Posted: August 5th, 2013
Supply Chain Management
Discuss how the following corporations have responded to prevention of environmental degradation, rising energy or material costs and internationalization of supply chains: GlaxoSmithkline, Stagecoach, InterfaceFLOR.
A supply chain refers to the system of people, activities, organizations, resources and information involved transferring a product from the supplier to the consumer or customer. Transformation of raw materials into products is done through the activities in the supply chain. The end is then moved to the customer (Sce magazine, 2008). Supply chains involve the management of activities that would be involved in creating a product and transferring the product to the end consumer through various channels. Each link in a supply chain interacts with the immediate link or the previous link (Mangan, p.7). Every step taken in each link affects the whole link or the link next to it. A green supply chain refers to the process by which inputs that are environmentally friendly are used and transformed in such a way that their by-products may be recycled or improved within that environment. It also involves environmental protection in the activities undertaken when transferring the product from the supplier to the consumer. (Clawson, p.2)
It is a challenge for companies and organizations to maintain a green supply chain. (Australian clean tech, p. 2). They have a hard time ensuring that the supply chains maintain all regulations and laws in fighting environmental degradation or in keeping green. The objective of maintaining this chain is cost reduction, where environmental maintenance is also observed. With the growth and development of global trade, most companies are concerned with the total costs (Gitsham 2011, p. 12).
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