Global Supply Chain

Networks for Sustainibility

Introduction
Sustainability of supply
chains
Globalization
Risks related to crossboundary networks

Developing Sustainable
Global Supply Chains

Identify Motivators
Some factors drive you to build a global supply chain.
There must be an objective which needs to be fulfilled
and this objective must align with four key areas:

1. Customers: access, attraction ,

retention, reputation, brand
2. Compliance: regulation , social
pressure
3. Costs: efficiency, productivity, risk
management
4. Competitive Advantage

Assess levers: The 7Ps framework of

levers

Internal
levers

1. Purpose
2. Policy
3. People

External
levers

1. Peers
2. Partners
3. Public
policy
4. Power
Seven key levers which can facilitate or inhibit our
efforts to build a sustainable supply chain. We need
to evaluate these levers to determine if we have
influence over them and how to work with them .

Improving Practices

Environmental Aspect
Natural Disasters 60% Supply Chain
Disruptions

Balance between efficiency and RiskMeasure

Post Disaster Recovery

Negotiation between buyer and supplier

Governments Role

Environmental Aspect
Logistics

Inbound
Outbound
Reverse
Clean
Production
Closed
Loop
Manufacturi
ng

Substitutabi
lity

CORPORATE SOCIAL
RESPONSIBILITY
the obligations of businessmen to pursue those policies, to make
those decisions, or to follow those lines of action which are

desirable in terms of the objectives and values of our society.

Triple Bottom Line concept of CSR
Economic
Responsibili
ty

Profit

Social
Responsibil
ity

People

Environmenta
l
Responsibilit
y
Planet

SOME NOTABLE CASES OF

CORPORATE
IRRESPONSIBILITY
Explosion at Union Carbide Bhopal, India in
1984 cause thousands of deaths and rendered
many people disabled due to leakage of MIC
gas.
Nike factories in Asia were criticized for
employing young children in extremely poor

SUGGESTIONS TO
ENHANCE CSR
Self- realization of social responsibility by the
corporate world
Establish and enforce a corporate Code of
Conduct for every member in the supply
chain
Compliance with laws and rights regarding
working conditions for labors
Discretionary Philanthropy
Getting involved in appropriate social

Economic issues
Trade policies

Can add to the cost of

inputs
Unfavorable market access
conditions would put
assemblers in a position of
relative disadvantage when
distributing final products to
consumers

Logistics also have economic impact: Route

optimization to reduce transportation cost

Information sharing: Economy will grow by reducing

the risk

Trade-off between economic and

environmental issues

Unilever Case Study

Seeing The Big Picture
Creating Consistent
Expectations
Engaging, Consulting And
Collaborating With Others
Sharing, Learning And Improving