News Article

Green Supply Chain

Green Supply Chain

In today’s rapidly evolving business landscape, promoting sustainability across the entire supply chain is becoming more of a priority for UK manufacturers.

Manufacturing companies are increasingly being held accountable for their environmental and social impact, and both consumers and investors are demanding more transparency and ethical practices throughout the entire supply chain. To stay competitive and meet the modern-day demands, manufacturers must implement sustainable strategies across all aspects of their operations, from supplier selection to transportation logistics and inventory management. In last month's Monthly Industry Meetup, a cross-section of Made in Group members came together to take a deep dive into this topic.

One of the key aspects of promoting sustainability in the supply chain is choosing the right suppliers. Esteemed Made in Group Patron, Control Energy Costs highlighted the significance of this early on in the discussion. Nigel Addison-Evans exclaimed, “With Scope 4 now on the horizon, the requirement for Scope 3 reporting will only become more common as we move forward.” As such, the sooner manufacturers are able to centralise sustainability in their supplier selection process and work in collaboration with them in this area moving forward, the better.

Whilst this can be far easier said than done, the importance of sourcing locally where possible has never been greater. Not only is the localisation of supply chains essential for decarbonisation but it is also integral to our national prosperity and most importantly of all, security. By partnering with suppliers who share the same commitment to reshoring, manufacturers can ensure that they are laying the foundations for long-term healthy collaborations which will naturally foster sustainability.
When selecting suppliers, manufacturers should consider factors such as their environmental practices, labor conditions, and overall impact on the communities in which they operate. By conducting thorough due diligence and establishing clear sustainability criteria for suppliers, manufacturers can create a more sustainable supply chain from the ground up. This in turn gives manufacturers absolute confidence that their products are produced in an ethical and environmentally responsible manner.

In their efforts to push forward with their journey to net zero, one key area more and more manufacturers are drawing their focuses on to is improving the sustainability of their transportation logistics. Transportation is a critical aspect of the supply chain that has a significant impact on the environment, both in terms of greenhouse gas emissions and resource consumption. Made in the Midlands' global logistics experts, Pinnacle joined the discussion to share their insights. Sales and Marketing Director, Ben Shenton explained the positive impact 'Pledge' is going to have on the Freight Forwarding industry. Pledge is a decarbonisation-focused initiative which will provide all companies involved with exporting complete transparency of emissions per move. This will then provide actionable data on what activities the organisation can do to offset their carbon footprint.

Green supply chain management encompasses such a vast array of topics and capabilities, there wasn't sufficient time to even touch on most areas. However, another crucial aspect of promoting sustainability in the supply chain that was discussed was inventory management. By optimising inventory levels and reducing waste, manufacturers can minimise their environmental impact and improve their overall efficiency. Excess inventory not only ties up valuable resources and increases storage costs, but it also contributes to unnecessary waste and emissions. By implementing lean inventory management practices, such as just-in-time production and demand forecasting, manufacturers can reduce excess inventory and increase the efficiency of their operations. Additionally, by using sustainable packaging materials and reusing or recycling packaging whenever possible, manufacturers can further reduce their environmental impact and make their product lifecycle greener.

Overall, promoting sustainability in the supply chain is a complex and multifaceted challenge that requires a holistic approach. Manufacturers must consider all aspects of their operations, from supplier selection to transportation logistics and inventory management, in order to create a more sustainable supply chain. By partnering with suppliers who share the same commitment to sustainability, optimising transportation routes and using eco-friendly practices, and implementing lean inventory management practices, manufacturers can reduce their environmental impact and promote sustainability across the entire supply chain. By taking proactive steps to promote sustainability, manufacturers can not only meet the demands of customers and regulators, but also create a more sustainable future for generations to come.

Each month Made in Group members meet up online. Members listen to three best practice talks which are followed by themed discussion groups. Discussion groups are usually summarised in the form of bite sized articles following the events. 

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