Sustainability: business, life, environment

Led by efforts by the like of Wal-Mart, many businesses are now beginning to reevaluate their traditional supply chain measures in an attempt to define the criteria that will move their organization up the business sustainability scale.  These organizations are focusing on integrating sustainability concepts directly into their purchasing processes to not only improve supply chain performance but to establish their next-generation supply chain management.

As we move forward into a new age of expanded eco awareness, the business practices of the past continue to evolve to meet shifting global expectations of the future.  This forward business sustainability progress can already be seen in the continuously evolving supply chain.  Consumer expectations are effecting the front-end while legislative pressures from all sides are creating process changes. This is all leading to a ‘leaner’ and ‘greener’ strategic sustainable supply chain.

The key to capitalizing on the forward momentum involves more that simply jumping on board.  Companies who take the wheel to set direction for their supply chain are a step ahead of the competition.  Taking a look at several traditional supply chain management activities, the key is to integrate a sustainability mindset consistently trough every process step. 

•    Supplier Qualification – ability to evaluate a supplier’s capability to meet desired financial conditions, technical specifications, quality standards, delivery requirements, and customer service levels

•    Supplier Management and Development – ability to evaluate and develop a supplier’s capabilities of providing and maintaining quality services by utilizing supplier certification processes, development programs, and continuous improvement initiatives.

•    Supplier Performance Management – ability to create and utilize processes and tools to define, analyze and monitor supplier effectiveness.

By developing the ability to create sustainability alignment and measure the performance of key supplier relationships, businesses are realizing additional value from their evolved supply chain efforts.  These leading edge organizations are developing supply chain business sustainability strategies with indicators of future success.

Whether a company is just becoming familiar with the concept of business sustainability or is a sustainability leader in the industry, there are sustainable supply chain improvements that can increase eco awareness and drive sustainable change.   Determining the criteria that will move an organization on the business sustainability scale has become the focus of the next generation of supply chain management.