Transportation Logistics Management

Research Paper is attached below

Prepare a presentation of the research paper submitted in week 7. 

Develop a Final Research Presentation based on your research paper from week 7. Incorporate additional authoritative resources from the APUS Library as needed. 

Length: Minimum of 15 and a maximum of 20 PowerPoint slides. 

Style: Professional theme. Use APA format for the citations. Use charts, diagrams, and pictures. Keep your text concise, focused, and succinct 

Running head: GREEN SUPPLY CHAIN
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GREEN SUPPLY CHAIN 2

Green Supply Chain

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Abstract

Green supply chain entails the delivering of the services to the customers, production, manufacturing and supply of materials taking into consideration the concern on environment. Previously, most of the businesses were not concerned of the impact of their business activities on the environment. However in the present day, most of the consumers are highly interested in the environmental conservation. As a result, businesses must align their operations with environmental concerns so that they can meet their customers’ expectations, achieve a competitive edge in the market, ensure the creation of the brand value and awareness and also ensure customer satisfaction. Although green supply chain has some shortcomings, the advantages outweighs the challenges and it is thus imperative for businesses to adopt it.

Introduction

Due to the increasing society enlightenment on global warming and other issues affecting the environment, consumers are very interested in knowing more about the products that they purchase. Companies thus expect a wide range of question from their potential customers relating to their manufacturing processes and the supply chain, how big the company’s carbon footprint it and the measures they are taking towards recycling. Green supply chain management thus aims at delivering services as well as products from the suppliers, the manufacturers and to the end customers through the flow of material, information and cash flow in relation to the environment. Traditionally, the supply chain mainly focused on the optimum cost, total quality and the delivery of the best services to the customers which to some extent contributes to the environment. The green supply chain today mandates the incorporation of the environmental idea in all the stages of the product and services in the supply chain (Fahimnia, Sarkis, & Davarzani, 2015). The managers in supply chain thus have to make sure that they develop environmental technologies that are innovative so that they can handle the environmental challenges in the economy and also communicate the information to all the stakeholders in the supply chain.

Ways of Building a Green Supply Chain

One of the ways of building a green supply chain is in the product selection. This entails the designing of the product to make sure that it is safe for use, create less pollution and also make sure that less energy is consumed (Luthra, Garg, & Haleem, 2015). The product should not be hazardous when it is stored, during transportation and also upon disposing of after it reaches the end of its life cycle. Design for the environment aims at developing products which do not have a negative side effect on the environment and humans, that which is environmentally friendly and also cost-effective. The practice is thus required to be implemented during the stage of product design.

The second way is the process and production. In this, the supply chain managers should ensure that the process is designed in such a way that it meets the initiatives of the Green Supply Chain Management which are focused on reducing the negative impacts on the environment. Effective and efficient strategies should be adopted in the production process so that the energy consumption can be reduced which consists of the water and air emissions and also reducing the waste material which aids in the lean manufacturing. The managers should ensure that all the responsibilities have been checked in the process of recycling the scrap materials.

The third way of building a green supply chain is in the selection of the business partners. This focuses on the selection of the suppliers that have proven track records which shows that they have been practicing lean manufacturing and they have also been involved in using materials that are environmentally friendly. Vendors should be involved in the process of product conception and the designing so that they can give ideas on the practices which they feel are the best to ensure that the business strategy of an organization is aligned with the strategy of the customers to go green. This thus aids in the achievement of customer satisfaction and delight.

The fourth way is in the logistics designs and in this, the supply chain managers should ensure that they practice efforts to assist in the reduction of the consumption of fuels. The businesses can achieve this by making sure that they set up the suppliers near the original manufacturers of the equipment and the hubs. The business should also increase the use of the sea and rail transport and reduce the uses of the freight. The logistic partners should also be involved in the process of designing the products to ensure an improvement in the utilization of the cubic space and also achieve effective management of the fleet. The businesses should also practice backhauling by making sure that the empty vehicles after delivering the empty products collect the goods from other sources.

The fifth way of building a green supply chain is in the packaging material. In this, businesses should replace the packing materials used to ensure that they have eco-friendly ones. The packaging materials should also be designed in such a way that they can be recycled and reused too. Businesses should consider obtaining the fumigation certificate especially for the international shipment of the crates and wooden pallets. The packaging of the goods and services should be robust to make sure that in case there is any hazardous material it does not spill over thus resulting in an environmental hazard.

