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Activities as an automobile manufacturer<br />

Environmental Management/Environmental Profection Activites<br />

Sav<strong>in</strong>g energy <strong>in</strong> logistics<br />

<strong>Mazda</strong> is work<strong>in</strong>g to accurately monitor CO2 emissions <strong>in</strong> logistics and<br />

distribution, and reduc<strong>in</strong>g them by improved efficiencies, switch<strong>in</strong>g to<br />

alternate transport modes and other measures. Total CO2 emissions <strong>in</strong><br />

the logistics sector reached 5,631 tons <strong>in</strong> fiscal 2004.<br />

Reduced <strong>in</strong>-house deliveries<br />

<strong>Mazda</strong> began <strong>full</strong>-fledged <strong>in</strong>troduction of the <strong>Mazda</strong> Milk-Run System<br />

(MRS) <strong>in</strong> fiscal 2003, and has been steadily decreas<strong>in</strong>g the number of<br />

trucks used for parts transport. Improvements to the MRS system<br />

reduced CO2 emissions <strong>in</strong> fiscal 2004 by 2,681 tons. Additional<br />

improvements <strong>in</strong> load<strong>in</strong>g efficiency and shared transport of f<strong>in</strong>ished<br />

vehicles reduced emissions by an additional 143 tons.<br />

Utilization of sea transport<br />

Nakanoseki Port<br />

Tak<strong>in</strong>g advantage of its location on the Seto Inland Sea, <strong>Mazda</strong> began<br />

its modal shift toward sea transport quite some time ago. Today about<br />

80% of all vehicles are transported by sea, and 92% of all vehicles<br />

bound for the domestic market. In fiscal 2004 we expanded the feeder<br />

routes throughout Asia and took other measures to shorten transport<br />

distances for export parts, as well as m<strong>in</strong>imiz<strong>in</strong>g truck use to ports,<br />

reduc<strong>in</strong>g CO2 emissions by 2,807 tons.<br />

Logistics system diagram<br />

Parts manufacturer, etc.<br />

<strong>Mazda</strong><br />

Products (vehicles) for domestic market (92% by sea)<br />

Manufacturer<br />

Rail<br />

Between or with<strong>in</strong> plants<br />

F<strong>in</strong>ished vehicles<br />

F<strong>in</strong>ished vehicle pool<br />

Pure car<br />

carrier<br />

Ship<br />

Distribution center<br />

Depot<br />

Dealership<br />

Dealer<br />

Domestic<br />

customer<br />

Overseas<br />

customer<br />

Manufacturer<br />

Ship<br />

Efficiency improvement<br />

of transportation<br />

KD distribution<br />

KD pool<br />

Ship<br />

Local port<br />

Overseas plant<br />

Manufacturer<br />

Plant<br />

Plant<br />

Manufacturer<br />

Base<br />

Us<strong>in</strong>g the MRS (<strong>Mazda</strong> Milk-Run System)<br />

Service parts distribution<br />

Parts Center<br />

Promoto use of<br />

small electric vehicles<br />

Ship<br />

Parts dealership<br />

Distributor<br />

Dealership<br />

Dealership<br />

Domestic<br />

customer<br />

Overseas<br />

customer<br />

Improved efficiency and management <strong>in</strong> parts transport<br />

<strong>Mazda</strong> is steadily switch<strong>in</strong>g to electric forklifts for parts procurement<br />

and <strong>in</strong>-plant transport. At the end of FY 2004 we operated 166 electric<br />

forklifts, represent<strong>in</strong>g 24% of the total. From FY 2003 we have also<br />

begun <strong>in</strong>troduc<strong>in</strong>g tow<strong>in</strong>g tractors <strong>in</strong>stead of forklifts at parts centers<br />

handl<strong>in</strong>g customer parts and other distribution operations, further<br />

slash<strong>in</strong>g CO2 emissions.<br />

Glossary: 3<br />

Glossary 4<br />

Modal shift<br />

MRS (<strong>Mazda</strong> Milk-Run System)<br />

In an effort to reduce the amount of CO2 emissions<br />

from logistics, we are shift<strong>in</strong>g the mode of<br />

transportation to large-volume transport methods<br />

such as ships and tra<strong>in</strong>s, which have lower<br />

The term milk-run is used to refer to a s<strong>in</strong>gle truck which<br />

cycles around multiple suppliers collect<strong>in</strong>g freight. The<br />

name is derived from the milk runs of farmers collect<strong>in</strong>g<br />

milk from their dairy cows throughout the pasture.<br />

Social & Environmental Report 2005

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