Submitted by EcoVadis
As our companies move through the tactical response and rebound phases of the Covid-19 pandemic, we’re beginning to grapple with how to address the underlying vulnerabilities that caused this havoc across supply chains, and build enduring resilience. Meanwhile, demands for sustainability and transparency are growing stronger. At the nexus of these trends, several key factors have emerged for a deep strategic rethink of our value chains, with an ESG / Sustainability lens. One of these key factors is the strategy for how supply chains are optimized.
For too many years, supply chains have been regarded as a “cost and risk to manage”, optimized for efficiency with tactics like cost reduction and lower inventories as the main drivers of procurement strategy. Pressures around sustainability and transparency are growing -- the supply chain is the largest risk but also the largest lever of opportunity for building a more sustainable and resilient business.
It's time to rethink and move beyond this tactical “just in time” approach, to a “just in case” perspective, and embrace supply chain resilience as a strategic differentiator. Even CEO’s are awakening to the urgency, the latest signs of action coming from the Vision 2050 manifesto from the WBCSD, a CEO-led initiative of 250 of the world’ largest companies. Even President Biden recently signed the Executive Order on Supply Chain Resilience.
We’re Unprepared for an Uncertain Future
Rethinking and rebuilding supply chain strategy around resilience and sustainable value creation enables your organization to respond faster to changing business conditions and seize opportunities so you can thrive in the new normal.
Read more on this and the other Four Factors to Rethink in Global Supply Chains So We Can Rebuild Better.
EcoVadis is the world's most trusted provider of business sustainability ratings. Global supply chains, financial institutions and public organizations rely on EcoVadis to monitor and improve the sustainability performance of their business and trading partners. Backed by a powerful technology platform, EcoVadis’ evidence-based ratings are validated by a global team of experts, and are adapted to more than 200 industry categories, 160 countries, and companies of all sizes. Its actionable scorecards provide benchmarks, insights, and a guided improvement journey for environmental, social and ethical practices. Industry leaders such as Amazon, Johnson & Johnson, L’Oréal, Unilever, LVMH, Salesforce, Bridgestone, BASF, and ING Group are among the 85,000 businesses that collaborate with EcoVadis to drive resilience, sustainable growth and positive impact worldwide. learn more on ecovadis.com, Twitter or LinkedIn.
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