Gaining insight into FreightWaves SONAR emissions data presents multiple benefits for businesses. When companies lack visibility into emissions, preventable challenges arise that cost shippers revenue and affect the environment. Understanding emissions data allows optimal planning and strategies for shipment execution, which in turn provides solutions to wasted cargo space and provides the most efficient transportation mode for the job. Moreover, it cuts costs and lowers carbon emissions. Showing this type of objective data at the negotiation table allows a shipper to present better RFPs and mini-bids. As data affects all parties involved (from carriers, brokers, analysts and consultants), everyone benefits from accurate, comprehensive information across the board.
The challenges of limited visibility into emissions data for shippers
When shippers don’t have visibility into SONAR emissions data, it costs organizations more money and carries consequences for the environment. Companies must have systems and technology in place that produce meaningful data that tracks the measurement of emissions. Without this indispensable insight, avoidable challenges present themselves. For example, the ability to identify which lanes have a higher emission risk or lanes with a reduced emissions risk. Companies ideally want to avoid high-risk situations. Due to limited visibility, companies overspend and waste fuel, resulting in a financial loss and unnecessary environmental damage.
How SONAR emissions data enables more proactive RFPs
With emission data awareness, organizations can show proof through reliable facts on how emissions are being emitted and by which shipping mode. Choosing the most efficient carrier now becomes a viable option. Knowing this type of data ultimately leads to the renegotiation of RFPs and mini-bids. The ability to present objective data at the negotiation table yields benefits for all parties involved.
Possible uses of SONAR emissions data by segment
There are many multifaceted ways to approach the use of data. First, let’s dig a little deeper into how shippers could leverage SONAR emissions data by:
- Identifying lanes with a higher than usual emissions risk. Having insight into this factor cuts costs and boosts efficiency.
- Reduce reliance on fuel in markets with higher fuel costs. Energy data can expose missed opportunities when it comes to saving on fuel.
- Strategically source carriers based on efficiency standards. This helps companies choose the right transportation mode that fits the needs of the job.
- Reduce the number of miles traveled due to inefficient means. Trackable emissions data shows where companies can increase savings.
- Consider diversifying your fulfillment/distribution center network to lower emissions in the final mile. With more options available, companies don’t have to rely on a single choice.
Other freight management parties and their use of emissions data
While the data is isolated to shippers as part of SONAR SCI, it has a natural implication for other freight management segments. For instance, take the following possible use cases across other parties:
- Carriers – would use it to reduce their total fuel costs and identify areas where they are wasting trips with empty hauls that would cause undue emissions.
- Brokers – would use the data insight to create better deals on RFPs and mini-bids. Emissions data outlines which modes generate the most or least emissions. This can provide the most cost-effective options when it comes to choosing the right mode for shipments.
- Analysts – would use emissions data to find ways to reduce reliance on inefficient delivery services, perhaps invest in drones, lower emissions through EV investments and rebalance their network.
- Consultants – would gain a comprehensive understanding of business needs through detailed and accurate emissions data. With this insight, consultants can advise clients on strategies that will reduce emissions.
How shippers can start tracking emissions data today
Insight into SONAR emissions data can help reduce emissions while conserving the environment. The Environmental Protection Agency (EPA) reports that greenhouse gases (GHGs) from the transportation sector contribute the largest amount of emissions in the U.S. Therefore, each organization has a responsibility to address this outcome in an accurate, trackable way. Interpreting emissions and environmental data, and executing on the insight that they provide, creates savings and reduces the impact that GHGs have on the environment. Request a FreightWaves SONAR SCI demo today.