Embedding Social Value in Sustainable Transport and Smart Logistics Systems

Sustainability in logistics and transport has traditionally focused on environmental issues such as reducing emissions, minimising waste, and resource optimisation. While essential, this focus often neglects the equally important social dimension of sustainability. Social value-which includes community well-being, inclusion, and equity-is crucial for creating truly sustainable logistics systems. Environmental goals alone are insufficient; a broader approach that integrates social and economic aspects is required to ensure transport systems promote social equity and access to essential services like employment, education, and healthcare (Banister & Hickman, 2013). Embedding social value into logistics systems is therefore vital for establishing not only efficient but also equitable and inclusive networks (Prokopenko et al., 2024).

With the advent of Industry 5.0, the concept of sustainability in logistics is evolving. Unlike Industry 4.0, which primarily emphasised automation and efficiency, Industry 5.0 focuses on human-centred systems, encouraging collaboration between technology and people to achieve broader societal benefits. This shift presents an opportunity to address social issues such as public safety, community well-being, and economic inclusion. As Gumzej (2021) observes, Industry 5.0 envisions systems are designed not just for markets but also for wider communities, providing equitable access to goods and services for marginalised populations, thus addressing long-standing disparities.

As such, technological advancements in smart logistics including the Internet of Things (IoT), Artificial Intelligence (AI), and Blockchain, offer promising ways to embed social value into transport systems. These innovations improve efficiency and address social and environmental goals by enabling real-time tracking, optimising routes, and managing resources. For instance, AI-powered route optimisation ensures essential goods reach underserved communities efficiently and sustainably, while IoT allows for dynamic adjustments to meet the needs of both urban and rural areas (Chung, 2021; Nathanail et al., 2016). Similarly, blockchain enhances transparency and accountability, ensuring ethical sourcing and distribution of goods. This is particularly crucial in sectors like pharmaceuticals and food, where public trust relies on verified and ethical supply chains (Bajak, 2022). By leveraging these technologies, logistics systems can generate both economic value and positive social impact, supporting broader objectives of inclusion and sustainability.

Consequently, this chapter explores how logistics systems can integrate social value to benefit the environment, economy, and communities. Through theoretical frameworks, key concepts, and a case study, it highlights the transformative potential of embedding social value into sustainable transport and logistics systems. As Industry 5.0 continues to shape the future, integrating social value into logistics is not just an ethical choice but a strategic necessity for building resilient and inclusive societies (Adel and Alani, 2024).