Digital Catapult argues that getting transport and logistics companies to work together and share digital resources can lead to lower carbon emissions and a smaller environmental footprint for the industry.
This insight comes from a successful pilot project aimed at seeing if closer collaboration among firms could decrease the number of empty trucks on UK roads. Digital Catapult partnered with AF Blakemore & Son, the parent company of SPAR convenience stores, to explore how a shared digital setup could improve their vehicle scheduling, routes, and tracking.
They implemented distributed ledger technology and Internet of Things devices, along with an algorithm from Fuuse, to enhance route planning and truck utilization. As a result, they were able to align transport capacity with shipping requirements across various UK businesses. This led to a 37% reduction in transport costs and a 9% increase in vehicle fill rates.
Digital Catapult believes that rolling out similar technology across the transport and logistics sector could cut carbon emissions by 15-30%. This project is part of the Logistics Living Lab (L3) initiative, supported by UK Research and Innovation, focusing on how tech can help minimize the carbon footprint of the £163 billion transport and logistics industry.
According to Digital Catapult, this sector is responsible for 31% of all transport emissions in the UK, and data shows that 30% of trucks are driving around empty. Tim Lawrence, director of Digital Catapult’s digital supply chain hub, emphasized the broader benefits of their work.
“When we launched the Made Smarter Innovation Digital Supply Chain Hub three years ago, we recognized the potential of advanced technologies for UK supply chains. Now, with the successful outcomes from projects like the Logistics Living Lab, we’re starting to see that potential translate into real impact,” Lawrence explained.
These solutions promote efficiency within complex supply chains, help reduce costs, and support environmental sustainability for the future. Phil Roe, president of the trade association Logistics UK, noted the urgent need for the logistics sector to decarbonize, and initiatives like this show a pathway forward.
“Decarbonization is a crucial challenge right now, and the pressure on logistics to contribute is intense,” he said. “We must address this alongside issues we face with trade, infrastructure, and labor shortages. The Logistics Living Lab project has shown that digital technologies and collaboration can significantly advance our efforts toward net zero, allowing logistics companies to optimize their operations while supporting the UK economy.”