How to develop a more Sustainable Supply Chain?
The one thing trending about supply chain is sustainable supply chain management. Balancing costs and streamlining business processes are essential to creating resilient and efficient logistics and supply chain management. The Supply chain base on green strategies became an emerging initiative to optimize the global supply chain better in recent years. Creating a better supply chain isn’t just the better thing to do; it is also financially more rewarding for the business.
What is sustainable supply chain management? How to create it?
Sustainable supply chain management is the implementation of eco-friendly methods into the traditional supply chain to minimize carbon footprints and waste while maximizing efficiency. A conventional supply chain may be modified into green by including the “environment” factor in each level of the supply chain – from product development to production to distribution to end customers, which may be achieved by developing applicable policies.
For instance, in packaging materials, a number of the packaging are reached with boxes made from plastic. Businesses should work on minimizing using plastic and transferring to packaging crafted from sustainable materials to assist in the reduction of plastic in addition to raising green materials. Another way for brand owners of turning your supply chain sustainable may be to have a fantastic return policy. You can refurbish and recycle the products which have been returned to assist in waste reduction additionally.
What are the benefits of a Sustainable Supply Chain?
Apart from impacting the surroundings definitely, a supply chain adopting sustainable practices has lots of advantages for a business:
- Cost Reduction
- Building Brand Goodwill and Gaining Competitive Advantage
- Sustainability of Resources
As the global pace of international investments, trade, and supply chain is slowing down, a rapid shift in manufacturing industry is seen from global to local facilities, which further helps ease production and delivery of the same. When resorting to local facilities helps us lower the cost of raw materials as the cost of fuel is reduced substantially. Purchasing raw materials locally boosts the local economy as well.
To conform to the supply chain strategy of “global demand and localized service”, USI has 27 manufacturing and service sites in 10 countries and regions worldwide. The global landscape enables us to fully meet the needs of European and American customers and have production bases in major low-cost manufacturing regions worldwide, further integrating the global supply chain to enter new end markets.
USI’s Implementation for a more sustainable supply chain
USI fully understands that the right direction of procurement is the key to the right impact in the supply chain. In order to pursue sustainable growth while meeting the needs of our customers, in the Company's daily procurement operations, in addition to cost and quality considerations, we also evaluate the overall sustainable value generated by the supply chain. Meanwhile, USI has actually developed supply chain strategies for developing stable partnerships with suppliers:
- Diversified Sources
- Quality First
- Strategic Cooperation
- Sustainable Sourcing
- Responsible Minerals Sourcing
Based on this strategy, USI has implemented a number of projects that focus on supply chain diversity, sustainable procurement, and packaging savings.
- Implementation in Warehousing Reuse
- Implementation in Packaging Recycling
- Implementation in purchasing
The Pressing Needs of the sustainable supply chain
The need for sustainable and responsible business practices becomes more important as our world becomes increasingly connected. USI has realized that sustainability is essential to the long-term success of our business. We are therefore committed to continuously improving our environmental and social performance and aim to reduce our ecological footprint, increase resource efficiency, and promote sustainable development.
Through continuous practical actions and management in supply chain, USI has devoted ourselves to reducing environmental impact and supporting the social and economic development of the communities in which we operate. We strive to develop and maintain strong relationships with our suppliers within the entire industry chain to achieve mutual prosperity together. It based on mutual trust and respect while believing that by working together, we can positively impact society and create a brighter future for us all.
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