Comments for Supply Chain Transparency http://supplychaintransparency.wordpress.com Issues in sustainability and reporting in global supply chains Thu, 21 Aug 2008 03:37:33 +0000 http://wordpress.org/?v=MU Comment on Wal-Mart to go far and wide? by Erik van Agtmaal http://supplychaintransparency.wordpress.com/2007/09/26/wal-mart-to-go-far-and-wide/#comment-17 Erik van Agtmaal Tue, 18 Dec 2007 10:56:06 +0000 http://supplychaintransparency.wordpress.com/2007/09/26/wal-mart-to-go-far-and-wide/#comment-17 A current problem is the lack of standard procedures to measure energy consumption and emissions of transport / logistics activities at the corporate level or at the supply chains level where multiple companies are involved. This results in a low transparency, the absence of verification, and as a consequence in a low confidence in initiatives and communicated projects by companies. Standard procedures would solve these problems and would facilitate: · companies to launch logistics environmental initiatives · the exchange of environmental data within supply chains · the measurement of progress · verification and audits · benchmarking opportunities · the use of reported emissions for academic research · the measurement and reporting of (GHG) emissions on country levels · the integration of standard environmental data into future transport and supply chain software applications · the establishment of emission registries and inventories · the introduction of certification and labels The Green Logistics Consultants Group have recently launched an initiative to develop these standard procedures and guidelines for measuring energy consumption and greenhouse gas and other emission from logistics activities and (total) supply chains at corporate and product levels. This project will be coordinated with other international organisations and several stakeholders are and will be involved in the development, testing and subsequent use of the standardized guidelines and procedures. The procedures will be consistent with, and complementary to the Intergovernmental Panel on Climate Change (IPCC) guidelines and the GHG protocols developed by the Word Business Council for Sustainable Development and the World Resources Institute. The Green Logistics Consultants Group, www.greenlogisticsconsultants.com, is an international collaborative network of consultants with a proven general or specific expertise in areas where companies and/or local and regional authorities can improve the socio-environmental performance of their supply chains or transport infrastructure. A current problem is the lack of standard procedures to measure energy consumption and emissions of transport / logistics activities at the corporate level or at the supply chains level where multiple companies are involved.

This results in a low transparency, the absence of verification, and as a consequence in a low confidence in initiatives and communicated projects by companies.

Standard procedures would solve these problems and would facilitate:

· companies to launch logistics environmental initiatives

· the exchange of environmental data within supply chains

· the measurement of progress

· verification and audits

· benchmarking opportunities

· the use of reported emissions for academic research

· the measurement and reporting of (GHG) emissions on country levels

· the integration of standard environmental data into future transport and supply chain software applications

· the establishment of emission registries and inventories

· the introduction of certification and labels

The Green Logistics Consultants Group have recently launched an initiative to develop these standard procedures and guidelines for measuring energy consumption and greenhouse gas and other emission from logistics activities and (total) supply chains at corporate and product levels.

This project will be coordinated with other international organisations and several stakeholders are and will be involved in the development, testing and subsequent use of the standardized guidelines and procedures.

The procedures will be consistent with, and complementary to the Intergovernmental Panel on Climate Change (IPCC) guidelines and the GHG protocols developed by the Word Business Council for Sustainable Development and the World Resources Institute.

The Green Logistics Consultants Group, http://www.greenlogisticsconsultants.com, is an international collaborative network of consultants with a proven general or specific expertise in areas where companies and/or local and regional authorities can improve the socio-environmental performance of their supply chains or transport infrastructure.

]]> Comment on Mind the GAP by salbinati http://supplychaintransparency.wordpress.com/2007/10/29/mind-the-gap/#comment-6 salbinati Wed, 14 Nov 2007 23:12:45 +0000 http://supplychaintransparency.wordpress.com/2007/10/29/mind-the-gap/#comment-6 While it is the responsibility of all the aforementioned stakeholders to ensure that contractors and sub-contractors are not committing human rights abuses, ultimately it is the GAP who needs to take the lead in this and they are the ones to be held culpable. I have been in several conversations about supply chains and quite often people rebut me with the argument that it is simply too hard to monitor what is happening in China or India or wherever it may be. True, I don't doubt the difficulty, but that is no excuse. If companies are innovative enough to deal with all the tribulations or finding the lowest cost supplier in these countries, it is also possible to find the best value supplier with clean human rights practices. Rather, I think it is a problem lies in that they don't currently have the proper incentives to seek out these firms. Fortunately the consumer demand appears to be creating such incentive. Lets hope this continues. While it is the responsibility of all the aforementioned stakeholders to ensure that contractors and sub-contractors are not committing human rights abuses, ultimately it is the GAP who needs to take the lead in this and they are the ones to be held culpable.

I have been in several conversations about supply chains and quite often people rebut me with the argument that it is simply too hard to monitor what is happening in China or India or wherever it may be. True, I don’t doubt the difficulty, but that is no excuse. If companies are innovative enough to deal with all the tribulations or finding the lowest cost supplier in these countries, it is also possible to find the best value supplier with clean human rights practices. Rather, I think it is a problem lies in that they don’t currently have the proper incentives to seek out these firms.

