Redwood’s Fall 2024 Sustainability in Logistics Report, drawing on insights from recent Gartner and Boston Consulting Group (BCG) research and Redwood’s own Sustainability in Logistics event, highlights the growing impact of decarbonization in logistics. According to Gartner’s Market Guide for Logistics Carbon Accounting and Management Solutions, in which Redwood is recognized as a Representative Vendor, companies are increasingly adopting logistics carbon accounting and management systems (LCAMS) to enhance their greenhouse gas (GHG) tracking. A recent study from the Scope 3 Peer Group shows 97% of companies view digital solutions as essential for meeting their Scope 3 decarbonization targets.

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At Redwood’s event, UNVR’s Senior Director of Transportation Strategy, Travis Vedral, emphasized three critical steps for the industry to achieve sustainability without major tech investments: optimizing routes, utilizing efficient equipment, and training staff. “An effective sustainability strategy begins with a team grounded in research, collaboration, and education,” Vedral noted, stressing that companies can start today by conducting internal assessments rather than waiting on new technology.

BCG’s latest Carbon Emissions Survey, released in September, underscores the financial rewards of decarbonization. The study reveals that climate leaders can secure annual financial gains exceeding 7% of revenues, averaging $200 million in net benefits. These top-performing companies are progressing beyond basic emission tracking by incorporating advanced strategies, such as leveraging AI for climate initiatives and calculating product-level emissions.

To support companies at every stage of their sustainability journey, Redwood offers Redwood Hyperion, a logistics carbon visibility tool for all shipments handled by Redwood’s brokerage or through data integrated via RedwoodConnect®. This platform seamlessly connects with clients’ existing Transportation Management, Supply Chain Management, or Enterprise Resource Planning systems to provide detailed carbon metrics.

Nate Greensphan, Director of Product at Redwood, explained, “Decarbonization and sustainability efforts in 2024 are heavily influenced by Scope 3 regulations, opening new avenues and posing unique challenges. While initial efforts can succeed without technology, advanced solutions are vital for companies with more ambitious plans.” Redwood stands as the only 4PL provider in the Market Guide offering such digital sustainability solutions to the logistics sector.

Redwood Hyperion allows for load-by-load emissions tracking, detailed supply chain metrics, and carbon neutrality support through verified carbon credit options. By analyzing shipment data—considering weight, distance, mode, and vehicle type—Hyperion normalizes and calculates emissions, leveraging Global Logistics Emissions Council (GLEC) factors across all transportation modes. Companies can access detailed reports through Hyperion, enabling further data analysis and utilization across internal platforms.

With these advancements, Redwood positions itself as a key ally for shippers aiming to meet evolving sustainability goals while unlocking significant financial returns.