The Group is working to reduce environmental load generated at our sites by actively introducing eco-friendly vehicles and energy-saving devices for the realization of decarbonization in the business processes.
The energy consumed by our group includes electricity (approximately 70%) and fuel (approximately 30%), and we taking the following measures for energy saving and global warming.
| FY2022 | |
|---|---|
| Number of sites with LED lighting fixtures | New sites: 5 |
| New sites: 21 | |
| CO2 emissions suppressed with LED lighting fixtures | 1,470 t-CO2 |
Scope: The Company, domestic/overseas group companies
Chukyo Logistics Center in Aichi Prefecture is working on power saving by using human detection sensor. To reduce power consumption by lights in the storage room when it is unmanned, we installed supplemental lights with a human detection sensor between storage shelves which light when the sensor detects the presence of workers picking up or storing products, achieving both workers' safety and power saving.
We are actively switching electricity used at our offices to electricity generated from renewable energy. In FY2022, 17 offices made the shift.
In-house consumption type solar power generation equipment has already introduced at four bases, but we are considering introducing it at other bases as well.
・CO2 emission reduction by such as energy saving and energy creation in buildings
| CO2 emission reduction from buildings (electricity) | FY2022 Target | FY2022 Result |
|---|---|---|
| YoY -2% | -8.3% |
The Group strives to reduce CO2 emissions generated by vehicle fuel through such initiatives as the introduction of the advanced eco-friendly vehicles, promotion of eco-friendly driving and promotion modal shift.
"SSCV-Safety", developed independently by us, has been introduced to all domestic group vehicles. This will not only prevent traffic accidents, but also to improve fuel efficiency through eco-friendly driving.SSCV-Safety detects in real time near-miss incidents such as sudden braking and steering due to insufficient distance between vehicles as well as driver fatigue, alerting the driver to help prevent accidents. The system also records daily driving data along with video images for use in safe driving guidance. Since sudden braking, sudden steering, and sudden acceleration can lead to a decrease in vehicle fuel efficiency, alerts issued while driving and safe driving instructions after exiting the vehicle have the aspect of promoting eco-friendly driving, which also contributes to improving vehicle fuel efficiency.
・FY2022 result
| Introduction vehicle | Two sets of 21-meter long double-trailer trucks |
|---|---|
| Operation route | From Fuji city, Shizuoka Prefecture to Nantan city, Kyoto Prefecture |
| Start operation | Trial operation in February 2019, Actual operation from August 2019 |
The Group is proceeding to introduce electric vehicles and fuel cell vehicles to reduce the environmental impact of transportation while monitoring market trends. In FY2021, a sales office of our group company LOGISTEED Metropolitan Co., Ltd.(currently known as LOGISTEED East Japan, Ltd.) in Noda City, Chiba Prefecture introduced one electric truck with a 3.0-ton payload capacity. Taking into account the characteristics of electric vehicles, we are working to reduce CO2 emissions by using them for short-distance pickups and deliveries, mainly in central Tokyo.
In FY2022, we replaced 13 cars and four trucks with electric vehicles. One of the electric trucks is an electric refrigerated truck introduced in a sales office of LOGISTEED South Kanto, Ltd.(currently known as LOGISTEED East Japan, Ltd.) in Kanagawa Prefecture.
Electric truck
Electric refrigerated truck
Going forward, we will encourage partner transport companies to purchase electric trucks by sharing operation expertise in an effort to expand the use of electric trucks and achieve decarbonized society with partner transport companies.
Since FY2021, we have been promoting the introduction of lithium-ion forklifts. We introduced 14 lithium-ion forklifts in FY2021. Forklifts are indispensable in logistics operation in warehouses, etc. and generally powered by lead battery, but we are trying to reduce energy consumption by shifting to lithium-ion batteries with long cycle life and high charging efficiency. We will continue to work on energy saving of forklifts by expanding the use of lithium-ion batteries.
