The logistics sector is growing rapidly. Freight transport has increased by 31 per cent between 1995 and 2005. As the volume of world trade rises, the European Commission predicts a further 50 per cent increase by 2020. But the logistics sector faces a number of challenges. Besides globalisation, means supply chains have become longer and more complex, increasing traffic congestion and soaring fuel prices, the logistics industry faces public and state environmental concerns, such as air and water pollution, energy con- sumption or waste disposal.
Studies show that transportation and logistics can account for up to 75 per cent of a business’s carbon footprint. National governments and the European Union have therefore introduced a number of measures to ‘green’ transport and in order to reduce greenhouse gas emissions. Policy-makers and their policies and regulations on sustainable logistics are assumed to play a critical role in the future development of sustainable logistics.
The key research questions are
Q1: How do 3PL companies see their current corporate activity in terms of sustainable logistics dependent on governmental policies and regulations?
Q2: To what extent do 3PL firms think that governmental policies and regulations are necessary in order to shift the industry towards more sustainability?
Q3: How do 3PLs assess the role of subcontractors on this topic and how will the logistics market be influenced by policies on sustainable logistics?
The selection of the sampling is based on the exploratory sample which helps to generate deep insights into new ideas and people’s expertise. In total, five logistics experts were questioned through telephone and face-to-face semi-structured interviews. All experts work in different leading transport and logistics firms in executive positions.
Table of Contents
1 Introduction
1.1 Relevancy
1.2 Aiming
1.3 Scope of Dissertation
1.4 Content and Structure
2 Theoretical Foundations about Sustainable Logistics
2.1 Definitions
2.1.1 Sustainable Development
2.1.2 Third-Party Logistics Provider
2.1.3 Sustainable Logistics
2.2 Interactive Relationship between Green Logistics and Sustainable Development
2.3 Logistics Solutions and Supply Chains in Times of Public Policies on Sustainable Logistics
2.3.1 Effects of Logistics Operation on Environment
2.3.2 Green Logistics Strategies based on Sustainable Development
2.3.2.1 The Wheel of Green Logistics
2.3.2.1.1 Green Transportation
2.3.2.1.2 Green Warehousing
2.3.2.2 Decarbonisation Framework for Logistics
2.3.2.2.1 Reducing Freight Transport Intensity
2.3.2.2.2 Shifting Freight to Less Carbon-Intensive Modes of Transport
2.3.2.2.3 Increasing Vehicle Utilisation
2.3.2.2.4 Improved Energy Efficiency in Freight Transport Operations
2.4 The Need for Governmental and Multi-National Intervention
2.5 Summary
3 Public Policies and Regulations on Sustainable Logistics
3.1 The Development of a Conceptual Framework of Public Policies on Sustainable Logistics
3.1.1 Institutional Issues of Public Policies on Sustainable Logistics
3.1.2 A Conceptual Model of Public Policies on Sustainable Logistics
3.2 European and British Policies on Sustainable Logistics
3.2.1 European Union’s Public Policy Measures on Intermodal Freight Transport
3.2.2 European and British CO2 Emission Reduction Policy Measures
3.3 Summary
4 Methodology
4.1 Deduction of the Hypotheses based on the Literature Review
4.2 Empirical Research Design
4.2.1 Selection of the Survey Strategy and Data Acquisition
4.2.1.1 Survey Strategy
4.2.1.2 Data Acquisition
4.2.2 Population and Selection of the Sampling
4.2.3 Procedure of the Semi-Structured Interviews
4.2.4 Preparation of the Qualitative Data for Analysis
4.3 Critique of the Methodology
5 Empirical Research about the Impact of Public Policies and Regulations on Sustainable Logistics on Third-Party Logistics Provider
5.1 Expert Interview Results and Research Analysis
5.1.1 Experts’ Viewpoint on Sustainable Logistics
5.1.2 Experts’ Evaluation of current Public Policies on Sustainable Logistics and the Impact on Third-Party Logistics Providers
5.1.3 Experts’ Evaluation of the Role of Subcontractors and the Outlook of the Market
5.1.3.1 Role of Subcontractors
5.1.3.2 Outlook of the Market
5.1.4 Experts’ Assessment about Public Policies on CO2 Emission Reduction and Intermodal Freight Transport
5.1.4.1 Public Policies on CO2 Emission Reduction and Their Impact on 3PLs
5.1.4.2 Public Policies on Intermodal Freight Transport and Their Impact on 3PLs
5.2 Hypothesis Testing and related Recommended Courses of Action
6 Conclusion and Recommendations for Further Research
Research Objectives and Themes
The dissertation aims to investigate how public policies and regulations on sustainable logistics influence the operational and strategic management of third-party logistics providers (3PLs). It explores whether current governmental frameworks drive sustainability or if market forces and customer requirements remain the primary motivators for logistics firms to adopt environmentally friendly practices.
- The impact of public policy on the day-to-day operations of 3PL companies.
- The influence of governmental regulation on long-term strategic management decisions.
- The role of subcontractors in the implementation of sustainable logistics.
