Supply Chain Sustainability starts with effective Training and Development

Sustainable supply chain is arguably one of the major requirements currently facing organizations. While traditional supply chain focused mainly upon value for money considerations; sustainable supply chain acts as a game changer by integrating environmental and social considerations into the supply chain process. The goal is to reduce adverse effects on health, social conditions and environment, thereby saving valuable cost for the community in general. Developing a sustainable supply chain process can have various benefits for your organization. For instance:

  • Minimize business risks
  • Provide cost savings
  • Enhance corporate image in the market place
  • Create markets for new products and service

How does training and development lead to a more sustainable supply chain?

However, achieving a sustainable supply chain requires a strong commitment and dedication from the leaders to implement a strategy. Furthermore, the success of the strategy will require the collaboration of the employees who will sustain its implementation. This can be initiated through a training and development program in the form of instructor-led or modern learning solution, which will equip the employees with the required skills and knowledge to be successful. Through scenario-based training videos at Supply Chain Academy, employees have the opportunity not only to learn those skills but also to apply them directly in their jobs. The application based training acts like a preparation by emphasizing on real work scenario and simulation which in turn enable staffs to use those skills in their daily jobs.

Such courses allow them to learn the core requirements of the subject and therefore they know exactly how to react in different situations. For example: the advance course of sustainability in the supply chain at Supply Chain Academy gives an in-depth overview about this topic. Hence, employees know what to expect and how to deal with certain situations. The scenario-based videos are relatable which makes it easier for them to retain what they are learning and apply them. The two advance courses provided are as follows:

  • Sustainability in the Supply Chain – Part 1:

See the specific steps involved in improving sustainability in your supply chain. Respect for human rights, labor standards, health and safety, environmental impact, and business ethics are becoming ever more important in today’s business climate. Standards in these areas are ever increasing. This course, together with Part 2 provides a step-by-step guide to implementing a sustainability program, and linking it to everyday business activities.

  • Sustainability in the Supply Chain – Part 2:

Part 2 of 2 details the remaining steps in implementing a sustainability program. It covers how to conduct a supplier evaluation in practical detail. At the end of the course, learners will be able to use supplier questionnaires, site visits, and will know when to use third party audits to ensure suppliers are conducting business in a sustainable way. Learners will know that the objective is to help suppliers improve in addition to limiting their own risk, and will be taken through a detailed example of such work.

A few examples of Sustainable Supply Chain Projects which have already been implemented:

Numerous organizations are joining forces with their suppliers by adopting initiatives to reduce energy costs, consumption, social and environmental compliance costs. Some examples are:

  • The Nestlé Supplier Code covers all of the company’s suppliers, worldwide and forms an integral part of all purchase orders and supply contracts across every market and business, including the supply of agricultural raw materials—a critical area of any food company’s supply chain. By applying the code, Nestlé has encouraged best practices in sourcing and has thus helped ensure the long-term supply of safe, quality-assured and regulatory-compliant agricultural materials for its business.

 

  • The Carbon Disclosure Project supply chain program, an initiative launched in 2007 as part of the independent, nonprofit CDP’s program to collect data on corporate greenhouse-gas emissions. The project provides a global process for disclosing carbon emissions along the supply chain by enabling its 50 members to engage better with suppliers on the measurement and management of their emissions. Among the participants is Anglo-Dutch consumer packaged goods giant Reckitt Benckiser, which in 2012 exceeded its goal of reducing carbon emissions by 20 percent—by a full percentage point and eight years ahead of time.

 

  • The Supplier Ethical Data Exchange, known as Sedex, provides the secure exchange of sustainability information for more than 25,000 suppliers and their customers worldwide via an online database that allows members to store, share and report on sustainability information, including self-assessed and third-party social audit results.

 

Conclusion

The objective of supply chain sustainability is to create, protect, and grow long-term environmental, social and economic value for all stakeholders involved in bringing products and services to market. By working together with their suppliers for such sustainable outcomes, leading organizations are increasingly turning supply chain sustainability into a driver of competitive advantage. However, to reach such heights, companies should start by implementing a performing training and development program to ensure best practices.