SHENZHEN, presidentpost.id – On May 16, TUV Rheinland and the Alliance for Water Stewardship (hereafter known as “AWS”) hosted a symposium entitled Environmental Supply Chain Management Under the New Normal 2018, Tuesday (6/12).
Experts from industry associations, businesses, and higher education gathered in Shenzhen to discuss industry environmental management, sustainable water management, green supply chains, and other trending topics concerning how businesses can cut emissions and achieve green production.
Frank Dorssers, Vice President Systems, Customized Services at TUV Rheinland Group, said during his speech: “Environmental risk develops in a dynamic way. It affects every brand supply chain and is connected to every citizen. TUV Rheinland will do all it can to help Chinese enterprises refine their environmental supply chain management and support the green, orderly, and sustainable development of China’s industrialization.”
China’s economic development has shifted from that of a traditional industrial economy to a green economy where economic development and the ecological environment co-exist in harmony. The government is now strengthening its environmental monitoring efforts. Under the Environmental Protection Law passed in 2015, environmental protection agencies now have the authority to order illegal polluters to cut or cease production altogether.
The Ministry of Environmental Protection was renamed the Ministry of Ecology and Environment in 2018. The new environmental protection tax and introduction of regular environmental audits mean that brands and suppliers are now facing with more challenges in compliance. The “Schaeffler Disruption” that occurred in September 2017 highlighted the supply chain risks brought about by the automotive industry’s long-term neglect of pollution problems in the supply chain.
China is now embarking on a large-scale campaign of environmental governance due to the severity of its air, water, and soil pollution. Strengthened environmental monitoring is now inevitable. The continued escalation of environmental issues in China represents serious challenges for brand-name enterprises. How can they effectively tackle the pollution problems caused by industrial production in order to follow the path of eco-friendly, energy-saving, and low-carbon green development?
Industry experts including Zhenzhen Xu (AWS), Yizhi Wang (CNTAC, China National Textile and Apparel Council), Danli Xi (Professor of Environmental Engineering and Ph.D. Supervisor at Donghua University), Chaochao Chen (WWF, World Wildlife Foundation), Haijiang Zhang (TNC, The Nature Conservancy), and Yuan Yuan (IPE, Institute of Public & Environmental Affairs) shared their research and insights from different perspectives.
Business representatives such as Jason Ho (Global Procurement Director, DELL) and PUMA’s senior managers for supply chain sustainability Vincent Chen and his colleague Andrew Lishared details on their respective brands’ experiences with implementation.
Generally speaking, businesses should not restrict themselves to ensuring their own environmental compliance. They should also push for the overall sustainability of their business with a particular emphasis on cooperation and mutual success with supply chain partners.
They must continuously pay attention to the latest developments in environmental requirements for supply chains. Effective supervision is essential to avoiding unexpected problems impacting production and reputation, and to achieving sustainable development with a win-win outcome.
Globalized supply chains are now commonplace in the industry. Large enterprises may have suppliers spread across dozens of countries worldwide. If environmental compliance is not in place across the entire supply chain, how can it output “green” products?
In the West, where strong emphasis is placed on corporate social responsibility, the supply chain is an important indicator of business performance. How well green supply chain management is practiced has an effect on environmental protection in the region where the supply chain is located, as well as on the environmental image of the business itself. Businesses in China today need to pay more attention to environmental supply chain management. Uniform global standards must be adopted in order to turn their supply chains “green.”
The new TUV Rheinland supply chain environmental risk assessment tool can help businesses identify external risks and carry out environmental risk assessments. The three dimensions of Environmental Policy Survey, Environmental Characteristics Analysis, and Environmental Performance Assessment help businesses conduct total reviews and implement environmental management for global suppliers.
- Environmental Policy Survey: Identify environmental policies and potential risks to the brand/enterprise within a specific time based on industry and regional characteristics. National policies in China, environmental background, and input from experts with professional experience are combined to provide an independent risk assessment.
- Environmental Characteristics Analysis: Existing information and techniques are used to assess a factory’s geographic characteristics, environment features, polluting elements in the production process, and pollution prevention performance at the production and equipment level. The environmental characteristics indicators are then analyzed. Brands can then go from the macroscopic to the microscopic level in “peeling the onion” on the factory’s environmental management problems/risks.
- Environmental Performance Assessment: Production pollution and pollution control form the starting point for a comprehensive examination of every aspect, including facilities, systems, personnel, and operations, to assess process compliance and the effectiveness of operational management. Potential risk areas and severity are assessed to establish the current level of environmental risk at brand suppliers. Brand suppliers are then offered solutions on how to effectively manage environmental risks throughout the entire supply chain. (PRN/TPP)