DI G R E

Supply Chain Mindmapping

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Mindmap for sustainable supply chains sales
smaller orders

omnichannel
rise of e-commerce
new routes to market
higher cost to serve
smaller pack sizes

buying convenience

more consumption speed to market

more waste world population growth
Companies are being forced to improve their greenwashing
increasing urbanization protecting brand identity
sustainability due to the Paris Climate Agreement, the more congestion insurance policy
more transport marketing
more emissions
growing discourse on climate change and consumer globalization increasing customer segmentation
more product variety
sourcing in low-cost countries
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differentiating the message
demands for sustainable products, among other things. free delivery
rise of e-commerce sustainability costs money
Various developments are having a direct impact on free returns
17 SDGs impact on increasing complexity
companies and are creating obstacles along the path international conventions supply chain
Paris Climate Agreement megatrends companies call for sustainability certificates
towards more sustainable supply chains. In conjunction raw materials
legal need for compliance
with Circular IQ, Supply Chain Media has developed a fuel shortages
agricultural land
mindmap for sustainable supply chains which outlines HR
employer branding offering a sense of purpose
alternative energy sources
human rights in the supply chain working conditions
the route towards sustainable business models climate change sustainability

and operational processes, including warning signs flight tax

new taxation IT data fragmentation
kerosene tax complex IT landscape
highlighting potential hazards along the way. Diagnose   unreliable external connections
sharing economy environmental awareness shortage of IT specialists
growth of organics
biodegradability
material innovation
recyclability
3D printing
DIAGNOSE
modes of transport Review   digital Plan   short planning horizon
Mindmap creators: transformation planning
robotization production electrification focused only on product introductions
households outdated tools

real-time visibility Internet of Things

blockchain
Execute   cost pressure
raw materials
review transportation
Sustainable
PLAN shortages packaging
source-to-pay
Supply Chains purchasing transport

SCM
urban farming nearshoring supply chain network optimization
Diagnose   insight into Tier N suppliers
localization circular sourcing
material properties
consolidation of shipments with industry partners
SUPPLY CHAIN too many SKUs
movement with customers fragmentation
codes of conduct smaller batches
certification auditing collaboration lower efficiency
rewards long-running commitment
with suppliers/service partners Review   Plan  
product passports with NGOs
execute savings
water
energy CO2 emissions
production
waste
sensor production minimum order quantity
Internet of Things
blockchain tracing scarce raw materials limited flexibility lengthy lead times
real-time visibility digitalization Execute   dependence on critical resources
spare parts 3D printing potential impact on company image
customer-specific products
reduce
supply chain supply chain more distribution channels
waste solutions challenges smaller shipments
rising costs
energy recycle faster delivery
circular business model logistics
more returns
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materials
used products refurbish workforce
capacity shortage
S U P PSLYU PCPHLY

S U P PSLYU PCPHLY
in-house repairs
transport
cradle to cradle reuse
rising demands
A I NC HMAOI NV EMMAEGNAT,Z INNoE. 3 40, 5Q 32 0219

A I NC HMAOI NV EMMAEGNAT,Z INNoE. 3 40, 5Q 32 0219

service
more services
delivery visibility

Mindmap manual
Supply chains are becoming ever-more terms of energy consumption. The growth More and more companies are looking being required to reach and serve ever- challenges. It is essential to analyse the root and growing returns flows. In other words, essary chain visibility and can even facilitate
complex due to the current megatrends of the world population is being further to improve their sustainability while also more customer segments. Finance is realiz- causes of these challenges for Planning, Pur- the company must make concrete improve- 3D printing. In order to achieve circularity,
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of globalization, digital transformation and
38 increasingly fragmented consumerism.
Sourcing from far-flung low-cost countries
increases the amount of transport needed
and hence the carbon emissions. The rise
of e-commerce – including the associated
returns flows – is making it difficult to
organize logistics efficiently, not least in
complicated by shortages of raw mate-
rials, fuel and agricultural land. The less
eco-friendly aspects of purchasing, pro-
duction and logistics are coming under the
ever-closer scrutiny of governments and
consumers. These global developments are
forcing companies to analyse the impact in
more detail: diagnose.
boosting their performance. However, those
two aims do not always go hand in hand
within the various departments involved.
The Sales department is seeing smaller
orders being placed through a growing
number of channels, putting margins under
pressure. Marketing wants to avoid being
accused of ‘greenwashing’, while also
ing that sustainability requires investment.
Supply Chain has to cope with increasing
complexity. The transition to a sustainable
business model calls for mutual agreement
and a robust plan.
The supply chain-related departments
face a very diverse set of sustainability
chasing, Production, Logistics and Service.
Detailed insight into suppliers’ supply chains
and the origins of raw materials, parts and
products is crucial. Considerable sustaina-
bility gains can often be made internally too
in terms of manufacturing and warehousing.
From a market perspective, Logistics and
Service face rising costs, transport shortages
ments based on in-depth analysis into the
supply chain challenges: execute.
Network optimization forms the basis for a
sustainable supply chain. Collaboration with
various chain partners and NGOs also offers
a number of opportunities for sustainable
supply chains. Digitalization provides the nec-
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companies must have more knowledge about
the origins and composition of their products. 39
Only then can a company and its customers
make fair comparisons between products
and actively work on further improving the
company’s ‘circular fitness’. After implement-
ing supply chain solutions, it is necessary to
complete the circle: review.