By Jim Bruce | UPS

It’s a fact — climate and congestion concerns are going to change the way companies around the world do business.

Already, congestion in the United States costs nearly $80 billion a year in wasted time and fuel — not to mention indirect costs to the environment. For UPS, congestion has made it more difficult to deliver goods quickly, efficiently, safely, and affordably in urban areas. To counter gridlock in the New York City metro area, for example, UPS dispatches approximately 60 additional delivery drivers and 20 additional tractor-trailer combinations than it did five years ago. And adding more vehicles to the road only contributes to further road congestion.

Congestion’s impact on the environment is also an issue for our communities. In the United States, transportation is responsible for more than a quarter of greenhouse gas emissions. And the ramifications on our climate — including increased global temperatures and more extreme weather patterns — are well-documented around the world.

The question today isn’t so much whether these issues pose significant risk, but what can be done about them. Crafting solutions that protect our planet and encourage continued economic growth requires a coordinated effort by businesses and governments — using innovative ideas and open dialogue to transform present challenges into future opportunities.

At UPS, one solution is our ORION navigation system — a world-class route optimization software that makes sure our delivery drivers follow the most efficient routes possible given a slate of packages. By the end of 2016 when ORION is fully implemented, we expect to achieve a reduction of 100 million miles annually, saving 10 million gallons of fuel and eliminating 100,000 metric tons of CO₂ each year.

Without continued and increased investments in our nation’s infrastructure, however, even advanced software like ORION can’t make significant dents in congestion concerns. Unfortunately, the U.S. lags behind many of its overseas competitors in transportation infrastructure investment. The World Economic Forum’s Global Competitiveness Report for 2015-16 ranked the quality of all U.S. transportation infrastructure at ninth in the world. Rail infrastructure ranked 15th, port infrastructure 10th, road infrastructure 13th, and airport infrastructure fifth.

And beyond simply increasing investment in our transportation network, governments also have to create smart policies that effectively address congestion concerns without unintended adverse consequences. Proposals to limit access to urban centers for all vehicles are growing increasingly popular as a reactive way to improve air quality and reduce congestion — but without properly engaging the business community, these regulations can pose overwhelming restraints on economic activity. To tackle these challenges, governments should partner with businesses to brainstorm, test, and implement solutions. It takes time, but by joining forces with public officials, UPS has found mutually beneficial solutions that can be customized and sometimes replicated around the world.

In Hamburg, Germany, UPS developed a limited, but custom delivery model for the city that drops off large parcel containers at approved central locations and delivers from those points to customers on smaller delivery routes … via tricycles and electric-tricycles! We also worked to convert conventional diesel vehicles to run on electric motors, which are now operating in London and inside formerly restricted areas in Amsterdam.

Solutions like these are repeatable in other cities, but there is no silver-bullet solution. That’s why UPS uses a “rolling laboratory” approach, trying numerous alternative fuel and technology solutions. This allows us to account for a wide variety of business demands while still reducing environmental impact and expense.

The future of the transportation industry looks greener than ever. UPS, like-minded companies, and city leaders with bold ideas are at a point where we can envision significant sustainability advancements powered by smart and cutting-edge technologies. But to get there, we’ll need help.

Some needs are small and concrete — more funding for research, for example, often in less glamorous but critically important areas like engine emissions technologies or determining how to cost-effectively manufacture renewable fuel from waste byproducts. Other needs are bigger, like creating a predictable regulatory framework so businesses can pursue long-term solutions. We also need enough flexibility to accommodate fresh ideas and change course if new developments and technologies present themselves.

Congestion and climate change have many interlocking parts, which can make it difficult to develop strategies to reduce traffic and emissions while meeting bottom-line demands. But I’m confident these issues can be addressed by working jointly with government authorities, technology and engineering firms, think tanks, academics, and companies of all sizes and scopes. Collaborative innovation today will pay immense dividends tomorrow. Together, we can turn our biggest challenges into our biggest opportunities.

Jim Bruce is vice president for UPS Public Affairs and specializes in sustainability policy.