As a global technology leader, Lenovo recognizes its role and responsibilities to operate as a sustainable business. Sustainability is a key component of Lenovo’s logistics strategy. By enhancing freight management practices and considering the environmental impact of decisions, significant opportunities exist to reduce their carbon footprint. Key to this strategy is removal and reduction, not just off-setting.
The company generates 16 million tonnes of CO2e a year. This includes the use of Lenovo products by customers, of which 633,000 tonnes — around 4% of the total — is from the transportation of products. Freight emissions, broken down by mode of transport, are: air freight 85-92%; road and rail freight 7-14%, and sea freight 1%. All modes of delivery are through logistics partners with a strong emission reduction strategy.
“Lenovo is proud to have built a strategic partnership with Smart Freight Centre. As a steering committee member and one of the early adopters of the GLEC Framework, through our ‘Champion China’ program we have jointly created the ‘Smart Freight Alliance China' which seeks to continue enabling a cleaner environment in this critical geography.” Gareth Davies, Executive Director, Head of Global Logistics, Lenovo
Report and set targets
- Calculates emissions using the GLEC Framework and the SFC-accredited EcoTransit World tool for reporting in its sustainability report and to CDP.
- Requires all global tier-one carriers to report monthly on emissions relevant to actual and baseline emissions; reduction targets; and progress for actions on improvement.
- Supports a 2050 reduction target of 40-70% for scope 1 and 2 emissions compared to 2018/19 and submitted preliminary targets to the Science Based Targets Initiative. Scope 3 reduction targets, pending final approval, are 25% CO2e per tonne-km of transported product by 2029/30 from a 2018/19 baseline.
ReduceLenovo’s reduction efforts focus on mode of transport; consolidation and utilization; network optimization; packaging (size, weight, dimensions, recyclable); technology and automation; reward and recognition for partners.
- Work closely with their logistics partners to ship products responsibly through: lighter and smaller products, more compact and re-usable packaging materials, bulk shipping alternatives, GPS for in-transit tracking, regional distribution facilities that allow for lighter loads, load consolidation, and fuller truckload shipments.
- Increased rail transportation for shipments from China to Europe by 57% and container utilization by 6%.
- Launched a series of pallet optimization projects to reduce annual logistics CO2e emissions through recycling pallets at the Lenovo Shenzhen plant (480 tonnes CO2e); using 9.8 kg light-weight pallets for air shipments (6,595 tonnes CO2e); and switching from wood pallets to light plywood pallets for China mobile manufacturers, improving the average container utilization rate from 74% to 83% (4,160 tonnes CO2e).
- Drives emissions-reduction by suppliers in collaboration with the Responsible Business Alliance, that is dedicated to electronics supply chain responsibility. Suppliers realized 31% reduction in emissions intensity in 2019, of whom 80% have reduction targets verified by a third party. Logistics partners have contractual requirements to report and reduce emissions as well as join green freight programs.
- Takes a leading role in the Smart Freight Alliance China of multinationals and key stakeholders to drive concrete action and supportive policy in China. Lenovo is a founding board member of the Green Freight Asia program, and received a 3-Leaf Certification for China and 2-Leaf Certification for India. In the US, Lenovo is an approved partner of the US EPA SmartWay program, and was recognised as a SmartWay 2019 Top Performer.
- Recognized for efforts by CDP, including A- in the 2019 CDP Climate Change questionnaire and 2018 CDP China Influence Award on Climate Change Mitigation. Lenovo has also been rated AA on Hang Seng Corporate Sustainability Index.
About LenovoLenovo is a global technology leader that provides personal computers, smart devices and IT services to create the best user experience. Lenovo is present in 180 markets around the world. Their mission is to be a leader and enabler of intelligent transformation in order to deliver smarter technology for all.
Find out more on: www.lenovo.com
Reference:2018/19 Sustainability Report
Combating Climate Change: approach, supply chain, performance
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