Sustainability In Supply Chain Management Casebook

Transcription

Sustainability in SupplyChain ManagementCasebookLeon Book 1.indb i7/1/13 10:58 AM

Leon Book 1.indb ii7/1/13 10:58 AM

Sustainability in SupplyChain ManagementCasebookApplications in SCMSteven M. LeonLeon Book 1.indb iii7/1/13 10:58 AM

Vice President, Publisher: Tim MooreAssociate Publisher and Director of Marketing: Amy NeidlingerExecutive Editor: Jeanne Glasser LevineOperations Specialist: Jodi KemperMarketing Managers: Megan Graue, Lisa LoftusCover Designer: Chuti PrasertsithManaging Editor: Kristy HartSenior Project Editor: Jovana ShirleyCopy Editor: Cheri ClarkProofreader: Sarah KearnsIndexer: Erika MillenCompositor: Nonie RatcliffManufacturing Buyer: Dan Uhrig 2014 by Steven M. LeonPublishing as PearsonUpper Saddle River, New Jersey 07458Pearson offers excellent discounts on this book when ordered in quantity for bulk purchasesor special sales. For more information, please contact U.S. Corporate and Government Sales,1-800-382-3419, corpsales@pearsontechgroup.com. For sales outside the U.S., please contactInternational Sales at international@pearsoned.com.Company and product names mentioned herein are the trademarks or registered trademarksof their respective owners.All rights reserved. No part of this book may be reproduced, in any form or by any means,without permission in writing from the publisher.Printed in the United States of AmericaFirst Printing July 2013ISBN-10: 0-13-336719-3ISBN-13: 978-0-13-336719-5Pearson Education LTD.Pearson Education Australia PTY, Limited.Pearson Education Singapore, Pte. Ltd.Pearson Education Asia, Ltd.Pearson Education Canada, Ltd.Pearson Educación de Mexico, S.A. de C.V.Pearson Education—JapanPearson Education Malaysia, Pte. Ltd.Library of Congress Control Number: 2013938330Leon Book 1.indb iv7/1/13 10:58 AM

ContentsPart 1Disaster Response: Social and FinancialImpacts . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 1Chapter 1The Armenia Earthquake: Grinding Out an EffectiveDisaster Response in Colombia’s Coffee RegionAlfonso Pedraza Martinez, INSEAD; Catalina Estrada Mejia,UniAndes School of Management; Orla Stapleton INSEAD;Luk Van Wassenhove, INSEAD . . . . . . . . . . . . . . . . . . . . . 3Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4The Earthquake . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .4The Relief Chain. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .6Planning and Preparedness . . . . . . . . . . . . . . . . . . . . . . . .6Assessment . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .8Resource Mobilisation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9Financial. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9Human Resources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .9Organisational Set-up . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .10Procurement and Donations . . . . . . . . . . . . . . . . . . . . . . . .12Transportation. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .13Tracking and Tracing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .15Stock Asset Management . . . . . . . . . . . . . . . . . . . . . . . . . . .15Extended Relief to Beneficiaries . . . . . . . . . . . . . . . . . . . . .17Monitoring, Evaluation and Reporting . . . . . . . . . . . . . . . .18Coordination and Collaboration. . . . . . . . . . . . . . . . . . . . . .19Conclusion. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .21Appendix 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .22Glossary of Organisations . . . . . . . . . . . . . . . . . . . . . . . .22Chapter 2Resilient Response and Recovery at Western Digital:After the Thai FloodJoe Bunya, Western Digital; Christopher Tang,UCLA . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 27Thailand Floods in 2011 . . . . . . . . . . . . . . . . . . . . . . . . . . . .30Western Digital in Thailand . . . . . . . . . . . . . . . . . . . . . . . . .31Before the Flood—Identifying, Assessing, andMitigating Risks . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .33Leon Book 1.indb v7/1/13 10:58 AM

