Chapter 5 Flashcards
involves sustainable environmental processes built into conventional supply chains — from manufacturing to operations to end-of-life management — incorporating the principle of 4R1D (reduce, reuse, recycle, reclaim and
degradable).
Green supply chain management (GSCM)
encompasses a set of environmental practices that encourage improvements to the environmental practices of two or more organizations within the same supply chain”
Green supply chain management (GSCM)
is the process of incorporating environmental
concerns into supply chain management including product design, material sourcing and selection, manufacturing, delivery of final products, and the management of product’s end-of-life
Green supply chain management (GSCM)
can be achieved by considering environmental
issues at the purchasing, product design and development, production, transportation, packaging, storage, disposal, and end of product life cycle management stages.
Green supply chain management (GSCM)
is the integration of environmental concerns in the inter-organizational practices of supply chain management
Green supply chain management (GSCM)
can contribute to sustainability performance
enhancement.
Green supply chain management (GSCM)
aims to minimize or eliminate wastages including hazardous chemicals, emissions, energy, and solid waste along the supply chain such as product design, material resourcing
and selection, manufacturing process, delivery of the final product, and end-of-life management of the product
Green supply chain management (GSCM)
practices encompass a set of green activities in
procurement, manufacturing, distribution, and reverse logistics
Green supply chain management (GSCM)
Enumeration:
GREEN SUPPLY CHAIN MANAGEMENT BENEFITS
- Environmental Conservation
- Cost Savings
- Regulatory Compliance
- Innovative Advantage
- Risk Management
- Brand Value
- Competitive Edge
- Sustainability Resources
One of the primary Benefits of Green Supply Chain Management lies in the substantial reduction of carbon footprints across the Supply Chain Be it sourcing raw materials or transportation of finished goods, GSCM emphasizes strategies to minimize energy consumption and emissions
Environmental conservation
Optimized transportation routes, eco-friendly packaging, and energy-efficient manufacturing processes collectively contribute to substantially decreasing greenhouse gas emissions. This not only helps mitigate the effects of climate change but also aligns businesses with global sustainability targets.
Environmental conservation
While adopting green practices might involve an initial investment, long-term cost savings are significant. This can involve the use of energy-efficient equipment, better facility design, and the integration of renewable energy sources. Moreover, energy-efficient operations, waste reduction, and streamlined processes can lead to lower operational expenses and increased profitability over time.
Cost saving
Environmental regulations are becoming stricter across the globe. Implementing GSCM helps businesses stay compliant with these regulations, avoiding legal penalties and reputational damage that non-compliance can bring.
Regulatory compliance
Often, failing to comply with environmental regulations can result in legal and financial ramifications that can cripple a business. GSCM minimizes these risks by embedding environmentally responsible practices into every phase of the Supply Chain. From procuring sustainable materials to managing waste and emissions, GSCM reduces a company’s exposure to legal penalties and litigation.
Regulatory compliance
The adoption of GSCM often spurs innovation in eco-friendly technologies. This includes the development of cleaner energy sources, sustainable packaging materials, and efficient waste treatment methods. As businesses embrace these innovations, they contribute to a broader transition towards a circular economy, where resources are conserved, and waste is minimized.
Innovative advantage
A traditional Supply Chain can be vulnerable to disruptions caused by climate change, resource shortages, or other environmental issues. GSCM diversifies sourcing options, making the Supply Chain more resilient to such risks. This helps reduce unnecessary steps and inventory. Moreover, companies can lower energy consumption, decrease waste, and enhance overall sustainability
Risk management
Green Supply Chain Management emerges as a proactive strategy, not only for its environmental merits but also for its role in fortifying businesses against various vulnerabilities. GSCM also mitigates reputational risks by demonstrating a commitment to responsible business practices
Risk management
Consumers are increasingly conscious of a company’s environmental and ethical practices. A commitment to Green Supply Chain Management can enhance your brand’s reputation, attract eco-conscious customers, and build trust in your products or services
Brand Value
GSCM builds trust with stakeholders by showcasing a dedication to environmental responsibility. This trust extends to investors, customers, partners, and employees, fostering a sense of confidence in the company’s long-term viability
Brand Value
As Supply Chains become increasingly global, navigating the complexities of international environmental regulations can be daunting. GSCM encourages companies to rethink transportation strategies, aiming to minimize carbon emissions and energy consumption. This could involve route optimization, the use of greener modes of transport, and consolidating shipments to reduce the number of trips
Competitive Edge
Green Supply Chain Management advocates for the reduction of waste generation through improved processes and innovative technologies. Recycling and reusing materials contribute to circular Supply Chain models, where products and materials are repurposed, extending their lifespan and reducing the demand for new resources
Sustainability resources
GSCM begins with selecting suppliers and materials that align with eco-friendly principles. This involves assessing suppliers’ environmental practices, evaluating the lifecycle impact of materials, and opting for renewable or recycled resources wherever possible
Sustainability resources
According to ___________“companies ecofriendly behavior is closely related to significant stock price increases, whereas firms with eco-harmful behavior face decreases in stock price
Flammer