・CO2 emissions reduction by promoting the electrification of vehicles
| CO2 emission reduction from vehicles (fuel) | FY2022 Target | FY2022 Result |
|---|---|---|
| YoY -1% | -1.3% |
PALENET CO., LTD., our group company engaging in sales and rental of plastic pallets, supplies returned pallets that are broken and no longer usable as materials for new pallets to a recycled plastic pallet manufacturing company in which the company holds a stake, instead of disposing them, contributing to the reduction of waste plastic and the effective use of resources. More than 20,000 waste plastic pallets are recycled every year thanks to this initiative.
We recognize that it is important to work to reduce CO2 emissions and environmental load not only in the Group but also in the supply chains of our customers. Based on this idea, to "provide logistics/services with less environmental load" as set forth in our environmental policy, we are striving to reduce the environmental load and provide new environmental value through our business activities, e.g., development of services that contribute to the reduction of CO2 emissions including Scope 3 emissions from our customers, in addition to ongoing initiatives such as modal shift and collaborative logistics.
We and SAGAWA EXPRESS Co., Ltd. are promoting sales collaboration that leverages the strengths of both companies to reduce environmental load. In cases such as when relocating an office from the suburbs to the city center, it is often difficult to operate the Group's large vehicles depending on the road conditions at the relocation site. In such cases, the use of SAGAWA EXPRESS Co., Ltd. sales offices as relay bases makes it possible to transship cargo from large vehicles to vehicles of a size that matches the conditions of the destination and to provide back-and-forth transport to the new location, thereby reducing the total number of transport vehicles by optimizing the number of vehicles operated. This initiative is expected to not only reduce costs, but also reduce CO2 emissions.
Carter Express, a Group company in North America, provides distinctive services that make full use of operational know-how cultivated through experience to date and reliable transportation capacity, such as auto parts transportation by truck within the United States making use of its unique "Shared Milkrun" business model, as well as cross-border transportation among Canada, the United States, and Mexico, which are members of the North American Free Trade Agreement (NAFTA).
For example, joint transportation (Shared Milkrun) in a milk run that collects products from multiple suppliers of multiple customers reduces the number of trucks in operation and mileage, which not only reduces logistics costs but also contributes significantly to the reduction of CO2 emissions in the customer's supply chain.
The Group is actively promoting modal shift from truck transport to rail and sea transport with the goal of developing new customers and new routes in order to reduce CO2 emissions and alleviate the shortage of truck drivers.
| Type | Year | Category | Routes/Cases | Details |
|---|---|---|---|---|
| Rail | FY2021 | Route | 30 routes |
|
| FY2022 | Route | 50 routes |
|
|
| Sea | FY2021 | Route | 3 routes |
|
| FY2022 | Route | 5 routes |
|
We have introduced special containers to promote modal shift not only domestics but overseas and reduce CO2 emissions globally.
For example our Turkish group company Mars Logistics Group Inc. is focusing on unique cross-border transportation, which includes sea transportation from Turkish sites such as Istanbul to Italy, rail transportation from Italy to Luxembourg, and truck transportation from Luxembourg to major cities in EU, and by so doing it realizes high-efficiency and less environmental load, and sustainable logistics.
* Intermodal: Multimodal transportation combining trucks, ships, railroad, etc.
We contribute to the reduction of CO2 emissions by further promoting modal-shift to the sea transport in transporting recyclable materials such as waste plastics segregated from wastes.
We had been implementing a modal shift to transportation with ships using self-developed containers for recycled materials. In FY2019, we introduced new containers and achieved further efficiency improvement.
This is due to the fact that the introduction of new containers has made it possible both to increase load capacity and shorten unloading time, and the number of containers transported has been reduced to about two-thirds each month, and some other factors.
In addition, comparing the CO2 emissions of the case where all processes are transported by dump truck, this means that the reduction is approximately over 40%.
In recognition of these "efforts to improve transportation efficiency of recyclable resource waste transportation by developing special new transportation containers," we received the "Logistics Environment Special Award (FY2019)" at the 21st Logistics Environment Awards.
While problems such as marine plastic waste pollution have been pointed out, we will continue to contribute to solving environmental problems by promoting a modal shift and providing logistics services with less environmental load on the recycling industry.
