Know Your Supply Chain, Know Yourself
Despite demands by CEOs and marketing departments for greener operations, a surprising number of companies are not measuring the impact of their supply chains today.Â And as this article notes, itâ€™s not because they donâ€™t want to; itâ€™s because they donâ€™t really know how.
Edgar Blanco is a research associate at MITâ€™s Center for Transportation and Logistics, and his research, which is the design of energy- and carbon-efficient supply chains, has two goals:Â figure out an independent and viable way to measure the carbon output in the complex industrial network and identify a commercially-viable and consumer-friendly carbon labeling system.
Blanco says that companies releasing data about their carbon emissions is a good first step.Â But he says companies also need to consider its suppliersâ€™ assets.
Blanco notes that four forces will push companies to more carbon-efficient supply-chains:Â government regulation, societal pressure, market forces and a lack of natural resources.Â And he is certain that technology will facilitate the green revolution, such as IT helping companies trace the path of a product from factory to market.
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