Sustainability and Cost Savings in Distribution

Sustainability and Cost Savings in Distribution with Emphasis on

Direct to Consumer

Barry Graff – COO at Alpha Distribution Solutions

Audric Mathurin – Compliance Analyst at

Ariela and Associates

Corporate Stewardship of the Planet

“With climate change estimated to decrease global economic output by 5-20%, the question is no longer whether or not to develop a corporate climate change policy, but what that policy should be and how it should be implemented.”

- A case study for Supply Chain Carbon Management in the Consumer Packaged Goods Industry, Haas School of Business University of California, Berkeley

http://viewrz.com/video/climate-change-4

Corporate Stewardship of the Planet

• Stakeholder and Consumer Sentiment

• Green in sustainability often yields green for the bottom line– Root out inefficiencies– 33.6% internal rate of return, a value of $15.1

Billion USD

AAI’s Sustainability Story

• Developed sustainability program with consulting firm

• Invited to join Carbon Disclosure Project

• Implemented annual scorecard

AAI’s Sustainability Story

• Revamped carton lineup

• Increased pack configurations

• Consolidated PO’s

• Transitioned to cross-docking

Family Feud

What are the top 4 sustainability opportunities

in distribution?

Top 4 Sustainability Opportunities in Distribution

• Transportation

• Packaging Size

• Void Minimization

• Utilities (lighting, heating, electric)

Sustainability Technologies

• Lighting: LED, T5

• Solar

• Recycling

Case Study

Transportation Analysis

Commercial Zone

Cartons

How many different size cartons do you use today?

Corrugate and Void Reduction Opportunities

http://viewrz.com/video/right-size-box

http://viewrz.com/video/packsize

http://viewrz.com/video/cartonwrap

Take-Aways

• Partner with your partners

• Education your consumers

• Sustainability is important for the environment and can increase your bottom line