Technological advancements have irrefutably impacted businesses in positive ways. Over the course of only a few decades, companies are now able to benefit from connectedness through the Internet of Things, enhanced communications, a remote workforce, e-commerce and the globalization of business. However, technology also has introduced new challenges and magnified ongoing challenges. For example, automation has led to dehumanization of processes and services, and there is increased awareness of the environmental impact that companies have.
With a population of more than 1.4 billion people, China’s most successful and prevalent businesses must rise to set an example for businesses worldwide. This includes by improving their sustainability, inclusiveness and more. Richard Liu is the CEO and founder of JingDong, which many people describe as China’s version of Amazon. This e-commerce giant, which is also known as JD.com, has already taken huge leaps forward in these areas, and it plans to continue its efforts to achieve even more profound results.
When the company was founded, it followed a traditional business model with several physical store locations. However, the SARS crisis forced Liu to make strategic improvements, and this led to the development of the company’s robust online platform. Its success has been startling. JD.com provides service to more than 300 million regular customers, and its total unique customer count exceeds a billion people.
JingDong understandably must successfully meet its customers’ expectations by giving them access to a wide range of goods and delivering them promptly, but it also understands its effect on the environment. Because of the size of its operation, its efforts can have a profound immediate impact. More than that, the company’s efforts could act as a catalyst and inspire other companies around the world to follow its lead.
The company has a massive fleet of delivery vehicles to serve customers throughout China as well as many large warehouse facilities and other structures. Richard Liu created buzz recently when JD.com released its annual Corporate Social Responsibility Report. Among other things, this report outlines improvements that were recently made as well as intentions for future improvements.
The report detailed the completion of a huge solar energy generation project that was completed at its Shanghai logistics center. Because of the size of this project, the company successfully made a huge dent in its use of fossil fuels. It also reduced its carbon emissions. This is only the beginning of the company’s plans for solar energy. In fact, by 2030, it intends to have more than 77 square miles of its facilities covered with solar panels, which would make its system the largest roof-mounted system in the world. In addition, Liu believes that this endeavor will encourage other companies to invest in solar energy.
In an effort to tackle the company’s environmental impact through delivery services, it is currently introducing more than 5,000 green energy vehicles to its Chinese fleet. Vans and trucks will be powered by electricity, hydrogen or a hybrid energy mix. The green fleet also includes delivery tricycles powered by solar energy. In only two years, the company plans for its entire delivery fleet to be made up of green vehicles.
An additional step that it has taken is the adoption of the Green Stream Initiative, which is designed to improve the utilization of resources through advanced technologies and innovations. As part of this initiative, JD.com is replacing many of its standard delivery boxes with green boxes that are more durable and can be re-used.
In addition to environmental initiatives, the company is also stretching out to help impoverished communities in rural China. It has already hired more than 25,000 new workers from these areas to instigate growth in local economies. JingDong also expanded its delivery network to these areas.
Richard Liu intends to continue with these projects and to introduce new projects going forward. While making a positive immediate and local impact, the company may have a lasting, global impact as well.r
