“Greening” the Supply Chain
Introduction
With the current economic downturn, corporations are mandating cost cutting measure from their supply chain management. At the same time, government, advocacy groups, consumers, and, in some cases, other firms require business to meet certain environmental and social standards. This study will examine the feasibility of aligning the goals of cost reduction and green business intelligence within the supply chain.
A fashionable buzz word used in advertising and uttered in corporate offices, green denotes being environmentally friendly, but that is a vague scale in which to measure a business. Does using recycled paper in your office or changing to a longer lasting, more efficient light bulb make you green? In the business world green incorporates much more, it is an idea of sustainable development.
In 1987’s Brundtland Report (Runnalls, 2008), sustainability is defined as "development that meets the needs of the present without compromising the ability of future generations to meet their own needs." Sustainability blends two key ideas: that protecting the environment does not inhibit economic growth and economic growth must be environmentally friendly in the short term as well as in the future. Sustainability advocates financial growth through innovation, competition, and technology while encouraging companies to become champions of the environment.
Historical Perspective
Sustainability and green thinking are relatively new concepts in business. There was no thought environmental impact or renewable resources just thirty years ago from the waste of a product or the way day to day operations were conducted. Not until a few disastrous events took place did stakeholders begin to believe there was an issue. One such example was the massive oil spill on Prince Edward Sound in 1989 by the Exxon Valdez which scarred the area for future generations. There was an outcry from the public but it was the $4.87 billion...