In the endless pursuit of “Greening the Supply Chain,” a company should focus on using its own sustainable behavior to measure their suppliers.
Walmart is among the leaders in maintaining standards of its supply chain inputs and its outputs. Some time ago, completing a supplier questionnaire became Walmart policy. The information from it generated a unique supplier report card for Walmart to use to rank the sustainability efforts of suppliers. "Greening" abounded in its supply chain.
For instance, logistics improved because of a Walmart policy change reducing some product shelf space allotments. Reactively, laundry detergent manufacturers redesigned their product in a more concentrated formula and with a more eco-footprint, too. Without losing revenue, the detergent manufacturers made a sustainable business decision and “did the right thing” for the environment and their customer’s supply chain. Much of the benefit overflowed into the open market thanks to the sustainable suppliers.
When we politely insist on expectations of sustainability from our suppliers, we help the suppliers “do the right thing.” Collaborative change is what’s needed for us to turn the tide of the long-term consequences we face from years of poor practices.
Sustainable core business decisions develop from an understanding of basic applicable philosophies of sustainability. “Greening” missions embody these precepts in assessing supply chain inputs and outputs. They are:
Now let’s start greening…one link at a time.