Developing a model for measuring the environmental performance of the SAFCOR Panalpina operations and third party logistics services provided to clients, with a further aim of developing a consultancy capability as a further service offering

Abstract

‟In light of current ecological concerns, investing in less-than-green ventures is tantamount to committing ecocide on a global environment and the communities it sustain‟‟ (Omar, 2011:7)." Companies around the world are daily urged to re-design their business practices, embrace different energy sources and lifestyles to ultimately have a more sustainable relationship with their environment. Companies with reduced emissions are fast becoming the preference as clients are starting to develop a deeper understanding for eco-friendly awareness. This translates into businesses whose services are eco-sensitive being chosen above competition, which ultimately impacts positively on the profitability of the company. According to the Carbon Disclosure Project (CDP) 74% of the JSE‟s top 100 companies have responded to some sort of green project. This is a clear indication that environmental performance should remain sufficiently high on the agendas of South African companies (Omar, 2011). For the purpose of this project Safcor Panalpina‟s Third Party Logistics (3PL) services are assessed as a holistic system. In Chapter 4, operations management approaches are followed to develop a tool to measure and improve the environmental performance of SaPA‟s Third Party Logistics Clients. The customized model adapted from the Green Operations Reference Model is called the SaPA GREENTool. The GREENTOOL is applied to XYZ Pharmaceuticals via a case study; thereafter recommendations based on industry related best practices are given. The outcome of the project will not only be based on the principles of Green Supply Chain Management (GSCM) but also seek to develop a practical competitive advantage as the Environmental Management Systems (EMS) of clients gain value through using greener 3PL services. These competitive advantages will be gained through firstly giving recommendations on what SaPA‟s future green strategy should be and finally the development of a consultancy service in Chapter 5.