6 ways to help you apply green supply chain management practices in your business

Posted on Oct 21, 2023 at 10:10 PM

The concept of green supply chain management is modern in the age of spreading environmental awareness due to changes made by social media and mobile apps to how customers interact with brands. More people are aware of the environmental impact of their buying habits, and this has led them to search for the ingredients of each product they buy and its complete sources and the effects of the company they buy from on society and the environment.

This explains why all companies seek to highlight their positive impact on the background to remain at the forefront of competition by employing green supply chain management practices within their business strategy.

What is green supply chain management?

Green Supply Chain Management (GSCM) refers to efforts to improve the environmental and social performance of an enterprise's supply chain, i.e. the green supply chain can be defined as an integrated network of suppliers and partners working together to reduce environmental impacts.

Therefore, the first goal of the green supply chain is to reduce companies' overall impact on society and the natural environment by applying responsible environmental practices, including waste reduction, energy conservation, and recycling programs.

It should be noted that these practices also help reduce business costs by reducing energy expenditures or expenses to keep up with quality standards such as air quality or emission reduction standards.

GSCM Green Supply Chain Management offers financial benefits to companies and other benefits such as

• Increased customer satisfaction.

• Reduce work costs.

• Improve operational efficiency.

What are the most critical green supply chain management practices?

Green supply chain management practices have become increasingly important in this era following the release of United Nations statistics that the supply chain accounts for nearly 90% of global greenhouse gas emissions.

Accordingly, here are the most critical green supply chain management practices you can apply in your companies today:

• Buy from sustainable suppliers:

Supply chain management begins with choosing suppliers who employ sustainable service strategies. Their sustainability steps may be as simple as the packaging materials they use or how they transport materials, but they will have a significant impact.

For example, when you choose to buy from a supplier offering a paper replacement for plastic bags, by this step, you are contributing to the reduction of non-decomposing waste and emissions associated with plastic bags; the same applies to plastic packaging and office tools from plastic water packaging and coffee cups.

• Choose your industry materials carefully:

Many manufacturers do not know that the materials used in the industry may unexpectedly impact the company's environmental footprint. Many of them use wood in the belief that it is a naturally renewable substance, but its use increases the rate of desertification, deforestation, and the emission of harmful gases.

As another example of a commonly used material with a negative impact, we mention steel: the sustainability levels of steel vary depending on the way it is produced and the type of material used in the production process. That's why you should always look for green alternatives that you can use within your products instead of materials that hurt the environment if you want to invest in green supply chain management.

• Create less waste:

One of the most critical green supply chain management techniques is to reduce the waste your company generates during the manufacturing process by reducing the number of waste materials during production, packaging, and transportation processes.

That is, your first goal should be to dispose of as much waste as possible by making better purchasing decisions, designing more accurate packaging, developing logistics systems, and improving the efficiency of industrial operations.

• Make a recycling part of your company's green supply chain management:

Have you heard of 3R? Three words abbreviate this term: Reduce, reuse, and recycle. To minimise, reuse, and recycle, these words are a slogan of sustainability and environmental conservation and are an integral part of any green strategy in the world of work.

• Reduce packaging and plastic waste:

If the product needs packaging, find the best way to pack it with minimal plastic material, and look for alternate methods such as wrapping products with paper or cartons instead of plastic bags.

You can also use a multi-usable box instead of those only used once, and that's the following concept: reuse.

• Reuse:

Buy products that can be reused over and over instead of those that are disposed of after one use, particularly your office supplies from pens, papers, and cups.

Think about replacing conventional batteries with rechargeable batteries; this way, you won't have to replace them too much, saving money and reducing waste.

• Recycling:

Recycling is another essential part of green supply chain management because it reduces the number of non-decomposed wastes within the soil and in landfills and allows the reuse of materials to make new products, thus contributing to the prevention of waste and better utilisation of materials.

• Support environmental initiatives in your community:

Another way to employ green supply chain management practices in your business is to support environmental initiatives in your community.

For example, suppose a local organisation does an environmental initiative such as cleaning the beach or preserving green spaces, donating money, or providing support on behalf of your company. In that case, it will help protect the environment and create positive publicity for you as an environmentally friendly company.

• Create a green working environment:

One of the best green supply chain management practices is implementing recycling programs within your company's facilities. This way, employees can dispose of materials properly rather than throw them into the trash can randomly.

In conclusion, 

Green supply chain management is a complex process involving many aspects that must be considered, most notably environmental concerns. While it is difficult to apply a fully green strategy, there are steps you can take to make your supply chain more sustainable through courses in logistics and supply chain management courses in UK