Integrating Environmental Costs in Logistics Network Management

This thesis was conducted in cooperation with the Core Values department at Volvo Logistics and Handelshgskolan, Gothenburg University in Gothenburg, Sweden. The objective of this study is two fold: (i) To develop a system capable of providing environmental cost information to decision makers at Volvo Logistics in a timely and effective manner in order to incorporate emission levels as a key performance indicator in logistics network management and; (ii) To conduct scientific research which meets the requirements of the academic community and produces new academic knowledge regarding the integration of environmental cost information in logistics network management. In order to fulfill both of these objectives, the authors conducted three months of qualitative case study research at Volvo Logistics, involving an interdisciplinary focus on environmental sciences, logistics management, and the development of lean information systems. This research was conducted to explore, describe, and analyze the challenges and concepts behind the problem at Volvo Logistics and to develop a practical solution.