Data and optimization can improve efficiencies in supply chains, save shippers money and reduce greenhouse gas emissions, according to logistics experts who shared insights on Friday in honor of National Supply Chain Day.
“In transportation, it’s one of those rare industries where going green and being more sustainable is a one-for-one in cost reduction,” said Caleb Nelson, co-founder and chief growth officer at Sifted. “I don’t think most shippers understand that because the access to that data isn’t totally available to them.”
Sifted is a logistics data science platform that allows companies to experiment with different scenarios using computer modeling.
As sustainability becomes top of mind for consumers, investors and retailers, shippers are starting to look to data to find how they can streamline operations to boost profits and benefit the environment.
Data gives shippers insights
Step one to understanding where companies have the largest opportunities to optimize their supply chain efficiencies is getting access to data.
“I think most people are just operating in the dark, and they might not fully understand if their company is sustainable or not and ways that they can help improve that sustainability,” Nelson said. Transportation and logistics data is incredibly complex, especially for companies that use multiple carriers and multiple modes of transportation.
“The good news is that there is a lot of inefficiency to solve for in supply chains. The challenge is aggregating emissions data and sharing with stakeholders so everyone involved can identify these inefficiencies and invest in high-impact emission reduction activities and technologies,” said Danny Gomez, managing director of financial and emerging markets at FreightWaves.