Linfox's CEO Michael Byrne announced the company's pledge to reduce its rate of greenhouse gas emissions by 50% by 2015 (based on 2006/07 levels) at the 2nd Annual Supply Chain Conference.

In this exclusive interview with Richard Milroy, Michael expands on just how Linfox plans to meet these ambitious targets and shares his predictions on the future of 'green transport'. Will there be a green transport revolution? How does an increasing awareness of supply chain sustainability in Linfox's client base impact their business? Can further expansion into the Asian market sit comfortably as part of the Linfox sustainability journey?

AUDIO - Michael Byrne

The Linfox Group's move to a more sustainable business model didn't start out from an altruistic urge. It was motivated by a demand from it's North American customers back in 2006 who started to ask questions about the impact that the transport industry was having on the environment. Sustainability, for the first time, was becoming as important to stakeholders as long standing core values like safety and operational excellence.

Linfox began to accept climate change as a reality, that they were a part of the problem and that they had a responsibility both to their customers and to wider society to act. They made public their goal to reduce their emissions and set to work.

They have undoubtedly been leaders in the sustainability field amongst trucking companies and Michael identified improved business practices, environmentally friendly technologies and perhaps most importantly, a change in the behaviour of all Linfox employees, as the keys to their success.

The Importance of Leadership

Michael emphasised that organizational change has to start at the very top, with leadership driving behavioural change down to embed itself at the roots of the company's ethos. Every Linfox board meeting begins with a discussion about the company's social obligations, which include safety and their sustainability commitment.

As part of the GreenFox initiative, Michael explained the huge impact of training programs such Eco Driving; relatively inexpensive to implement but reaping substantial rewards, both in terms of heightened employee engagement and motivation as well as reduced carbon emissions.

Under current Government regulations, the transport industry is only required to report their Scope 1 and 2 emissions; any emissions from outsourced contractors, suppliers or overseas operations are not mandatory to report. Michael felt strongly that the Australian government needs to rectify this and to send out the message that the transport industry can't simply outsource its environmental responsibility. Only around a third of Linfox's total emissions are currently reportable under current legislation but they do also voluntarily report their Scope 3.

Michael concluded by saying that whilst their first responsibility as an employer is always to safety, sustainability will continue to be an intrinsic part of their vision for the future.

He left us with four thoughts:

1. Improving sustainability in your Supply Chain is not as hard as you think

2. Heavy upfront financial investment is not always necessary

3. Don't be in denial, act now.

4. Change has got to be implemented those in the field, inspired by a cohesive and committed leadership