viSUSTAINABILITY IN SUPPLY CHAIN MANAGEMENT CASEBOOKDuring the Flood—Resilient Response. . . . . . . . . . . . . . . .34After the Flood—Speedy Recovery . . . . . . . . . . . . . . . . . . .37The Sun Shines Again. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .38Chapter 3Global Effect of a Natural Disaster on a Lean SupplyNetworkMark Dolsen, Wayne State University and Tokai Rika GroupNorth America-Quality Safety Systems Company (TRQSS),Dr. Ratna Babu Chinnam and Dr. Kenneth Chelst, WayneState University. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 43Breaking News—Friday, March 11, 2011 . . . . . . . . . . . . . .43Background of TRQSS, Inc. . . . . . . . . . . . . . . . . . . . . . . . .46Assessment of the Supply Base . . . . . . . . . . . . . . . . . . . . . .48Trouble from the Other End of the Chain . . . . . . . . . . . . .49Preserving the Culture in a Downturn . . . . . . . . . . . . . . . .52What’s Next? . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .55Chapter 4Honda Automobile (Thailand) and Its Supply ChainDisruptionKraiwinee Bunyaratavej, Wesley College . . . . . . . . . . . . . 63Honda Automobile (Thailand) History . . . . . . . . . . . . . . . .63The Big Flood . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .64Financial Impact . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .66Other Plants . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .69Part 2Organizational Change, EnvironmentalSustainability, and Financial Analysis . . . . . . . . . . . . 71Chapter 5Going Green: The Pfizer Freiburg EnergyInitiative (A)Sam Aflaki and Paul Kleindorfer, INSEAD. . . . . . . . . . . . 73Pfizer and the Pharmaceutical Industry. . . . . . . . . . . . . . . .74Becker’s Portfolio: The Freiburg Energy Master Plan . . . .77The Wood-Pellet Boiler Project. . . . . . . . . . . . . . . . . . . . . .82Role of the Portfolio of Projects within Pfizer’sSustainability Agenda . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .86The Decision . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .88Appendix 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .89Kyoto Protocol, CO2 and Emissions Trading . . . . . . . . .89Leon Book 1.indb vi7/1/13 10:58 AM

CONTENTSChapter 6viiSandvik Coromant Recycling ConceptGal Raz and Michel Schlosser, University of Virginia. . . . 97Industry Overview. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .98Tungsten and Cobalt. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .100Company Overview. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .101Sandvik Tooling’s Supply Chain. . . . . . . . . . . . . . . . . . . . .103Manufacturing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .103Logistics . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .103R&D and New Product Development . . . . . . . . . . . . .103Multibranding . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .104Cooperation with Customers. . . . . . . . . . . . . . . . . . . . .104Quality . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .105Organization and Culture . . . . . . . . . . . . . . . . . . . . . . . . . .105Organization. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .105Culture . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .105The CRC at Sandvik Tooling . . . . . . . . . . . . . . . . . . . . . . .106Cemented Carbide Recycling . . . . . . . . . . . . . . . . . . . .106History . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .107The Reverse Supply Chain . . . . . . . . . . . . . . . . . . . . . .108In-house or Outsource?. . . . . . . . . . . . . . . . . . . . . . . . .109Environmental Impact. . . . . . . . . . . . . . . . . . . . . . . . . .110Pricing of Scrap . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .110Local Sales Organizations: The U.S. Example . . . . . . .110Chapter 7HeidelbergCement: Technology ChoiceUnder Carbon RegulationDavid Drake, Paul Kleindorfer, and Luk Van Wassenhove,INSEAD . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 123History, Growth and Landscape . . . . . . . . . . . . . . . . . . . .125The History of HeidelbergCement. . . . . . . . . . . . . . . .126The Competitive Landscape . . . . . . . . . . . . . . . . . . . . .128The Emergence of a Carbon Economy . . . . . . . . . . . . . . .129From Kyoto to Carbon Credits . . . . . . . . . . . . . . . . . . .129The European Union Emissions Trading Scheme. . . .131Emissions Regulation in European Cement . . . . . . . .133Leon Book 1.indb vii7/1/13 10:58 AM

