Starting at the Source: Sustainability in Supply Chains

There is no issue more compelling in our times than that of sustainability.

This applies to supply chains directly.  Companies are increasingly called upon to respond to consumer demand by examining every corner of their operation, from paper and utility consumption to the supply chain.  Not doing that can lead to courting disapproval in the market and that disapproval can be a public relations nightmare.

This post addresses starting at the source:  sustainability in supply chains. Let’s read more about this increasingly pressing need and how it can be built into your supply chain.

Reconciling mission with reality

Another factor in the growing rush to respond to consumers seeking sustainability is corporate mission statements.  Many companies are building sustainability into these. So reconciling mission with reality is crucial.

When consumers note that your walk doesn’t mesh with your talk, there’s trouble ahead.

The procurement process and supplier sustainability within that process is a key area which can serve the need for integrity in the mission.  That’s something today’s consumer actively seeks out and genuinely appreciates.

Making sustainability a priority in your strategic sourcing game adds value, undergirding corporate mission with real world action that gives you an edge in the market.  All too often, companies pay lip service but fail when it comes to their purchasing game.

A competent procurement leader knows this and acts, to create an effective procurement process which delivers dividends by enhancing public profile.

Reducing impact

Strategic sourcing is about much more than the cost of the items being purchased.  Where were these items made? Who made them? What are these items made of? These are all questions which should be firmly entrenched in procurement’s practices to ensure that you’re meeting the contemporary benchmarks for sustainability.

Reducing the impact of your purchasing means looking at the environmental costs of materials, packaging and production.  But it doesn’t end there. You also need to know what the human cost of your production is. Are your products ethically produced and are workers treated with dignity and fairness?  Those are key questions you need to answer.

Innovation in the area of sustainability is burgeoning, so shoring up the integrity of your supply chain in this regard is becoming easier.  Products are now being made in more energy-efficient ways, with reusable and recyclable materials.

That’s why your supply chain holds the key to reducing your carbon footprint and bringing your operations in line with your mission.

Supply chains – key opportunities

Supply chains present key opportunities to create a more sustainable commercial presence.  It’s at the supply chain level that 80% of greenhouse gases are produced and 90% of environmental impacts reside.  It’s therefore imperative that sustainability in the supply chain be actively pursued, inviting innovation through collaboration with your vendors.

CenterPoint Group leverages the power of numbers, pooling the resources of our members to create the muscle they need to reduce costs and streamline their procurement processes.

CenterPoint can help you create a more sustainable supply chain.  While you look great, the planet gets a break.

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source http://centerpointgroup.com/starting-at-the-source-sustainability-in-supply-chains/