INGKA Group – 100% EV Shanghai
Objective
- Achieve 100% electric or zero emissions home deliveries in Shanghai by 2020
Size of pilot
- 43 EVs
- 11 dedicated chargers + 300 public chargers
- Duration of battery (100kw) in full loaded: 150km/single trip. 1.5 trips per day per EV in average with 1h charging replenishment.
Approach
- Embedded in corporate strategy
- Global management requested volunteers from company’s global markets
- Decision-making process
- The decision was taken by country retail management and group business council for making decision on all solutions, investment and implementation plan.
- Engaged internal stakeholders
- Involved multiple internal stakeholders such as sourcing, operations and facility management and procurement. Customer fulfilment was in lead of the project, supported by sustainability and country management.
- Engaged external stakeholders
- Created working group with relevant service providers
- Chose markets based on city willingness and impact
- Driver training
- Adapted driving behavior to accommodate transition
Challenges
- Unstable battery range under the temperature of below zero degrees or over 35 degrees
- Varied road access policies for EV operators in cities
Key lessons and tips
- Strategic and committed partners throughout the transportation value chain (automakers, infrastructure providers, service providers, and regulators) are critical
- New approaches leveraging digital platforms can speed project implementation and optimize the transportation network
- Other transportation modes and strategies are also necessary to achieve zero emissions
- Collaboration with companies looking to implement similar solutions can reap additional benefits in supply chain efficiency
- To make change happen we need to embrace new ways of working
Outcomes
- Achieved objective one year ahead of promise
- 1,000 tons of carbon dioxide reduced annually
- Reinforced IKEA’s brand positioning as responsible and sustainable
- A boost to employee morale
