SCM Tools to Manage Your Suppliers Energy Consumption

Primarily driven by the manufacturing and component-based industries, Supply Chain Management (SCM) over the past few decades has proven to be a huge cost saving opportunity for the efficient-minded organizations.  Now, growing business sustainability risks and opportunities within the supply chain are expanding these cost savings beyond first tier suppliers.

With leading businesses such as IBM, Procter and Gamble, and Walmart looking to the supply chain - first and second tier suppliers, for energy use, waste management, and water consumption,  tools are needed by suppliers and subcontractors for measuring and reporting.   As stated in our sustainability consulting practice, to unprepared organizations, the business risks of energy, carbon, water, and climate change disclosure takes many forms:   •    Potential increase in operating cost •    Potential increase in supply costs •    Potential disruptions to supply or loss of supplier relationships •    Potential loss of revenue or market share •    Potential to business reputation •    Potential inability to secure investment dollars or capital   Hara’s newest software looks to supply chains for energy savings.  Basically, it is a supply-chain module that can evaluate energy efficiency among a client’s suppliers – vendors, transportation services, warehouses and the like.  Click here to continue reading.

 

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