As population and urbanization increase, experts say traffic is only getting worse. Kraft Foods is addressing this challenge by finding alternatives to trucking and making its distribution network more efficient. Since 2005, sustainability projects have saved the company more than 50 million miles (80 million kilometers) in its global transportation and distribution network. These are examples from Kraft Foods operations:
•In North America, Kraft Foods has purchased 11 hybrid direct store delivery vehicles for frozen products. The hybrid power train and electric refrigeration technology use up to 30% less fuel than a traditional truck. In Mexico, the company has pioneered a double-decker transport system that allows trucks to safely carry up to 56 pallets in one load—twice as many as before.
•In Austria, Kraft Foods saved more than 150,000 miles (nearly 250,000 km) by sending products in refrigerated containers on railcars, eliminating 400 truck shipments and reducing 250 tons of carbon dioxide (CO2) emissions.
•In Brazil, employees saved nearly 250,000 miles (390,000 km) and reduced 300 tons of CO2 emissions by using boats to send products to distribution centers. In six months, the change saved more than 125 truck shipments.
•In the United Kingdom, the company now sends products to one of its customers by train instead of truck, saving more than 40,000 miles (nearly 70,000 km) and eliminating 120 truck shipments.
•In Europe, Kraft Foods is modernizing its transportation network by establishing a single hub in Bratislava, Slovakia to make 20% fewer trips between its European plants and distribution centers.
•In the Philippines, the company now uses a national distribution center so customers receive shipments 20% faster than before, saving miles and fuel.
• Kraft Foods has been working with the US Environmental Protection Agency to benefit from the latest technology and share best practices. Earlier in November, the EPA honored Kraft Foods for its environmental excellence, innovation, and creativity. As part of its participation in the EPA’s SmartWay Transport Partnership, the company has adopted no-idle engine policies at its shipping locations, piloted a hybrid frozen delivery truck program, and increased its use of intermodal (rail and barge) transport.
•Using Oracle Transportation Management to create Project MOST (Management of Optimized Sustainable Transportation), Kraft Foods measures truck movements and designs new trip segments to minimize “empty miles,” eliminating more than 500,000 miles (800,000 km) in 2008. Now Kraft Foods’ private fleet and its top 50 carriers use the software, and Oracle has recognized the company for its work with its 2009 “Enable the Eco-Enterprise” award.
•Kraft Foods’ 20 largest plants and distribution centers in North America use software from Transportation/Warehouse Optimization to maximize product per truckload, taking the equivalent of 1,500 trucks off the road and more than a million miles (1.6 million km) off the highway system.
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