Green Supply Chain management

Topics: Supply chain management, Sustainability, Supply chain Pages: 57 (10923 words) Published: October 3, 2013
Green Supply Chain Management,
Marketing Tool or Revolution?

Françoise van den Broek

Published on the occasion of the inaugural speech
related to the lectureship Logistics & Sustainability

Green Supply Chain Management,
Marketing Tool or Revolution?

Françoise van den Broek

Published on the occasion of the inaugural speech
related to the lectureship Logistics & Sustainability
F.N. van den Broek-Serlé, MSc, CEMS MIM, MTL
Breda | Zoetermeer, the Netherlands, January 2010

This report has been financed by NEA Transport research and training Ltd. and NHTV Breda University of Applied Sciences, Academy for Urban Development, Logistics & Mobility
Quoting of figures and/or text is permitted only when the source is clearly mentioned.

Contents
3

1 | Introduction

5

2 | The evolution of supply chain management and trends

influencing future concepts
2.1 Introduction
2.2 The ‘dark side’ of globalisation
2.3 Cost, service level and sustainability
2.4 Sustainability changes shape over time
2.5 Sustainability will become one of the prime drivers of the supply chain agenda 2.6 Green issues increasingly important but not yet core part of corporate strategy

11

3 | Why consider going ‘green’?
3.1 Introduction
3.2 Regulations

3.2.1Dutch government

3.2.2European Union

3.2.3China’s regulations push market developments

3.2.4Abu Dhabi and Dubai are taking the energy lead

3.3 Implementing green efforts at an early stage
3.4 Hurdles in the process of going green
3.5 Level of awareness is rising
3.6 Revenue opportunities: new product development and green marketing

or should we call it ‘green washing’?

3.7 Does ‘going green’ generate turnover?
3.8 Rewards of going green are both tangible and intangible 3.9 Five stages towards sustainability

23

4 | How companies deal with sustainability within the supply chain 4.1 Introduction
4.2 Isolated approaches still dominate
4.3 ‘Greening’ gains importance in all sectors
4.4 Dutch companies accepting the green challenge

31

4.4.1Manufacturers

4.4.2Transport and logistics

5 | Impact of sustainability on the logistics programs at the

NHTV Academy for Urban Development, Logistics & Mobility
5.1 Introduction
5.2 How will the lectureship contribute to the logistics programs

of NHTV Academy for Urban Development, Logistics & Mobility?

33

6 | Conclusions

36

References

1|

Introduction
Whatever magazine you open nowadays, you cannot miss the articles on sustainability, be it editorials in popular magazines or professional journals. Today’s economic, social and regulatory dynamics are putting real pressures on companies to be both lean and green in their product sourcing, logistics, distribution and operational practices.

If you think your business is too small or too service-based to benefit from going green, or you’re waiting for the hype about green and sustainability to die down, then you’re missing an opportunity to chart an upward course for your company. The green movement has been transformed from a cause to save our environment into a fully-fledged, vetted economy.

Environmental responsibility has moved from a trend to a business imperative, it helps companies to achieve their business goals. Over the past few years sustainability has steadily been moving from the periphery to the heart of business. Companies are adopting sustainability practices for a host of reasons depending on the industries and geographies in which they operate.

Three dimensions of sustainability

Environmental
sustainability
Eco-system integrity
Carrying capacity
Biodiversity

Social
sustainability
Cultural identity
Empowerment
Accessibility
Stability
Equity

HUMAN WELL BEING

Economic
sustainability
Crowth
Development
Productivity

Source: IUCN 2006

Trickle-down

3

But what exactly is sustainability? How...

References: the sustainability imperative”, 2008
> Accenture, “Compatible aims: sustainability and

high performance”, 2009

corporate agenda”, 2009
and DHL, “13th Third Party Logistics Study”, 2008
> Capgemini, “2016 future supply chain”, 2008
“Green buildings – a behavioural change”, 2008
> Deloitte, “Green means go

tomorrow”, 2008
Turning mandate into opportunity”, 2008
> Ernst & Young, “Green for go

sustainability”, 2008
“Climate for a transport change”, 2008
> Eyefortransport, “7th European 3PL Market Report”,
Logistics”, 2007
> Florida International University, College of Business

marking Sustainability Practices and Trends”, 2009
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