Customer pressure and cost savings are equally driving the sustainability agenda at firms, according to a survey.
A poll of 250 consumer goods supply chain decision-makers in the UK and US found consumer demand was the most common driver, cited by 52%, but 51% of respondents looked to sustainable supply chains to cut costs.
More than two fifths of respondents (41%) said cost saving was the primary goal when creating a sustainable supply chain, compared to 31% who cited reducing environmental impact.
In the US managers were more concerned with protecting against reputational damage, with 40% more decision-makers citing it as a sustainability goal compared to the UK. Regulation was cited by 40% of respondents.
The survey, by software and consulting firm iPoint BiS, found more than three quarters of firms (77%) had a clear plan and vision for supply chain sustainability and almost a third (30%) had a full-time employee working on it.
But just 8% have met their supply chain sustainability plan because of perceived time and effort. Two fifths (40%) do not have formal KPIs and more than half (55%) have only informal measurement metrics.
Oliver Mueller, co-founder and CEO of iPoint BiS, said: “Sustainability has evolved. Long gone are the days when negative publicity over working conditions in supplier factories was the sole driver for a sustainable supply chain. Retailers and FMCG organisations have started making headway into numerous other environmental concerns.”
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