Climate Change Data

Environmental Metrics

ESG Focus Areas

• Diversity, Equity and Inclusion (DEI)
• Sustainability
• Climate Risk Management
• Governance
• Safety
• Technology and Innovation
• Environment
• Workforce
• Community

Environmental Achievements

• Disclosing Scope 1 and Scope 2 carbon emissions for the first time in company history
• Creating an ESG dashboard to capture and analyze Scope 1 and Scope 2 carbon emissions more efficiently

Social Achievements

• Creating a Corporate Social Responsibility (CSR) Program Manager Role to lead the development of the company’s DEI strategy, roadmap and initiatives and partner with leaders across the organization to implement and manage employee policies and programs
• Developing and announcing a three-year DEI strategy roadmap focusing on four key areas: workforce, workplace, marketplace and community
• Forming a DEI taskforce to help ensure employees’ voices and feedback remain at the forefront
• Giving back more than $2.4 million to 135 organizations through volunteering, fundraising and donating

Governance Achievements

• Creating an ESG Program Manager Role that is focused on ESG strategy — partnering with leaders across the organization to identify opportunities for improved environmental sustainability, address climate-related issues, implement best practices, and facilitate external reporting and public disclosures
• Developing a Crisis Management Framework which provides a planning structure that improves the company’s ability to prepare for, respond to and recover from crisis events

Climate Goals & Targets

Supply Chain Management

Climate-Related Risks & Opportunities

Reporting Standards

Frameworks Used: SASB Standards, TCFD framework

Environmental Metrics

ESG Focus Areas

• Climate Change
• Safety
• Diversity, Equity and Inclusion
• Employee Experience
• Community Investment
• Corporate Governance

Environmental Achievements

• Reduced Scope 1 emissions intensity by approximately 0.25% (from 1,544 grams per mile in 2021 to 1,540 grams per mile in 2022)
• Improved fuel economy by 0.3% (from 7.00 mpg in 2021 to 7.02 mpg in 2022)
• Implemented City Route Optimization (CRO) technology, resulting in a 4% increase in street productivity and a 48.5% reduction in the use of local cartage agents
• Installed solar panels at Fort Wayne, Indiana service center
• Purchased electric yard tractors, forklifts, and straight trucks for pilot programs

Social Achievements

• Established employee resource groups (ERGs)
• Partnered with Integrate Autism Employment Advisors to advance workplace neurodiversity
• Signed the U.S. DOT’s Transportation Leaders Against Human Trafficking (TLAHT) pledge
• Updated wellness policies (vacation, bereavement, maternity, parental leave, caregiver)
• Decreased Total Recordable Incident Rate (TRIR) from 7.34 to 6.83

Governance Achievements

• Developed an ESG Roadmap
• Expanded the ESG Committee
• Conducted a methodology review of GHG emissions inventory

Climate Goals & Targets

Environmental Challenges

• Measuring and calculating Scope 3 emissions
• Reducing GHG emissions across the supply chain
• Managing climate-related physical risks (extreme weather)
• Managing regulatory risks related to GHG emissions
• Maintaining a safe and inclusive work environment

Mitigation Strategies

• Developing a methodology to measure Scope 3 emissions
• Investing in fuel-efficient equipment and alternative vehicles
• Implementing CRO technology to optimize routes and reduce miles driven
• Developing business continuity plans to mitigate extreme weather impacts
• Implementing safety training programs and initiatives
• Launching ERGs and partnering with Integrate Autism Employment Advisors

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather

Transition Risks

• Regulatory changes

Opportunities

• Technology investments (route optimization, electric vehicles)

Reporting Standards

Frameworks Used: SASB, TCFD

Environmental Metrics

ESG Focus Areas

• Climate Action
• Good Health and Well-Being
• Decent Work and Economic Growth
• Peace, Justice and Strong Institutions

Environmental Achievements

• Increased the fuel efficiency of our city fleet by 4.0%
• Reduced gallons consumed by 497,037
• Avoided 5,082 tons of CO2e emissions
• Launched Vaux Freight Movement System, reducing material handling and GHG emissions
• Implemented City Route Optimization (CRO) at all 240 service centers, increasing street productivity by 1.5% and reducing costs by $12.3 million
• Improved sustainability data methodology for more accurate alternate fuel reporting
• Continued piloting electric vehicles (straight trucks, forklifts, yard tractors)
• Collected 974 pounds of materials and food waste for composting and 287 pounds for recycling at four campus events

Social Achievements

• Gave $2 million to over 250 charitable organizations
• Launched ArcBest Values in Practice awards
• Recognized 269 ABF Freight drivers for record safety milestones
• Launched four new employee resource groups (ERGs)
• Implemented the Innovation Ambassador Program
• Continued investing in safety and security initiatives, including Campus Safety Teams, upgraded camera systems, and new hazmat tracking system
• Reduced driver service violations through Safety Communications and Support team
• Improved employee experiences through training and development initiatives, wellness programs, and employee recognition programs
• Redesigned ArcBest website for improved customer experience

Governance Achievements

• Established a formal Corporate Environmental Policy
• Enhanced stormwater compliance program to meet EPA Consent Decree requirements
• Developed an official ArcBest Crisis Management Framework
• Provided annual ArcBest Code of Conduct training to nonunion employees
• Implemented EthicsPoint, an anonymous ethics and compliance reporting tool

Climate Goals & Targets

Environmental Challenges

• Supply chain disruptions and contractor challenges impacting facility improvements
• Measuring and reporting Scope 3 GHG emissions
• Setting emissions reduction targets and evaluating their feasibility
• Addressing climate-related risks such as extreme weather events and regulatory changes

Mitigation Strategies

• Investing in a modern fleet and optimizing operations to improve fuel efficiency and reduce emissions
• Piloting and evaluating lower-carbon solutions, including electric vehicles and renewable power production
• Collaborating with external experts to evaluate emissions reduction strategies
• Participating in educational programs on Scope 3 GHG emissions footprinting
• Developing business continuity plans to mitigate risks from extreme weather events
• Incorporating climate risks and opportunities into risk management strategy

Supply Chain Management

Responsible Procurement

• Supplier Code of Conduct

Climate-Related Risks & Opportunities

Physical Risks

• Extreme weather events

Transition Risks

• Regulatory changes
• Increased costs of equipment and fuel

Opportunities

• Technology investments in route optimization and sustainable equipment

Reporting Standards

Frameworks Used: SASB, TCFD

UN Sustainable Development Goals

• SDG 3
• SDG 8
• SDG 13
• SDG 16

Alignment with ArcBest's initiatives and core values

Sustainable Products & Innovation

• Vaux Freight Movement System
• Electric vehicles

Awards & Recognition

• America's Most Responsible Company 2024 by Newsweek and Statista
• EcoVadis Bronze medal
• Inbound Logistics Green Supply Chain Partner
• Vaux™ selected as a 2023 TIME Best Invention