The sixth way of building a green supply chain management is considering the reverse logistics design. In this, businesses should consider re-using, repairing, recycling, remanufacturing and redistribution of materials after consuming them but in an effective manner. Containers and pallets should be reused and also the package materials redesigned and recycled. Reduction of the pollution levels is also an important aspect in reverse logistics and it is thus important to make sure that the reverse logistics is well designed as it to a large extent contributes towards the management of the green supply chain.

The seventh way that can be used in building a green supply chain is the information technology. Automatic processes can be used in the achievement of a green supply chain through the reduction of the carbon footprints. Automatic payment processing or invoice should be employed in the reduction of the paper usage. EDI should also be used in the creation and transmission of orders. The last way of building a green supply chain is the use of the green building. This entails the deployment of the greener practices in the design, the construction and also the maintenance of the buildings. The use of natural lighting and bulbs that are energy efficient largely aids in saving considerable amounts of energy. Water should be recycled and the businesses should consider investing in the sources of renewable energy, for instance, the wind and solar as they are very imperative in the sustainable green practice.

Advantages of a Green Supply Chain

Companies are enjoying great benefits from the adoption of a green supply chain. In some of the companies, they have been an increase in the interest among the consumers about the environment and as a result of this; the businesses are working towards the conversion of the interest of the members of the public in all things green so that they can improve their profitability. Several companies have revealed that there is a link between improved environmental performance and the financial gains. Improvement in the various areas of the supply chain greatly assists the companies to reap more financially and hence an increase in their level of profitability (Mangla, Kumar, & Barua, 2015). An example of a company which has been a beneficiary of this is the General Motors. The company reduced its disposal cost by $12 million after it established a program for reusing containers with the suppliers. In the process of the company to reduce its costs in supply chain and go green, the company realized that the reduction of the costs identified largely played a great role in the company’s commitment to the environment.

The other benefit is that the companies are able to achieve cost benefits and savings if they go green and hence reduce the impact that their business processes have on the environment. The re-evaluation of a company’s supply chain right from the purchasing stage, planning and the management of how to effectively use the materials, to shipping and distribution of the final products, the company is able to attain savings which are one of the benefits derived from the implementation of the green policies. Although most of the members of the public are greatly focused on the environment, the benefits which result from the reduction of the impact that a company has on the environment are not placed at the forefront in the minds of many executives in supply chain management. It is clear that most of the executives have not yet realized how the improvement of their environmental performance aids in the reduction of the disposal of waste, the costs of training, reduction in the fees for the environmental permits and also the reduction in the costs incurred while purchasing materials.

The other advantage of the green supply chain is that it aids in the optimization of the supply chain. In this, optimization of the supply chain depicts the act of offering the customers what they want and at the right time and making sure that a business spends as little money as possible in the accomplishment of this (Fahimnia, Sarkis, & Davarzani, 2015). Most people in the supply chain tend to have the mentality that the low-cost supply chain options that are fast are not well-suited with a green supply chain. However, this is not true because the green initiatives are used to save costs. For instance, reducing shipping reduces the cost of fuel as less is burned while on the other hand the optimization and consolidation of materials and the use of packages result to the reduction of the packing products that are used. Also, the removal of the hazardous materials in a supply chain aids in the lowering of the costs incurred in the handling as well as the disposal of the materials. Lastly, the minimization of the waste also aids in the reduction of the disposal and the purchasing costs.

The other advantage of the green supply chain is that it aids in the improvement of the public image. In this, the more robust green a supply chain is, the easier it is for it to become a marketing and public relations boom. The reduction of the costs after the adoption of the green supply chain resonates well with the members of the public due to the reduction of the costs passed on the bottom line and hence they are able to purchase the products and services offered by the company at a low cost. It is clear that the designing and the implementation of a green supply chain a win-win situation for the company, the customers, the shareholders and also the planet at large. When a supply chain is greener, the waste products are driven away from it.

Driving out of waste from the business processes and the supply chain contributes to a reduction in the costs of the processes in the supply chain and business at large. A reduction of the costs makes all the stakeholders happy. Another positive side effect of adopting a greener supply chain is that it to a great extent benefits the planet due to the environmental protection and conservation measures. For the managers to ensure that the company work towards the achievement of a greener supply chain, they should make sure that they sell the supply chain initiative as an initiative for saving onto costs. The consumers are highly likely to notice this and as a result, other positive benefits may also be noticed.

