Greening the Supply Chain

July 7, 2008 at 2:16 pm 1 comment

Y2K notwithstanding, I don’t think I’ve seen more press around one issue than I have seen about “green.” It’s become such a marketing buzz that it’s almost hard put any credence into green and sustainability claims.

As more and more companies announce sustainability targets, I can hear the materials managers’ and purchasing professionals’ collective groans at the thought of tracking one more element of vendor compliance and credibility.

So I thought Adrienne Selko’s article in Industry Week made sense. She suggests automating the process of green purchasing from the beginning:

Companies can use a rules-based eProcurement system to incorporate certain criteria into the purchasing process e.g., vendors must meet certain green standards.

Consider other areas of compliance that you want to promote through supplier selection, including choosing vendors that follow your corporate values and promote social responsibility.

OUR TAKE: Your business is probably already tracking compliance initiatives of some kind –from acknowleding gift and gratuity policies to SDN checks. Go ahead and incorporate monitoring your green initiatives within your existing compliance tracking procedures.

If you don’t have your compliance and vendor credentialing integrated yet. It may be time to do that. You don’t want to waste energy creating a “green deal” with an ineligible supplier. Keeping all these pieces of vendor information centralized helps all the departments that interact with the suppliers stay true to your goals.

Entry filed under: Ethics Policies, materials management, Sustainability, vendor compliance.

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1 Comment Add your own

  • 1. Craig Dunham  |  September 4, 2008 at 7:20 pm

    I, too, keep reading about “green” – from “how green is your polical candidate” to “greening the supply chain” and on and on and on. Truly, it’s as over-hyped as the concepts of “XML replaces EDI!” and other such industry rockers.

    Don’t get Me wrong – I’m all for keeping Mother Earth clean and healthy as more and more of us inhabit her surface… But where do we draw the line…? And what’s next? Community involvement? Support of political causes? Community reinvenstement standards? When will we just let a vendor be .. a vendor?

    Reply

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