Efforts for reducing environmental impact via the supply chain as a whole  (Ricoh Group/Global)
The Ricoh Group is promoting SCM (Supply Chain Management) in logistics for procurement, manufacturing, and sales, aiming to reduce costs and CO2 emissions. The Ricoh Group's manufacturing bases are now in the Americas, Europe, China, and other Asian countries, which has caused year-to-year increases in transportation among global production sites.
For example, the transportation volume of products and parts from China to Japan requires 400 to 600 40-feet containers every month. About the same number of containers are transported to the Americas and Europe. Efficiency improvement in logistics is an important issue in promoting business on a global scale.
The Ricoh Group surveys all processes and promotes efforts on a global scale, including the improvement of cargo-carrying efficiency through reviewing packaging materials and mixed packing, modal shifts among warehouses, direct deliveries to customers, and by optimizing transportation routes through the introduction of the milk run system.
The Group thus aims to reduce wastage related to space, transportation, trans-shipment, and packaging materials.
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CO2 emissions in logistics (FY 2008, Ricoh)
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- Establishment of a direct transportation system from plants to customers
- Modal shift from truck to railway and marine transportation
- Uses of reusable packaging materials
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- Establishment of a direct collection system for used products
- Expansion and improvement of infrastructure including collection centers
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- CO2 emissions in Japan (fiscal 2008 results) have been calculated in compliance with the Energy Saving Law.
Offering information to shippers to help reduce our environmental impact in logistics  (Ricoh Logistics System Co., Ltd./Japan)
To reduce the burden caused by distribution, it is important for Ricoh, as a shipper, and logistics companies to make related efforts in close cooperation. As a result of the 2006 amendment of the Energy Saving Law, logistics companies are now obliged to notify shippers, or those placing orders, of the weight and transportation distance of each load. Ricoh Logistics System Co., Ltd. (RLC),
a logistics affiliate of the Ricoh Group, considered that it is necessary to notify the shippers of not only weight and distance but also vehicle types, amounts of fuel used, and loading rates which can significantly affect the environmental impact, so that companies can effectively reduce their environmental impact. Accordingly,
RLC established a system to visualize detailed transport information as well as accompanying CO2 emissions and started offering information to shippers in 2007.
Offered information is actively used by shipping companies for improvement of delivery methods, types of packing, timing of transportation, etc., thereby helping to reduce environmental impact in logistics.
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CO2, NOx, and SOx emissions in transportation by Ricoh Logistics System
| FY |
CO2(tons) |
NOx(tons) |
SOx(tons) |
| 2006 |
2,626.1 |
5.0 |
0.8 |
| 2007 |
2,678.2 |
5.1 |
0.8 |
| 2008 |
2,339.5 |
4.4 |
0.7 |
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Improvement of logistics processes through improved cargo-carrying efficiency of trucks (Tohoku Ricoh Co., Ltd./Hasama Ricoh, Inc./Japan)
As exhaust controls in Tokyo were tightened in 2003, more and more logistics companies shifted from traditional trucks to new types of trucks with larger bodies. As a result, some space had to remain vacant in truck bodies when the traditional way of loading in four layers was adopted.
It thus became necessary to solve problems associated with increasing the number of layers, including the strengthening of packaging materials and securing the safety of workers when boxes were stacked high.
We realized five-layer loading by enhancing the strength of the corrugated cardboard used for packing, improving the motion ranges of manual forklifts, and by other measures, which resulted in improving cargo-carrying efficiency to over 80%.
Owing to this measure, truck transportation costs largely decreased, although loading/unloading and storage expenses slightly increased. Consequently, costs were reduced by about ¥8 million per year and CO2 emissions by about 39 tons a year.
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Improvement of transportation routes of products shipped to other countries using local ports (Ricoh Group/Japan)
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Complete view of Takasago Container Terminal of Sendai Port (Photo provided by Shiogama Port and Airport Office, Tohoku Regional Bureau, Japanese Ministry of Land, Infrastructure, Transport and Tourism) |
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Products exported from Tohoku Ricoh Co., Ltd. and Hasama Ricoh, Inc (both in Miyagi Prefecture), which are production sites for copiers and units/parts, were previously transported by truck to Yokoyama and shipped at ports in the Keihin area.
The export routes were improved in fiscal 2008. Based on modal shift, cargo with a low loading rate that does not fill a 40-feet container is first carried by train to Yokohama, where it is placed aboard a ship together with other cargo.
Containers with high loading rates are loaded into containers at plants, which are put aboard ships at Sendai Port and exported to Western nations. Products exported to Asian nations, which are exported in relatively small quantities and delivered to many different destinations,
are carried together with other cargo of the Ricoh Group companies and suppliers, so that efficiency can be improved. These improvement measures brought about a reduction in costs of about
¥10 million a year, or a CO2 equivalent of some 156 tons per year.
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Expansion of direct delivery from plants to customers
(Ricoh Group/Japan)
In order to establish an efficient logistics system, it is also important to reduce waste in lead times and transportation routes themselves. The Ricoh Group previously manufactured products according to production schedules, stored products temporarily at inventory warehouses, and shipped them in response to orders placed by customers. This system has now been completely reviewed and new routes created.
Products are now produced in response to customers' request, and directly delivered from plants to shops and customers all over Japan. This no-inventory/direct-delivery system has already been applied for some types of products produced at Ricoh Gotemba Plant and at Tohoku Ricoh Co., Ltd. By fiscal 2010,
it will be introduced for large products as well, with great improvements in logistics efficiency expected. Owing to the new system, warehouse storage is no longer necessary, while the lead times for the delivery of products from plants to customers were shortened to four or five days.
Logistics costs per product are likely to be reduced by more than ¥3,000 and CO2 emissions by 2.6 tons or more annually.
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