viiiSUSTAINABILITY IN SUPPLY CHAIN MANAGEMENT CASEBOOKCement Operations and Carbon Impacts . . . . . . . . . . . . .136Kiln Operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .136Fossil, Alternative and Biomass Fuels . . . . . . . . . . . . .137Cement Blending and Clinker Substitution . . . . . . . . .140On the Horizon—Carbon Capture and Storage. . . . . .142The Benelux Cluster . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .144A Question of Impact and Survival . . . . . . . . . . . . . . . . . .146Chapter 8Electronic Waste: What to Do with It?Steven Leon, University of Central Florida. . . . . . . . . . . 161A Day at the Office . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .161Technology Changes. . . . . . . . . . . . . . . . . . . . . . . . . . . . . .162Repercussions of Changing Demandfor CRTs . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .163Industry Responsibility . . . . . . . . . . . . . . . . . . . . . . . . . . . .164Government Intervention. . . . . . . . . . . . . . . . . . . . . . . . . .165Supplier Oversight . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .167Good News . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .169Part 3Sustainability Throughout the Supply Chain . . . . . 171Chapter 9Better Tomorrow at Sodexo North AmericaJan Bell, S. Sinan Erzurumlu, Holly Fowler,Babson College . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 173Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .173Sodexo: Corporate Overview . . . . . . . . . . . . . . . . . . . . . . .175Supply Management Group . . . . . . . . . . . . . . . . . . . . .177The Better Tomorrow Plan . . . . . . . . . . . . . . . . . . . . . .179Sustainability Strategy and Priorities at SodexoNorth America . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .180“We Do” Protect the Environmentat NORAM . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .183Energy and Emissions . . . . . . . . . . . . . . . . . . . . . . . . . .184Water and Effluents. . . . . . . . . . . . . . . . . . . . . . . . . . . .186Local, Seasonal, or Sustainably Grown orRaised Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .187Sustainable Fish and Seafood . . . . . . . . . . . . . . . . . . . .188Moving Forward . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .190Leon Book 1.indb viii7/1/13 10:58 AM

CONTENTSChapter 10ixGroBaby Foods: Green SourcingSheneeta W. White, University of St. Thomas . . . . . . . . . 197Introduction . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .197Company Background . . . . . . . . . . . . . . . . . . . . . . . . . . . .198Competitive Pressures . . . . . . . . . . . . . . . . . . . . . . . . . .199Infant Purée Production . . . . . . . . . . . . . . . . . . . . . . . .200The Supply Chain . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .200The Sourcing Strategy . . . . . . . . . . . . . . . . . . . . . . . . . . . .201Developing a Green Sourcing Strategy . . . . . . . . . . . . . . .203The Challenge. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .204Discussion Questions . . . . . . . . . . . . . . . . . . . . . . . . . . . . .205Chapter 11Reducing Pollution Through Green LogisticsTom McNamara, ESC Rennes School of Business andErika Marsillac, Old Dominion University . . . . . . . . . . . 209Sources . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .213Part 4Social Sustainability Through Innovation . . . . . . . . 215Chapter 12Bosch: Creating Innovations Through ActiveCollaborationsMarina Mattera, Universidad Europea de Madrid . . . . . 217The Base of the Pyramid (BoP) . . . . . . . . . . . . . . . . . . . . .217Open Innovation . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .220Open Innovation: Robert Bosch GmbH . . . . . . . . . . . . . .222Continued Financial Success . . . . . . . . . . . . . . . . . . . . . . .222Business Sectors . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .224Automotive Industry . . . . . . . . . . . . . . . . . . . . . . . . . . .224Industrial Technology . . . . . . . . . . . . . . . . . . . . . . . . . .225Consumer Goods and Power Tools. . . . . . . . . . . . . . . .225Social Responsibility . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .226Innovation Production: R & Dand Operations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .227Bosch’s R & D Infrastructure . . . . . . . . . . . . . . . . . . . .228How to Proceed When Conducting R & D andOperations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .229Collaborations . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .231Innovation Production: Processes and Products . . . . . . . .233Processes and Procedures . . . . . . . . . . . . . . . . . . . . . . .233Products . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .235Leon Book 1.indb ix7/1/13 10:58 AM

