1 Our vision for sustainable transport at InterfaceFLOR Europe
2 3 Just the facts our vision for sustainable transport at InterfaceFLOR Europe InterfaceFLOR’s seven fronts of sustainability 1. Eliminate waste 4. Closing the loop 6. Sensitising stakeholders Eliminating the concept of Redesigning processes and Creating a community within waste, not just incrementally products so that all resources and around InterfaceFLOR that reducing it. used can be recovered and understands the functioning reused, closing the technical or of natural systems and our 2. Benign emissions natural loop. impact on them. Focusing on the elimination of molecular waste emissions. 5. Resource-efficient 7. Redesign commerce Eliminating waste streams that transportation Redesigning commerce have negative or toxic effects Transporting all of our people to focus on the delivery of on natural systems. and products efficiently and service and value instead of with minimal waste and material. Encouraging external 3. Renewable energy emissions. This includes organisations to create Reducing our energy demands plant location, logistics and policies and market incentives. while substituting non- commuting. renewable sources with renewable ones like solar, wind and landfill gas.
4 5 Just the facts our vision for sustainable transport at InterfaceFLOR Europe Transport at InterfaceFLOR Europe Our transport can be divided InterfaceFLOR has three into two main categories: factories in Europe and international transport and national distribution centres national distribution. in all our major markets. International transport • Craigavon, Northern Ireland • Inter-company transport of • Shelf, England semi-finished products from • Scherpenzeel, the Netherlands factory to factory. London and Paris are our • Line-haul transport of two largest city markets and finished carpet tiles account for the most significant from factory to national proportion of our transport distribution centres. impact due to the high volume of distribution. Peripheral regions National distribution such as Spain or Scandinavia also have a relatively high impact • Transport of products from on international transport due to national distribution centres the relatively long distances from to our customers our factories.
6 7 Just the facts our vision for sustainable transport at InterfaceFLOR Europe Understanding our transport impacts We conducted a study in 2008 to establish an accurate baseline for our current performance and quantify opportunities to reduce our transport impacts. The main aim was to develop a tool to measure and monitor transport emissions. Monitoring our impacts gives us a better understanding of the factors that influence our transport emissions levels and enables us to work with our logistics partners to identify areas where we can improve our performance. To calculate the environmental impact of our distribution we collected data on the amount of goods transported, the total distance travelled by our goods and the environmental performance of each mode of transport. We collected data internally and from our logistics partners to calculate transport impacts per m² of carpet delivered. Our current performance is 0.3 kg CO2/m² of carpet delivered.
8 9 Just the facts our vision for sustainable transport at InterfaceFLOR Europe How to reduce our transport impacts Following a review of our In the Netherlands, where entire distribution network, we have switched from we have identified several dedicated to grouped areas where we can reduce delivery, the fill rate of our our transport impacts: trucks have increased from 38% towards 60%. 1. Manufacturing regionally demand is growing, we are Sharing transport space with Our international line-haul developing local manufacturing goods for other companies transport uses Groupage, a Cutting the distance that our facilities. For example, new rather than sending dedicated service that enables us to products have to travel is one factories were recently trucks or containers for our share space with other goods of the most effective methods completed in China and Uruguay. products can significantly for international shipping of reducing our transport increase efficiency, particularly from our factories to national impacts. 2. Improving load factors for national distribution where distribution hubs. In Europe over 99% of Empty and underutilised freight capacity is typically used less efficiently. This also Load factors are one of the products sold are vehicles dramatically reduce the criteria in the annual manufactured in Europe. transport efficiency. A 2009 helps to avoid trucks delivering our products coming back questionnaire sent to all our report by the World Economic In addition, the majority of empty. logistics partners, and we Forum found that 24% of our raw materials by weight welcome ideas on how to freight vehicles in the EU run are sourced from suppliers improve these. empty. The research also close to our factories. This found that the rest run with an We are also looking for ways to is especially important for average load of only 57% of pack more products per truck. heavier raw materials such as capacity (load factor), giving an This is challenging because limestone. overall efficiency of just 43%. our products are heavy and Our commitment to regional The report estimates that this their size means the pallets manufacturing is not limited inefficiency costs the 27 EU we use are not the standard to Europe. As we expand into countries 22 billion a year – dimensions (1,06m x 1,06m). emerging markets, where 1.2% of GDP.
