Closed Loop Supply Chain Case Study
Chapter 1: Introduction
Supply Chain is a set of activities that includes purchasing, manufacturing, logistics, distribution, marketing, that perform the function of delivering value to end customer. The flow of products generally occurs from manufacturers to consumers or end users.
Due to an ever-expanding population and an intensification of human activities, the Earth is experiencing increasing environmental impacts and its natural resource reserves are foreseen to be gradually exhausted. Focus on sustainable development and green economics has been growing in the past two decades in a myriad of different fields. Nations across the world demand greater energy and resource savings, along with mandatory emission reductions. Many environmental …show more content…
Over the past 15 years, closed loop supply chains have gained considerable attention in industry and …show more content…
Raj Kumar and R.M. Satheesh Kumar, Closed Loop Supply Chain Management and Reverse Logistics, 2013, CLSCM focuses on changes in the following five aspects compared to traditional types of supply chain:
1. The goal. The traditional supply chain aims to lower the cost and improve the efficiency of supply chain enterprise so as to maximize the economic benefits. CLSCM also seek to maximize economic benefits, to decrease the consumption of resources and energy and to reduce the emissions of pollutants – all in an effort to create a socially responsible enterprise, and to balance the economic benefits, social effects and environmental effects.
2. Management structure of supply chain. For CLSCM, environmental performance is included in the enterprise’s internal and external management, which is lacking in traditional supply chains.
3. Business model. CLSCM means a more complete business model. Elements including low carbon and environmental protection must be included in the entire logistics and supply chain to realize a complete green and low carbon supply chain system through the whole life cycle, from raw material sourcing and industrial design to production and
Supply Chain is a set of activities that includes purchasing, manufacturing, logistics, distribution, marketing, that perform the function of delivering value to end customer. The flow of products generally occurs from manufacturers to consumers or end users.
Due to an ever-expanding population and an intensification of human activities, the Earth is experiencing increasing environmental impacts and its natural resource reserves are foreseen to be gradually exhausted. Focus on sustainable development and green economics has been growing in the past two decades in a myriad of different fields. Nations across the world demand greater energy and resource savings, along with mandatory emission reductions. Many environmental …show more content…
Over the past 15 years, closed loop supply chains have gained considerable attention in industry and …show more content…
Raj Kumar and R.M. Satheesh Kumar, Closed Loop Supply Chain Management and Reverse Logistics, 2013, CLSCM focuses on changes in the following five aspects compared to traditional types of supply chain:
1. The goal. The traditional supply chain aims to lower the cost and improve the efficiency of supply chain enterprise so as to maximize the economic benefits. CLSCM also seek to maximize economic benefits, to decrease the consumption of resources and energy and to reduce the emissions of pollutants – all in an effort to create a socially responsible enterprise, and to balance the economic benefits, social effects and environmental effects.
2. Management structure of supply chain. For CLSCM, environmental performance is included in the enterprise’s internal and external management, which is lacking in traditional supply chains.
3. Business model. CLSCM means a more complete business model. Elements including low carbon and environmental protection must be included in the entire logistics and supply chain to realize a complete green and low carbon supply chain system through the whole life cycle, from raw material sourcing and industrial design to production and