Green supply chain management

Author: Wang Nengmin / Sun Linyan / Wang Yingluo, etc.
Publisher:
Publishing Date: 2005-09-01
Features: Based on an analysis and summary of research progress on green supply chain management (GSCM) both domestically and internationally, this book introduces analytical tools for GSCM: material flow analysis and life cycle assessment techniques. It analyzes the obstacle factors in GSCM operations from perspectives such as externalities, information asymmetry, and self-interested behavior of supply chain members. It explores how to overcome operational barriers caused by externalities, information asymmetry, etc., from angles like cultivating the operational environment and regulating market competition, as well as member coordination. Using the Supply Chain Operations Reference Model (SCOR), it establishes evaluation methods and indicator systems for GSCM operational performance. Case studies are provided from various perspectives. This book can serve as a professional textbook for management and environmental management students in higher education institutions, as well as a reference for researchers and industry professionals engaged in supply chain management and environmental management.
[Preface]
Preface: Currently, China is facing increasingly prominent environmental issues and stricter environmental regulations. China's population accounts for 21% of the world's total, yet its per capita arable land is less than 40% of the global average, its water resources are only 1/4 of the world's average, and its per capita forest area is only 1/5 of the global average. The per capita availability of 45 major mineral resources in China is less than half of the world's average. However, China's consumption of important resources ranks high globally: in 2003, China consumed 30% of the world's steel production, 40% of cement production, and 31% of coal production, yet its GDP only accounted for 4% of the world's total. Meanwhile, China's mineral resource recovery rate is only 30%, while developed countries achieve 50%. China's water consumption per 10,000 yuan of GDP is four times the global average, its wood utilization rate is 20% lower than the global average, and its steel scrap recycling rate is 17% lower than the global average. Environmental regulations faced by Chinese exports are becoming increasingly stringent: since February 2003, the EU's WEEE Directive (Waste Electrical and Electronic Equipment Directive) and RoHS Directive (Restriction of Hazardous Substances in Electrical and Electronic Equipment) have become formal laws within the EU. Against this backdrop, the Chinese government has proposed macro measures such as adopting a new industrialization path, vigorously developing a circular economy, and building a harmonious society, which are vital to the national economy. At the same time, Chinese scholars and manufacturing industry professionals are focusing on and discussing how China's manufacturing sector can respond to the challenges posed by the new competitive landscape and survival environment, with enhancing environmental management capabilities being one of the key aspects. To gain a competitive advantage in an environment where environmental friendliness is a new competitive factor, companies need to shift from an end-of-pipe management model to a full-life-cycle environmental management model, achieving environmental friendliness in all activities from resource development, production, distribution, use, to waste management. Green supply chain management (GSCM) is a crucial tool for achieving this goal. Well-known foreign companies, such as IKEA, have gained competitive advantages in the global market by strengthening environmental management through GSCM, thereby cultivating a competitive edge in an increasingly fierce competitive environment. Environmental management is not only an inevitable requirement for enterprises due to the growing conflicts between resources, population, and the environment, but more importantly, companies can gain competitive advantages by enhancing their environmental management capabilities. Improving environmental management capabilities and efficiency is one of the effective competitive strategies and means for enterprises in the new competitive environment. For China's manufacturing sector, enhancing environmental friendliness through GSCM to gain competitive advantages is particularly important and urgent when facing the strategic opportunities of international manufacturing transfer and the challenges of a unified global market.
