Sustainable supply chain management in automotive industry- Supplier company relationship and Integration management challenge

Masoud Zafarzadeh, Hariram Vedapatti Ranganathan, Martin Kurdve


Growing competition in automotive industry has forced companies to have serious attention towards the sustainability concept. Obviously environmental, social and economic challenges do not only happen inside companies, but rather involves the whole supply chain process. Most of the practical efforts are focusing on manufacturing phase and less attention has been paid to supply and distribution areas. However, it is not possible to achieve a sustainable supply chain unless the current situation is accurately mapped and long term policies toward a sustainable future state are defined. In this respect, the authors consider two major challenges, first supplier coordination with sustainability requirements and second investigating the alliance of current managerial policies. In theory, the paper aim is to represent sustainable supply chain management by focusing on supplier company relations. Integration as a vital element to meet sustainable supply chain is discussed by exploring the coherence of lean and green with sustainability. In practice, three leading automotive companies* Sustainable Supply Chain Management (SSCM) systems (TOYOTA, VOLVO and Volkswagen) are investigated in order to figure out their perspective toward SSCM.

Key words: Sustainability, Supply chain management, Automotive Industry, Supplier, Integration, Environment, Lean  

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