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Scenario and strategy planning for transformative supply chains within a sustainable economy

Melkonyan, A; Krumme, K; Gruchmann, T; Spinler, S; Schumacher, T; Bleischwitz, R; (2019) Scenario and strategy planning for transformative supply chains within a sustainable economy. Journal of Cleaner Production , 231 pp. 144-160. 10.1016/j.jclepro.2019.05.222. Green open access

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Abstract

Supply chain effectiveness and general societal prosperity, as well as economic and ecological productivity will be highly affected in the next decades, entailing challenges for the supply chain and logistics sector. Thereby this sector plays a significant role within the transformation process of economic systems, yet the capacities of it remain up till now underestimated. This paper suggests a holistic approach to assess transformation potential of the supply chain and logistics sector towards more sustainable economic systems while defining innovative business strategies to meet future macroeconomic developments. This is achieved through an integrated assessment of production and consumption systems, considering the interests of the key stakeholders. Moreover, the paper combines advanced methods to develop future macroeconomic scenarios and to assess the strategic business opportunities of the supply chain and logistics sector addressing societal developments, e.g. new consumption patterns. The analysis relies on modern theories of Environmental and Ecological Economics, contributing to transformation theories. Moreover, the innovative role of supply chain and logistics management in achieving sustainable macroeconomic goals at regional and international levels is addressed. The results of the scenario analysis show that the innovation potential is the highest if the consumers exert pressure on the industry and the global governance policy sets favorable conditions for the supply chain/logistics sector to implement innovative and sustainable strategies. To address this scenario, the logistics service providers should extend their business portfolios, becoming a “lead sustainability service provider” (6 PL). If both governmental regulations and consumer requirements for sustainability are at a low level, the innovation rate in the sector can slightly increase, if the logistics service providers focus solely on economic 2 performance indicators, such as cost and time efficiency, by applying new technologies or management methods. This scenario represents a realistic case, since the logistics providers are forced to innovate their business models to a certain extent, due to high competition in the sector. Based on the findings, a strategy roadmap of the supply chains and logistics sector is developed in the sense of a transformative force to address future potential macroeconomic changes, providing managerial implications and policy recommendations

Type: Article
Title: Scenario and strategy planning for transformative supply chains within a sustainable economy
Open access status: An open access version is available from UCL Discovery
DOI: 10.1016/j.jclepro.2019.05.222
Publisher version: https://doi.org/10.1016/j.jclepro.2019.05.222
Language: English
Additional information: This version is the author accepted manuscript. For information on re-use, please refer to the publisher’s terms and conditions.
Keywords: sustainable macroeconomics, sustainable supply chains, scenario-strategy development, sustainable consumer, transformation roadmap
UCL classification: UCL
UCL > Provost and Vice Provost Offices
UCL > Provost and Vice Provost Offices > UCL BEAMS
UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of the Built Environment
UCL > Provost and Vice Provost Offices > UCL BEAMS > Faculty of the Built Environment > Bartlett School Env, Energy and Resources
URI: https://discovery.ucl.ac.uk/id/eprint/10076535
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