Page 95 - OHS, July/August 2022

ThThe supply chain disruption should not break management efffforts fifitted within your company. Workers have the right to safety, and managers are responsible for keeping those in place.
Why Sustainability Matters
Putting sustainability in front of the supply chain delivers significant benefits to the company. As each organization forms its green initiatives, the supply chain is always part of this change. The shift comes from the pressure of key stakeholders to apply and lean towards sustainable practices and operations. The need to advance supply chain sustainability resonates with business leaders and is driven by supply-chain professionals. They understand the positive results it will bring—support their customers to do business with environmentally conscious companies, business continuity, cost savings, benefits to company reputation and reduce carbon footprint. To build a resilient and sustainable supply chain, companies must holistically assess factors that pose a significant threat—changing geopolitical conditions, access to raw materials and environmental impacts.
The supply chain disruption is halting companies’ stepping forward to sustainability. Safety cannot wait, so purchasing managers are willed to deal with critical suppliers and balance the needs of other departments. With new market entrants, managers’ buying decisions are altered and priorities of price and immediate product availability become compelling, the appropriate due
diligence when onboarding a new supplier is not implemented. Sustainability takes a backseat and suddenly becomes a complex issue, conflflicting with real-time problems and solutions.
No End in Sight
As businesses continue and warn their customers to experience delays as they contend with supply chain problems, the systemic issues and fragility go on. With freight costs remaining elevated, fuel charges at an all-time high, insurance costs rising, port situation worsening and the supply bottlenecks are all confluence factors hindering recovery and boosting inflation. Industry experts are predicting the global supply chain disruption will last another two years, yet there is no certainty. We still hope that everything returns to normal, but the concept of normalcy is slowly paving the way to a “new” normal.
Without setting aside product quality, safety and overall sustainability, employers and procurement managers must confront the supply chain upheaval. The more a company understands the risks, the better it can prepare within the organization. It is critical to assess whether your supply chain relies on a few suppliers and whether there is a need to expand and have more critical or alternative suppliers if the supply chain falters.
Cheryl Reep is the VP of Operations for SW Safety Solutions Inc.
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