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Supply Chain Sustainability

Date post: 13-Sep-2015
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As supply chains are crossing national boundaries which forces us to compete with other companies present globally, we need to be manage supply chain efficiently. This presentation discusses development of global supply chain and three pillars of sustainability and their importance.
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Global Supply Chain Networks for Sustainibility
Transcript

Introduction

Global Supply Chain Networks for SustainibilityIntroductionSustainability of supply chainsGlobalization Risks related to cross-boundary networks

Developing Sustainable Global Supply Chains

Identify Motivators Some factors drive you to build a global supply chain. There must be an objective which needs to be fulfilled and this objective must align with four key areas:

Customers: access, attraction , retention, reputation, brandCompliance: regulation , social pressureCosts: efficiency, productivity, risk managementCompetitive Advantage

Assess levers: The 7Ps framework of levers Internal leversExternal leversPurposePolicyPeople Peers PartnersPublic policyPower Seven key levers which can facilitate or inhibit our efforts to build a sustainable supply chain. We need to evaluate these levers to determine if we have influence over them and how to work with them.

Improving Practices Environmental Aspect Natural Disasters 60% Supply Chain Disruptions

Balance between efficiency and Risk Post Disaster RecoveryNegotiation between buyer and supplier Governments Role

MeasuresEnvironmental Aspect

Logistics Inbound Outbound Reverse

Clean Production Closed Loop Manufacturing Substitutabilitythe obligations of businessmen to pursue those policies, to make those decisions, or to follow those lines of action which are desirable in terms of the objectives and values of our society. Triple Bottom Line concept of CSREconomic Responsibility Social Responsibility Environmental ResponsibilityProfitPeoplePlanetCORPORATE SOCIAL RESPONSIBILITY Explosion at Union Carbide Bhopal, India in 1984 cause thousands of deaths and rendered many people disabled due to leakage of MIC gas.Nike factories in Asia were criticized for employing young children in extremely poor working conditions.

SOME NOTABLE CASES OF CORPORATE IRRESPONSIBILITYSelf- realization of social responsibility by the corporate world Establish and enforce a corporate Code of Conduct for every member in the supply chain Compliance with laws and rights regarding working conditions for laborsDiscretionary Philanthropy Getting involved in appropriate social programsSUGGESTIONS TO ENHANCE CSR Trade policiesCan add to the cost of inputsUnfavorable market access conditions would put assemblers in a position of relative disadvantage when distributing final products to consumers Logistics also have economic impact: Route optimization to reduce transportation cost Information sharing: Economy will grow by reducing the risk Trade-off between economic and environmental issues Economic issuesUnilever Case StudyEngaging, Consulting And Collaborating With Others

Sharing, Learning And Improving

Seeing The Big Picture

Creating Consistent Expectations


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