- Market consolidation trends in relation to sustainable logistics policies.
- Analysis of policy instruments like CO2 reduction targets and intermodal transport measures.
Excerpt from the Book
1.1 Relevancy
The term logistics basically describes the transport, storage and handling of products as they move from raw material source, through the production system to their final point of sale or consumption (McKinnon, 2010a). As today’s logistics business faces a variety of difficult challenges, modified logistics operations are required. Water pollution, energy consumption, urban development, waste disposal and other aspects of environmental damage (Waters, 2007) has gradually led to important public and governmental concern about the environmental protection. Since logistics serves the public and the government, this has also become an issue for logistics business. The so-called sustainable logistics tries its utmost to help to stop, reduce, prevent or solve the all-encompassing environmental damage by every means and be efficient and productive at the same time.
Industrialization and globalization have stimulated freight transport over the last decade that now consumes 35 per cent of all transport energy (Fulton & Eads, 2004). It is, furthermore, estimated that freight transport accounts for roughly 8 per cent of energy-related CO2 emissions worldwide. All in all, global transport industry encompasses 25 per cent of all CO2 emissions released into the atmosphere (see figure 1). However, CO2 emissions for individual modes of transport vary and have led therefore to a discussion about inventory methodologies in the literature (Endresen, et al., 2004).
While the energy-efficiency of specific modes has been increased, there has been an ongoing movement to even faster and hence more energy-intensive modes, for instance just-in-time shipments. As a result, alternative modes of transport, such as rail and domestic waterway, are being reduced, whereas airfreight traffic, in particular, is estimated to triple over the next 20 years (Boeing World Air Cargo Forecast Team, 2010).
Summary of Chapters
1 Introduction: Introduces the growing challenges in the logistics sector, specifically environmental impact, and sets out the aims, scope, and structure of the dissertation.
2 Theoretical Foundations about Sustainable Logistics: Defines key concepts such as sustainable development, 3PL providers, and sustainable logistics, while exploring the necessity of governmental intervention.
3 Public Policies and Regulations on Sustainable Logistics: Outlines a conceptual framework for public policies and examines specific European and British measures, including intermodal transport and CO2 reduction initiatives.
4 Methodology: Details the empirical research design, including the use of semi-structured interviews with industry experts and the application of grounded theory for analysis.
5 Empirical Research about the Impact of Public Policies and Regulations on Sustainable Logistics on Third-Party Logistics Provider: Analyzes the expert interview results regarding policy influence, subcontractor roles, and the effectiveness of current sustainability initiatives.
6 Conclusion and Recommendations for Further Research: Synthesizes findings to answer research questions and provides actionable recommendations for policymakers and the logistics industry.
Keywords
Sustainable Logistics, Third-Party Logistics, 3PL, European Union, Public Policy, Freight Transport, CO2 Emissions, Supply Chain Management, Environmental Sustainability, Intermodal Transport, Government Regulation, Subcontractors, Market Consolidation, Green Logistics, Carbon Reduction.
Frequently Asked Questions
What is the core focus of this dissertation?
The dissertation examines how current public policies and environmental regulations in the UK and the EU influence the operational and strategic practices of third-party logistics (3PL) providers.
What are the primary thematic areas covered?
Key themes include the definition and framework of sustainable logistics, the impact of CO2 emission reduction measures, the role of intermodal freight transport, and the influence of government policy versus market pressure on corporate strategy.
What is the main research question or objective?
The main objective is to determine whether 3PL firms' adoption of sustainable practices is driven by governmental policies and regulations, or if it is primarily a response to customer demands, market competition, and commercial factors.
Which scientific methodology is applied?
The research employs an exploratory, qualitative approach using semi-structured interviews with five logistics executives from leading international transport firms, analyzed through the lens of grounded theory.
What is discussed in the main body of the work?
The main body covers the theoretical background of green logistics, a comprehensive review of EU and British regulatory frameworks, and a detailed empirical analysis of expert opinions on how these regulations translate into real-world business outcomes.
Which keywords characterize this research?
This work is characterized by terms such as Sustainable Logistics, 3PL, Public Policy, CO2 Reduction, Intermodal Transport, and Green Supply Chain Management.
Do 3PLs feel that current policies are effective in driving sustainability?
The experts interviewed generally feel that while policies are well-intentioned, they often lack deep understanding of industry operations and are frequently bypassed by stronger market and customer pressures for low costs.
What is the conclusion regarding subcontractor involvement?
The dissertation finds that while 3PLs recognize the importance of their subcontractors' environmental performance, business decisions are still primarily driven by price and service capability, making compliance with strict sustainability standards a significant challenge for smaller firms.
How does the research suggest improving policy-industry relations?
The author recommends establishing more formal professional forums where policymakers, industry leaders, and academic researchers can collaborate to ensure regulations are viable, informed, and account for impacts across the entire supply chain.
- Quote paper
- Master of Science Martin Töbelmann (Author), 2011, Public Policies on Sustainable Logistics and the Impact on Third-Party Logistics Provider, Munich, GRIN Verlag, https://www.hausarbeiten.de/document/182894
