Case Studies > How Cardinal Health Uses FourKites To Drive Big Sustainability Goals

How Cardinal Health Uses FourKites To Drive Big Sustainability Goals

Company Size
1,000+
Country
  • United States
Product
  • FourKites
  • SmartWay
  • Zipline
Tech Stack
  • Real-time supply chain visibility
  • Machine learning
  • Predictive analytics
Implementation Scale
  • Enterprise-wide Deployment
Impact Metrics
  • Customer Satisfaction
  • Environmental Impact Reduction
  • Productivity Improvements
Technology Category
  • Analytics & Modeling - Predictive Analytics
  • Functional Applications - Fleet Management Systems (FMS)
  • Networks & Connectivity - Global Navigation Satellite System (GNSS)
Applicable Industries
  • Healthcare & Hospitals
  • Pharmaceuticals
Applicable Functions
  • Logistics & Transportation
  • Procurement
Use Cases
  • Fleet Management
  • Predictive Maintenance
  • Supply Chain Visibility
Services
  • Data Science Services
  • System Integration
  • Training
About The Customer
Cardinal Health is a leading distributor of pharmaceuticals, medical, and laboratory products with operations in more than 30 countries. The company collaborates with over 4,500 sourcing and manufacturing partners and ships to more than 140,000 locations globally, making it one of the largest medical supply chains in the world. With 50 years in business and approximately 44,000 employees globally, Cardinal Health is essential to healthcare, providing performance and data solutions for healthcare facilities.
The Challenge
To maintain its status as a global leader in healthcare and combat pandemic-induced disruption and shifting market demands, Cardinal Health launched a digital transformation strategy focused on building a 'cognitive supply chain.' This digital supply chain network aimed to facilitate the unencumbered flow of inventory, manage demand, track and protect goods in transit, and streamline communication with retailers, practitioners, and patients. Cardinal Health also committed to ambitious sustainability goals, including reducing Scope 1 and 2 emissions by 50% by 2030 and addressing Scope 3 supply chain emissions.
The Solution
Cardinal Health partnered with FourKites to leverage real-time supply chain visibility, machine learning, and analytics to support its cognitive supply chain initiative. This partnership enabled Cardinal Health to unlock new opportunities for sustainability, including setting Science-Based Targets for reducing greenhouse gas emissions. The use of FourKites' platform allowed for accurate emissions tracking, streamlined data collection, and improved operational efficiency. Additionally, Cardinal Health switched to SmartWay Carrier Partners and experimented with initiatives like drone delivery to further reduce environmental impact.
Operational Impact
  • Cardinal Health achieved significant interdepartmental support for its sustainability initiatives, facilitated by accurate and readily available data from FourKites.
  • The automation of emissions tracking and calculations allowed employees to plan and execute sustainability strategies proactively.
  • Switching to SmartWay Carrier Partners and using intermodal shipments helped reduce environmental impact and improve supply chain sustainability.
  • The partnership with FourKites enabled Cardinal Health to streamline data collection and improve the accuracy of emissions estimates.
  • Cardinal Health's procurement teams engaged in mode-switching competitions to convert shipments to more sustainable options.
Quantitative Benefit
  • Cardinal Health committed to reducing Scope 1 and 2 emissions by 50% by 2030 compared to FY19 emissions.
  • As of Spring 2022, 98% of Cardinal Health's shipments were moved via SmartWay carriers.
  • The drone delivery program with Zipline offers a 98% reduction in delivery emissions compared to standard delivery options.

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