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Paragon Helps Tesco Cut Carbon Emissions
March 17 2008 9:15 AM
Tesco, one of the world’s leading international retailers, and Paragon, the leading provider of routing, scheduling and transportation optimization solutions, are working together to ensure optimum transportation efficiency for the Tesco distribution fleet. Paragon’s sophisticated planning solutions have helped make significant savings both in terms of mileage and carbon emissions, supporting Tesco’s Sustainable Distribution strategy.
Reducing CO2 emissions
As part of its broader Sustainable Distribution strategy, leading international retailer Tesco has adopted Paragon strategic planning software as it looks to substantially reduce food miles and CO2 emissions. Tesco’s delivery fleet accounts for almost a sixth of its total carbon footprint and over the next five years the company is working to reduce the CO2 created per case of goods delivered by 50 per cent, demonstrating its commitment to sustainability. As Alex Laffey, transportation operations director for Tesco says: "We believe in sustainable growth – it is responsible, it is what our customers want and it makes good business sense."
Strategic project
As part of this objective, Tesco and Paragon joined forces on a strategic project using Paragon’s routing, scheduling and network optimization software. By reviewing the allocation of stores to DCs, balancing warehouse capacities and daily throughput limits, then optimizing the detailed transportation schedules, Paragon and Tesco have worked together to reduce the overall food miles and associated carbon emissions.
Paragon President and CEO, William Salter, says: "Having modeled the distribution network and identified the process, Tesco can now repeat the exercise on an ongoing basis quickly and easily, as it seeks to achieve ambitious carbon reduction targets."
The Benefits
The Tesco/Paragon project has enabled Tesco to make some significant savings, for example, as a result of improved store allocation, increased backhauling and improved fleet utilization. Overall the mileage savings alone equate to over 150,000 miles saved each week which when expressed in terms of CO2 equates to thousands of tons saved each year.
Working Together
"We have used Paragon for more than a decade for routing and scheduling optimization throughout our business," comments Alex Laffey, "and the longevity of this relationship is a real testament to Paragon as a reliable solution and the professionalism of the people behind it. Using Paragon for the strategic analysis of our transportation operations is playing an important role in Tesco’s Sustainable Distribution strategy – a key initiative for us as an organization."
Notes to Editors:
Paragon Software Systems, Inc is committed to excellence in providing routing and scheduling software solutions for companies wishing to optimize their transportation operations. The company has an unparalleled track record of successful software implementations with over 1,500 systems installed in more than 33 countries worldwide. Paragon provides software solutions for operations ranging from 10 trucks based at a single site to hundreds of trucks running out of several sites.
Paragon software is used by 3PLs and private fleet operators for routing and scheduling optimization on a daily basis; managing transportation resources; rationalizing fixed routes; and strategic transportation planning and modeling.
With clients including CEVA Logistics, Airgas, Exel Logistics, Toyota Material Handling, Ryder, BrandsMart, McLane, Honda, Canada Cartage, National Food Corporation, SCI Group and Safeway.com, Paragon has the experience to ensure that logistics problems are translated into software solutions that provide real benefits for customers.
Paragon solutions are helping hundreds of companies across the globe to cut transportation costs, improve operational efficiency, reduce planning time and raise customer service levels, and frequently support a company's strategic business growth objectives.
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Jane Geary |
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