Penske Automotive Group accelerates sustainability efforts with data
Penske Automotive Group (PAG) is a diversified international transportation services company and one of the world's premier automotive and commercial truck retailers. To reduce its environmental impact, PAG partnered with NTT DATA sustainability consultants and Microsoft to quantify, benchmark and monitor its carbon emissions.
To reduce carbon emissions across the business, PAG is focused on developing energy-efficient business operations, reducing waste-to-landfill and selling and servicing low- and zero-emission vehicles available from its manufacturer partners.
Business Needs
Data platform enables a roadmap for decarbonization
PAG desired to establish an emissions baseline for their operations to enable the creation of a sustainability roadmap to formulate more informed, data-driven decisions to reduce its environmental impact.
PAG determined that an enterprise data management platform capable of capturing carbon inventory data at all levels of the company's portfolio — from dealerships to corporate and ancillary buildings — would help to baseline its current footprint, act as an ongoing monitoring system and allow the company to identify opportunities for efficiency improvements.
"Reducing environmental impacts requires businesses to optimize energy efficiencies, reduce waste and find ways to reduce individual and collective impact on the environment," said Bill Combs, Vice President of Sustainability with Penske. "We are prioritizing sustainability efforts to drive decarbonization throughout our operations. We trust NTT DATA's sustainability expertise to help us achieve this important objective."
Solution
Data modeling drives insight-based decision-making
One of the core value propositions of NTT DATA's consulting services for PAG is the development of a comprehensive data model that accurately captures emissions data across the organization. This data model, founded on Microsoft Sustainability Manager, enables the company to access detailed information about its carbon footprint and identify opportunities for carbon reduction. The solution provides visibility into emissions activities, generates reliable reports on their impact, and creates the intelligence required to identify, monitor and scale sustainability initiatives.
NTT DATA integrated all emissions activity data through this data architecture and created application programming interfaces (APIs) to connect the platform to PAG’s data warehouse. This offers the data and analytics needed to evaluate emissions factors based on the Greenhouse Gas Protocol to determine precise carbon emissions from each business activity.
"It's important to identify, organize, and quantify data given the breadth of our various business units," said Mark Cooper, sustainability program leader for PAG. "NTT DATA has helped us efficiently collect the necessary information to quantify our Scope 1 and Scope 2 emissions.”
Integrated Microsoft tools make data accessible and user-friendly
In building a solution for PAG, NTT DATA utilizes a full complement of Microsoft solutions to gather data and generate actionable insights. The foundation is the Microsoft Sustainability Manager platform — hosted on Microsoft Azure — which NTT DATA uses to unify data intelligence, record data, generate sustainability dashboards and ultimately help PAG reduce its environmental impact. It allows the organization to gain visibility into the emissions activities across the organization, report progress more efficiently and access the intelligence to refine and scale sustainability initiatives over time.
“The integration of the Microsoft Sustainability Platform on Microsoft Azure ensures Penske Automotive Group can manage their carbon emission reduction efforts, ultimately reducing the organization's environmental impact.” said Shelly Blackburn, Vice President of Cross Solutions Area at Microsoft.
Ultimately, NTT DATA is enabling PAG to automate data collection and generate a unified, accurate, and global carbon emissions reporting platform.
"The partnership with NTT DATA is helping us to identify and understand our carbon footprint." said Combs. "With NTT DATA and Microsoft by our side, we hope to proactively improve our environmental performance as a responsible corporate and global citizen.”
About Penske Automotive
Penske Automotive Group, Inc., (NYSE: PAG) headquartered in Bloomfield Hills, Michigan, is a diversified international transportation services company and one of the world's premier automotive and commercial truck retailers. PAG operates dealerships in the United States, the United Kingdom, Canada, Germany, Italy, and Japan and is one of the largest retailers of commercial trucks in North America for Freightliner. PAG also distributes and retails commercial vehicles, diesel and gas engines, power systems, and related parts and services principally in Australia and New Zealand. PAG employs over 28,000 people worldwide. Additionally, PAG owns 28.9% of Penske Transportation Solutions ("PTS"), a business that employs over 44,000 people worldwide, manages one of the largest, most comprehensive and modern trucking fleets in North America with over 431,000 trucks, tractors, and trailers under lease, rental, and/or maintenance contracts, and provides innovative transportation, supply chain, and technology solutions to its customers. PAG is a member of the S&P 400 Mid Cap Index, Fortune 500, Russell 1000, and Russell 3000 indexes. For additional information, including the Company's 2023 Corporate Responsibility Report highlighting its corporate responsibility strategies, activities, and certain metrics, visit the Company's website at www.penskeautomotive.com.