Scania aims to be the benchmark in sustainable logistics and set the standard on how to act as a transport buyer. By respecting social and legal demands and continuously improving the flows in every part of our supply chain, we eliminate waste, become more energy efficient and reduce CO2 emissions, while improving quality, reducing lead times 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 SE, 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.
Scania is responding to the great transformation in logistics brought by digitalisation, connectivity and the demand for sustainability. We are increasingly working in multi-modal flows with trains, ships and trucks, using alternative fuels and connected networks, resulting in increased process efficiency and minimised CO2 emissions.
Decisions within Scania’s logistics operations are based on achieving the best balance between CO2 emissions, quality and cost. When designing transport solutions Scania values CO2 reduction as much as we value decreased cost or improved lead times and efficiency.
Strategically, Scania Logistics is taking a holistic approach, where partnerships 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. By cooperating with our partners we can control and improve physical and information flows over the whole supply chain from order to delivery, in the most efficient way.
Balancing emissions and cost
Scania has set a new more comprehensive target to reduce emissions from our land transport logistics flow in Europe and Latin America by 50% by 2025 through finding the right balance between emissions and costs. To do so, sustainability plays an important role when designing our network. This model was applied when redesigning the flows in Benelux and Germany. Scania combined different transport solutions, using gas-powered trucks, trains and sea transport to collect parts from our suppliers and take them to our production units. This reduced CO2 emissions by 20% and costs by 8%, proving that sustainable transport flows are efficient from a cost perspective too.
With a huge number of drivers being involved in the logistics value chain Scania sees fair transport as a cornerstone for building its credibility as a leader in sustainability. Starting 2018 Scania introduced a new demand specification for fair transport, based on consultations with main contractors, Volkswagen AG, TRATON SE, the Swedish traffic authority, and internal stakeholders such as HR, legal and compliance departments and Scania Transport Lab. Our Fair Transport audit covers drivers’ working conditions, collective agreements, salaries and allowances, as well as security and environmental aspects.