Cadbury - leading the way with carbon reduction

Cadbury's...

The world needs to be greener and reduce its carbon emissions, and that's a fact. If it doesn't, then we could all be swimming to work as the oceans swell. Companies like Tesco and Walmart have been quick to throw around green plans and lower carbon emission targets, but talk doesn't necessarily trigger action.

However one company could emerge as a market leader, and really make good on their green promises. Unlike Tesco and Walmart, who are only pledging relative emissions reductions, per square meter of their business, Cadbury Schweppes has initiated a genuine and ambitious climate change plan, which it plans to accomplish by 2020.

Cadbury Schweppes, the chocolate and drinks manufacturer, aims to reduce its direct carbon emissions, those created by its own factories and distribution fleet, via a combination of energy saving and switching to renewable energy sources.

Reducing carbon footprints in logistics

The overall strategy is to reduce its net carbon emissions by 50 percent by 2020, and will obtain this by reducing its packaging used per ton of product by 10 percent; this figure will increase to 25 percent for its more highly-packaged seasonal and gifting items.

Within its logistical framework, Cadbury will use more environmentally-sustainable forms of packaging, aiming for a goal of 60 percent biodegradable, with 100 percent of secondary packaging being recyclable.

"We recognize that if we are serious about tackling climate change, we need to be absolutely committed," says Todd Stitzer, chief executive officer of Cadbury Schweppes. "We need to work with our people, our peers and partners in our supply chain to reduce the size of our collective carbon footprint - acting as a united force for good."

Packaging is an oft-overlooked element of supply chain, but can reduce the bottom line legitimately and be better for the environment. Like Cadbury, General Motors was able to reduce its disposal costs by US$12 million by establishing a reusable container program with their suppliers.

Cadbury is trialling a new form of biodegradable wrapper called Plantic in Australia, with the eventual aim of using biodegradable wrapping on 60 percent of its products.

Similarly, by committing a green plan to Cadbury Snaps in 2006, Cadbury produced a 20 percent-reduction of packaging materials usage per pack; and an increase of 41 percent in the number of consumer units capable of being packed into a shipping container.

The supply chain isn't the only area that will help Cadbury obtain its 2020 carbon goals, and it is also making strides in sustainable water use and biomass projects.

One thing is for sure: the more companies that take greener projects seriously, the better they'll find their bottom line, and the better they'll find planet Earth.

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Supply chain optimisation | Sustaining the food supply chain | Walmart's eco-ambitions | Succeeding in tough times

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