xSUSTAINABILITY IN SUPPLY CHAIN MANAGEMENT CASEBOOKConclusion. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .239Questions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .240References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .241Chapter 13Max Foundation (A): Saving Children’s Lives ThroughBusiness Model InnovationMartijn Thierry, Strategy Consultant and Luk VanWassenhove, INSEAD. . . . . . . . . . . . . . . . . . . . . . . . . . . 243I. Creating Something Positive Out of a Tragedy . . . . . . .244II. The Vision and the Search. . . . . . . . . . . . . . . . . . . . . . .245III. Building the Base in the Netherlands . . . . . . . . . . . . .247IV. The First Steps in Bangladesh: LearningWhile Doing . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .248V. Challenges at Home . . . . . . . . . . . . . . . . . . . . . . . . . . . .251VI. Increasing Presence in Bangladesh . . . . . . . . . . . . . . .253VII. Envisioning the Next Step . . . . . . . . . . . . . . . . . . . . .255Max Foundation: Saving Children’s Lives ThroughBusiness Model Innovation (A) and (B) . . . . . . . . . . . .257Appendix 1 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .264Pictures of Joke and Steven in Bangladesh. . . . . . . . . .264Appendix 2 . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .266Additional Information on the ImplementationPartners in Bangladesh . . . . . . . . . . . . . . . . . . . . . . . . .266Overview . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .266Some Partner Specific Information . . . . . . . . . . . . . . .267Chapter 14Max Foundation (B): What Is the Best Route Forward?Martijn Thierry, Strategy Consultant and Luk VanWassenhove, INSEAD. . . . . . . . . . . . . . . . . . . . . . . . . . . 269I. Finding Partners for Growth . . . . . . . . . . . . . . . . . . . . .270II. Measuring and Analysing Impact forBetter Performance . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .271III. Developing One Marketing Strategy for aSpecific Donor Segment. . . . . . . . . . . . . . . . . . . . . . . . . . .273Chapter 15NH: Innovation and Knowledge Production ThroughActive Stakeholder ManagementMarina Mattera, Universidad Europea de Madrid . . . . . 275Creation of Innovations . . . . . . . . . . . . . . . . . . . . . . . . . . .275Leon Book 1.indb x7/1/13 10:58 AM

CONTENTSxiKnowledge Production and DiffusionLife Cycle . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .277Tourism Industry . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .279NH Hoteles History Overview . . . . . . . . . . . . . . . . . . . . . .281Corporate Profile: Mission, Vision, and Values . . . . . .283Knowledge Life Cycle at NH . . . . . . . . . . . . . . . . . . . . . . .284Business Process Environment . . . . . . . . . . . . . . . . . . . . .288Questions. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .295References. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .296Index . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . 299Leon Book 1.indb xi7/1/13 10:58 AM

About the AuthorSteve Leon is a Clinical Professor at the University of CentralFlorida and teaches supply chain and operations management inthe executive M.B.A., M.B.A., and undergraduate programs. Hisresearch focuses on sustainability, supply chains, and air transportation, which appear frequently in both academic journals and industrypublications. He routinely presents his research at both academic andindustry forums worldwide. He is a member of various associationsincluding the Council of Supply Chain Management Professionals(CSCMP) and is on the board of the Central Florida CSCMP RoundTable. Prior to his academic career, Steve had an 18-year career inthe airline industry, principally in flight operations, training, and satellite communications, in such roles as an airline pilot flying internationally and various management positions. Steve earned his Ph.D.in Transportation and Logistics from North Dakota State University,an M.B.A. with an International Business concentration from LoyolaUniversity Maryland, and a B.S. in Aeronautical Studies from theUniversity of North Dakota.Leon Book 1.indb xii7/1/13 10:58 AM

