Description
supply chain management and lists the benefits of green SCM. It also answers the question why there is a need for green SCM. It also lists down the areas where green SCM can be applied.
Green Supply Chain Management
What is Supply Chain management?
?
Supply chain management (SCM) is the oversight of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer.
What Is Green Supply Chain Management
“Integrating environment thinking into supply chain management, including product design, material sourcing and selection, manufacturing processes, delivery of the final product to the consumers, and end-of-life management of the product after its useful life".
Benefits Of Green SCM
Improvements By Green SCM
?
Improves operations by employing an environmental solution Improves Agility: Green supply chain management help mitigate risks and speed innovations Increases Adaptability: Green supply chain analysis often leads to innovative processes and continuous improvements Promotes Alignment: involves negotiating policies with suppliers and customers, which results in better alignment of business processes and principles.
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?
?
Success stories
Texas Instruments: saves 8 million dollars every year by reducing its transit packaging budget for its semiconductor business through source reduction recycling and use of reusable packaging systems. Commonwealth Edison: Produced $50 million in financial benefits from managing materials and equipments with Life Cycle Management Approach.
Pepsi/Coke: Saved $44 million by switching from corrugated to reusable plastic shipping containers for 1litre and 20 ounce bottles ,conserving 196 million pounds of corrugated material.
Dow Corning: Saved $2.3 million by using reconditioned steel steel drums in 1995.Also conserved 7.8 million pounds of steels.
Pollution Prevention Hierarchy
Why there is need for Green SCM?
?
? ?
?
?
?
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Increasing Environmental Constraints due to Global Warming Corporate Social Responsibility Beneficial for Organization Eco-friendly Increasing Environmental awareness in stakeholders Evolving Consumer and Client Demand Response to increasing fuel prices
Areas to Green the Supply Chain
? ? ? ? ? ?
Designing Of Products Production Material Purchase Packaging Warehousing Logistics & Reverse Logistics
Designing Of Products
?
An eco friendly design approach leads
1] Less material usage
2] Minimum Operations
3] Proper use of Computational fluid dynamics tools can used to reduce the exhaust emissions at designing level
Purchase
?
Implementing Green purchasing policies Technical support to vendors to reduce the emissions Guidelines for usage of less hazardous materials
?
?
Production
?
? ? ?
Achieving Economies of scale in production Lean manufacturing approach Fuel efficient tools and machines Selecting less carbon intensive energy sources
Packaging
? ? ? ? ? ? ?
Mercury free Non toxic (minimize toxicity) PVC or DEHP free Recyclability Hazardous waste considerations Durability/Reusability Energy efficient
Logistics
?
Optimized Truck loads
Direct shipment to the customer(Dell model)
?
?
Routing of distribution
Summary
Other Initiatives
?
?
?
Eco labeling: Labeling that identifies products that meet certain environmental criteria LEED (Leadership in Energy and Environmental Design): Design and Construction practices that significantly reduces or eliminate negative impact of building on environment Green sourcing: Sustainable procurement
Intention to become “Carbon Neutral”
?
? ? ? ? ?
Blackwell Publishing Dell DHL TESCO Travelocity Marks and Spencer
doc_136790078.ppt
supply chain management and lists the benefits of green SCM. It also answers the question why there is a need for green SCM. It also lists down the areas where green SCM can be applied.
Green Supply Chain Management
What is Supply Chain management?
?
Supply chain management (SCM) is the oversight of materials, information, and finances as they move in a process from supplier to manufacturer to wholesaler to retailer to consumer.
What Is Green Supply Chain Management
“Integrating environment thinking into supply chain management, including product design, material sourcing and selection, manufacturing processes, delivery of the final product to the consumers, and end-of-life management of the product after its useful life".
Benefits Of Green SCM
Improvements By Green SCM
?
Improves operations by employing an environmental solution Improves Agility: Green supply chain management help mitigate risks and speed innovations Increases Adaptability: Green supply chain analysis often leads to innovative processes and continuous improvements Promotes Alignment: involves negotiating policies with suppliers and customers, which results in better alignment of business processes and principles.
?
?
?
Success stories
Texas Instruments: saves 8 million dollars every year by reducing its transit packaging budget for its semiconductor business through source reduction recycling and use of reusable packaging systems. Commonwealth Edison: Produced $50 million in financial benefits from managing materials and equipments with Life Cycle Management Approach.
Pepsi/Coke: Saved $44 million by switching from corrugated to reusable plastic shipping containers for 1litre and 20 ounce bottles ,conserving 196 million pounds of corrugated material.
Dow Corning: Saved $2.3 million by using reconditioned steel steel drums in 1995.Also conserved 7.8 million pounds of steels.
Pollution Prevention Hierarchy
Why there is need for Green SCM?
?
? ?
?
?
?
?
Increasing Environmental Constraints due to Global Warming Corporate Social Responsibility Beneficial for Organization Eco-friendly Increasing Environmental awareness in stakeholders Evolving Consumer and Client Demand Response to increasing fuel prices
Areas to Green the Supply Chain
? ? ? ? ? ?
Designing Of Products Production Material Purchase Packaging Warehousing Logistics & Reverse Logistics
Designing Of Products
?
An eco friendly design approach leads
1] Less material usage
2] Minimum Operations
3] Proper use of Computational fluid dynamics tools can used to reduce the exhaust emissions at designing level
Purchase
?
Implementing Green purchasing policies Technical support to vendors to reduce the emissions Guidelines for usage of less hazardous materials
?
?
Production
?
? ? ?
Achieving Economies of scale in production Lean manufacturing approach Fuel efficient tools and machines Selecting less carbon intensive energy sources
Packaging
? ? ? ? ? ? ?
Mercury free Non toxic (minimize toxicity) PVC or DEHP free Recyclability Hazardous waste considerations Durability/Reusability Energy efficient
Logistics
?
Optimized Truck loads
Direct shipment to the customer(Dell model)
?
?
Routing of distribution
Summary
Other Initiatives
?
?
?
Eco labeling: Labeling that identifies products that meet certain environmental criteria LEED (Leadership in Energy and Environmental Design): Design and Construction practices that significantly reduces or eliminate negative impact of building on environment Green sourcing: Sustainable procurement
Intention to become “Carbon Neutral”
?
? ? ? ? ?
Blackwell Publishing Dell DHL TESCO Travelocity Marks and Spencer
doc_136790078.ppt