Relationship building is central to an effective supply chain. As demand for products and services grows, competition for materials is certain to increase. Concepts such as natural capital, social capital and ecosystem services are becoming more important in the thinking of many organisations and should be considered as part of any view of the impact of a supply chain. As the UK and other countries around the world start to introduce policies around net-zero and other resource efficiency, and as leading businesses reflect these in their procurement practices, efficient supply chains become progressively more important.
Emissions and water consumption across value chains typically occur disproportionately within primary extraction and consumption (in the home), further emphasising the need for a proper understanding of the full chain. The launch in 2017 by the international standards organisation of ISO20400 to provide guidance on sustainable procurement further underlines the importance of effective relationships across the supply chain. A 2020 analysis by CDP (formerly the Carbon Disclosure Project) found that supply chain emissions for manufacturers are typically more than 6 times those of their internal processes, with retail supply chain emissions being 12 times those of retailers.
With over 15 years’ experience in procurement Green Knight can help you engage with your supply partners to create a sustainable and resilient supply chain.