The Pros And Cons Of Supply Chain Sustainability

Firms have responsibilities to society at large by not harming the environment (polluting the air or water); producing safe products and providing a safe work environment for it’s employees and the surrounding residents.

Supply chains manage the movement of products from the acquisition of raw materials through production and finally distribution to the end user. A properly designed supply chain can create many opportunities to drive down cost and increase revenue opportunities. In order to create a supply chain that is sustainable and flexible it is necessary to identify and align company goals and initiatives with the manufacturing and distribution of products.

This is an important process because it is based on the customer’s wants and needs. The products that are built here enhance the supply chain design and goes beyond just giving customers what they want. And according to Target, their guests want more sustainable products (“Corporate Responsibility”, 2014). For example, Target’s Sustainable Product Standard partners them with vendors who provide information on 6,500 products for which there is no widely accepted standard for sustainability. They evaluate this information against certain criteria based on information gathered from stakeholders. The process helps Target to provide a better selection of sustainable products for their guests (“Corporate Responsibility”, 2014).

Our environmental policy already commits us to working with our suppliers, contractors and partners to minimise our environmental impact and to encourage ecologically sustainable and, where possible, local sourcing of products and services

4.3. Environmental impact minimization Telstra frequently engaging with suppliers and monitors with its supply chain by introducing a Supplier Code of Conduct to create standards between Telstra and its suppliers. These standards also applied in other areas. Telstra developed a sustainability risk evaluation framework to assess supplier’s compliance with Code of Conduct in

Cooperated with partners and leaders in the field of supply chains and transport, the World Economic Forum’s Global Agenda Council on the Future of Logistics and Transportation started to conduct research on the supply chain. The report “Beyond Supply Chains Empowering Responsible Value Chains” analyses the impact that supply chain practices has brought to business, society and environment, and explores the issue how shared value can be made through better supply chain decisions. The report identifies “a set of 31 proven supply chain practices which provide companies with a blueprint of where they can gain both commercial and socio-environmental advantage (both environment and local economic development)—driving a triple advantage” (). In addition, the report “provides a framework for evaluating the potential value at stake behind each of these practices, and an implementation framework for

Sustainable Supply Chain – working with and influencing suppliers to manage and reduce the environmental and social impacts of their operations and of the products and services they provide to Telstra.

3. A summary of a proposed supply and sourcing strategy to be adopted in creating and delivering the product that is in line with Monsoons existing supplier relationships and corporate social responsibility policies

However, in Global Supply Chain Management, there is also a need to protect the environment, although for more selfish reasons. Businesses need to be environmentally friendly because people around the world are catching onto the fad of “going green” and want products and companies that boast that. By having sustainable product development and sustainable transportation methods, business are both protecting the environment and attracting more consumers. This is an interesting point because one would not think that a book about best business practices would attract a business towards being more environmentally friendly, but the book is clear that that is what is

In 2003, there has been increased pressure on many companies and managers to acknowledge their responsibility to society, and act in a way which benefits society overall (Lindgreen and Hingley, 2003). The major societal issue threatening food retailers has been environmental issues, a key area for companies to act in a socially responsible way. Hence, by recognizing this trend within the broad ethical stance, Tesco 's

Some of these problems in the supply chain often go unnoticed as the number of links between supply network members. Supplier Ethics Management is the “management of suppliers and supply relationships with strategies, programs, and metrics that better align supplier business conduct with purchaser standards, with the goal of reducing the purchaser’s overall risk of corporate integrity failure in the supply chain.“ (www.s-ox.com)

The company requires a minimum ranking of 2C for a supplier to maintain its active status. To ensure that suppliers comply with the SOE, an internal monitoring program was initiated and SOE audits of suppliers around the world were conducted by regionally located. Suppliers are being evaluated for compliance with the SOE and action plans developed with individual suppliers to improve conditions has teamed up with Business for Social Responsibility, a non-profit organization which promotes corporate citizenship, to train monitors and suppliers' representatives. In addition, a manual on health, safety and environmental issues has been developed which will help to make the SOE effective in

An example is the communication of supplier ratings via the SupplyOn Performance Monitor. The supplier data from the in-house “Supplier Rating System” at Continental Automotive Systems are transferred to the Performance Monitor. In Performance Monitors, suppliers can read their operational ratings and also reduce and analyze the data. Performance Monitor supports continuous improvement in supplier quality. Most vendors think of applications as an opportunity to recognize problems early on and to actively handle their solutions before upgrading.

(1) The supply chain managers should address the sustainability issues and should look at the entire supply

‘Corporate social responsibility’ (CSR) means that the firm has wider responsibilities in relation to objectives and people apart from the owners or shareholders (Beal and Goyen 2005). These responsibilities are achieved when the firm adapts all of its practices to ensure that it operates in ways that meet, or exceed, the ethical, legal, commercial and public expectations that society has of business. Objectives often associated with CSR include a responsibility to manage natural assets sustainably and not to pollute by chemical discharge, smell, noise, dust or other irritants; fair treatment of employees and ethical attitude towards clients. The other people include employees, customers, suppliers,