Green Supply Chain

Cognizant White Paper

Creating a Green Supply Chain

Information Technology as an Enabler for a Green Supply Chain

Evolution of Concept

1

W

e are constantly confronted with environmental

changes across the world ranging from extreme

weather to a scarcity of water for nearly 2 billion people,

nearly 40% of the world's population. Such weather

phenomena and reality has created a movement across

the globe to identify the causes of global warming and

develop solutions to end it before it is too late. In an

effort to address the growing evidence of climate

change, many nations are passing laws and regulations

aimed specifically at reducing carbon emissions and

greenhouse gas from the atmosphere.

Aside from nations that are actively involved in reducing

climate change, many consumers, shareholders, and

businesses are becoming more attuned to and involved

in the growing green movement. With customer loyalty

shifting towards environmentally friendly products,

businesses are increasingly trying to make their supply

chains greener by introducing sustainability strategies

throughout their organizations and supplier

relationships.

GSCM integrates ecological factors with supply chain

management principles to address how an

organization's supply chain processes impact the

environment. Organizations are increasingly becoming

aware of the impact of tight integration of supply chain

and environmental management systems in enabling a

sustainable business strategy. Many are now seeking

out solutions and guidance on how to implement a

sustainable supply chain. A sustainable supply chain is a

supply chain that is not only optimal for the

organization, but is optimal relative to its limited

environmental impact.

With Increasing customer awareness and regulatory

norms, organizations with greener supply chain

management practices will have a competitive

advantage over companies that are reluctant to embrace

GSCM. Hence across industry...