Adopting Go-Green Initiatives in the Supply Chain
It is becoming more and more popular for supply chains to adopt green initiatives. As industries adopt higher environmental standards and consumers develop a taste for sustainably produced goods, companies have little choice but to consider what it would mean for their supply chain to go green.
Making a shift towards sustainable and environmentally-minded production has many benefits. Part of developing a green supply chain is making sure you are using your products as efficiently as possible. This means less waste and a more streamlined route to and from inventory. A green supply chain is also the kind of supply chain you would want to show off to your consumers. Transparency has become a huge issue and going green can mean your supply chain would be “show room” ready. In addition to consumers desiring transparency, there has also been a rise in green buyers. What this means is that customers will be more likely to pick you over a competitor if you have a reputation for responsible, sustainable practices. Some shoppers will even pay more for the same product if it bears a label proving it is green.
Yet, despite all of these benefits to having a green supply chain, not every company is rushing to adapt. And that is no surprise. Revamping a supply chain has many challenges. It may require new production processes, employee retraining, updated equipment, and a different system of distribution. Companies may need to contract with different suppliers or manufacturers who are able to provide green products and services. All of these changes take time and money.
However, companies across the globe are not letting these challenges stop them from progressing. Those that need an injection of cash flow to overhaul their production or access sustainable supplies turn to companies like Curve that offers to become their partner by purchasing their environmentally friendly inventory on their behalf at the frontend of the supply chain becoming their long-term inventory funder. Many seek out specialists that have the expertise to coordinate their green efforts in that industry. Other companies choose to change slowly, making small but impactful changes as they have the time and financial resources to do so. Each company must choose its path to improvement based on its existing design and future goals.
While many companies want to go green, others need to. Whether the motivation to seek green alternatives comes from a desire to do good, a response to consumer feedback, or a need to avoid environmental-related penalties, going green can be good business.