The other advantage of the green supply chain is that it aids in the achievement of product differentiation and competitive advantage in an organization. Green supply chain assists businesses to position themselves and their products so that they can stand out in the market as environmentally friendly and also ensure that the customers have a positive perception of them. In addition to the attraction of new customers which are profitable for the organization, it aids in the attainment of a substantial competitive edge over the other businesses or competitors operating in the market. The green supply chain also aids in the strengthening of the reputation as well as the brand image in the market (Rezaee, Dehghanian, Fahimnia, & Beamon, 2017).

The other benefit of the green supply chain is that it helps business to adapt to regulation and also to reduce their risks. The businesses once adopting the practices involved in the green supply chain can be in a position to reduce risks such as prosecution for the unethical and anti-environmental practices. In case any questions arise, the efforts demonstrated by the business in the creation of an effective green supply chain through the sustained activity, dedication of resources, management protocol and measurement can highly assist the business in navigating through the case. The other advantage is that green supply chain aids in the achievement of sustainability of resources. This is so because; it contributes to the effective utilization of the available productive resources of the organization. Incorporation of the green supply chain management thinking in the decision making process in a business enables the organizations to purchase the necessary input resources which can flow in a production process that is environmentally friendly and help in the production of the required green outputs.

Disadvantages of Green Supply Chain

One of the challenges in the adoption of a green supply chain is the costs incurred in the conversion process. In this, it can be costly for businesses to adopt the green supply chain initiatives. This is because of the equipment that the business will require to purchase. Also, the reduction in the costs due to energy savings that the businesses gain at first after going green is not always adequate for offsetting the initial upfront costs for the conversion process (Govindan, Kaliyan, Kannan, & Haq, 2014).

The other challenge that the businesses encounter is the lack of support. This occurs due to the entrenched bias against some of the companies that are interested in going green. There are laws which require businesses to obtain the Leadership in Energy and Environmental Design certification. It is a system involved in the verification of the performance in the implementation of the measures for saving energy. Failure to get support in obtaining this certification delays a company’s effort to go green.

The other disadvantage of the green supply chain is that the companies may engage in customer backlashing. In this, some of the companies in the process of trying to convince their customers that they are going green may either intentionally or unintentionally make claims that are false in relation to how environmentally friendly their products are and the process is specifically referred to as greenwashing. In the event that the consumers realize that the company is somehow greenwashing them, the company is likely to suffer from the lack of trust and credibility from the clients.

The other disadvantage of the green supply chain is that it may at times leads to the increase of the costs of the products. In some instances, the cost that the businesses or organizations incur in the adoption of a green supply chain is very high and this can result to an increase in the cost of the products that it offers in the market for the consumers. The eco-friendly materials needed in the production and manufacturing processes may be expensive and also obtained from distant geographical locations hence increasing the cost of the products for the consumers.

Conclusion

To sum it up, it is clear that many companies are making great efforts to go green and become more environmentally friendly due to the increased concern among the customers. Many of the businesses are going green so that they can reduce their costs; achieve better public relations, to ensure the protection of the environment and also to tap into the enlarging green market. However, a few disadvantages such as conversion expenses, costlier products, lack of support and also the customer backlash are also experienced. It is however clear that going green is worthwhile and it plays a great role in the businesses especially in meeting their social responsibility for environmental protection.

References

Fahimnia, B., Sarkis, J., & Davarzani, H. (2015). Green supply chain management: A review and bibliometric analysis. International Journal of Production Economics, 162, 101-114.

Govindan, K., Kaliyan, M., Kannan, D., & Haq, A. N. (2014). Barriers analysis for green supply chain management implementation in Indian industries using the analytic hierarchy process. International Journal of Production Economics, 147, 555-568.

Luthra, S., Garg, D., & Haleem, A. (2015). An analysis of interactions among critical success factors to implement green supply chain management towards sustainability: An Indian perspective. Resources Policy, 46, 37-50.

Mangla, S. K., Kumar, P., & Barua, M. K. (2015). Risk analysis in the green supply chain using fuzzy AHP approach: A case study. Resources, Conservation and Recycling, 104, 375-390.

Rezaee, A., Dehghanian, F., Fahimnia, B., & Beamon, B. (2017). Green supply chain network design with stochastic demand and carbon price. Annals of Operations Research, 250(2), 463-485.