The optimisation of a company's supply chain is an obvious aspiration for modern, profitable organisations. What is often less of a focus, is the implementation of environmentally sensitive and socially responsible 'green' supply chain management (GSCM). The irony of this however, is that there is extensive evidence showing the positive link between effective environmental performance and increased financial gains. In addition to this direct correlation, there is also the less tangible, but still very real, effect of consumer preferences which are consistently leaning towards environmental and ethical awareness.
According to a Business for Social Responsibility study in 2001, the majority of participants that had implemented GSCM principles stated that there had been a consequential positive impact on their bottom line including operational efficiencies, costs reductions, enhanced value to customers and increased sales. In addition, they also reported positive media attention and positive ratings from socially responsible investment funds. When considered within the framework of increasingly coercive global legislation and regulation, the implementation of GSCM principles is imperative to the competitiveness, profitability and survivability of 21st century organisations.
By using an end to end approach and a combination of science and risk management, it is possible to inform and guide innovation and profitability in virtually any supply chain. To achieve this, RubiKon utilises the Darlington Model which breaks this approach into 8 distinct steps incorporating a range of proprietary tools, maps and processes.
The 8 step Darlington Model:
Step 1 - Develop Product Road Map
Step 2 - Identify the Inputs to the Supply Chain
Step 3 - Develop an Impact Assessment
Step 4 - Conduct a Risk Assessment
Step 5 - Develop Action Plans
Step 6 - Complete a Value Articulation
Step 7 - Implementation
Step 8 - Review/Report/Refresh
Two key strengths of the Darlington Model are that it can be tailored to the unique complexity (or simplicity) of any supply chain and can be approached in a staged manner whereby the completion of each step informs and scopes the next (thus providing a clear indication of required resources and effort).
For more information on RubiKon's Green Supply Chain capabilities, please contact us at
info@rubikon.com.au