It’s one thing to reach a goal, stop and toast your success. But in the case of Walmart’s announcement yesterday, the finish line became a mile marker and now the company is looking at how much farther it can go.
In 2005, we worked with Walmart to set its first long-term freight goals – to increase its fleet efficiency by 25 percent by 2008 and then to double it by 2015. Walmart cleared the first goal with room to spare and announced yesterday that it has not only doubled fleet efficiency but is now on track to go further – and in the process, will avoid almost 650,000 metric tons of CO2 and save nearly $1 billion in this fiscal year alone.
It’s a testament to the holistic approach Walmart’s taken to improve the efficiency of its fleets. The Walmart sustainability team started by choosing a specific metric of cases shipped per gallon burned in 2005 – shipping the most cases of goods the fewest miles using the most efficient equipment – and then attacked the problem from all sides to get it done.
As companies work to increase the efficiency of their freight moves – taking steps on their Green Freight Journey – it’s tempting to choose one area to work on at a time. But by choosing a few key areas to focus on – developing innovative solutions for loading, routing and driving techniques, and collaborating with tractor and trailer manufacturers on new technologies – Walmart was able to bolster freight efficiency along its supply chain at multiple points. Read more