PrefaceI am delighted to bring you Sustainability in Supply Chain Management Casebook: Applications in SCM. We have distinguishedauthors and researchers from prestigious institutions bringing yousustainability cases from real world events that challenge the brightest minds. Sustainability in the supply chain isn’t new, however thefocus on sustainability in supply chains is on the rise. From corporatesocial responsibility, protecting the environment, managing scarceresources, maximizing stakeholder value, social and employee preservation; cases in supply chain sustainability are ripe for discussion.We look at sustainability from the vantage point of the triplebottom line: social, environmental and financial (people, planet andprofit). There are literally hundreds of sustainability decisions thatcan be made in which we have an incredible impact. Executives andmanagers have the opportunity to make these decisions in at leastfive areas of the supply chain: plan, source, make, deliver, and return.Sustainability decisions are made regarding the design of productsand services, packaging and materials, which suppliers to use, locationof suppliers, production methods to reduce waste, how much inventory to carry, what transportation modes to use, how much capacityto maintain, and what to do with products once they reach the end oftheir life cycle. As you can see, as a supply chain professional, if youwant to make an impact in the area of sustainability, you can. Thereis no shortage of potential areas to make an impact; all you have to dois look for it.Companies and organizations are faced with a myriad of conflicting objectives and goals. Business leaders must stay on top of fastmoving parts that often move in different directions. Increasing commodity prices, scarce resources, and increasing tax payments can hinder sustainable profits. Worker safety initiatives, fair wages, employeetraining, community health and hazardous waste disposal can becostly. Executives will continue to find it necessary to manage driversLeon Book 1.indb xiii7/1/13 10:58 AM

xivSUSTAINABILITY IN SUPPLY CHAIN MANAGEMENT CASEBOOKthat add costs, while at the same time try to increase margins. Thisis not new however, what is becoming more essential is to includesustainability initiatives into organizational strategies. Sustainabilitystrategies are necessary because customers, politicians and entirecommunities won’t stand for anything less.Customers increasingly care about where products and servicesare made, how they are produced and delivered, what they are madeof and who made them. Governments increasingly change regulations and implement new sustainability policies and regulations thatimpact both profit and non-profit organizations. Community leadersand their constituents demand that the welfare of their communitiesis sustainable. Communities expect companies to pay fair wages, payfair taxes and dispose of hazardous materials or waste in an environmentally friendly manner.Organizations are reviewing their strategies and operations fromnot only within their organizations; they are taking hard looks alongtheir supply chains to include suppliers, customers, and ultimate consumers. We have identified key areas in which our cases provide manyopportunities for in-depth discussions regarding sustainability in supply chains. As with many business decisions, there are no clear cut,one best decision for every company in every situation. Many factorsneed to be addressed and as such, we have compiled a list of excellentcases where executives and managers must decide what is best forthem, their supply chain partners and the communities in which theyreside and operate.In closing, I would like to thank all of the case authors for theirhard work and exceptional cases. Without them we would not havebeen able to provide this engaging publication to you. I would like alsoto thank Pearson Publishing for all of their support. I hope you enjoythe cases we have provided. I am sure you will find them full of discussion topics which will engage your students and class participants.Thank you,Steve Leon, PhDUniversity of Central Florida00 9780133367195 FM.indd xiv7/1/13 12:27 PM

