When hearing social conscious responsibility, a lot of companies instantly link it with higher cost and lower profits. However, this is not always the case. Instead, United Parcel Service of America.Inc, an American global package delivery company demonstrates an excellent example of how to boost up the profits as well as being environmentally responsible through new operating methods and enhanced efficient process. Since 2004, with the aid of the engineering department, UPS has come up with numerous new routes for the driver to avoid as many left turns as possible, until there are only right turns in their delivery routes, which seems irrelevant to either social responsibility or generating more profits. However, the only right-turn policy has surprisingly resulted in saving 10 million gallons of gas and reducing carbon emission by 100,000 metric tons due to the shorter waiting time, lower fuel consumption and increased safety.
(Here’s a video clip to explain how the right-turn policy facilitates the traffics, eventually resulting in incremental efficiency.)
Many companies are under the illusion that sustainability is pointed against profit because it takes time and capital to innovate new technologies, which are designed to address only the environmental and societal issues. However, they don’t realize that their companies are established and affected by the environment such as natural resources and water use. It’s crucial for the companies to abandon the traditional view of business model and look at business through a new lens where long-term benefit outweighs the instant profits.
Sources:
http://www.pressroom.ups.com/Fact+Sheets/Saving+Fuel%3A+UPS+Saves+Fuel+and+Reduces+Emissions+the+%22Right%22+Way+by+Avoiding+Left+Turns
http://www.bloomberg.com/news/2012-09-20/ups-makes-no-left-turns-in-quest-to-deliver-sustainability-q-a.html
http://www.businessinsider.com/ups-efficiency-secret-our-trucks-never-turn-left-2011-3