As a company, we recognize our responsibility to mitigate climate change. With our focus on the sales, marketing and distribution of products, a significant part of our environmental impact results from warehousing, transport and logistics, and business-related travel. We are committed to conducting our business in an environmentally sustainable manner and we have reduced our emissions by optimizing transport and energy use over the past years.
Against the 2020 baseline, DKSH targets another 35% reduction by 2025. To achieve this, we will reduce emissions at source by further optimizing transport and energy use, as well as expanding our consumption of renewable energy. By 2030, DKSH aims to be carbon-neutral in our own operations.
Striving for higher electricity savings in Thailand’s Distribution Centers
“In Thailand, we operate several large distribution centers, with a floor area of up to 50,000 square meters. Because of their size, these distribution centers represent the largest part of our electricity consumption in the market. As part of our continuous improvement mindset, we regularly discuss how to reduce electricity consumption. In 2020, we raised awareness for proper door management in our temperature-sensitive areas to reduce the influx of warm air and the need for extra cooling. We also reviewed our electricity consumption during every morning meeting. We optimized the use of lights during shift changes, installed motion sensors to control when lighting is switched on, set timers for both lighting and powered handling equipment, and switched to more LEDs. In total, we saved 1 million kWh of energy in 2020 or 17% of our total energy consumption in these distribution centers.
My team and I are very motivated to see how even small changes can result in significant savings and how much impact we can generate by establishing a set of easy-to-follow processes. We will keep up this spirit to identify further potential for more environmentally- friendly processes.”
Sekson Insee, Logistics Support, DKSH Thailand
Serving our customers for better waste-treatment
“Our Business Unit Technology supports manufacturers of capital investment goods and analytical instruments to expand into the Asia Pacific markets. One of our customers in Taiwan is a leading, international industrial solutions provider. The regulator tightened environmental standards for wastewater treatment, which resulted in a more labor-intensive process and higher costs for our customer. DKSH approached the customer with an evaporation system solution developed by another DKSH client, Evaled. This solution enables more efficient water reuse and matter recovery, reducing the overall amount of wastewater generated. The solution cut our customer’s wastewater management costs by around 80%.
As a result, the company’s production is not only more environmentally-friendly and compliant with government regulations, but the investment cost will be recovered in less than three years. This demonstrates how our teams apply their strong technical knowledge to add value for our customers and achieve more sustainable solutions for society.”
Weilun Tsao, Business Unit Technology, DKSH Taiwan
Switching to renewable energy consumption in the Philippines
“As a leading distributor of specialty chemicals and ingredients, our Business Unit Performance Materials offers a wide range of value-added services in addition to sourcing, sales and marketing, distribution and logistics capabilities. Part of these value-added services is our food blending facility in Manila, Philippines. The plant serves our business partners with formulation and blending expertise for food service products, such as sauces, batter and premixes.
To operate our equipment, our plant consumes around 3 million kWh of electricity per year. With our local team, we have set the ambitious goal of becoming climate-neutral for the operations at this plant within the next few years. As a first step, we switched to 100% renewable electricity consumption early 2021, which will substantially reduce our carbon footprint. In addition, we started removing plastic bottles and swapped paper reports for digital solutions. As a next step, we will convert our conventional boilers to biodiesel and we intensify our efforts to reduce the use of plastic and paper.
We are proud to be well on track to render our blending services climate-neutral within the next few years. As a result, our tailor-made formulation services are not only leading in terms of quality and time-to-market, but also in satisfying our stakeholders’ demands for minimal environmental impact.”
Romil Jagunap, General Manager, Business Unit Performance Materials, DKSH Philippines