Supply Chain Frontiers issue #48
A study conducted by the MIT Center for Transportation & Logistics (MIT CTL) and sponsored by the Environmental Defense Fund (EDF), shows how Ocean Spray Cranberries gained a 20% reduction in greenhouse gases on top of 40% savings in transportation costs by making smart process changes to one of its primary transportation and distribution routes.
MIT CTL measured the sustainability improvements after Ocean Spray, a $2.2 billion agricultural cooperative and household-name fruit juice and food manufacturer, opened a new distribution center and partnered with a competitor to improve transportation efficiency.
The company joined with a competing fruit juice maker to capture backhaul opportunities that enabled Ocean Spray to reduce transportation costs, shave delivery distances and, ultimately, trim emissions.
The gains realized by the strategy include a shift of 80% of Ocean Spray’s freight traffic between New Jersey and Florida to a new rail route, and a 20% overall carbon footprint reduction in that lane.
Case Studies in Carbon-Efficient Logistics: Ocean Spray – Leveraging Distribution Network Redesign can be downloaded here. EDF’s report on the study can be accessed here.
For more information contact MIT CTL’s Director of Communications Tara Faulkner.