Related Experiment Videos
Companies' contribution to sustainability through global supply chains
Tannis Thorlakson1, Joann F de Zegher2, Eric F Lambin3,4,5
1Emmett Interdisciplinary Program in Environment and Resources, Stanford University, Stanford, CA 94305; thorlaks@stanford.edu elambin@stanford.edu.
Summary
Many companies use sustainable-sourcing practices, but these efforts are often limited in scope and focus on basic compliance. Consumer pressure drives adoption, yet significant challenges remain in addressing global sustainability goals.
Area of Science:
- Environmental Science
- Business Ethics
- Supply Chain Management
Background:
- Global supply chains significantly impact environmental and social challenges aligned with the UN's Sustainable Development Goals (SDGs).
- Companies are increasingly implementing voluntary practices to enhance environmental and social management within their supply chains.
Purpose of the Study:
- To investigate how publicly listed companies in the food, textile, and wood-product sectors contribute to SDGs through sustainable-sourcing practices.
- To assess the scope and focus of current corporate sustainable-sourcing initiatives.
Main Methods:
- A global survey of 449 publicly listed companies across food, textile, and wood-product sectors.
- Analysis of company annual reports in English to identify sustainable-sourcing practices.
Main Results:
- 52% of surveyed companies employ at least one sustainable-sourcing practice.
- These practices are often narrow in scope, covering few materials (71%) and primarily first-tier suppliers (60.5%).
- Practices predominantly address labor rights and legal compliance, with limited coverage of broader SDG challenges.
Conclusions:
- Corporate sustainable-sourcing practices offer opportunities but face limitations in addressing the full spectrum of global sustainability issues.
- External pressures, particularly from consumers and civil society, are key drivers for adopting these practices.