Scania aims to be the benchmark in sustainable logistics and set the standard on how to act as a transport buyer. By challenging the industry standard on social and environmental demand and continuously improving the flows in every part of our supply chain, we eliminate waste, reduce CO2 emissions, while improving working conditions quality and challenging costs.
For Scania, logistics is increasing in significance as the company develops from being purely a heavy vehicle manufacturer to also being a supplier of components to other brands within TRATON, and to being part of the ecosystem of transport and logistics.
Our daily logistics flows are enormous, and there is broad scope for identifying and cutting waste and emissions from these processes by taking a holistic approach, where we see logistics as part of the overall value chain.
Strategically, Scania Logistics is taking a holistic approach, where collaboration between purchasing, production and logistics are key. The cooperation with logistics partners such as carriers and service providers is also an important part of the strategy. Through collaboration we can control and improve physical and information flows over the whole supply chain from order to delivery, in the most efficient way. It also allows us to develop and invest in infrastructure for more sustainable fuels and electrification.
Optimising transport flows
Scania is responding to the great transformation in logistics brought by digitalisation, connectivity and the demand for sustainability.
Since 2015, Scania has reduced carbon emissions from our land transports by 25 percent per transported tonnes. This has mainly been achieved by optimising our transport flows, increasing our use of rail transport and switching to renewable fuels for truck transport. Looking ahead, electrification is the next important step in our roadmap to reduce the climate impact of our logistical flows. In 2022, we contracted our first three flows using electrified heavy-duty vehicles. We plan to scale up the share of electrified flows in Europe and Latin America by 2025 and beyond. To support the electrification of our land transport, we are building charging infrastructure for our largest production units that contracted carriers can use.
With a large number of drivers being involved in the logistics value chain, Scania sees fair transports as a cornerstone for building credibility as a leader in sustainability. Starting in 2018 Scania introduced a new demand specification for fair transports, based on consultations with a wide range of stakeholders. We have identified a follow up process on the demands, including a sustainability questionnaire to get an overview of our carriers work within social sustainability, and we dig deeper into the area during audits focusing on these aspects. Our sustainability audit covers drivers’ working conditions, collective agreements, salaries and allowances, as well as security and environmental aspects. Our focus on fair transport is strongly connected to Scania core values, and through this we work together with our carriers for continuous improvements within social sustainability.
To further strengthen the logistics sectors drive to improve working conditions and safety of road transport workers, Scania is part of the Responsible Trucking initiative, facilitated by CSR Europe. The initiative is a collaboration between several transport suppliers and transport buyers, who together have developed common social guidelines for the transport area.
Packaging is an essential part of the logistic flow. Optimized packaging solution decreases both the transport demand and the use of packaging material and is an excellent way to reduce both costs and emissions.
To succeed, we continuously focus on increasing the fill rate in our packaging but also on using more sustainable packaging materials.
From 2020 we require that all suppliers of wood based packaging are FSC or PEFC certified. We have also started the journey to reduce the use of virgin plastics and transfer to recycled or bio based plastics.