Sustainable Supply and Demand Flashcards
Elements of Supply Networks: Agents
- Actors
- Suppliers, manufacturers, retailers, customers
- Building groups of companies that work together through partnerships and alliances
Elements of Supply Networks: Interaction
- Resources and activities
- Exchanges of material resources, finance, information and knowledge
Elements of Supply Networks: Autonomy
- Companies are entities that have relative autonomy to operate in sectors and markets
Elements of Supply Networks: Learning
- Exchange of knowledge and new knowledge and capabilities
Characteristics of Complex Global Supply Networks
- Adaption
- Non-linearity
- Butterfly effect
- Systemic hierarchy
- Holism
- Path dependence
Supply Chain Network: Revaloriser/Revalorisation
- Materials which can be sent to other companies or used for other purposes
- This can also require (sometimes) a separate supply chain
The Architecture of a Supply Chain Network
- How the supply network is constructed for the most efficient purpose of the company
- E.g. the architecture of the Palm Oil Supply Network involves different purposes for different materials which are sent to various places of distribution.
- This particular network presents challenges for sustainability
Non-market factors in Nth order supply chains
- Sustainability domain – product design that is easy to be revalorised – extended life
- Responsibility domain – creating stakeholder value along ‘the extended chain of responsibility’ established by all relevant stakeholders
- Ethics domain – supply chain design and decision making that reduces ethical dilemmas and misconduct e.g. sourcing from specific states
Adopting the 6 Ts for tracking environmental and social responsibility (Roth et al, 2008)
- Traceability
- Transparency
- Testability
- Time
- Trust
- Training
Supply Chain Engagement: Upstream
- Supplier engagement
Supply Chain Engagement: Downstream
- Client engagement
Supply Chain Engagement
1) Be a role model – establish your own program first
2) Multiply through the chain – extend your program to your suppliers
3) Extend your sphere of engagement - who supplies your suppliers
4) Establish a responsible sourcing program – codify your practice
5) Establish chain transparency and traceability - information
(Iwundu, 2010)
Standardisation and Certification:
Benefits of International Standardisation - Cost savings
- International standards help to optimise operations and therefore improve the bottom line
Standardisation and Certification:
Benefits of International Standardisation - Enhanced customer satisfaction
- International standards help improve quality, enhance customer satisfaction and increase sales
Standardisation and Certification: (ISO, 2016)
Benefits of International Standardisation - Access to new markets
- Help prevent trade barriers and open up global markets
