Updated: May 18
The importance of transparency within supply chains.
At a glance
- In 2020, many disruptions have occurred in global Supply Chain management and it is not only related to the crisis of COVID-19 as one might think.
- Supply Chains have prominent weaknesses and vulnerabilities since their operations are gradually being put under stress by political and economic events on the one hand, and by the climate consensus on the other hand.
- Consequently, every organisation strives to achieve a capacity to resist and to recover from disruptions in its Supply Chain, which we more commonly refer to as resilience.
- As part of the answer, a focus on sustainability in a framework of transparency, supplier engagement and strategy implementation in procurement practices will ensure that organisations are future-proof and up to the challenge.
- Organisations should look to swiftly adopt practices such as supplier segmentation according to the Kraljic matrix, set GHG emission reduction targets according to the Science Based Targets initiative, make sustainable procurement and policy choices, and set up an emission monitoring system.