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CHAPTER 4: SUSTAINABILITY IN THE SUPPLY CHAIN (Regulation and Industry …

- - - - Moving some of common to private proper
      - Allocation
        
        rights
        
        yield
  - - - People
        
        Decisions affect people
        
        Globalization and outsourcing complicate task
        
        Supplier selection and performance criteria are important
        
        Materials must be safe and environmental responsible
        
        Walmart's objectives
        
        Improving livelihoods through the creation of productive, healthy and safe workplaces
        
        Building strong communities through access to affordable, high quality services
        
        Preventing exposure to substances that considered harmful and toxic
        
        Promoting health and wellness
      - Planet
        
        Cautious about the earth's environment
        
        Look for ways to reduce the environmental impact of operations
        
        Overarching objective is to conserve scarce resources
        
        Carbon footprint and greenhouse gas emissions
      - Profit
        
        Social and environmental sustainability do not exist without economic sustainability
        
        Staying in business requires making profit
        
        Alternate measures of success include risk profile, intellectual property, employee morale and company valuations
        
        Social accounting can supplement financial accounting to support economic sustainability
- - - - Performance evaluation
      - Labeling
      - Auditing
      - Environmental management
      - Life cycle assessment
    - - Positive public image, reduced liability
      - Good systematic approach to pollution prevention
      - Compliance with regulatory requirements, opportunities for competitive advantage
      - Reduction in the need for multiple audits
    - - Reduced materials/resouces usage
      - Reduced energy consumption
      - Lower distribution cost
      - Improved image
      - Improved process efficiency
      - Reduced waste and disposal cost
- - - - Materials
      - Quality
      - Cost
      - Processes
      - Related packaging
      - How the product will be processed when discarded
      - Logistics
  - - - Water
      - Environmental contamination
      - Energy
  - - - Getting shipment to customers promptly
      - Keep trucks busy
      - Buying inexpensive fuel