Fortunately the consumer demand appears to be creating such incentive. Lets hope this continues.

]]> Comment on Mind the GAP by LaborRights http://supplychaintransparency.wordpress.com/2007/10/29/mind-the-gap/#comment-5 LaborRights Tue, 30 Oct 2007 19:14:40 +0000 http://supplychaintransparency.wordpress.com/2007/10/29/mind-the-gap/#comment-5 For more information about what you can do to stop sweatshops and child labor abuses around the world, check out http://www.LaborRights.org! Plus, check out the “Labor is Not a Commodity” blog for updates on the latest news on GAP’s labor rights abuses and similar issues: http://laborrightsblog.typepad.com/ The International Labor Rights Forum and Global Exchange put out a statement on the GAP issue here: http://www.laborrights.org/press/sweatshops/GAPchildlabor_ilrfpr_102907.pdf For more information about what you can do to stop sweatshops and child labor abuses around the world, check out http://www.LaborRights.org! Plus, check out the “Labor is Not a Commodity” blog for updates on the latest news on GAP’s labor rights abuses and similar issues: http://laborrightsblog.typepad.com/

The International Labor Rights Forum and Global Exchange put out a statement on the GAP issue here: http://www.laborrights.org/press/sweatshops/GAPchildlabor_ilrfpr_102907.pdf

]]> Comment on Supply chain: trust, openness and collaboration by Piera Waibel http://supplychaintransparency.wordpress.com/2007/10/11/supply-chain-trust-openness-and-collaboration/#comment-3 Piera Waibel Mon, 22 Oct 2007 13:23:54 +0000 http://supplychaintransparency.wordpress.com/2007/10/11/supply-chain-trust-openness-and-collaboration/#comment-3 In supply chain reporting, I think the goal should be - as stated in the initial blog - to define the boundary wider and include indicators of suppliers in a sustainability report of the buyer company as well. But what I'm missing till now in GRI is, how supplier reporting can be handled in the phase until suppliers indicators can be integrated. For example: what is the economic effect in supplier regions, what standards are used, do suppliers receive technical assistance, how many (independent) audits have been made on supplier sites, what were the problems found, what were the corrective actions etc. (as for ex Nike or Adidas do in their reports). The trajectory now taken of GRI - to foster the proper reporting of suppliers - means also a little giving the responsibility further down the chain. And is also very difficult for big companies with so many suppliers. There are some good examples of companies to overcome this bridge to the long term goal mentioned at the beginning. But until then, other indicators would be helpful. Best wishes, Piera In supply chain reporting, I think the goal should be - as stated in the initial blog - to define the boundary wider and include indicators of suppliers in a sustainability report of the buyer company as well.

But what I’m missing till now in GRI is, how supplier reporting can be handled in the phase until suppliers indicators can be integrated. For example: what is the economic effect in supplier regions, what standards are used, do suppliers receive technical assistance, how many (independent) audits have been made on supplier sites, what were the problems found, what were the corrective actions etc. (as for ex Nike or Adidas do in their reports).

The trajectory now taken of GRI - to foster the proper reporting of suppliers - means also a little giving the responsibility further down the chain. And is also very difficult for big companies with so many suppliers. There are some good examples of companies to overcome this bridge to the long term goal mentioned at the beginning. But until then, other indicators would be helpful.

Best wishes,
Piera

]]> Comment on Supply chain: trust, openness and collaboration by salbinati http://supplychaintransparency.wordpress.com/2007/10/11/supply-chain-trust-openness-and-collaboration/#comment-2 salbinati Fri, 19 Oct 2007 21:41:44 +0000 http://supplychaintransparency.wordpress.com/2007/10/11/supply-chain-trust-openness-and-collaboration/#comment-2 I agree Joris, we are going to see a large increase in supply-chain reporting in the next 1-2 years, and that will be instigated by the buyer companies. There were several instances of large scale recalls in 2007, including Menu Foods, Colgate-Palomolive and Mattel (being the most infamous). The impacts of these recalls are still being felt, and I recently read that the Menu Foods recall has already cost the company $55 Million and that is only over an eight month period. Incidents such as these will no doubt bring more attention to the issue of supply-chain reporting as suppliers will be held to higher and higher levels of accountability and need to build the case for why buyers should contract from them rather than their competitors. Cheers, Stephen Albinati http://zumer.wordpress.com I agree Joris, we are going to see a large increase in supply-chain reporting in the next 1-2 years, and that will be instigated by the buyer companies.

There were several instances of large scale recalls in 2007, including Menu Foods, Colgate-Palomolive and Mattel (being the most infamous). The impacts of these recalls are still being felt, and I recently read that the Menu Foods recall has already cost the company $55 Million and that is only over an eight month period.

Incidents such as these will no doubt bring more attention to the issue of supply-chain reporting as suppliers will be held to higher and higher levels of accountability and need to build the case for why buyers should contract from them rather than their competitors.

Cheers,
Stephen Albinati
http://zumer.wordpress.com

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