10 11 Just the facts our vision for sustainable transport at InterfaceFLOR Europe How to reduce our transport impacts Now, orders heavier than potential reductions in CO2 and Once vehicle efficiency three tonnes (around three NOX emissions which affect is optimised, the pallets) are transported climate change, as well as biggest opportunities for Scherpenzeel, Netherlands directly to the customer particulates which contribute to InterfaceFLOR are the use of from our factory in local air pollution. second generation biofuels Lille, France Scherpenzeel, and hybrid or electric vehicles. ‘Megatrucks’ can improve the Netherlands. These are areas where we the efficiency of transport by expect our logistics partners Paris, France There will still be some moving more goods per trip, to innovate to cut impacts detouring for small orders (for reducing the overall number dramatically. We look forward example, from Scherpenzeel to of trips needed. However, to new ideas and projects Paris and back to a customer they are not accepted in 4. Using cleaner fuels and to improve efficiency and in Lille or Strasbourg), but a all European countries Optimised delivery route more efficient vehicles emissions of vehicles. For balance needs to be made in and weight restrictions on Delivery route example, we are exploring order to avoid small orders Cleaner, more efficient and individual vehicles make the options with our transport travelling long distances on alternative vehicles are the use of megatrucks difficult for 3. Optimising delivery routes company in the UK to test potentially empty trucks. most effective way to reduce InterfaceFLOR because our trucks that run on bioethanol. Our products do not travel in a We are working to cut the our transportation impacts. carpet tiles are heavy. Since 2009, deliveries We are also in discussion with straight line from our factories amount of de-touring in our Improved vehicle efficiency, our logistics partners to invest to our customers. Their journey distribution network. In France, of over 1.5 tonnes also Manufacturers are continually alternative vehicles and the improving the efficiency in hybrid delivery vehicles in is determined by transport for example, all our goods dispatched directly from use of biofuels will bring the of regular trucks and Paris and London in the future. networks and the location of used to go via our hub in Scherpenzeel to customers biggest reductions in CO2 national distribution hubs. The Paris because the Paris area in Germany and Austria improvements in aerodynamics emissions, according to the and rolling resistance are amount our routes deviate from accounts for around half our European Commission. In our other major markets, expected to make new vehicles a straight line is called sales in the country. However, such as the UK and Spain, 30% more efficient by 2020. ‘de-touring’. Reducing de-touring this often added unnecessary The table on page 14 shows we are looking for similar But there are limits to what can can cut environmental impacts mileage. the potential savings that could opportunities to reduce be achieved through efficiency of transport, especially for be achieved by implementing detouring and encourage our gains while still using fossil larger orders. a range of new technologies logistics partners to help us fuels. or fuels in trucks. It shows the meet our goals.
12 13 Just the facts our vision for sustainable transport at InterfaceFLOR Europe How to reduce our transport impacts Measures to reduce the environmental footprint of truck transport fuels. The key to achieving these Key EtOH: Sugar cane (Brazil) targets lies in what are known Material Effect on carbon dioxide Effect on nitrous oxide Effects on particulates Conventtional gasoline EtOH: Wheat straw (CO2) emissions (NOX) (PM10) as ‘second generation’ biofuels Conventional diesel EtOH: Wheat, NG GT+ CHP, DDGS as AF as they require less chemical Syn-diesel: Farmed wood RME: Gly as chemicals and energy input and typically Syn-diesel: Waste wood, Black lquor DME: Waste wood, Black liquor 1 Natural gas -3% to -10% -80% -40% produce more fuel per unit of 2 agricultural land used. These Fuels 2010 (source EUCAR/CONCAWE/JRC Replacement of Euro 1-3 by Euro 5 - -65% to -70% -80% to -95% are produced from cellulosic 3 materials (such as straw or plant Retrofit particulate filters on Euro 2/3 +1.5% - -20% to -40% waste) rather than the starchy 180 4 Megatrucks/ Ecocombi -22% -25% -25% part of plants which could compete with food crops. 