Green Supply Chain Management Case Study

Many firms are learning that being environmentally friendly and sustainable has numerous benefits. (O.C Ferrell, Fraedrich, Ferrell, 2015). This could enable them to increase goodwill from various stakeholders and also save money in the long term. This will mean that they are being more efficient and less wasteful of resources, which will enable them to be more competitive by satisfying stakeholders. The CEO of

McManus, B. (2009). Vital to Business Survival: Assessing the Impact of Environmental Pressures. GreenBiz, 1-4.

The company revenue can be spent to purchase sustainable plant and equipment. Installation of equipment means better atmospheric appeal for stores.

One positive implication capitalism has to the natural environment is industrial ecology, a system of chain production and consumption, serving to the lowest environmental impacts in a most environmentally sustainable economy as the main goal of operation (Richards & Pearson, 1998). The Companies in a like to operate in such way because of four major reasons. The most important factor is known as the corporate well-being, for it is determined by higher profits and growth provided by innovations in an industry. Profits are increased from recognizing the production ineffiency costs that comes from wasted inputs and energy losses; this allowing cost savings to increase and ineffiency to decrease. compliance with cleaner technology alternatives such as ones that produce less waste and less energy will provide long term savings which are both beneficial to the environment and the business at hand. A real world example freight company changes their salvaged driving equipment to hybrid vehicles. Money is temporarily lost, but the gasoline and maintenances cost savings will compensate in a long run period of time.

The general environment is composed of segments that are external to the firm. Although the degree of impact varies, these environmental segments affect all industries and firms competing in them. The

For a growing number of businesses, implementing smart environmental policy aids legal compliance and promotes competitiveness. Gone are the days when the only companies concerned about environmental laws were heavy manufacturers. Recent developments in both the U.S. government and private corporate sectors have ushered in a new era of corporate sustainability, in which complying with environmental regulations is moving from a recommendation to a mandate for a wide range of businesses. Just as organizations must develop and enforce policies in the areas of governance, employment, and safety, many companies and public agencies are now required to track

The solution to the faulty global supply chain, presented by Timothy Smith’s Climate Change: Corporate Sustainability in the Supply Chain, lies within including environmental sustainability into; transnational policy regimes, technological development, and consumptive behavior of society. The legitimacy, authority, and effectiveness of environmental sustainability must come from transnational policy regimes. Supply chains are global from start to finish. As such, the problems associated within the supply chain stem across many different political boundaries and jurisdictions. Only a transnational policy regime, whether it be an existing organization like the United Nations or a new entity, can effectively fulfill the burden of fixing the global supply chain. Over seventy percent of all emissions come from the supply chain (Suh). Environmental sustainability is something many groups are working towards—like the Carbon Disclosure Project-- but, because environmental sustainability lacks legitimacy, authority or effectiveness, these ventures aren’t treated like corporate projects, but rather, pet projects. Likewise, Timothy Smith’s Climate Change: Corporate Sustainability in the Supply Chain, takes into account the expensive nature of enforcement, “Conducting audits is expensive, but the risks

This paper compares the three most common types of environmental responsibility that most businesses will follow due to law, business ethics, or their own need. The articles differ due to the type of business, and also which responsibility they either chose or are forced to follow. The first article addresses how the laws can force the fishing industry to follow the limits it imposes in the marine reserves found across the world. The second article addresses how ensuring future production can force a company to address the responsibility of finding a different type of product to use in order for the other to repopulate and ensure the use of it in later years. Finally, the third article relates to how a company follows its own business

There is an increasing focus towards business sustainability in the present times. Companies are expected to operate in a manner that they do not harm the environment or impact stakeholders in negatively (Daft, 2008). Unethical and unsustainable practices are condemned with stakeholders particularly the consumers, governments and pressure groups openly pressurizing companies to change their practices and accept responsibility for their actions (Ferrell, Fraedrich & Ferrell, 2011). For multinational corporations, attaining sustainability within their supply chains is important. Even though supply chain sustainability is an emerging concept, large corporations are showing interest towards developing sustainable supply chain.

Small and medium-sized Japanese manufacturers normally lag in alertness of environmental rules and implementation of GSCM performs compared with leading Chinese manufacturers. To avoid potential destruction of environmental rules, they need to realize that they should learn from not only leading national manufacturers but also leading manufacturers in unindustrialized countries.

With the development of the global economy, the interaction between environment and companies became more important, therefore, throughout macro environment analysis, which includes political, economic, social, environment, legal and technology (PESTEL) that provides an indispensable part in the comprehensive list to understand opportunities and threats on the businesses (Searle and Barbuto, 2010). In this industry, political, economy and technology would mainly influence the strategies, thus

This paper investigates the impact of green supply chain management on industry, consumer perception and environment. Through research into multiple companies and case studies, a distorted perception among large corporations shows a historic struggle to find a balance between profit and sustainability. However, the potential long-term effects of the lack of environmental courtesy cannot be undone and therefore must be carefully engineered. Multi-billion dollar automotive corporations such as Hyundai and Toyota will be discussed and studied in depth to conclude the innovative changes contributed in the automotive industry resulting in maximum efficiency in lean and green production. Additionally, while studying these companies, the overall question of whether intentional sustainable practices provide increased customer satisfaction and comfort is answered through a survey given to 100 random people. In this small sample, it was found that 33% of consumers care about green business practices in automotive production but only 8% saw an increase in value because of it.

Many industries wriggle out of environmental responsibility and manage to bypass laws regulated by the Ministry of Environmental Protection and national pollution control board as a direct result of inefficient policies and poor enforcement. Previously in some cases the fines of breaking the environmental laws were so low it was cheaper to violate environmental limits than install pollution-reducing equipment. Moreover, the public education and awareness of environmental pollution and its effect is insufficient. In modern times, hundreds of factories are being built that don’t use the treatment plants and recycling methods. When an entrepreneur establishes a new industry, their only concern is the product and profit which makes it almost

Green manufacturing is a key player in providing cleaner energy resources, reducing greenhouse gases and other harmful emissions, degrading the impact of these gases, conserving natural resources and minimizing wastes. Not only will it be beneficial to grow the renewable energy and clean technologies industries for environmental purposes, but it will also be beneficial to the global economy, as “It is estimated that green energy can save [Europe] 3 trillion Euros by 2050”. “Green jobs are growing faster than overall job growth in the United States”, thus showing that being environmentally sustainable is a necessity and is becoming a major component of a manufacturers business plan to stay industrially competitive. Green

TNCs’ environmental responsibilities are becoming particularly a matter of urgent concerns, heavy emphasis and worthy research. All corporates should be theoretically obligated to fullfil their social accountabilities including the environmental ones because their manufacturing and managing activities impact on the environment, but TNCs are playing a more crucial role in their host countries’ sustainable development because of their massive sizes and powerful strength. They can cast the governments aside and have the power to move all or part of their business overseas.They should not treat the host countries as their pollution pouring zones and profit from overseas weak environment.