SkyCell, the purpose-led technology company transforming the pharmaceutical supply chain, has partnered with dental and medical company, Ivoclar to optimize reverse logistics processes. This first-of-its-kind partnership aims to significantly reduce CO₂ emissions, minimize waste, and decrease overall costs. The new strategy eliminates empty return journeys by filling SkyCell containers with Ivoclar pallets at shared transport and logistics partner DSV Air & Sea’s warehouse.
The global pharmaceutical industry transports over $1 trillion worth of cargo annually and some of these pharmaceutical products are transported under stringent temperature-controlled conditions to preserve their efficacy and, in many cases, save lives. However, the current logistics landscape often sees transport containers returned empty to their origin, contributing to unnecessary emissions and inefficiencies.
Building on a successful pilot launched in December 2023 and officially initiated in February 2024, the collaboration leverages partnerships with leading transportation and logistics providers. Previously, SkyCell shipped its hybrid containers loaded with pharmaceuticals from various manufacturers to the USA, while Ivoclar sent its products from its Somerset, USA facility to destinations like Zurich, Europe to meet global demand.
Paulo Baumgartner, Head of Operations Supplier & Procurement at SkyCell said: “As highlighted in a recent MIT study, tracking emissions from reverse logistics poses a significant challenge for most pharmaceutical companies. However, by integrating Ivoclar pallets into our hybrid containers, we optimize freight efficiency, leading to reduced CO₂ emissions and bringing us closer to our goal of climate neutrality.”
Olivier Hett, Global Transport Manager at Ivoclar said: “Innovation doesn’t always mean reinventing the wheel. Our goal is to optimize value creation within the supply chain by developing new approaches within the existing framework. We achieve this by utilizing existing resources in a collaborative manner at no additional costs and by finding synergies”
SkyCell’s commitment to reducing emissions is further highlighted in its latest sustainability report, which details ongoing efforts and results across its value chain. The company aims to optimize repositioning transport by strengthening its operational capabilities, increasing the number of containers available, and using more ocean freight for reverse logistics.
