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Wal mart a green sustainable supply chain

That supply chain focus now means that "What was once largely about our own operations has shifted into helping rewire whole systems.

And to show how far the influence has come, McMillon states that "Ultimately, we believe that serving customers and society is the same thing. There are profound impacts from a philosophies embodied in those last two quotes, certainly at minimum in adding new dimensions to traditional supply chain analysis and tradeoff curves.

In this article, TheGreenSupplyChain.

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For more detail in other areas, the full report can be accessed here: Walmart 2016 Global Responsibility Report.

Supply Chain and Logistics Activities and Progress Walmart says it is committed to increasing the share of its procurement spend from "diverse-owned business," but seems from its numbers to be struggling to make much progress.

In this year's report, Walmart references that program, but does not provide a lot of detail on the results, other than to say it is "on track" to reach its 2023 goal. Of course, a number of years ago now Walmart began its Sustainability Index for suppliers, and over the past few years has emphasized that those evaluations are having more impact on sourcing decisions.

Naturally, reducing energy consumption is a big element of Walmart's sustainability program, broken into two areas, its own energy consumption and that of its extended supply chain.

Walmart provides a summary of its progress in both areas in the table below. For its own operations, Walmart says that at the end of 2015 it had more than 470 on-site and off-site renewable energy projects in operation or under development in seven international countries and 17 US states. Interestingly, however, the amount of renewable energy Walmart contracted for in 2015 over 2 billion kWh actually fell a bit from 2014 levels, for a variety of reasons.

Still, the number was about double the level in 2012.

Wal-Mart Scrutinizes Supply-Chain Sustainability

Among Walmart's initiatives last year was bringing a wind farm in Texas on-line. With increasing growth, however, Walmart says it total carbon footprint is increasing, but at a level of about one-third of its business growth, as measured by retail square footage, from 2005-2014, as shown in the graphic below.

Walmart 2016 Global Responsibility Report Why 2015 was not included in the dataset, nor the results for CO2 versus changes in unit growth, is not clear. GHG emissions from transportation fuel, it should be noted, represented only 5. In addition, Walmart says that last year it achieved its 2005 goal of doubling the efficiency of its private fleet by the end of 2015, based on the metric of the number of cases of products shipped per gallon of fuel burned.

  1. In the last year, those visits included interviewing fishermen on tuna boats in Southeast Asia, speaking with tomato farmer in fields and greenhouses, hearing from smallholders and ranchers near the forests of Brazil, and holding working sessions with small producers in Mexico.
  2. He can be reached at bblock worldwatch.
  3. Again, the full report can be found here.
  4. Allegheny College's Maniates said that a sustainability label, while a laudable goal, may overwhelm consumers with information.

Some of that improvement has come from advances in truck and engine technology but more from more efficient techniques for loading, routing and driving.

Interestingly, Walmart notes that "there is no greater controllable impact on a truck's efficiency performance than the driver of that truck. There's more, such as Walmart's progress towards a "zero waste" future, but you get the idea.

  • The report covers much ground across other areas, such as workforce development and local communities;
  • It also would not bring about environmental improvements throughout a supply chain as effectively as avoiding unsustainable products all together, he said.

Again, the full report can be found here. Any reaction to Walmart's 2016 Sustainability report? Let us know your thoughts at the Feedback button below.