Warehouse Solution, whether you operate discrete or process manufacturing, perform distribution services, or stock goods for retail, developing sustainable warehouse solutions is essential for achieving long-term success.
The conscientious decision to focus on what is commonly known as the triple bottom line—economic, environmental, and social dimensions—involved in operation is a comprehensive business philosophy. And with an enterprise resource planning (ERP) system in place, enacting sustainability measures becomes much easier.
Essentially, sustainable warehouse management is a system designed to meet the present needs of society without compromising the opportunities and resources available for future generations.
Although it involves the entire scope of the business process, sustainability is closely associated with environmentally sound procedures. Indeed, Global Reporting Initiative’s G4 guidelines cover this aspect, but most recently, they’ve released a linkage document that will assist the compliance of the latest EU directive for the disclosure of non-financial and diversity information.
Introducing and developing sustainable warehouse solutions is often a challenge, even with an advanced ERP system. Many distributors employ third-party supplier’s (VMI) and logistics (professional carriers) to orchestrate the chain of supply.
However, even these challenges can be reduced with the following implementation tips and techniques. First, divide your sustainability analyses by aspect and type, and then update your core performance indicators within the system with appropriate coding so that the qualitative and quantitative data can be collected and reported properly.
Ignoring the economic performance and market presence aspects, the following list can help you implement the metrics and indicators used to evaluate company sustainability.
Human Rights (Social)
With an advanced ERP system, many of these indicators are already integrated, and the reporting framework can be easily customised to include new governmental regulations and directives.
Effective ERP implementation for a sustainable warehouse involves collecting the right data and then making informed business decisions based on the performance reports that your ERP system generates.