Sustainable indicators in logistics planning

BusinessServices ​​​​​​​Business ​​​​​​​LogisticsPlanner ​​​​​​​

At DELMIA Quintiq, we like to say that we solve the world’s planning puzzles. It’s no empty claim – testimonials from our customers in diverse industries prove it. But there is something more that we already give, not just to our customers, but to the communities connected to them.
 
Through many of the puzzles we solve we contribute to some extent to some of Sustainable Development Goals. A lot of the work we do goes beyond profits (and cost savings) – it can save energy, it can decrease CO2 emissions, it does efficient use of resources, it decreases fatigue at the workplace, it can save lives.

One of our retail customer was quoted in a prestigious business magazine in 2016. The claim was that they aimed to double fleet efficiency in a 10 years time frame through better routing and advanced technologies among others. They improved fuel efficiency approximately 87% compared to the baseline. And such improvements resulted in 15K metric tons of CO2 savings and cost reductions of over \\\$10 million. This story impacts the sustainable economic and environmental aspects.

DELMIA Quintiq Smart Mobility Solution covers sustainable planning like:
- CO2 driven optimization 
- electric vehicles
- low emission zones

Similar to the KPIs in our planning applications, sustainable indicators perform many functions. They can lead to better decisions and more effective actions by simplifying, clarifying and making aggregated information available to policymakers. They can also help incorporate physical and social science knowledge into decision-making, which in turn can help measure and calibrate progress toward sustainable development goals. Additionally, they can provide an early warning to prevent economic, social and environmental setbacks. They are also useful tools to communicate ideas, thoughts, and values.

(United Nations (2007) Indicators of Sustainable Development: Guidelines and Methodologies — Third Edition, p. 3)

When we want to take into account the amount of CO2 emission and minimize this, we can configure this cost equivalence. When a large enough cost is attributed to CO2 emission, the optimizer can become incentivized to choose bigger more expensive trucks that can contain more orders at once, electric vehicles that have no carbon footprint or short routes that contain more waiting.

Many of the puzzles that we solve as a DELMIA Quintiq already contributes to sustainability goals and we are committed towards sustainability.