The expectations of stakeholder groups for supply chain sustainability strategy have transformed in the last 10 years, with increased demands for transparency and action in sustainability performance. While some supply chains convert sustainability into a competitive advantage, others struggle to meet core stakeholder expectations. Chief supply chain officers (CSCOs) can position the supply chain to respond to sustainability trends.
Opportunities and Challenges in Supply Chain Sustainability
Supply chain sustainability delivers business value. It reduces costs, spurs productivity and in some cases drives returns. There are also regulatory and compliance reasons to focus on supply chain sustainability. The supply chain organisation is well-positioned to help the enterprise balance its profitability and purpose goals as it shifts to supply chain sustainability. The CSCO then must be ready to advise his or her C-suite colleagues, the board and investor relations leaders on how supply chain sustainability addresses ESG (environmental, social, governance) risks and drives competitive advantage.
But 30% of supply chain leaders today say they have no or low-maturity supply chain sustainability goals. Common obstacles when building a sustainable supply chain include limited resources, conflicting priorities, lack of understanding of sustainability concepts and low visibility on early wins.
The business case for supply chain sustainability is clear. Increase the maturity of your supply chain sustainability initiatives by following and modeling leaders: Global Green is a partner to hundreds of winning supply chain organisations and has studied and documented in detail their practices for reducing waste in operations, improving energy consumption and managing supplier relationships for responsible sourcing. We also can guide you in assessing your sustainability performance and prioritising the right supply chain sustainability investments.
Partnering with Global Green means local know-how backed by international experience.
Businesses don't go green or commit to sustainability as a result of external pressure or because a new CEO decides to include sustainability in an annual report. Sustainability needs to be ingrained deeply into organizations.
Chief Supply Chain Officer
Consumer Goods Industry