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Sustainability in Supply Chain Management


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Far too often, when companies decide to implement sustainable, green initiatives within the organization, the supply chain is ignored. Causing 80-90 percent of an organization's carbon footprint, supply chain management is a fantastic place to start your company's sustainable changes.

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Sustainability in Supply Chain Management

  1. 1. Sustainability Explained Sus·tain·a·bil·ity [suh-stey-nuh–bil-i-tee] noun 1. The ability to be sustained, supported, upheld or confirmed. 2. Environmental Science. The quality of not being harmful to the environment or depleting natural resources, and thereby supporting long-term ecological balance.
  2. 2. Sustainability By now, most everyone has heard the word, whether it was in a business meeting, presentation or otherwise. What does it really mean for a corporation to embrace sustainability--it’s not enough to have and use recycling bins, that is only a drop in the preverbal polluted ocean when it comes to corporate sustainability.
  3. 3. Corporate Sustainability Start with these two questions: “Who are we as a company?” “What is the expectation of our end user?” Steven Prokesch of the Harvard Business Review claimed "successful companies who survive over many decades understand that they are a human community first, and a money making machine second."
  4. 4. Corporate Sustainability Making a positive impact on the community and the environment can start at work. Setting examples and best practices at the workplace can cause sustainable actions to carry over from your employees/coworkers work lives to their personal lives.
  5. 5. Supply Chain Sustainability What is coming in and going out of our facility, and how it’s being transported, can be as much as 80-90 percent of a company’s overall “carbon footprint.” Despite all that is done in offices and manufacturing plants, if the focus is not on the Supply Chain’s carbon footprint, the largest opportunity for change is being ignored.
  6. 6. Farmer Bros Sustainability At Farmer Brothers, we are in the process of building the first LEED (Lead in Energy & Environmental Design) Certified Headquarters in the industry. In our offices, we will be harvesting daylight, implementing new waste management plans, going paperless, utilizing solar energy and water efficiency plans.
  7. 7. What Can You Do? Look at your supply chains and see where it is easy to cut back with fuel efficiency, packaging, electrical use, better vehicle maintenance, and replacement of old and out dated equipment that is not as energy efficient replacing it with newer energy efficient equipment. Changing out old lighting and replacing it with LED lighting in a warehouse can often pay for itself in energy savings in just a couple of years.