As the shortage of truck drivers becomes more serious, securing stable long-distance transport into the future has become an issue. We are working on modal shift from trucks to coastal vessels for long-distance transport between the Kyushu and Kansai regions in order to ensure stable transport. Due to the switch to coastal vessels, this initiative has resulted in a significant increase in the volume of transport per operation through such measures as cooperative efforts with multiple shippers and other related parties to enable containers for marine transport to also be used for land transport. This initiative is not only a response to the driver shortage, but also contributes to the reduction of CO2 emissions by improving transport efficiency.
The introduction of SSCV-Smart, an online system that connects cargo owners and transporters, will enable the center to centrally manage everything from acquisition of transport projects to vehicle assignment, issuing of driving instructions, and billing. The system is thus expected to reduce environmental load through improved business efficiency as seen by effects such as reduction in CO2 emissions and paper usage.
The Group's company Vantec is working with SAGAWA EXPRESS CO., LTD. to reduce the environmental load by increasing the size of transportation vehicles. By switching from transportation in the Kanto area and Chubu area, which was previously carried out by 10-ton trucks, to transportation by 20-ton trailers, the number of transportation vehicles has been reduced, which realized a reduction of the environmental load.
We have been considering the introduction of "volume reduction" stretch film through collaboration by the environmental management division and the technology development division. Stretch film is used when packing up stacked luggage, etc., but since it is disposed of as waste plastic after use, replacing it with a thinner material can lead to a reduction in the amount of waste plastic generated. It will be possible to maintain functionality as a packaging material and reduce volume at the same time. Therefore, we are aiming at reducing plastic waste by conducting market research and collecting information on stretch films that are thinner than the current one.
We are working to improve packaging technology and to reduce environmental load including reduction of packaging-related materials and wastes while meeting customers' needs.
In FY2022, we received "Logistics Award" and "Electric Equipment Packaging Award" at the "Japan Packaging Contest" hosted by Japan Packaging Institute. In the case of the "electrical trolley package made of only corrugated board," we have developed a packaging, including interior material, made of only corrugated board from the perspective of reducing environmental load. In changing all packaging materials to corrugated board, the issue was how to maintain the strength, but we used reinforced corrugated board and successfully maintained strength and reduced wood consumption by 100% at the same time.
| Award-winning case / Award titles | Main effect |
|---|---|
| Logistics Award / Change of shipping box for steam turbine blades |
|
| Electric Equipment Packaging Award / The electrical trolley package made of only corrugated board |
|
We launched an EC platform center engaging in logistics services for EC operators in 2019. This center has achieved long hour operations, including at night, with standardized operation and automated equipment, allowing us to carry out logistics operations of multiple EC operators with one platform and to improve logistics efficiency and reduce environmental load by sharing facilities and equipment.
When comparing with the CO2 emissions of the traditional logistics which uses multiple sites for each EC operator, although there are some increasing factors including a rise in electricity consumption due to expanded use of laborsaving and automated equipment, if we consolidate sites of up to 30 operators to the EC platform, we can expect an approximately 30% reduction in emission in one year through improvement of energy efficiency.
This initiative was recognized, and we received "Advanced Technology Award" in the "22nd Logistics Environment Awards (2021)."
As part of "SCDOS," our DX service to support optimization of customers' supply chain, we offer "CO2 emission visualization function" from FY2021.
This service enables customers to accurately measure and visualize CO2 emissions and reduction in the supply chain by centrally managing and monitoring their various data, which has received conformity assessment by a third-party organization. In FY2022, we made more proposals than we originally planned and supported the visualization and reduction of CO2 emissions from logistics domains of multiple customers.
We support businesses that respond to consumer orientation changes of from buying to renting and from owning to using through "Recovice," a logistics service for customers who provide usage and experience types of services such as rentals, subscriptions, and sharing. Through this, we are contributing to the development of a recycling-oriented society.
The Group is working to raise the environmental awareness of its employees through environmental education and other means. In FY2019, we reviewed the existing environmental management system to track the actual data more accurately and conduct monitoring activities. In addition, we investigate the environmental load of our business establishments and important environmental laws and regulations overseas, and strive to manage the environmental load and ensure legal compliance.
Every year, e-learning is provided mainly for domestic employees, in order to facilitate employees' understanding of global warming, resources recycling and ecosystem integrity.