IndexAAAUs (Assigned Amount Units), 130ABC News Business website, 66Aloshikha Rajihar SocialDevelopment Centre, 267ANDI (National BusinessAssociation of Colombia), 22Armenia earthquakeaidasset management, 16distribution, 17-18donations and procurement,12-13monitoring, 18-19tracking, 15transportation, 13-15assessment, 8conclusion, 21coordination/collaboration, 19-21organization, creating, 11overview, 4-6planning and preparedness, 6-8resourcesfinancial, 9human, 9-10assessing disasters, 8assetsrecovery (e-waste), 165management (disasterresponse), 16Assigned Amount Units (AAUs), 130auditing suppliers, 201Aungkur Pali Unnayan Kendra, 268automotive e-equipmentinnovations, 238-239BB2B (business-to-business)collaborations, 233Bangladesh Development Society(BDS), 268Base of the Pyramid. See BoPbattery cells, 237BDS (Bangladesh DevelopmentSociety), 268Benelux cluster, 144-146annual demand, 146annual requirements, 146cement blends by types, 146-155Better Tomorrow Plan. See BTPBoP (Base of the Pyramid), 218defined, 219goals, 218299Leon Book 1.indb 2997/1/13 10:58 AM

300INDEXOpen Innovation. See OpenInnovation modelsBoschbusiness sectors, 224automotive industry, 224-225consumer goods and powertools, 226industrial technologies, 225company overview, 222financial success, 223innovationsproduction processes, 233-235products, 235-239R&D, 228collaborations, 231-233culture/belief standards,establishing, 229-231infrastructure, 228-229social responsibility, 226-227sustainable company, creating,239-240BTP (Better Tomorrow Plan)changes, implementingenergy and emissions,184-186local, fair, and responsiblyproduced products, 187-188sustainable seafood, 189-190water conservation, 186-187fourteen commitments, 175global code of conductcompliance, 180impact from changes, measuring,183-184overview, 179-180Supplier Code of Conduct, 180supplier sustainabilitypractices, 179Leon Book 1.indb 300business model innovations(entrepreneurial-style socialventures)community involvement, 247, 250donor propositions, 248fundraising, 248growth partners, finding, 270-271impact, 256, 272local partners, managing, 255marketing strategies, 273-274no overheads model, 247presence, increasing, 253-255publicity, 248return per dollar spent,maximizing, 249-251business-to-business (B2B)collaborations, 233CCalifornia electronic wasteregulations, 167carbon capture and storage (CCS),142-144, 146carbon emissionsalternatives, 140-142Benelux cluster, 144-146capture and storage (CCS),142-144, 146cement operationscement blends, 140clinker alternatives, 141-142kilns, 136-137fuels, 138-140EU-ETSEuropean cement industry,133-136implementing, 132-133prices, 92regulations, 124-125overview, 131-1327/1/13 10:58 AM

INDEXGroBaby Foods, 206idling truck engines (cargo docks),211-213Kyoto Protocol, 129-131National Allocation Plans, 131NORAM, 186production innovations, 234reductions, 86supply chain sustainability,184-186transport modes, 120carbon tax to curb global warmingarticle website, 135cargo container facilities operationalefficiencyexamples, 213industry overview, 209-210OECD findings, 210problems, 211resource websites, 213solutions, 211-212CCS (carbon capture and storage),142-144, 146cement. See HeidelbergCementcemented carbides, 98prices, 121recycling, 106-107Centre for Research on theEpidemiology of Disasterswebsite, 33CHCs (chlorinated hydrocarbons),234clientsbusiness risks, reducing, 178changes, implementingenergy and emissions, 184186local, fair, and responsiblyproduced products, 187-188sustainable seafood, 189-190water conservation, 186-187Leon Book 1.indb 301301impact from changes,measuring, 184climate change program (Pfizer), 87clinker alternatives, 141-142cobalt, 100-101market prices, 110-113recyclability, 113-114collaborations (R&D)B2B (business-to-business), 233finance research institutions, 231governments, 233P2P (peer-to-peer), 231Colombian Institute for FamilyWelfare (ICBF), 22communication (disasters), 36, 38congestion pricing, 212CRC (Coromant RecyclingConcept), 97cemented carbide recycling,106-107culture, 106customer cooperation, 104environmental impact, 110history, 107in-house versus outsourcing,109-110local sales organizations, 111-112carbon emissions by transportmodes, 120cemented carbide prices andquantity collected, 121closing the loop, 119environmental impact data,120-121recyclability of tungsten andcobalt, 113-114sales, operating profit andnumbers of employees bybusiness area, 115tungsten and cobalt marketprices, 110-1137/1/13 10:58 AM

