According to McKinsey research, if the global healthcare sector was its own country, it would rank as the planet’s fifth largest greenhouse gas (GHG) emitter, annually producing two gigatons of CO2 equivalent. Trax Technologies, the global leader in Transportation Spend Management (TSM) solutions, is committed to helping life sciences companies realize the benefits of optimizing scope 3 emissions for their supply chains, while preparing for climate reporting.
Life sciences companies, such as contract manufacturers and healthcare distributors, play a vital role in society by providing life-saving medicines and devices. According to a recent McKinsey report, safety and quality are primary priorities, but a growing concern is the balance between the amount of GHG emissions generated and the amount removed from the atmosphere. In an effort to deliver treatments that also consider the broader social and environmental impact of the sector, leaders are realizing the benefits of improving life sciences supply chains, which also fosters a culture of innovation and industry-specific sustainable solutions.
"Companies within the life sciences sector can witness immediate benefits of optimizing scope 3 emissions, including driving positive environmental impact, enhancing overall performance, and encouraging other business leaders to help create a low-carbon economy,” said Steve Beda, Executive Vice President of Customer Success, Trax. “Cleaning up life sciences supply chains can also create competitive advantage among climate conscious stakeholders, while improving company agility and responsiveness to meet market demands by optimizing logistics and reducing transportation-related emissions - all while reducing their costs in many circumstances.”
Life sciences companies and manufacturers understand that their shipping decisions cannot be solely based on cost considerations. Using a reliable and efficient FAP partner can greatly assist in managing the complexities of life sciences supply chains.
As a freight audit and payment (FAP) provider, Trax is uniquely positioned to offer industry leaders data-driven tools and expert advice on supply chain sustainability. Trax’s Carbon Emissions Manager uses $24B in transportation spend invoices the company audits annually to provide industry leaders with data pertaining to emissions factors, travel distances, tank-to-wheel combustion of energy, wheel-to-wheel distribution of fuel, and insights into CO2 and other greenhouse gasses.
“Trax efficiently gathers and analyzes reliable data from all aspects and suppliers within the life sciences supply chain; each piece of minute data is needed to to establish benchmarking, reporting, and reduction processes” said Beda. “As a major consolidator of cost and emissions data, we operationalize that data to assist global enterprises with supply chain data needed to integrate more environmentally friendly practices that benefit their operations, stakeholders, and climate.”
Trax recently announced its eBook, “Unlocking Environmental Sustainability in Supply Chains,” which highlights sustainability trends and outlooks, while serving as a reminder that following initial investments, innovative sustainable ventures are multifaceted - positively impacting the environment and business revenue.
Leah R. H. Robinson, APR