Refining Sustainable Supply Chain Management Value
Blog by Julie Urlaub, Founder and Managing Partner at Taiga Company
Supply chain organizations and professional consulting firms have traditionally focused their procurement efforts on efficiency and actions to reduce costs. While these practices provide some insight into spend control, the inability to link directly to the bottom line often decreases internal procurement credibility. However, the next generation of sustainable supply chain management is creating enhanced bottom-line value by integrating sustainability concepts into transactional procurement..According to a Supply Management Review post, Linking Supply Chain Performance to a Firm’s Financial Performance, companies have historically measured success through a high-level set of financial metrics. To demonstrate value, supply chain managers must make decisions and use organizational resources that ultimately impact the financial outcomes of the firm. They must link the results of supply chain decisions to the financial goals and related metrics of the company. “By creating a set of linkages between the work that is being performed and the financial outcomes of the firm, the organization’s supply chain function can gain organizational visibility and demonstrate the impact of supply chain decisions and resource utilization on the firm’s financial performance”. -Priscilla Wisner, Distinguished Lecturer The University of Tennessee.
Sustainable supply management is creating a value proposition over and above traditional procurement activities. Click here to continue reading.
Home to one third of the earth's trees, the Taiga is the largest land-based biosphere and encircles the globe. Its immense oxygen production literally changes the atmosphere and refreshes the planet. It is this continuous renewal that has shaped Taiga Company's vision to drive similar change in the business world. Taiga Company seeks to be the "oxygen for your business".