Preface Green Supply Chain Management
Since the 1990s, the concept of green supply chain management (GSCM) has begun to receive attention from academia and government agencies. For example, in 2000, the Swedish Ministry of Science and Technology funded the "Green Supply Chain Management—A Global Study on Environmental Work in the Electronics Industry" project, which researched environmental management practices in the electronics industry from a supply chain perspective. In 2000, the Dutch Ministry of Housing, Spatial Planning and the Environment (VROM) funded a study on "Green Food Supply Chain," which examined European agricultural policies, trends in the food market, the overall status of various countries, and the position and strategies of Dutch agriculture. The U.S. Environmental Protection Agency (EPA), in collaboration with other institutions, funded a research project in 2000 named "Lean and Green Supply Chain Management," with the main goal of providing guidance for companies to implement GSCM. The EPA has published a series of guiding documents on GSCM. Currently, research on GSCM is still in its early stages, with many scholars conducting extensive studies on the application of GSCM through case summaries. Some domestic scholars have begun to introduce foreign research findings. Since 2000, our research in this field has been supported by the National Natural Science Foundation of China under the Major Project (Advanced Manufacturing Models and Management, 59990470—4), focusing on how to ensure that companies can proactively implement GSCM (most companies believe that implementing environmental management will increase operational costs, thus being unwilling or passively engaged in environmental management). It analyzes the obstacles faced in GSCM operations from a theoretical perspective (though some scholars have conducted empirical research on the obstacles of implementing GSCM, they have yet to analyze and explain them theoretically). It explores and establishes the driving mechanisms for GSCM operations from perspectives such as cultivating the operational environment, regulating market competition, and member coordination. In subsequent work, this research was supported by the National Natural Science Foundation of China under the project (Research on the Interactive Process of Large-Scale Development of Gas Stations and Gasoline Vehicles, G0222208), applying the preliminary research findings to clean energy utilization behavior and achieving phased results. This book is a summary and extension of the aforementioned research activities, analyzing and summarizing research progress on GSCM both domestically and internationally, introducing analytical tools for GSCM—material flow analysis and life cycle assessment techniques. It analyzes the obstacle factors in GSCM operations from perspectives such as externalities, information asymmetry, and self-interested behavior of supply chain members. It explores how to overcome the obstacle factors mentioned in the book from angles like cultivating the operational environment, regulating market competition, and member coordination. It establishes evaluation methods and indicator systems for GSCM operational performance using the Supply Chain Operations Reference Model (SCOR). Although this research has been conducted for over five years, due to the limited knowledge and imperfect knowledge structure of the researchers, the content of this book is confined to only a few limited points, making it unable to fully reflect the overall picture of GSCM research. In fact, GSCM research has not been conducted for long, and there are many areas requiring in-depth study. Of course, it requires the comprehensive application of theories and methods from various disciplines, especially theories and tools from the field of environmental management. For example, the operational performance of GSCM in this book for evaluating the overall environmental performance of the supply chain could achieve better results by using methods such as life cycle assessment and material flow analysis. Operations research and optimization theories and methods can be applied to operational planning, inventory management, and other aspects based on GSCM principles. Theories of technological innovation and knowledge management can be applied to the provision and sharing of green technologies, which have positive externalities.
During the writing of this book, references were made to the works and literature of many domestic and international peers. In the references, the research findings of these scholars have been listed as much as possible, but it is inevitable that some have been omitted. Special thanks are extended to the peers in this field for their pioneering research, which has inspired the birth of this book. At the same time, this book has referenced many cases to improve the knowledge system, and most of the material comes from the internet, academic journals, or professional books. In the case summaries, relevant materials from several sources have often been integrated. Sincere thanks are given to the providers of case materials and analysis. The completion of this book was supported by the National Natural Science Foundation of China under the projects (Management Research on the Development Strategy of China's Manufacturing Industry (70433003)) and (Research on the Interactive Process of Large-Scale Development of Gas Stations and Gasoline Vehicles (G0222208)). It was also supported by the Open Project of the National Key Laboratory of Systems Engineering in Mechanical Manufacturing and the Natural Science Foundation of Xi'an Jiaotong University. Due to the limited capabilities of the authors, this book may have inaccuracies or errors in terms of topic selection, material selection, and reviews of various aspects. We sincerely welcome readers to point out any shortcomings and provide timely feedback.