160 5 Hybride drive -15% to -40% Locally - 100% Locally - 100% Overall 0% Overall 0% InterfaceFLOR supports the WTW GHG emissions 9g CO2eq / km) 140 use of second generation 6 Electric drive (for distribution) -3% to -10% Locally - 100% Locally - 100% Overall -70% to -90% Overall -90% to -95% biofuels such as: 120 7 Biofuels +10% to -140% - - • Biomass to Liquid (BtL) • Cellulosic ethanol 100 • BioDME/Methanol The use of hybrid vehicles For the same reason, electric The EU road transport sector • BioSynthetic Natural Gas 080 reduces the amount of diesel vehicles can significantly reduce accounts for more than 30% of (BioSNG) used by running off a battery local air pollution. However, their the total energy consumption • Bio-oil/Bio-crude 060 which is recharged using energy potential to cut carbon emissions in Europe. It is currently 98% • Algal biofuels lost in braking. When running depends on the source of the dependent on fossil fuels and • Hydrocarbons from catalysis 040 in electric mode, there are also grid electricity used to charge the EU has set a target for 25% of plant sugars no particulate emissions. This them. Based on the average of transport fuel needs to be • Biohydrogen reduces local air pollution, carbon intensity of EU electricity met by biofuels by 2030. 020 • Bioelectricity/CHP especially important in production, electric vehicles can • Biobutanol Biofuels are a renewable populated areas. achieve savings of about 40% 0 100 200 300 400 500 600 energy source and a lower- compared with fossil fuels. Total WTW energy (MU / 100km) carbon alternative to fossil
14 15 Just the facts our vision for sustainable transport at InterfaceFLOR Europe How to reduce our transport impacts CO2 (g/tonne-km); containers/non-bulk; short distance; 2010 160 140 120 100 080 060 040 020 to k tru ted ric n se n EU . TE . 2T ip 6 hip 0 c ct rai ie ai n ck ) l) ) U) >2 tru (3 l. sh (d Tr la T (9 l. s cu d In In gi le rti Ri (e A CO2 (g/tonne-km); containers/non-bulk; long distance; 2010 5. Shifting to lower carbon We have already made a transported to the port at transport to several countries transport (multimodal) number of changes to the way Rotterdam by road. in Eastern Europe. We are 160 we transport goods. also looking into the possibility Shifting loads from trucks to By transferring goods to a 140 of using ships from the port 120 other modes of transport – In Italy, for example, we barge for part of this journey of Rotterdam to places such 100 such as trains, inland barges have transferred 98% of our (between Rotterdam and as Bilbao in Spain or Saint 080 and short sea shipping – for shipments from road to rail, Utrecht), we have cut CO2 Petersburg in Russia. 060 part of the journey can reduce reducing CO2 emissions emissions by 39% 040 CO2 emissions. The EU goal associated with the Our goal is for 10% of our 020 is for 30% of road freight We are looking for more products (by volume) to be journey from Scherpenzeel opportunities to reduce travelling over 300 km should distributed using multimodal to Italy by 69%. road mileage by shifting to shift to other modes such as to k tru ted ric n se n TE ip. TE ip. TE ip. TE ip. TE . transport by 2015. 0 hip 0 c ct ai ie ai rti n ck ) l) U) U) U) U) U) >2 tru 00 sh 70 sh 50 sh 80 sh le Tr (d Tr multimodal transport. We are la 90 s rail or waterborne transport In the Netherlands, products (2 l. (4 Inl. (1 ea (5 ea (1 Sea cu d In gi S S investigating opportunities Ri by 2030. from our site at Scherpenzeel (e A Note: Short distance transport applies to trips of around 150 km have traditionally been to use rail for international
16 17 Just the facts our vision for sustainable transport at InterfaceFLOR Europe How to reduce our transport impacts there is not demand for green solutions by bigger companies. Influencing other companies is a key part of our Mission Zero and our transport strategy. We are working with other multinationals to develop and share ideas on sustainable transport as well as creating market demand through the Duurzame Logistiek (Sustainable Logistics) programme, which supports 250 leading companies in the field of sustainable 6. Promoting regular 7. Understanding the will allow us to make better transportation of goods. training for drivers impacts of every m2 of and faster decisions on Its aim is to increase the our products our transport to optimise profitability of companies and Training truck drivers in efficiency. This will help simultaneously reduce CO2 fuel efficient driving can Introducing the Eyefreight us monitor and reduce emissions by more than 20% cut emissions by up to 5%. system will allow us to track, environmental impacts. by 2012. We encourage our logistics among other things, the partners to provide such environmental footprint of 8. Collaboration with More information on how training for their drivers. This each individual delivery. The other companies InterfaceFLOR is working with is one of the criteria in our system will act as a portal Our impact on transport is other companies to reduce supplier questionnaire and for our European distribution very small in comparison with the impact of our product most of our partners already and will track order intake, other multinational companies. transportation is available at train their drivers regularly. service level, freight costs We cannot achieve our vision www.duurzamelogistiek.nl. We will continue to raise and environmental footprint. awareness on this. This granularity of information for sustainable transport if
