Greening the supply chain the key to winning business

Dublin, Ireland: A “green” supply chain is a strategic priority for European companies says a new report. “Over two thirds of companies surveyed indicated that they have implemented, or are implementing, a sustainable purchasing policy,” says Claudia Carr, supply chain lead at BearingPoint Ireland which undertook the study.

“The environmental impact of goods is becoming an increasing important decision when it comes to purchasing,” she said.

“Understanding and managing your carbon footprint is going to become key and Irish companies need to be prepared for this shift,”says Carr. Over half of the respondents in the survey said they did not renew contracts with suppliers who did not respect their green charter. BearingPoint says this indicates an opportunity for Irish companies with good green credentials to compete for business across Europe, a conclusion shared with Irish business.

Irish Exporters Association chief executive, John Whelan, said: “There is no question that Irish businesses which produce transparently environmentally positive products, delivered by carbon neutral logistics services will succeed on international markets.

“At the IEA we fully endorse the reports findings and urge exporters to make the investment in proper carbon labelling based on an accurate supply chain foot print as well as a production process footprint, to gain a competitive edge in our main developed economy markets,” he said.

The research also found that there is a shift in green supply chain initiatives being influenced by regulation to being driven by brand image and economics.

Companies were keen to promote their green credentials to win business and identified cost savings by implementing environmentally friendly initiatives.

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