Many businesses have implemented programs to reveal the procurement, logistical and manufacturing processes used in their supply chains. As concerns over sustainability, raw material use and green strategies have become of more importance to consumers, companies are making their strategies known to the public and making a strong impression with purchasers.
Businesses increasingly publicize green measures
Companies like GlaxoSmithKline, MITIE and Eurostar recently joined an initiative to become more transparent and make their processes known to suppliers and consumers. They will be reporting and measuring energy use, which could cause some of these companies to change their strategies and implement more sustainable tactics.
Not only will this help businesses cut energy use and become more focused on renewable resources, it will also allow companies to check their suppliers' backgrounds and determine if the processes they use are in compliance with a hiring firm's own standards and initiatives in regard to waste creation, water use and green energy strategies. Organizations that aren't satisfied with the progress a supplier has made switching to green strategies can choose to request their partners employ more sustainable programs or renewable energy use or make the decision to change suppliers.
While publicizing the data could be beneficial for those who are looking for a good deal on their sourcing, it can also greatly benefit the firms making their supply chains visible to purchasers. Companies that willingly submit such data can prove they have no unethical, undesirable or illegal practices within their supply chains. This can lead more purchasers to view them as strong business partners and employ their services, boosting profits and helping both parties establish stronger relationships that will improve their processes.