18 19 Just the facts our vision for sustainable transport at InterfaceFLOR Europe Our goals for sustainable transport These are the targets set up by the preliminary transport vision of the European Union. By 2015, our vision for Our goals do not stop at InterfaceFLOR in Europe 2015. The table outlines the Influence factors Target for Sensitivity is this: vision of the European Union on transport for 2020, 2035 2020 2035 2050 GHG FFS • Efficiency is down from and 2050. We seek to be an average of 0.3kg CO2 /m2 1 Stabilizing the increase of tkm Max. +30% Max. +43% Max. +44% N/A N/A well ahead these targets, of carpet delivered to and demonstrate to other 0.2kg CO2 /m2 2 Decreasing vehicle energy -20% -40% -50% 88% - companies that it is feasible to demand • 10% of our total volume is reduce environmental impacts 3 Reducing carbon emissions in -37.5% -61% -88% 55% 22% intermodal from transport significantly. electricity production 4 Electric engines in road transport 0% 10% 25% 41% 5% • 90% of vehicles used in our To achieve our vision on transport is in top Euro Class sustainable transport, we 5a Increase share biofuels 8% 24% 33% 38% 30% for tailpipe emissions need the support of all our stakeholders. We encourage 5b Biofuels upstream emissions -35% -83% -83% • 85% of our transport our logistics partners to suppliers are ISO 14001 develop more sustainable 6 Increased efficiency in usage +8% +30% +50% 25% - certified transport solutions and we of veh are continuing to work with 7 • All forwarders regularly train Improved engine efficiency +21% +40% +45% 21% 2% industry and other companies their drivers on efficient to help drive change within 8 Higher modal share of Road 75% Road 70% Road 65% 7% - driving rail ad IWW the sector. Rail 19% Rail 22.5% Rail 25% IWW 6% IWW 7.5% IWW 10% 9 Increased share of electrical rail 66% 75% 80% 3% - 10 Usage of larger trucks 2% 8% 10% 2% -
20 21 Just the facts our vision for sustainable transport at InterfaceFLOR Europe How does Mission Zero affect our relationship with transport companies? Q&A with David Kers, European Distribution Manager As a transport company, How do you ensure the How would you like to What would be your how can I do business for economic sustainability of manage your suppliers? perfect supplier? InterfaceFLOR? your transport suppliers? The relation with our The perfect supplier would be We select logistics service Being financially healthy in logistics service providers the supplier that will help us providers who can help terms of profit and cash flow is based on a performance in realising our Mission Zero. us in our quest to launch is important for a logistics partnership, where we focus Besides focusing on Service a sustainable European service provider, to become on continuous improvement and Quality, this supplier distribution organisation and and stay a sustainable projects. We challenge our will have a strong focus on eliminate any negative impact company. In close cooperation logistics service providers innovation (technological and our distribution activities may with our logistics partners we to do better every day. Our social), can adapt to short have on the environment want to change the European transport management and mid-long term changes by 2020, in order to reach transportation market from a system “Eyefreight” enables in the market place and is Mission Zero. short term leverage market to us to monitor our KPI’s on demonstrating commitment a long term sustainable market (Service) Performance, Profit to become a sustainable Our European distribution focusing on the 4 P’s. Market and Planet. Annually targets partner. Sustainability model is based on the 4 developments and financial for KPI’s will be agreed and should be a key element in P’s; Performance (service), performance of our logistics the progress on these KPI’s their strategy. Our perfect Planet, People and Profit. We service providers are reviewed is reviewed in our quarterly suppliers will be or become have developed a supplier on a quarterly basis. Through review meetings. leaders in the sustainable assessment model in which collaboration we focus on European transportation our suppliers are assessed eliminating supply chain costs. market, implementing new on criteria linked to these 4 sustainable logistics concepts, P’s. Examples of these criteria for example: multi modal are: Green Fleet composition, transportation and trucks driver training programmes, using alternative fuels. experience with alternative fuels, profitability etc.
22 If you want to know more, please go to www.interfaceflor.eu/transport For more information about our products please visit www.interfaceflor .eu