initiatives for greening SCM, including screening suppliers for environmentalperformance, providing training to build supplier environmental managementcapacity, and developing reverse logistics systems to recover products and packagingfor re-use and remanufacture. Green SCM can not only generate environmentalbenefits, but also business benefits.
Green Supply chain management
Patrick Penfield of the Whiteman School of Management defines Green Supply ChainManagement GSCM) as "the process of using environmentally friendly inputs andtransforming these inputs into outputs that can be reclaimed and re-used at the endof their lifecycle thus, 1 creating a sustainable supply chain .”Why a Green Supply Chain Matters?Government regulations and customer demands are making environmentalresponsibility an increasingly important factor in everything from materialsprocurement to distribution. Many companies share the current widespread concernsfor the health of the planet. Hardly few of them, unfortunately, have successfullytranslated those concerns into action by adopting environmentally sustainable, greensupply chain practices. Businesses worldwide continue to use toxic chemicals,wasteful packaging, and transportation practices that produce clouds of gases thatmay contribute to global warming.However, from materials acquisition and manufacturing to packaging, logistics, anddistribution, every stage of the supply chain offers opportunities to reduce waste andpollution.
The explosion of GSCM activity in the practical realm has led to an increasing body of empiricalwork regardingboth external infl uences leading to the uptake of green supply chain management practices, andtheir impact on fi rm performance. Investigation in this area has generally fallen into four maincategories:
Use of compliance-based strategies that support the cascading of basic environmentalrequirements generically across all suppliers
Aligning supply chain goals for both efficiency and pollution-reduction
Transfer of environmentally specific innovations or technologies from customers tosuppliers
Collaboration or competition between firms to develop re-manufacturing or closed-looprecycling systems