Leadership stories

SCANIA

Scania’s purpose is to drive the shift towards a sustainable transport system, creating a world of mobility that is better for business, society and the environment.

As a signatory to the UN Global Compact, Scania is committed to environmental and socially responsible practices globally, and uses the UN Sustainable Development Goals as a key guidance. Scania has identified three key areas that needs to permeate all parts of its business going forward: reducing CO2 emissions, circular business and people sustainability.

Scania has an extensive logistical network including inbound flows (materials and parts coming to Scania from our suppliers), and outbound flows (Scania vehicles and components being delivered to customers all over the world). Scania’s logistics emissions were 253,000 tonnes CO2e in 2019 or about 83% of the company’s total carbon footprint. This includes transport via air, sea, and land of production materials to factories, packaging within the network, vehicles to customers, and spare parts to workshops.

“Promoting responsible transports is part of our core business. We aim to lead by example and set the benchmark for sustainable logistics. We are committed to continuously improving our logistical flows to eliminate waste, improve energy efficiency and reduce CO2 emissions, while also working to promote fair working conditions for drivers.”
- Jenny Karlsson, Sustainability Manager Supply Chain Networks, Scania

Report and set targets

  • Reports emissions using the GHG Protocol and from 2020 onwards uses the GLEC Framework to calculate and report logistics emissions.
  • Set a 50% CO2e reduction target per transported tonne from land transport by 2025 with 2016 as a baseline. Scania has also committed to setting science based carbon emission reduction targets.

Reduce

Scania has a unique position as truck manufacturer to reduce both its own logistics emissions as well as help its customers reduce theirs. Scania’s approach rests on three pillars:

  • Energy efficiency (optimizing the vehicle and driving). Scania Ecolution is a service for customers that saves them up to 10% in fuel use through optimized vehicles, driver training and individual driver coaching.
  • Renewable fuels and electrification (optimizing the energy). Scania’s engines can run on alternatives to fossil fuels, such a ethanol and liquified or compressed biogas which can reduce CO2e emissions by 90%. Scania also manufactures hybrid, fuel cell and battery-powered electric trucks and is exploring continuous charging along electric roads. For example, 6 hybrid trucks are being deployed in silent night-time deliveries to McDonald’s restaurants in Stockholm; 14 compressed gas trucks drive for retailer SPAR in Ireland; and fuel cell electric trucks powered by hydrogen gas are piloted with grocery wholesaler AKSO in Norway.
  • Safe and smart transport (optimizing the transport system). Scania redesigned its own crossdocking terminals in Spain to improve the logistic flows and implemented intermodal transports on multiple long-distance lanes. This led to 19.5% CO2 emission and 6.4% cost reductions. It also gathers real-time data from over 430,000 connected vehicles that drive more than 2.9 billion km per month to help customers lower fuel consumption and maximize vehicle uptime.

Collaborate

  • Builds collaborations to decarbonize heavy transport and overcome infrastructure, financing, legislative and other barriers. An example is the Pathway Coalition with H&M, Siemens and E.ON. The Pathway Study shows four possible pathways until 2050: battery electric vehicles, biofuels, fuel cell electric vehicles and technology mix.
  • Founding member of the Smart Freight Shippers Alliance China, facilitated by Smart Freight Centre, working with multinationals, government and other stakeholders to achieve concrete action and supportive policy for freight transportation.
  • Invests in research partnerships such as cross industry platform Xynteo to explore the full potential of biofuels in Europe, and the Stockholm School of Economics to explore business models for the future transport ecosystem.
  • Won the Green Truck Award in Germany for three years in a row for the R450 with the lowest average fuel consumption (23.25 L/100 km) and CO2e (738 grams/km), and the highest average speed (80.42 km/hr) on the same 353-kilometre long test track.
About Scania

Scania is a world-leading provider of transport solutions, including trucks and buses for heavy transport applications, industrial and marine engines, and offers vehicle financing, insurance and rental services customers in 100+ countries.

Find out more on www.scania.com

References

The Scania Report 2019

Scania website

Thepathwayscoalition.com
and Pathway Study
SLR icon

Become a leader. Develop your company-specific Sustainable Logistics Roadmap