302INDEXreverse supply chain, 108-109scrap, pricing, 110sustainability policy, 116-118CRT recyclingchanging demand repercussions,163-164global dumping, 168government intervention, 165-167industry responsibility, 164-165stockpiles, discovering, 161supplier oversight, 168-169technology changes, 162-163websites, 162, 166culturepreservation during downturn,53-55Sandvik Tooling, 106customersbase assessment, 50-52cooperation (Sandvik Tooling),104Dde-manufacturing electronics, 165DEFRA (UK Department forEnvironment, Food and RuralAffairs), 120disassembling electronics, 165disaster responseaidasset management, 16distribution, 17-18donations and procurement,12-13monitoring, 18-19tracking, 15transportation, 13-15ANDI (National BusinessAssociation of Colombia), 22Armenia earthquake, 4-6Leon Book 1.indb 302assessment, 8communication consistency, 36coordination/collaboration, 19-21employee safety, 35financial impact (Honda), 66-69FOREC (Fund for theReconstruction of the CoffeeRegion), 22future considerations, 41global effects on lean supplychainsculture preservation indownturns, 53-55customer base assessment,50-52future workforce reductionpolicies, 56-57Honda cuts news article,60-61Japanese earthquake andtsunami overview, 44-46supply base assessment, 48-49ICBF (Colombian Institute forFamily Welfare), 22IFRC (International Federation ofRed Cross), 22multiple plant productionadjustments, 69-70operations, restoring, 39-40organization, creating, 11planning and preparednessearthquakes, 6-8floods, 33-34recoverymanaging, 37-38operations, restoring, 39-40time, reducing, 36Red Cross, 22resourcesfinancial, 9human, 9-107/1/13 10:58 AM

INDEXRSS (Social SolidarityNetwork), 22supply chain disruptions,minimizing, 35Thailand floods, 29-31, 64-66Western Digital factory flood,27-29distribution (disaster aid), 17-18donationsdisaster responses, 12-13donor propositions, 248Eecomeeting, 293EcoPlusHome, 235-236EIA (Electronic IndustriesAlliance), 165electronic waste2009 end-of-life statistics, 167EPA recycling informationwebsite, 169hazardous trail website, 163managingasset recovery, ng, 165refurbish and reuse, 165RERA (Responsible ElectronicsRecycling Act), 168stockpileschanging demandrepercussions, 163-164discovering, 161global dumping, 168government intervention,165-167industry responsibility,164-165supplier oversight, 168-169Leon Book 1.indb 303303technology changes, 162-163websites, 162Electronics Take Back Coalitionwebsite, 163employee safetydisasters, 35NH Hoteles, 287energy efficiency450 ppm scenario, 95changes, implementing, 185-186energy price growth per IEAscenarios, 95EU-ETSEuropean cement industry,133-136implementing, 1

Chain Management Casebook Leon_Book 1.indb i 7/1/13 10:58 AM. Leon_Book 1.indb ii 7/1/13 10:58 AM. Sustainability in Supply Chain Management Casebook . including the Council of Supply Chain Management Professionals (CSCMP) and is on the board of the Central Florida CSCMP Round Table. Prior to his academic career, Steve had an 18-year career in