Green Supply Chains – The First Step Towards ESG

Green Supply Chains – The First Step Towards ESG






April 28, 2021

Supply Chains have become more visible and more global, and the question about their impact on the environment and global sustainability is increasing. The authors created this practical road map to include this green dimension in supply chains.

You want to manage a Supply Chain and you care about the environment? Start by asking five fundamental questions about your supply chains and what you expect from it. This book, Green Supply Chain – An Action Manifesto, could help you in your choices, your reasoning, and your project thanks to deep analysis.

“What are the tangible and intangible benefits of moving towards a green supply chain?

  • What are the costs, both direct and indirect?
  • What influence do we have over our suppliers, their suppliers and our customers that would allow us to jointly work together and move the supply chain towards a green supply chain?
  • How will we communicate and measure our progress towards the green supply chain to the key stakeholders? How will we engage them?
  • What barriers to green supply chains can be expected and how can these be overcome?”

However, the authors’ analysis has revealed four key additional points to go further in your understanding of this new problem:

  1. “Companies are still primarily focused on environmentally conscious internal production. Any company can become totally carbon neutral by outsourcing all its production. Shifting the carbon-producing activity up or down the supply chains does nothing more than hiding the dirt under someone else’s carpet. A holistic approach to carbon management is required, and this is provided by the adoption of the Green Supply Chain methodology.
  2. Environmental pro-activism is generally assumed to come at an additional cost to the corporations. It is widely thought that going green is expensive. On the contrary, our modelling indicates that adoption of Green supply Chain methodology should result in overall cost reduction providing this is done in a thorough and logical manner.
  3. Most business models are focused on growing the volume of their current offerings of goods or services to increase profits. A change in this focus towards providing customer end outcomes will not only reduce the impact on the environment but also secure and/or increase market share whilst improving profitability.
  4. Well beyond mainstream business thinking on the environmental impact of technology, our discussions with Professor Ernst von Weizsacker (co-author of the book “Factor Four; Doubling Wealth, Halving Resource Use” 1998, with Amory & Hunter Lovins) highlight a radical concept aimed at doubling wealth, whilst concurrently halving resource consumption through innovative technological push. The implications for Green Supply Chains and for business performance more generally, are staggering. However, in the rest of this book, our conclusions are based on current technological limitations whilst noting that the “Factor 4” thinking and its associated technological push would actually multiply the benefits significantly; if brought into practice.”

If you want to launch this project, you will see that a move to Green Supply Chains is not only necessary for sound environmental management, but it is also profitable and provides sound financial management. If you feel ready to make the move, this book will provide you with a clear strategic overview and actionable plan for the implementation of Green Supply Chains.

Copyright - These concepts, frameworks and ideas are copyright of GLOBAL SUPPLY CHAIN GROUP from the time of their creation. Do NOT copy these without permission and proper attribution.


  1. These ideas and concepts will be usually expressed by our thought leaders in multiple forums - conferences, speeches, books, reports, workshops, webinars, videos and training. You may have heard us say the same thing before.
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Our Quick Notes On Five Flows Of Supply Chain Management

Part of our new “Quick Notes” series – this report answers your most pertinent questions of the topic.

  • What are the five flows of SCM?
  • Why are they important TO YOU?
  • How can you map, track, and optimise these flows to serve YOU?
  • What is the importance of difference between "Supply Chain" and "Value Chain"?
  • What are the stellar case studies of each of the five flows?


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  • Let me explain what I understood after reading the above blog-
    Green Supply chain is today’s necessity. So I think We will need to know what is the design focus of the supply chain. If the goal is to minimize costs by all means then it is likely hard to take into account any other considerations.

    But if a company is interested in incorporating other factors related to corporate social responsibility it may design a supply chain that also takes into account lowering carbon footprint, sourcing responsibly or using Leed-certified buildings.

  • Business sustainability can be maximized through the implementation and adoption of the green supply chain. Beginning the green supply chain with perception and development then continuing through all phases of product production till the final customer distribution. In this article here, you have rightly focused on efforts that must be done by every business owner to protect the environment now and for future generations.

  • Such a worthy article Vivek. Environmental protection is due to everyone living on this planet. Organizations and firms are more concerned about protecting the environment in every single way. Managing the supply chain by keeping it green is a matter of concern for all supply chain managers and business owners. I think the book you have referred is quite helpful in this regard.

  • I think a green supply chain is the best solution to minimize the contribution towards environmental pollution. The tangible and intangible benefits must carefully b analyzed, discussed and communicated with all the actors, suppliers and supply chain stakeholders. The measurement of direct and indirect cost, as you have mentioned too, is one of the most important and dominating factors in this regard.

  • Carbon is the biggest contributor to global warming. Companies must minimalize the carbon emission and bring it to the lowest possible levels. The supply chain mechanism needs to be revised by the supply chain managers so that the carbon production can be minimized. Organizations must seriously consider the concept of a green supply chain and must aspire to acquire and implement it in their respective firms or departments.

  • I rely on the fact that the materials suppliers, product manufacturers, and retailers can help increase and attain sustainability. These increased sustainability efforts are made to decrease the impact of the supply chain on future generations and business productions. Business processes business models, methods, business plans and strategies all must be modified according to the future needs and prospects so that the protection of the environment is guaranteed.

  • The impact of technology on the environment is of great concern. Probably, this is the reason the organizations are more inclined towards devising the strategies that are more optimized and environment-friendly. The concept of a green supply chain is also the extension of this notion perhaps. The world is encouraging the efforts taken by the global community of reducing the technological impacts and the idea of the green supply chain must happily be accepted by all the business experts and owners.

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