SCM 300 Exam 3 Questions with
Verified Solutions
3 Parts of Corporate Social Responsibility (CSR) - ANS-- Legal and ethical: good
practices and good attitude toward customers/associates
- Serves the community/society: committed to programs and practices that benefit
society
- Environmental sustainability: earth-friendly business practices
Reasons to be Socially Responsible - ANS-- Avoid legal issues, government
regulations, fines
- Public relations
- Responsibility as a global citizen
- Business risks (political, resource shortage, population growth, climate change)
- Business opportunities (increased profits, lower costs, maintain business operations,
develop socially responsible competitive weapons)
SCM can help companies become SR by - ANS-- Eliminating waste
- Proliferation of legal and ethical business practices
- Make life better for humans (products, services, save lives, better organizational
operations)
SC can be irresponsible when - ANS-- Customer related issues
- Business partner related issues
- Labor related issues
- Culture related issues
- Country and community related issues
- Environment related issues
Supply Chain Catalyst - ANS-WalMart!
- Try to only use green suppliers (1st tier suppliers are only green if the 2nd tier
suppliers are)
- Working w/ ASU on sustainability index called, The Sustainability Index (TheSIS)
- Bullying other companies into being green
- They will share all their index numbers w/ competitors b/c they want to be the
trailblazers in becoming a huge green company
WalMart's 3 Sustainability Goals: - ANS-- Create 0 waste
- Operate with 100% renewable energies
- Sell products that sustain our resources and environment
, Key Indicator of a Green Company - ANS-Hiring the first sustainability team member in
a company is a key indicator of devotion and commitment to being sustainable long-
term
Sustainable SCM - ANS-Supply management
- Purchasing only what you need
- Efficient production, use everything you buy
Operations and production management
- Eliminate waste
- Minimize emissions
- HR (job safety, job satisfaction, morale, etc.)
Logistics, shipping, and distribution
- Fuel consumption, avoid traffic congestion, minimize emissions
- Storage requirements (real estate, energy to maintain, buildings, etc.)
- Reverse logistics (packaging disposal, repair, recovery, etc.)
Packaging (Design and Planning)
- Materials used, design, minimizing storage/transport space
- Size, shape, weight
SCM Sustainability Before You Begin Considerations - ANS-- Do consumers really want
sustainable products?
- Regional legislation
- The expense of being sustainable and if solutions are actually sustainable (product life
cycle)
- Lack of reliable sustainability metrics
- Similar products have very different supply chains, life cycle analysis
Challenges of Sustainable SCM - ANS-- New program? Developing Standards and
goals (How should a company develop internal goals, different groups require different
goals)
- Redesigning products can be difficult and expensive and risky
- Building sustainable supply chains take time and collaboration
Starbucks Straw Example - ANS-- Consumers decided one day that they no longer like
straws and that straws are bad
- Starbucks switched to drinkable lids
- It was tough for them to find a supplier for those kinds of lids
Rohner Textil Example - ANS-- Rohner Textil - fabric manufacturer
- They were burning waste to heat up dyes in textile making, thus emitting illegal toxic
smoke
- Learned they'd have to ship the waste to Spain to handle it properly; that's too
expensive
- Hired sustainability team
- Original supplier of dyes had 1600 colors and 16 were NON toxic
Verified Solutions
3 Parts of Corporate Social Responsibility (CSR) - ANS-- Legal and ethical: good
practices and good attitude toward customers/associates
- Serves the community/society: committed to programs and practices that benefit
society
- Environmental sustainability: earth-friendly business practices
Reasons to be Socially Responsible - ANS-- Avoid legal issues, government
regulations, fines
- Public relations
- Responsibility as a global citizen
- Business risks (political, resource shortage, population growth, climate change)
- Business opportunities (increased profits, lower costs, maintain business operations,
develop socially responsible competitive weapons)
SCM can help companies become SR by - ANS-- Eliminating waste
- Proliferation of legal and ethical business practices
- Make life better for humans (products, services, save lives, better organizational
operations)
SC can be irresponsible when - ANS-- Customer related issues
- Business partner related issues
- Labor related issues
- Culture related issues
- Country and community related issues
- Environment related issues
Supply Chain Catalyst - ANS-WalMart!
- Try to only use green suppliers (1st tier suppliers are only green if the 2nd tier
suppliers are)
- Working w/ ASU on sustainability index called, The Sustainability Index (TheSIS)
- Bullying other companies into being green
- They will share all their index numbers w/ competitors b/c they want to be the
trailblazers in becoming a huge green company
WalMart's 3 Sustainability Goals: - ANS-- Create 0 waste
- Operate with 100% renewable energies
- Sell products that sustain our resources and environment
, Key Indicator of a Green Company - ANS-Hiring the first sustainability team member in
a company is a key indicator of devotion and commitment to being sustainable long-
term
Sustainable SCM - ANS-Supply management
- Purchasing only what you need
- Efficient production, use everything you buy
Operations and production management
- Eliminate waste
- Minimize emissions
- HR (job safety, job satisfaction, morale, etc.)
Logistics, shipping, and distribution
- Fuel consumption, avoid traffic congestion, minimize emissions
- Storage requirements (real estate, energy to maintain, buildings, etc.)
- Reverse logistics (packaging disposal, repair, recovery, etc.)
Packaging (Design and Planning)
- Materials used, design, minimizing storage/transport space
- Size, shape, weight
SCM Sustainability Before You Begin Considerations - ANS-- Do consumers really want
sustainable products?
- Regional legislation
- The expense of being sustainable and if solutions are actually sustainable (product life
cycle)
- Lack of reliable sustainability metrics
- Similar products have very different supply chains, life cycle analysis
Challenges of Sustainable SCM - ANS-- New program? Developing Standards and
goals (How should a company develop internal goals, different groups require different
goals)
- Redesigning products can be difficult and expensive and risky
- Building sustainable supply chains take time and collaboration
Starbucks Straw Example - ANS-- Consumers decided one day that they no longer like
straws and that straws are bad
- Starbucks switched to drinkable lids
- It was tough for them to find a supplier for those kinds of lids
Rohner Textil Example - ANS-- Rohner Textil - fabric manufacturer
- They were burning waste to heat up dyes in textile making, thus emitting illegal toxic
smoke
- Learned they'd have to ship the waste to Spain to handle it properly; that's too
expensive
- Hired sustainability team
- Original supplier of dyes had 1600 colors and 16 were NON toxic
