Abstract
The paper aims at developing a robust model that can capture, calculate and manage emissions activity across a transportation and distribution network to enable corporate social responsibility practices via identifying the carbon intensive activities within the transport and extended enterprise. This is a multi-attribute problem where a number of variables need to be taken into account across the different echelons of the supply chain. A case company “X” from the apparel industry is used for the purposes of the study.The supply chain carbon assessment study requires defining the system boundaries, process mapping of the activities involved, identifying key data requirements, collecting and sampling primary and secondary data and calculating emissions based on fuel or distance factors.The research culminates in creating a scenario-planning tool with cost, effective lead time and carbon emissions as model attributes. As part of the research, literature is reviewed on best practices and methodologies and interviews conducted with functional heads, 3PL managers and experts from the apparel industry. In the end, the created tool enables companies to gauge their emissions, optimize them within their respective supply chains and identify key indicators for carbon reduction in inbound networks.
Highlights
Sustainable development is an increasingly important facet of the modern transportation and logistics industry, and environmental performance is fast becoming an important factor for global manufacturers
Summary: The thesis aims at developing a robust model that can capture, calculate and manage emissions activity across transportation and distribution network to enable corporate social responsibility practices.The research culminates in creating a scenario planning tool with cost, lead time and carbon emission as model attributes
The analysis is performed for eight zones with percentage weight transfer by air as the independent variable and carbon emission cost of transportation and lead time as dependent variable
Summary
Sustainable development is an increasingly important facet of the modern transportation and logistics industry, and environmental performance is fast becoming an important factor for global manufacturers. The cargo weight and emission distribution over different global zones was calculated from the available data gathered. The analysis is performed for eight zones with percentage weight transfer by air as the independent variable and carbon emission cost of transportation and lead time as dependent variable. Upon several rounds of discussion with industry experts, and observation of various operational and demand restrictions, the analysis was performed on a moderate and an aggressive target emission reduction. Optimisation Model The objective of the optimisation model is to propose the cargo distribution by air and sea in all the eight zones based on the constraints imposed on decision variables for minimum carbon emission. Two sets of constraints – moderate and aggressive approach – have been determined
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