Mahindra Logistics actively works to reduce the impact of the Green House Gases (GHS) on the environment as a part of its sustainability initiatives. As most of the activities of MLL involve transportation in some form or the other, GHG reduction is one of the key focus areas for MLL in the next few years to come.
As part of this program, some of the initiatives that have been kicked off are:
By aggregating the loads across its network, MLL is able to deploy the right type of vehicle to meet this aggregated loads without compromising on the service levels ensuring no delivery and damage free deliveries.
After studying the volumes and frequencies of each of the transport locations, an optimal transport network solution is arrived at. Accordingly, Cross Docks (Consolidation / De consolidation centres) are established. The outcome of this network Optimization exercise is in the form of a vehicle that achieve its full capacity utilization to its destination plants thereby optimizing the per unit consumption of fuel. This results in meaningful GHG reduction leading to a significant saving of fossil fuel per annum.
MLL is working closely with all its customers, to extend its Network Optimization concept thereby achieving greater GHG reduction.
A similar concept of network optimization for people transportation is also in the development.
Besides Network Optimization, the redesigning various fixtures / packing / carrying fixture of the transport vehicle also help in optimizing the capacity utilization. This directly results in lowering of fuel consumption thereby reducing the GHG emissions. Activities like these help to accommodate more number of units in the vehicle thereby reducing the number of trips. The load is also optimized by taking into account the minimum idle time and dead runs of the vehicle leading to lower GHG emission for same activity.
Similar activities for reducing dead runs and idle time are being built into the people transportation vertical as well.
In order to reduce the GHG emissions further, MLL is also working on alternative modes of transportation with reduced GHG emissions. As a result, we have started using rail roads to far off locations where the emission levels are relatively lower.
Wherever possible, MLL deploys vehicles that work on alternate fuels which are environmentally friendly. As part of this initiative, MLL uses Reva vehicles (electrically powered) in some of its customer premises.
In addition, MLL also deploys CNG commercial vehicles in some of its routes.
One of the newest initiatives taken up by MLL, this aims at replacing the older vehicles with higher emissions and lower fuel efficiencies with newer vehicles that are fuel efficient and low on emissions. Since we do not own any fleet ourselves, the message of sustainability coupled with business logic is being explained to all its vendors to upgrade their fleet to newer technology vehicles.
MLL launched an ambitious program to have better control over operations and improve profitability. The project was named FALCON – Freight And Logistics Control. The key areas covered in this project were:
In order to influence the behavior of the operators who are on 3rd party contract, MLL launched a series of engagement programs for drivers and supervisors at the operating sites.
Under the driver engagement program the following areas were covered:
Under Supervisor engagement program the following areas were covered:
In order to achieve Asset Productivity, MLL has deployed best of breed technology to optimize the vehicle capacity utilization and route optimization. This is being deployed in selective cities and sites which would enable increase in productivity of MLL’s operations. This would be possible by increasing the fill factor of the vehicles as well as reducing dead runs.
As part of this exercise, MLL measures and tracks the carbon foot print per transported person kilometre or per transported vehicle kilometre or per transported unit kilometre – across its supply chain management and people transport solutions operations to arrive at the average fuel consumption across India.
The enormity of data collection is overcome by the use of technology - MILES solution is deployed for operational data collection and collation.
Some of the estimated benefits of project FALCON are listed below:
MLL has noticed in pilots that the mileage has improved and on-road breakdowns reduced on account of vehicle maintenance.