UK-Finland Sustainability Knowledge Exchange 19-21 October 2020

1. Designing Sustainable Supply
Chains
Amar Ramudhin
Oct 2020
UK-Finland virtual sustainability knowledge exchange

2. Main Areas of Research & Expertise
• Sustainable Trade through better Logistics
➢ Emphasis on Decarbonization of supply chain design through better
designs, management, technology and big data analysis
• Areas of focus
➢ End to end supply chain
➢ Design of Logistics Hubs and Corridors
➢ New planning and control methods under Massively Connected Systems
➢ Tracking and Visibility
➢ Process design and improvement for better services
➢ Socio-Economic & Environmental Impact Analysis
• Industries
➢ Consumer Packaged Good / Fast Moving Consumer Goods
➢ Food Logistics
➢ Off shore wind
➢ Healthcare Logistics
Shippers
Service
providers
Ports,
Customs &
Other
Agencies

3. Example of
On-going Projects

4. Some Statistics
• 33% of UK CO2 emissions is transport related
• 55% private cars
• 32% HGVs and vans
• Domestic Aviation and shipping < 5%
• 17% of transport emissions are HGV related
• But they make up just 5% of vehicle miles driven
• 30% of total domestic miles traveled is empty
• Closer to 50% for cross-border travels
• Average truck is only 60% laden
• 5.3 billion miles of wasted travel even if all HGVs were electrified

5. Freight Flows in England:
Dominance of Ports in the South
5
Fact 1:
The is a
misaligned in
freight flows
5151 5320 5369 5359
15,958 16,219 16,095 15,987
21,109
21,539 21,464 21,346
0
5000
10000
15000
20000
25000
2015 2016 2017 2018
Unitised Freight North vs. South England
(in thousands)
North South & Channel Tunnel Total

6. Land Travel to Freight Destination
are Costly and High in Emissions
6
Fact 2:
England’s
Highways are
Congested

7. Challenges for Businesses in the
North
• Why can’t the Northern Businesses ship
more freight through the Northern Ports?
• What are the issues that need to be
overcome to change the current
paradigm:
• Infrastructure and intermodal connectivity?
• Logistics Services: rail, sea frequencies and
destinations?
25.1%
74.9%
Distribution of Freight between
North & South of England
North South & Channel Tunnel

8. Comparing Different Routes:
Kargowa (Poland) to York (UK)
8
Distance: 1589 km
CO2 Emissions: 6631 kg
Distance: 1255 km
CO2 Emissions: 4398 kg
Why not use the Rotterdam – Hull route?
Cost? Service?
Calais – Dover Route Rotterdam – Hull Route
Reduction
Distance: 21%
Emissions: 34%

9. The Liverpool-Humber Optimisation of Freight
Transport (LHOFT) project is bringing together
shared expertise from the ports, rail, and
logistics industries to make new routes a viable
alternative for cargo owners.

10. LHOFT -Liverpool Humber Optimization of
Freight Transportation
Objective: Increase freight to Northern ports by 10%
• The resulting impact could relieve the UK land transport
network of in excess of 100 million miles of freight transport
per year.
How?
• Identify the current barriers in multi-modal connectivity
• Road, Rail, Sea, Waterways
• Develop a digital collaborative platform to allow shippers to
collaborate with logistics service providers
Funded by Innovate UK (1.9M)
1
0

11. The Optimized Freight & Transport
(OFT) Platform
• Intermodal road-rail and sea network
allows planning across UK and
Europe
• Can be extended to other regions
• Routing freight trains on UK rail is
particularly challenging because of
varying gauges
• Solved by having a ‘digital twin’
representation of UK rail

12. Users and Technical Architecture
1
2
Shipper
Service Providers
- Shipping Line
- Rail operators
- Ports
- 3PL
Others
- Govt
- LA
- etc
LHOFT
Aggregated DB
LHOFT Apps &
Services
Tactical
Transportation
planning
Data Input
- Shippers:
- Supply chain
- Forecast of
transportation needs
- Logistics Service provides
- Rail services
- Road
- Shipping Services
- Information
- costs,
- capacity,
- emissions
- Others
Secure and private connections
Administrator
Services
Analysis
Strategic
Analysis

13. Quick Route Finder
1
3
Min Cost
£1231
25 hrs
1,585kg Co2
Min Time
£1367
21 hrs
1,536kg Co2
Min Emission
£1565
44 hrs
1,304kg Co2

14. Key Innovation: Horizontal Collaboration
Between Shippers for Finding
Return Flows or Consolidations
Consolidate
Return Flow

15. Key Benefit: Provides a Way to make Structural
Changes in the Supply Chain for the Benefit of
all Parties
Shippers/Freight Forwarders
• Tactical transportation planning & Optimisation
tool
• Better visibility of the transportation services
• Ability to consider alternative multi-modal
route options
• Ability to consolidated loads
• Ability to plan backhauls
• Horizontal collaboration for more opportunities
• Make effective decisions of costs vs time vs
emissions
Policy Makers / Society
• Allows visibility on infrastructure pinch points
and demand for transport
• Can be used for prioritising investments
• Better informed policies based on facts for
reduce CO2 emissions and congestions
Shipping lines/Intermodal services
- A tool to expose your services
- Better visibility of the market
- Ability to conduct what-if analysis to de-risks
investment in new services

16. Other Projects
• GOLF Project: Integration of Global and Local Agri-
Food Supply Chains Towards Sustainable Food
Security
• H2020-MSCA-RISE
• Partners in UK, China, Netherlands, Norway, Thailand &
Vietnam
• DSS for Plastic Waste Management in a Supply
Chain
• part of the EPSRC Evolving A Circular Plastic Economy
(ECPE) project
• Developed in collaboration with Morrisons, a major
retailer in the UK

17. Thank You