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Sustainable supply chain management
Green supply chain management case study
Green supply chain management case study
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Anna Burnett COLL300 Week 6- Outline Thesis Statement: Supply Chains attempt to become more and more environmentally friendly. In their attempt, they encounter problems like lack of necessary regulations. Several research data show that overcoming these problems helps them to excel economically. Alternate Thesis: Supply Chains are implementing greener practices. It does not come easily most of the times due to lack of governmental laws and difference of laws among trading companies. Nevertheless, research points out that green practices positively influence the companies. I: The core of Green Supply Chain. a) Green Supply chain is a part of Logistics. It represents the movement of product in environmentally friendly ways. b) In the present, …show more content…
This is one of the most important aspects for them since they are in the business of making money. b) The economic gain comes from the reduced cost of production, improved value of operations and competitive advantage due to the innovations. III: Examples of implementation of Green Supply Chains. a) Companies are finding ways of reducing transportation times and emission of CO2 by carefully calculating the routes and combining as many deliveries as possible. b) Businesses tend to implement Reverse Logistics. This means that if a product goes bad, it does not go straight to trash, instead, it comes back to the Supply Chain in order to be fixed. c) Some companies found new ways of disposing of hazardous materials that save them money as well as benefit the environment. IV: Companies run into problems along the way. a) One of the biggest problems businesses complain about is the lack of strict governmental laws. b) There are many differences in laws and willingness to go green among trading companies, which makes it difficult sometimes to achieve Green Supply Chain goals. c) Some consumers do not support the companies that are trying to go green, which means that businesses tend to lose
Supplying eco-friendly products has been on the Walmart agenda since the early 1990s. After a failed first attempt and much criticism, the company decided to try again. In a speech made in October of 2005, CEO of Walmart, H. Lee Scott Jr., declared Walmart would devise a “business sustainable strategy” to reduce the environmental impact the company had. Walmart could not pull this off alone. If they only focused on the confines of themselves, rather than all that they were involved with, it was estimated that they’d only reduce their impact by about 10%. To reach that goal of 100%, Walmart had to involve stakeholders to make networks which achieve sustainability. These networks proved to be vital in not only Walmart’s goal in minimizing its environmental impact, but recovering their reputation, avoiding criticism, saving money, raising awareness, improving customer satisfaction, and creating incentive for other businesses to work towards sustainability.
...nges that may have once been a regulation, but that still effects the environment. Other larger plants and companies are beginning to change the way that they take care of certain waste products because they have been brought into the public light and some groups have begun to campaign against the larger companies that are dealing with the regulations. The environmental push that is being created is affected by the ‘race to the bottom” even though regulations may be decreased the problem is already out in the public so it seems that since there used to be such stringent laws. The increased competition that can be created by the companies which are similar plays into interest groups. State policies are changing the way that larger companies are dealing with the environment as well as aiding in the improving the environment after there has been major damage done.
One thing is for sure, large number of companies are starting to face problems and trying to come up with solutions to this crisis. Many suggestions have been made towards companies and some include changing more environmental friendly supply chain. (Carbon dioxide supply chain reporting in a Swedish multinational corporation, 2010). Swedish multinational corporation Entra has stated the fact that there is a relationship between their costs and energy sourcing. Since they are sometimes supplier to their suppliers, the environment pushes Entra and all organizations to look into how they can influence their supply channels. BP Amoco as many other companies, have set a target on reducing Greenhouse gasses. One step that they took was...
The case study does not mention green initiatives that Amazon may have at this time. I would recommend looking toward the future with green initiatives if Amazon has not adopted any policy yet. The adoption of green initiatives will help with company image and help with environmental concerns. Ultimately, the current CSR strategy for Amazon is sound and Amazon needs focus on long term growth.
Going green in the workplace is a new trend in business. In choosing to go green in the workplace you may be challenged by an elevated initial start-up costs, however savings earned from this investment will more than pay for those initial costs in the future. Many people see this as a controversial issue, and granted it does have its own unique set of pro and cons, but if a business makes careful choices going green can prove to be very rewarding. Companies are doing this to save money on energy expenses as well as deploying it as a means to help reduce the carbon foot-print they are leaving behind.