In addition, e-learning for the Group Code of Conduct contains programs about environment to disseminate the importance of environment as business ethics to employees.
| Attendance rate of environmental e-learning courses (domestic) (FY2022) | Target | Result |
|---|---|---|
| 99% | 87.3% |
In order to share know-how within the Group such as knowledge and experience of on-site environmental management in each field, for maintaining and improvement of the level of environmental management, we have compiled "manuals" by roughly separating environment-related operations into three fields of "environment," "waste," and "vehicle," and deployed these as a platform.
Management systems currently in use
| System name | Introduction purpose | Number of sites as of March, 2023 |
|---|---|---|
| Industrial waste management system | [Manifest management under the Waste Management and Public Cleansing Act] Improving the management level of waste and other emissions through complete renewal that emphasizes operability and efficiency |
255 sites |
| Environmental load research system | [Survey of energy consumption such as electricity and fuel under the Act on Rational Use of Energy, etc.] Improvement of accuracy of environmental load data by improvement of input/aggregation operations |
351 sites |
| Vehicle management system | [Management of vehicle fuel consumption, mileage, registration information under the Act on Rational Use of Energy, the Law Concerning Special Measures for Total Emission Reduction of Nitrogen Oxides and Particulate Matter from Automobiles in Specified Areas, etc.] Improvement of vehicle management levels by improving operability and functionalities |
419 sites |
We are working to improve the level of environmental management through a variety of training and meetings.
We strive to maintain and improve the level of environmental management by continuously conducting environmental training.
We share environmental information in Japan and overseas to improve environmental awareness and the management level.
| Number of environment conferences held (FY2022) | Domestic: environmental promotion conference 2 times |
|---|---|
| Oversea: environmental officers meeting 2 times |
We perform internal audit to prevent or promptly correct violations of the environmental compliance and improve the management level.
| Number of sites audited (domestic) (FY2022) | 170 sites |
|---|
We seek third-party certification and the Sustainability Promotion Department has acquired the "Eco Stage" certification.
From FY2017, we have upgraded the certification level to "Eco Stage II" which is equivalent to ISO14001.In FY2019, LOGISTEED Central Japan, Co., Ltd., our group company, independently acquired "Eco Stage II Certification," and the entire Group has worked to improve the environmental management level. In addition, as of April 2023, we have earned "Green Management Certification" at 11 of our truck transport sites and 7 of our warehouses.
Building on these management systems, we are committed to ongoing reduction of environmental load.
Eco Stage II Certification
Green Management Certification
| Scope of Eco Stage 2 | 334 sites (All sites in Japan as of the end of March 2023) |
|---|
Scope：The Company, domestic group companies
For greenhouse gas (GHG) emissions in FY2021, the Group acquired a third-party certification based on ISO14064-3:2019 through an assessment by a certification body LRQA Limited in FY2022. We will continue to secure the reliability of our calculated data by obtaining a third-party certification and also work to expand the scope to "Scope 3."
*Scope: CO2 emissions in scope 1 and scope 2 (domestic)
In order to promote decarbonization initiatives, we are considering the use of ICP in investment decisions. In FY2022, we set ICP at 10,000 yen/t-CO2 and studied how to operate it. In FY2023, we will establish a system for ICP-based investment decisions and make it widely known within the Company.
In order to reduce the environmental load of the entire Group, including overseas companies, we are working to strengthen cooperation with overseas locations. In FY2022, we conducted interviews with personnel in charge of environment at each group company to identify issues and establish reporting lines for the purpose of visualizing CO2 emissions overseas.
To set CO2 emission (Scope 3) reduction targets throughout the supply chain, we have been conducting fact-finding surveys of CO2 emissions in overseas group companies and building a system to calculate and visualize emissions with higher accuracy since FY2022.
We identify important environmental laws and regulations related to "Transport and Warehouse Business" in overseas sites and conduct research on their outline in 29 countries and regions from FY2017 to ensure proper operation management in each site.
In FY2021, we completed research on Germany and France, bringing the total number of researched countries and regions to 20.
The number of non-compliance with environmental laws and regulations at our company in FY2022 was 0.
The Group promotes resource recycling initiatives with consciousness of nature conservation, environmental communication such as dissemination of environmental information within the Company and environmental activities at each site, and strengthens disclosure of environmental information externally.
