Top 5 Benefits of Embracing Green Supply Chain
The traditional Supply chain management comprises of manufacturing, transportation, logistics, marketing and sales which are working on common goals of making it cost-efficient & profitable to customers. But, many are unaware of the potential benefits of implementing a green supply chain which is a win-win scenario for both their organization and the planet. But, to implement this, you should re-evaluate the whole process from purchasing, use of materials while shipping, warehousing, pick & pack goods and many more which can further reduce your carbon footprint (i.e the total carbon dioxide emission into the atmosphere due to activities of an individual, community, event or organization).
With steps towards a green supply chain, you can also meet your goals of providing your customers with the desired product in a cost-efficient way. When you reduce waste from the supply chain, you can minimize the costs of production because of which both your customers will be benefited and reduction of wastes creates a positive impact on the environment. If you want to move towards a green supply chain, you might find the following points suitable for your organization:
- Minimize Pollution: The first and foremost step in implementing a green supply chain will start by selecting the right manufacturer who can design the product in such a way that minimizes pollution and energy. It should be designed as environment-friendly, as they must not be hazardous once disposed into the open space.
- Lean Manufacturing: Mostly, the buyers tend to prefer suppliers who follow lean manufacturing as they reduce waste without disrupting production. This provides a tremendous opportunity for the ones preferring it as they can get high-quality goods at significantly low costs. For instance, Toyota has designed an integrated socio-integrated system which was able to provide better quality goods, at low cost and less lead-time by eliminating wastes.
- Transportation: The next step which comes after the production will be the transportation of the goods. So, you must make sure that the fuel consumption is reduced through better planning and execution. If you take service from a digital freight agency, then they will make sure that you get the demanded goods via sea or road within the precise time and it will be more cost-efficient and transparent. The reason for preferring a digital freight forwarder is that they can provide end-to-end visibility in transportation and also provide the cheap and best way to transport your goods with their green supply chain practices.
- Eco-friendly packing: Are packaging materials disposable? You must make sure that they are eco-friendly materials like wooden pallets and crates. If you start using disposable materials for packing, it will save you costs. With green supply chain practices, you will also get more brand loyalty of your organization.
- Information technology: The major reason for preferring eco-friendly Digital freight forwarder is that they can make your transaction go paperless which will reduce your carbon footprint. It also provides transparent details of your transactions which will ease your supply chain management. For instance, MyHub is a digital application developed by 20Cube logistics to provide end-to-end visibility to its customers and cost-efficient ways to solve their freight problems.
20Cube Logistics is a digital logistics company which provides freight forwarding, customs brokerage & warehouse services and focus on innovative solutions. Know More.
With the above benefits and better efficiency & cost savings, in the long run, more companies are embracing green supply chain processes nowadays.