Environmental pressures have caused green supply chain management to emerge as an important corporate environmental strategy for organisations’ processes. Our discussion will describe, illustrate and critically evaluate the purchasing process of Woolworths. It will further identify the steps of the purchasing process, the effect of green purchasing and sustainable purchasing. Moreover, the essay will go on to look at the effort that Woolworths has made through their programmes and initiatives of green purchasing.
A green consumer may be defined as a consumer who has concerns environment related issues. These consumers are supportive to environmental causes to the extent of switching product brands even if results in a higher cost to the consumer.
While a number of organizations have not adopted a sustainable operations management strategy, large retail firms like Morrison, Wal-Mart, Marks and Spencer, and Sainsbury’s have adopted this concept into their management strategies in order to reflect customer concerns and thus sustain the competitive advantage. Many larger firms are willing to promote sustainable operations in their markets because this strategy arguably attracts and retains customers.
Green manufacturing is a term used to describe manufacturing practices that do not harm the environment during any part of the manufacturing process. It emphasizes the use of processes that do not pollute the environment or harm consumers, employees, or other members of the community. Green manufacturing addresses a number of manufacturing matters, including recycling, conservation, waste management, water supply, environmental protection, regulatory compliance, pollution control and a variety of other related issues. In green manufacturing, environmental impact of all stages of production is considered. The manufacturer will not use materials which are harmful to the ecosystem in the design, production, field application and end of life disposal stages of the product.
In recent years, business or green business was no longer an option to become an obligation. Companies started to change their mindset and values to develop new environmental proposals, for example launching second ecological lines.
LCA also informs possible dangers to consumers of the greenhouse gases emissions associated with the product. Manufacturing companies take advantage of this life cycle assessment to make manufacturing processes, operating procedures & Supply chain decisions more environment friendly. Lots of industries got influenced by LCA program by providing greener products & greener processes. Green product is one that has less of an environmental impact or is less detrimental to human health than the traditional
The key performance drivers of Supply Chain Management (SCM) are - facility effectiveness, inventory effectiveness, transportation effectiveness, information effectiveness, sourcing effectiveness, pricing effectiveness, delivery effectiveness, quality effectiveness and service effectiveness. These drivers include various performance markers that may be measured quantitatively by gathering information and applying them in SPSS. The works here may principally be quantitative with spellbinding measurable investigation. In the current world, practical supply chain management to help the triple primary concern, (nature, domain, and economy) is likewise included in the extent of supply chain performance drivers. This is relatively a quite new research region.
Supply chain is a process that includes activities that like movement of goods, services, information and money from the manufacturer to the consumer. The increased competition and the large variety of products that have been introduced have forced the companies to look into their supply chain processes. This is a byproduct of the era of Globalization.
The sustainability of ecosystems on which the global economy depends must be guaranteed. And the economic partners must be satisfied that the basis of exchange is equitable” (World). This quote demonstrates the complexities of sustainability. Another thing corporations should focus on when trying to be sustainable is their environmental impact. Annie Leonard in her book The Story of Stuff says that companies can significantly reduce their toll on the environment by changing their design. The design determines “the amount of energy used in making and using the product,” “the length of the product’s life span” and “its ability to be recycled” (Leonard). All these things determine the amount of resources a company must use, so simply changing a product’s design is one way a company can have a large impact on the sustainability of the environment in which it operates. One example of this is that “Wal-Mart attributed more that $100 million of its 2009 revenue to a decision to switch to a recyclable variety of cardboard in shipments” which it sells to a recycler instead of paying to send it to a landfill
Recently, MNCs faced the environmental sustainability challenge when growing their business. Important role should be played by MNCs through suitable strategies and operations, an example of green processes and product development. Besides that, concept such as design for environment, eco-design, extended producer responsibility and product stewardship are becoming more and more common in corporate culture. (Albino, Balice and Dangelico, 2009, p. 83 and 86). As a result, the effective development of green products has an essential role in creating successful environmental strategies, and to help companies and economies towards environmental sustainability (Pujariet al., 2003).