We hold "Green Action Workshop," an interactive employee activity that incorporates the perspective of reducing environmental load into VC activities since FY2021, and also hold "Environment Prize in VC Award" to recognize innovative initiatives as environmental communication. In FY2022, we held "Digital Dialogue Session" where the management and employees discussed their ideas and views on decarbonization, etc., and also held workshops to visualize the environmental action plan.
Results of environmental communication linked to VC activities (cumulative：as of March, 2023)
| Number of on-site Green Action Workshops held | 376 times |
|---|---|
| Reference: Number of new initiatives related to the environment | 995 cases |
Scope: The Company, domestic group companies
We have posted general knowledge about the environment and examples of initiatives and topics in the Group magazine, which is distributed to Group companies as well, to raise the environmental awareness of employees and their families, and also to promote active participation in environmental initiatives. In FY2022, a series of easy-to-understand articles was posed on the company magazine about the mechanism of global warming along with trivia about the environment.
As environmental communication activities, we have implemented clean-up activities and light down around our sites.
In order to promote the understanding of employees regarding the environment, in line with World Environment Day on June 5, which is set by the United Nations, since FY2015 we have designated June, including this day, as the Group Environment Month, and has been promoting environmental beautification activities and social contribution activities around the common theme of "contribution to local community." From FY2020 to FY2022, the timing of activities was changed and countermeasures taken to prevent the spread of COVID-19.
・Clean-up activities around sites
・Tree-planting establishment around sites
・Eco cap activity
・Green curtain installation
・Collection and donation of used clothing
In order to recycle the waste generated in our business activities as much as possible, we have been actively promoting the implementation of waste emission control measures and efforts to reduce the amount of landfill disposal in the Group overall, and striving to maintain and improve the recycling rate.
| Recycling rate (FY2022) | Target | Result |
|---|---|---|
| 99% | 99.0% |
Scope: The Company, domestic group companies
We try to promote Green Purchasing when purchasing office supplies by choosing stationery made from recycled materials, recycled paper, etc.
| Green purchasing rate* (FY2022) | Target | Result |
|---|---|---|
| 85% | 79.4% |
Scope: The Company, domestic group companies
*Green purchasing rate: the ratio of office supplies purchased at the e-sourcing MALL (an electronic purchasing system) that are environmentally-friendly products.
Water used for car washing and dust control is also a limited resource, therefore we have been working to reduce the amount of water consumption by using this efficiently.
| Reduction of water consumption intensity per floor space (FY2022) | Target | Result |
|---|---|---|
| YoY -1% | YoY -1.8％ |
Scope: The Company, domestic group companies
To protect forest resources, we have been working to reduce the amount of copy paper used by promoting paperless meeting materials.
| Rate of reducing copy paper consumption (FY2022) | Target | Result |
|---|---|---|
| YoY -1% | YoY -5.9% |
Scope: The Company, domestic group companies
| Total amount of copy paper used (thousand of sheets) converted to A4 size | FY2020 | FY2021 | FY2022 |
|---|---|---|---|
| 120,294 | 114,640 | 115,218 |
Scope: The Company, domestic group companies
We participated in (responded to) the CDP*1 Questionnaire for the first time in 2020, receiving a high rating of A-, the leadership level, in the three consecutive years of 2020 and 2022 for our climate change initiatives and information disclosure. With regard to climate change-related issues, we have strengthened our management system, including at the board level, identified climate-related risks and opportunities from short-, medium-, and long-term perspectives, estimated the financial impact, and studied and implemented countermeasures according to the level of importance, and considered climate-related risks and opportunities as important issues in its business strategy. Those and it being transparent in setting medium-to-long-term environmental targets, taking actions for mitigation, and implementing measures gained it a high rating.
We are also preparing for the implementation of the declaration of CO2 reduction targets (setting of SBT*2) based on scientific evidence, and we have been working on "Environmental Accounting*3" in order to effectively promote its environmental efforts.
*1 CDP: An international non-profit organization that globally evaluates corporate efforts related to climate change and water.
*2 SBT: Abbreviation for Science Based Target, an international initiative that certifies companies that set ambitious targets that are consistent with the 2-degree goal.
