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THE LETTER FROM FRANCE SUPPLY CHAIN #03 - February 2022

TICKET OF THE WEEK
By Pierre-Martin Huet, SVP Global Supply Chain Michelin

Let's join forces to win the low carbon race!

The H2 Racing Truck from Gaussin has just successfully completed the twelve stages of the Dakar. It is the symbol of a first decarbonised edition of this mythical race.

We are all engaged in another must-win race: to achieve net zero carbon emissions by 2050 at the latest. It's the UN-sponsored Target Zero Race. A coalition of leading zero-carbon initiatives includes 449 cities, 21 regions, 992 companies, 38 of the world's largest investors and 505 universities in 120 countries.  

The Supply Chain can act in this race of humanity to global challenges. A major lever: encourage alternative fuels and energies. Currently, members of France Supply Chain are responding to a call for tenders from the European Union to put 150 Hydrogen trucks on the road. The EU is subsidising one third of the price of the truck, i.e. 150 K€ per truck.

The goal? To move towards low-carbon solutions by 2023. Michelin, Vuitton, Pepsico - on the shippers' side - and Stef, FM Logistics, Combronde, Transalliance, Viapost, Miratrans, on the transporters' side, are already in the running. There are still 70 trucks to be financed by the end of February. Join us!

We need to go harder, faster.

The fate of the race is often decided at the start.


HIGHLIGHTS
Supply chains are being challenged by the consumer diktat

Can consumer behaviour lead producers to rethink their network design? This is what several studies conducted by different organisations tend to prove. Thus, according to a survey conducted for SOTI (1), the disruptions experienced by the global supply chain (shortage of means of transport, components, etc.) are pushing consumers to favour local products for reasons of speed and availability. More than half (57%) of them, faced with the unavailability of one or more items, say they have been forced to buy substitute products. More than a third (36%) of consumers will look elsewhere if an item takes longer than two days to be delivered or collected. In another study for SendCloud (2), 82% of internet shoppers regularly check return policies before placing an order. 72% even go so far as to stop their order if it is not clearly offered by the e-tailer. These figures are very interesting because they tell us that the price of the product is no longer as important in the purchase decision. Manufacturers and retailers must now adapt to new requirements: quality of service, product availability, delivery times, but also, as other reports show, consideration of environmental parameters. These are all reasons that will inexorably lead companies in the years to come to review their locations in order to get as close as possible to their catchment areas and to this demanding, capricious and sometimes even tyrannical character known as the consumer.

  • SOTI: company offering IoT solutions
  • SendCloud: shipping platform for e-commerce

NOT TO BE MISSED
Towards greener transport

On February 16, France Supply Chain and France Hydrogène will accompany the actors of the logistic chain of goods transport wishing to engage or already working on the topic of the electric truck with hydrogen for the goods transport.


Events

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France Supply Chain Letters