Page 7 - Logistics News April 2018

3PL

Research helps SA 3PL fi rms

move towards sustainability

New research identifi es
enablers and barriers for
South African 3PL fi rms to
become more sustainable.

Figure 1: South African 3PL fi rms’
approaches to sustainable SCM.

THERE IS an increasing pressure on fi rms across also boasts the most developed contract logistics
the world to reduce their impact on the planet. market on the African continent. The environment
All sectors of business, including supply chain and context that a 3PL fi rm operates in largely
management and logistics, need to fi nd ways aff ects its approach to sustainable SCM. The
to become more environmentally friendly and researchers set out to better understand these
sustainable. Along with this pressure, fi rms fi rms’ approaches to sustainable SCM, evaluating
constantly face factors that either enable them to if their sustainability initiatives were mostly
be more sustainable or inhibit them from achieving infl uenced internally or externally.
sustainable operations. Development of the supply Nine South African 3PL fi rms were identifi ed
chain and optimum management thereof cannot and a range of expected internal and external
compromise the abilities of future generations. factors that infl uence fi rms’ approaches to supply
Sustainable supply chain management (SCM) chain management sustainability, either enabling
means that fi rms have a responsibility to take or restricting in nature, were found. These fi ndings
care of the environment, while ensuring the social showcase the fact that South Africa is an emerging
performance of their suppliers and customers. and developing country, but also how 3PL fi rms
While research has been done on the sustainability are infl uenced and sculpted by the country’s
eff orts of manufacturers and retailers in the South intricate past. Further, the new internal and external
African context, there is a general lack of research infl uencers identifi ed serve as a contribution to the
on industry specifi c SCM sustainability. Analysis of development of this fi eld of research.
the third-party logistics (3PL) industry’s approach Some internal factors that all 3PL fi rms said
to sustainable SCM has received little attention infl uence their approaches to sustainability were
until a recent study conducted by the University of top management, employees and functional
Pretoria (UP). This study was led by supply chain issues such as skills. Top management should
management experts Wesley Niemann, Gregory lead by example and ensure their decisions are
Hall and Kyle Olivier and also looked at the future economically viable and sustainable. Top managers
of sustainable SCM in the 3PL industry. should drive their employees to understand
Logistics services is important in South Africa, and actively participate in sustainable practices.
with 11.7 percent of the country’s GDP being Employees can bring new ideas that can become
spent on logistics costs every year. South Africa viable solutions for sustainability, but if they use

20 April 2018 | Logistics News