*3 Environmental accounting: A system in which companies, etc. recognize the costs of environmental protection in their business activities and the effects obtained from those activities, and measure and convey them as quantitatively as possible (in monetary units or physical quantities).
As part of the ESG management initiatives, from FY2019 we have been a member of the Network for Promoting Decarbonized Management of the Green Value Chain Platform organized by the Ministry of the Environment and the Ministry of Economy, Trade and Industry, and we participate in regular study sessions. In FY2022, we collected information on the latest trends in SBT and exchanged opinions on initiatives to reduce CO2 emissions in the supply chain.
(Millions of yen)
| Category | Investment | Cost |
|---|---|---|
| 1. Cost within the our business activities | 767.0 | 1925.1 |
| 2. Upstream and downstream costs | 0 | 0 |
| 3. Managerial activity costs | 0 | 336.6 |
| 4. R&D costs | 0 | 0 |
| 5. Social efforts costs | 0 | 11.6 |
| 6. Other costs | 0 | 0 |
| Total | 767.0 | 2273.3 |
Unit: kl/(inside parenthesis): composition ratio
| Electricity | Gas oil | Gasoline | Other | Total | |
|---|---|---|---|---|---|
| FY2022 | 39,393 (72.5) | 12,662 (23.3) | 717 (1.3) | 1,590 (2.9) | 54,362 (100) |
| FY2021 | 42,330 (73.9) | 12,755 (22.3) | 791 (1.4) | 1,379 (2.4) | 57,255 (100) |
| FY2020 | 44,461 (74.0) | 13,405 (22.3) | 866 (1.4) | 1,320 (2.3) | 60,052 (100) |
| FY2019 | 45,870 (73.8) | 13,567 (21.8) | 1,150 (1.8) | 1,587 (2.6) | 62,174 (100) |
| FY2018 | 46,672 (73.5) | 13,909 (21.9) | 1,057 (1.7) | 1,896 (3.0) | 63,534 (100) |
Scope: The Company, domestic group companies
* CO2 emissions are total of Scope 1 and 2
| FY2018 | FY2019 | FY2020 | FY2021 | FY2022 | |
|---|---|---|---|---|---|
| Scope 1 (t-CO2) | 43,656 | 42,207 | 40,669 | 40,519 | 40,641 |
| Scope 2 (t-CO2) | 83,905 | 77,546 | 72,326 | 70,097 | 63,316 |
| Scope 1⁺2 (t-CO2) | 127,561 | 119,753 | 112,995 | 110,616 | 103,957 |
| Intensity per revenues (tons-CO2/100 million yen) | 28.2 | 26.5 | 25.9 | 25.7 | 23.7 |
| Greenhouse Gas | Scope 1 emissions (CO2 equivalent) |
|---|---|
| CO2 (ton) | 40,641 |
| CH4 (ton) | 0 |
| N2O (ton) | 0 |
| HFC (ton) | 0 |
| PFC (ton) | 0 |
| SF6 (ton) | 0 |
| NF3 (ton) | 0 |
Scope: The Company, domestic group companies
Global warming coefficient used: IPCC Fifth Assessment Report (AR5-100 year values)
| Category | Active data | Rate |
|---|---|---|
| 1 |
|
60.0% |
| 2 |
|
12.3% |
| 3 |
|
2.8% |
| 4 |
|
0.1% |
| 5 |
|
1.1% |
| 6 |
|
1.0% |
| 7 |
|
6.8% |
| 8 |
|
- |
| 9 |
|
- |
| 10 |
|
- |
| 11 |
|
12.6% |
| 12 |
|
2.9% |
| 13 |
|
0.4% |
| 14 |
|
- |
| 15 |
|
- |
| FY2018 | FY2019 | FY2020 | FY2021 | FY2022 |
|---|---|---|---|---|
| 557,860 | 527,189 | 496,788 | 513,312 | 590,518 |
*The above is domestic emissions on a consolidated basis.
| Hazardous waste | Emission | ||
|---|---|---|---|
| FY2020 | FY2021 | FY2022 | |
| PCB (ton) | 1.1 | 0.0 | 0.0 |
Scope: The Company, domestic group companies
Our Service Portfolio
Search