Modeling digitalization for green logistics initiatives: A qualitative exploration towards sustainable freight forwarding

Sustainability development has become a key agenda in global industries, such as logistics, in which environmentally friendly practices are introduced. The role of digitalization, specifically paperless trade systems, is increasingly recognized as a driver for enhancing environmental sustainability in Malaysia’s freight forwarding sector. Despite the growing emphasis on green logistics, a significant number of Malaysian freight operators still rely heavily on manual, paper-based processes, leading to operational inefficiencies, slower processing times, and increased environmental degradation through excessive paper consumption. The research aims to examine the current level of digitalization adoption, identify challenges in implementing digital tools, explore the environmental implications of paperless trade systems, and propose a sustainable digital framework for the freight forwarding industry. The research focus on freight forwarding companies in the northern region, specifically Penang and Kedah, and employs a qualitative research design. Data were collected through semi-structured interviews with twelve industry professionals, providing in-depth insights into organizational practices, regulatory influences, and technological readiness. Findings revealed that while adoption levels vary, impacts on paper consumption, efficiency improvements, and carbon tracking capabilities demonstrate the potential of digitalization to support sustainability. However, barriers such as cost constraints, limited infrastructure, and inconsistent regulatory enforcement hinder widespread adoption. Research findings will help to guide future strategies in advancing green logistics in emerging economies like Malaysia. To address these gaps, the research proposes the Sustainable Digital Logistics Integration (SDLI) model, which integrates technological innovation, organizational readiness, sustainability metrics, and supportive policy frameworks. This model offers a practical and scalable roadmap for industry stakeholders and policymakers, aiming to accelerate the transition toward a digitally integrated and environmentally sustainable freight forwarding ecosystem in Malaysia.