Case Study : Green Supply Chain Management

1349 Words6 Pages
Green Supply Chain management refers to the organizational innovations and policies in supply chain in view of sustainable environment. It involves multiple objectives of social, economic and environmental sustainability and integrating environmental thinking into SCM (supply chain management). In most cases, it is implemented to comply with new regulations and enhance the company’s brand image. Some Companies including GSK , Nike, Adobe are implementing this well into their supply chain. Adobe launched an environmentally sensitive redesign of its software packaging and abandoned plastics in some areas using innovation design. Benefits of Green Supply Chain The benefits of Green SCM are positive long term impact on financial performance…show more content…
Any scrap material created during the process needs to be recycled 3. Supplier selection: Material purchase should be carried out from suppliers who are practicing lean manufacturing and using environment friendly products. It also helps to engage the vendors during product conception stage to ensure alignment on strategy for going green and sharing best practices. 4. Logistics Design: Logistics network should be designed well to ensure there is minimum fuel consumptions. This can be done by setting up supply hubs near manufacturers to minimise travel. This will ensure less usage of air freight. Back hauling should be practiced to boost cost effectiveness as it costs as much fuel and time to drive empty as fully loaded. 5. Packaging Material: Packaging material should be designed in a way that it can be re-used , re-cycled, and is environment-friendly. During transport of hazardous materials, packaging has to be robust so that it does not spill over and cause any environment hazard. 6. Reverse logistics Design: Reverse logistics involves the process of planning and implementing the cost effective flow of materials from the point of consumption to the point of origin to recapture value or for proper disposal. A proper design of Reverse logistics contributes greatly towards Green Supply Chain Management. Materials at the point of consumption should be effectively used for recycle, re-use, repair,
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