At Hitachi Construction Machinery, we are implementing energy efficiency during transportation of products, components and the like.
In collaboration with distribution businesses, we reassessed our plant and warehouses distribution and procurement routes in the vicinity of Hitachinaka Port Ward, Ibaraki Port. In fiscal 2015, we did away with our external warehouse, reorganized our plant layout, implemented direct delivery of supplied parts and promotion of our existing milk-run system, and shortened procurement leadtimes.
We anticipate that falls in distribution costs and improvements in operating efficiency from these initiatives will also translate into a reduction in the CO2 associated with transportation, and result in a CO2 reduction of approximately 1,170 kg per year.
We will continue to promote initiatives for distribution efficiency along with CO2 reduction.