting: Collaboration with business partners and stakeholders provides companies with valuable insights into other organisations. It enables companies to re-think and re-shape internal structures and processes and provides competitive advantages.
5. Scale and impact: Multi-stakeholder approaches and business collaboration take into account several actors and their individual requirements. This makes cross-sector approaches solid and leads to greater impact on the ground.