Green Supply Chain Management

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Supply Chain Management: The Benefits of Being Green
TLMT 525
28 October 2012
American Military University

ABSTRACT
Green House Gases produced during supply chain activities have become one of the main sources of serious environmental issues, including global warming, acid rain, and continuous depletion of the atmospheric ozone layer. The purpose of this research is to explore opportunities and challenges associated with logistical supply chain emission reduction by studying advancement in technologies, renewable energy resources and readjusting behavioral practices that could potentially lead to, not only uses in the private, but forging development in the public sectors as well. Keywords: Green Supply Chain Management, Quantitative Data, Qualitive Data, Green Challenges.

1. INTRODUCTION
The very utterance of the words Global Warming seems to bring about heated discussions between the scientific community and those who attempt to dispel the truths. Because much of the blame lies somewhere between carbon emissions released by personal as well as commercial vehicles, and an unhealthy dose of carbon emissions resulting from manufacture processes.. Human activity generates greenhouse gas emissions of around 50,000 mega-tonnes of CO2e annually. It is estimated that 2,800 mega-tonnes, or 5.5 % of total emissions produced is contributed by logistics activities (Accenture, 2009). Until now, some of the largest logistics and transportation companies have taken a lesser role in decarbonization, the act of reducing carbon released from a process, such as burning fossil fuels; process of reducing carbon in earth's atmosphere. Decarbonization practices, such as reforestation absorb excess CO2 gases from the Earth’s atmosphere (Farlex Inc., 2012). The purpose of this research is to study the opportunities, challenges, and behaviors associated with emission reduction in logistical supply chains, and provide the ground work for companies to adopt greener practices. To validate the ideals of a greener supply chain and lend credit to this report, first we must understand and define green supply chain management. Next, we will review quantitative and qualitative data, utilizing a mixed method approach to solve the challenges behind going green. Finally, we will conclude this study by providing logistical and transportation companies with recommendations for adapting to, and overcoming the challenges of decarbonizing the supply chain industry. So, what is the purpose of a green supply chain?

2. PURPOSE OF STUDY
The United States of America is leading the way, but we are talking about something that is nothing to boast about, energy consumption, and the transportation sector uses about 28.1 % of America’s consumption (National Energy Education Development, 2012-2013). The purpose of this research was to study the benefits and opportunities for companies in the logistical supply chain to reduce carbon emissions by going green. Numerous advancements in clean vehicles technologies and alternate energy sources to reduce the carbon footprint of the supply chain from end-to-end. Practical, cost-effective measures can be taken by supply chain managers to develop the supply chain and turn what is a pollution-filled, ozone destroying industry into environmental conscience model advancing towards decarbonization. 3. GREEN SUPPLY CHAIN MANAGEMENT – WHAT IS IT?

The Green Supply Chain can be referred to as the way in which innovations in supply chain management and industrial purchasing may be considered in the context of the environment. Environmental supply chain management consists of the purchasing function’s involvement in activities that include clean vehicle technologies, recycling, reuse and the substitution of materials (Toke, 2010). Green supply processes utilize environmentally friendly inputs and transform these inputs into outputs that can reduce emissions, reclaim and re-use materials...
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