Use Technology to Identify Problems and Opportunities. But, this is not always a quick-fix answer. This is where technology can come to the rescue. Your suppliers may handle delivery needs for you, but it’s important to ask your suppliers about their sustainability practices. As with any transformation, the first step to a more sustainable supply chain is to gain an intimate understanding of the current environment. Although it is often identified as being one of the most difficult aspects of a business to make sustainable, it is one of the … The average UK office worker uses 45 pieces of paper per day, two thirds of which is considered waste. Better still, invest in mapping software that will allow you to get a very detailed picture of every aspect of your supply chain. It will also reduce costs and improve efficiencies, creating a better workplace for your employees and a more sustainable environment for the world. Ideally, they will base their goals on scientists’ recommendations for bringing various types of sustainability impact under thresholds that will maintain or improve human well-being. Furthermore, the people who keep your supply chain moving are the ones with visibility of the detail. Being sustainable is no longer a case of being cutting edge; sustainability is now a given, so if you haven’t considered sustainability in your business and your supply chain, you may be vastly behind your competitors. By making positive changes such as these to the structure of your distribution, your business can help significantly improve the efficiency and sustainability of its distribution. US and China getting on board with sustainability commitments, 50% of company waste comes from paper alone, 70% of CPOs plan to invest in further technology, own practices in place where they manage their own waste, outsourcing to a print management company, Reevaluating your business’s printing habits, 3 Key Benefits of a Print Audit and Why You Need One Now, 6 Benefits of Print Management and How You Can Achieve Them, 7 Proven Print Audit Checklist Benefits That Will Improve Your Business, A Guide to In-House Printing vs Outsourced Printing, 5 Cost Control Techniques to Help Your Procurement Strategy, 7 Reasons to Outsource Your Print Management, How Supply Chain Management Can Reduce Risks in Procurement. Honestly evaluate your company’s current and projected social impact. Always look ahead. Measurement and Reporting Framework. Since then, at an exponential rate, companies have been focusing on ways to reduce harmful emissions, minimise waste, and make their facilities more energy-efficient. After you have benchmarked your supply chain for sustainability, you will have the intelligence you need to set goals and decide upon the metrics to employ for progress monitoring. If your business does not yet hold this accreditation, it is an important certification to move towards; having this policy and commitment in place can increase trust in your business from consumers and fellow businesses alike. Find out by downloading our guide. In fact, over 70% of CPOs plan to invest in further technology in the upcoming year, but only 40% of companies have a clear digital strategy. Email: [email protected]Phone: 04 1741 7307. Wasted orders due to poor quality or faultiness equal wasted time, money, and resources. The endeavour should be one of continuous improvement, as best practices, technology and renewable resources are constantly evolving. Since the breakthrough of the US and China getting on board with sustainability commitments, it would be difficult for businesses to ignore their own environmental impact or to not consider the sustainability of their practices going forward. Editor’s Note: This post was originally published on October 06, 2020, under the title “6 Steps to Sustainable Supply Chain Reality” on Benchmarking Success’s website. If you're a company that does have printing needs, then it's time to identify the volume of printed material your business requires, in order to better lower the volume of wasted print. We also studied a representative set of each MNC’s suppliers—a total of nine top-tier and 22 lower-tier suppliers, based variously in Mexico, China, Ta… 3. Connect audits and assessments to suppliers. By managing and improving environmental, social and economic performance throughout supply chains, companies can conserve resources, optimize processes, uncover product innovations, save costs, increase productivity and promote corporate values. But as well as being a responsibility, sustainability improvement carries benefits which should serve as positive motivation, given that today’s markets are not only sensitive to resource depletion, but are also increasingly competitive. How to Create a More Sustainable Supply Chain Realistically project customer demand. However, with the rise of technology and the constant evolution of smart programmes, your business can benefit enormously. You should, however, keep in mind that in order to truly lessen our businesses’ impact on the environment, ultimately we must take a broad, holistic perspective of our supply chain — it is not a siloed problem. Every supply chain is unique, so it’s hard to prescribe exactly how sustainability should be tackled. Prioritising sustainability can boost your branding efforts, protect against reputational damage and ultimately lead to more sales and increased revenue. Find out by downloading our guide, The Four Stages of Procurement Savings. All of the suppliers you work with should have their own practices in place where they manage their own waste – and manage the sustainability of their own supply chains. hbspt.cta._relativeUrls=true;hbspt.cta.load(4003208, '734ce1ec-9e22-4c7e-b3ec-ca3ec6d3bab5', {}); Tags: Supply chains are part of your operation, environmentally, socially, and economically. Led by multinational corporations, the trend … Countless reasons to adopt a more sustainable supply chain exist, from taking advantage of government benefits to committing to a mission that speaks to your customers. To ensure sustainability and quality, check that your supplier is ISO14001 (International Organization for Standardization) accredited; this accreditation is a signal that a supplier holds an environmental commitment and follows the most sustainable practices. By working closely with your suppliers and outlining your specifications, you should be able to ensure that products arrive to you right, the first time round. hot-topics. Benchmarks move, goals will need extending, metrics require adjustment, training will need to be updated occasionally, and fresh opportunities will appear as your people improve in vigilance and understanding of the issues. The concept of sustainable development can be attributed to the 1987 Brundtland Report, which described it as ‘‘development that meets the needs of the present without compromising the ability of future generations to meet their needs’’. Since 50% of company waste comes from paper alone, it’s often the place to start. If you are currently dependent for over 30% of your income from one major source, this could be a time when you need to rapidly reinvent yourself. Here at Anthesis we can help you understand where the risks and opportunities are in your supply chains using our proven methods and tools, as well as helping to develop and deliver a prioritised action programme. It is tempting to view prioritising sustainable practices as choosing the planet over profit. Of course, the main obstacle to implementing these changes is the associated cost. Link supply-chain sustainability goals to the global sustainability agenda Once companies know where their supply-chain issues are, they can set goals for lessening the resulting impact. Such technology, for example, can help organisations identify the fastest, cheapest, and most sustainable shipping routes. Navigant, a Guidehouse company, believes that sustainability can be a game-changer in procurement policies. Paper still makes up a significant portion of landfill waste, even though it’s one of the easiest products to recycle and reuse. Some, pointing to the falling costs of wind and solar energy, are demanding that their energy provider supply clean, renewably-sourced electricity. Organizational leaders understand the unique challenges of supply chain management, and the specific ways they can make improvements to it. Outcomes will not always be as expected and solutions will sometimes need to be tweaked. Then highlight any points where you see potential for improved sustainability. Sustainability should not be considered as a “nice-to-have” for any company that plans to be around for a while. In fact, data from a recent survey by Green Research found that 81% of businesses consider asking a supplier about their sustainability practices to be of necessary importance; this is a question that should always be factored into supplier contract negotiations. So how to develop a sustainability strategy for your supply chain? Furthermore, as many as 52% of businesses have no idea how much they are spending on printing, routinely overspending on their budgets by £10,000 per year. How can you cut costs, whilst utilising the best suppliers at the procurement stage? If you want your business to have long-term success, you have to create sustainable supply chains. Tackling certain aspects alone is nearly impossible and … There are numerous ways to overcome distribution efficiency problems. Develop some form of a sustainability plan for your business. With the supply of raw materials dwindling, it makes good economic sense for manufacturers to take discarded materials and repurpose them. The following steps can help you build a sustainable supply chain. 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