Logistics decarbonisation requires transport reform, smart warehouses and circular economy planning

New research suggests that the logistics industry must move beyond fragmented sustainability measures and adopt integrated carbon-cutting strategies that combine greener transport, cleaner warehousing, circular economy practices and digital technologies.

The study, titled Towards Carbon Emission Reduction in Sustainable Logistics: A Conceptual Framework Integrating Green Practices and Technological Innovations, and published in Sustainability, examines the environmental pressure caused by logistics operations and proposes an Integrated Sustainability Prioritisation Framework, or ISPF, to help logistics companies identify and rank the most effective routes toward lower carbon emissions.

The research combines a literature review with survey data from 38 logistics professionals and expert evaluation by four logistics specialists. The survey found that 94.7 percent of respondents viewed sustainability as a critical factor in evaluating logistics sector performance, suggesting a clear shift in how the sector defines success, with environmental impact now sitting alongside cost, speed and service reliability.

Transport remains the main carbon battleground

The study identifies transport as the most visible and urgent source of sustainability pressure in logistics. Among surveyed professionals, 63.2 percent selected transportation as the logistics area with the greatest sustainability impact, far ahead of warehousing, e-commerce and other operational areas.

Road transport emerged as the most environmentally harmful mode in the eyes of respondents, with 52.6 percent ranking it as the top concern. Air transport followed at 26.3 percent and sea transport at 21.1 percent. Rail was not selected by any respondent, reflecting its comparatively stronger reputation as a lower-emission transport option.

Road transport is heavily used, highly visible and directly tied to fossil fuel consumption. It also remains difficult to decarbonise because logistics operators must balance cost, delivery speed, infrastructure limits and customer expectations.

The study points to several high-impact interventions, including route optimisation, better data management, load consolidation, reduced empty mileage, low-carbon vehicles, alternative fuels and electrification. The authors also highlight the role of AI, machine learning and data analytics in improving route planning, predicting congestion, lowering fuel use and supporting more proactive logistics decisions.

However, the paper warns that transport-focused decarbonisation alone is not enough. A narrow focus on the most visible source of emissions can leave other parts of the logistics system under-addressed. Warehousing, packaging, returns management, circular economy integration and energy use also contribute to the sector’s carbon footprint.

The proposed ISPF model puts transport and route optimisation at the heart of the strategy but connects it with four other intervention areas: green logistics practices, circular economy integration, low-carbon transport solutions, and smart and sustainable warehousing to shift companies away from isolated fixes and toward coordinated decision-making across the full logistics chain.

Technology is seen as a key enabler, but not a standalone fix

Respondents ranked technological development, including AI and digital tools, among the most important carbon reduction measures. Alternative energy sources and biofuels were also seen as highly effective. AI, IoT, data analytics and digital monitoring are treated in the study as cross-cutting tools rather than separate sustainability categories. The authors argue that technology can strengthen every major logistics intervention, from transport route planning and fuel efficiency to warehouse energy management and emissions tracking.

• In transport, AI can help optimize routes, predict traffic bottlenecks and improve asset utilization.
• In warehousing, smart energy systems, IoT sensors and digital performance monitoring can reduce waste and improve operational efficiency.
• In supply chains, data tools can support transparency, carbon footprint measurement and better planning around sustainability targets.

Technology cannot solve the logistics sector’s carbon problem on its own, the study clearly states. The authors identify what they describe as a gap between visible technological fixes and deeper structural change. Logistics professionals tend to prioritize measures that appear immediately practical and measurable, while giving less weight to long-term systemic reforms such as circular economy integration.

Green transport and green packaging were rated highly, while circular economy principles and certification practices received weaker attention. The authors interpret this as evidence that practitioners prefer actions with quick, tangible benefits over more complex strategies that require structural redesign. The same pattern appears in warehousing. Respondents ranked environmentally friendly vehicles used in warehouse operations as the top priority, followed by warehouse design and structure. Technology implementation and energy optimization received less emphasis, even though both can play a major role in reducing energy consumption across storage and handling systems.

This imbalance creates a risk. Companies may invest in visible green technologies without redesigning the systems that produce emissions in the first place. To avoid this, digital tools must be paired with operational reform, infrastructure investment, circular economy thinking and long-term strategy.

Framework pushes logistics firms toward system-wide decarbonisation

The Integrated Sustainability Prioritisation Framework for Logistics is designed as a decision-support structure that helps logistics managers rank emission reduction measures by impact, urgency and role within the wider supply chain. The ISPF identifies carbon footprint reduction as the central challenge. Around that challenge, it organizes logistics decarbonisation into five linked areas.

• Transport and route optimisation target fuel use and mobility efficiency.
• Green logistics practices cover packaging, operational standards and cleaner methods.
• Circular economy integration focuses on returns, waste reduction and longer material use.
• Low-carbon transport solutions involve cleaner fuels and electric fleets.
• Smart and sustainable warehousing addresses energy efficiency, layout planning, green design and warehouse management.

The framework also distinguishes between primary high-impact measures and supporting long-term enablers. Transport decarbonisation and operational optimization are treated as immediate priorities because they can deliver faster and more visible emission reductions. Sustainable warehousing and circular economy principles are long-term enablers because they help reshape the structure of logistics systems over time.

This hierarchy is based on practitioner perceptions rather than direct emissions measurement, which means further quantitative testing is needed. Having said that, the framework offers logistics companies a structured starting point for moving beyond scattered initiatives.

The study also highlights a broader shift in logistics performance evaluation. Sustainability is no longer viewed only through environmental ideals. It is now tied to operational resilience, cost efficiency, customer expectations, corporate reputation and long-term competitiveness. Firms that reduce emissions may also improve brand image, attract customers and suppliers, and position themselves more strongly as regulation tightens.

It is important to note that the analysis is based on a relatively small sample of 38 logistics professionals from Lithuania, which limits broad generalization. The expert validation was also exploratory, involving four professionals. The authors call for larger studies across more countries and logistics contexts, as well as quantitative testing using real operational data.

Future research could examine how sustainability strategies perform under transport flow volatility, how AI and IoT improve logistics resilience, and how carbon footprint models can be integrated into practical management systems. Case studies, interviews and larger surveys could also help refine the ISPF and test whether it works across different company sizes, transport modes and supply chain structures.