Handbook on the Sustainable Supply Chain
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Handbook on the Sustainable Supply Chain

Edited by Joseph Sarkis

Supply chain management has long been a feature of industry and commerce but, with increasing demands from consumers, producers are spending more time and money investing in ways to make supply chains more sustainable. This exemplary Handbook provides readers with a comprehensive overview of current research on sustainable supply chain management.
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Chapter 25: Sustainable supply chains and energy: where ‘planet’ meets ‘profit’

Árni Halldórsson, Caroline Sundgren and Jessica Wehner

Abstract

This chapter focuses on sustainable development of supply chains through energy efficiency, with a particular focus on logistics. It is argued that energy efficiency allows managers to unite economic and environmental reasoning in their decision-making and actions. First, consideration of different system levels such as activities, technology, actors and design of supply chain opens up a broad range of improvement options. Managers must identify system levels in which improvements should take place. Second, managers must understand how principles of supply chains such as flexibility, cost-efficiency and responsiveness set the conditions for energy consumption of logistics activities. To illustrate how improvement efforts can be addressed, the chapter presents examples of four different system levels: freight capacity, last-mile fulfilment options (downstream), sourcing and supply management (upstream), and reverse logistics and closed-loop supply chains.

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