How to design a green supply chain management model

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Information about How to design a green supply chain management model
Business & Mgmt

Published on February 12, 2014

Author: Ihobe

Source: slideshare.net

From the suppliers to the supply chain: How to design a Green Supply Chain Management Model? Jose María Fernández Alcalá Derio, 15th November 2013

Aims: 1. To present the conceptual model for the integral management of environmental aspects in the supply chain. 2. To show the commitment of the Basque Ecodesign Center and its partner companies to environmental traction in their supply chains. 3. To show practical cases of partner companies of the Basque Ecodesign Center. 4. To present the specific lines of action and support for 2014 in the supply chain.

Key Concepts: § The concept of Extended Producer Responsibility LEGAL responsibility ECONOMIC responsibility PROPERTY PHYSICAL responsibility RESPONSIBILITY OF INFORMING § The concept of product Life-Cycle

Agents involved: Supplier engagement RAW MATERIAL MANUFACTURERS SUPPLIERS PRODUCER

Agents involved: Supplier engagement RAW MATERIAL MANUFACTURERS SUPPLIERS PRODUCER CONSUM ER DISTRIBUTORS Traction of the supply chain RETAILERS END-OF-LIFE MANAGERS

Agents involved: Supplier engagement RAW MATERIAL MANUFACTURERS Economic and cash flow SUPPLIERS PRODUCER CONSUMER DISTRIBUTORS Flow of materials and service Traction of the supply chain RETAILERS END- OF- LIFE MANAGERS

Agents involved: Supplier engagement RAW MATERIAL MANUFACTURERS Economic and cash flow SUPPLIERS PRODUCER CONSUMER DISTRIBUTORS Flow of materials and service Supply chain management Flow of Information and collaboration RETAILERS END- OF- LIFE MANAGERS

B se ct ce s R or un ea ic at le io st ns at e se D ct om or Te es C ch om tic no m co lo er gy ns ci um al se pt ct io or n In an su d ra ho nc m e e In ap du pl st ia ria nc l g Au es to oo m ds o Le an tive is d ur se e rv an ic d es fr ee M at tim er ia e ls H an ea d lth C on st C ru he ct m io ic n al se ct G or as an En d er oi gy l se rv R ic aw es m at er ia ls m m g an ki n co le Te k in dr er vi d an ls ia od nc na Fi 60% of the environment al impact during the product's life cycle is in the hands of the supply chain Fo Agents involved: 100% 80% 60% Impacts of the supply chain 40% 20% 0 Direct impacts Source.- State of GreenBusiness 2013 – GreenBiz Group Inc

Agents involved: Company A co or tit supplier su r cu sto me r er tom r s e cu pli up s tit cu pp lie or r st om er Company C Company D customer competitor Company E or r supplier c c om mp pet e it it pe com lie e mer cu to custo p e plier sup sup titor pp The complexity of the supply chain... pe custo mer supp lier er tom cus sup p lier om cu st Company B customer r r om ome su r l r plie s p sup r ie l pp u t cust c er pe om m su

Supply Chain Model: Aspects in products/ services (business) Environmental Management of the activity Hiring of corporate Services Three fields of action

Aspects in products/ services (business) Environmental Management of the activity Hiring of corporate Services Extended Producer Responsibility Life Cycle Agents involved Level of commitment Environmental traction strategy in the supply chain Green Supply Chain Management Model

Supply Chain Model: Agents involved PRODUCER RAW MATERIAL MANUFACTURERS Environmental Management of the activity Hiring of corporate Services Aspects in products/ services (business) SUPPLIERS DISTRIBUTORS RETAILERS CONSUMER END-OF-LIFE MANAGERS þ þ þ þ þ þ þ þ þ þ þ

Supply Chain Model: Level of COMMITMENT: : CONSULTATION: - REQUIREMENT: - Material blacklists - Requirements for suppliers depending on levels LOW From consultation and demands TRACTION methods: Surveys Focus groups Meetings with agents Public fora Support committees Level of commitment

Supply Chain Model: Level of COMMITMENT: : CONSULTATION: - REQUIREMENT: - Material blacklists - Requirements for suppliers depending on levels To collaboration and strengthening of relationships Surveys Focus groups Meetings with agents Public fora Support committees NEGOTIATION: INVOLVEMENT: Level of commitment - Bilateral agreements regarding goals to be achieved /price... - Access to corporate design tools - Online feedback systems - Design meetings COLLABORATION: - Joint projects - Joint ventures - Work with shared design tools STRENGTHENING: - Integration of external agents in the definition of new products/services and even in the business strategy HIGH MEDIUM LOW From consultation and demands TRACTION methods:

Supply Chain Model: Environmental Management of the activity Hiring of corporate Services Aspects in products/ services (business) Level of LOW commitment CONSULTATION: HIGH MEDIUM REQUIREMENT: NEGOTIATION: INVOLVEMENT: COLLABORATION: STRENGTHENING: þ þ þ þ þ þ þ þ þ þ þ þ

Supply Chain Model: PRODUCER Level of LOW commitment CONSULTATION: HIGH MEDIUM REQUIREMENT: NEGOTIATION: INVOLVEMENT: COLLABORATION: STRENGTHENING: RAW MATERIAL MANUFACTURERS þ þ þ þ þ þ CONSUMER END- OF-LIFE M ANAGERS SUPPLIERS DISTRIBUTORS RETAILERS þ þ þ þ þ þ þ þ þ þ þ þ þ þ* þ þ þ þ þ þ* þ* þ* þ* þ þ þ þ *.- Only for B2B cases

Supply Chain Model: Environmental traction strategy in the supply chain

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