Last week the new semester at Munich University of Applied Science (MUAS) started and so did my lecture about "Supply Chain Sustainability". During the first session with my students, we contemplated the important role that sustainability plays in the development of supply chain practices. Knowing that it is crucial for organizations to incorporate sustainable practices in their operations, the main challenge which many are still facing is figuring out where to start when it comes to incorporating sustainability into their supply chain practices. Or how to align their supply chain practices with sustainability aspects. The students asked me the same: "Where do companies usually start?" Well, it is a question that is regarded with uncertainty and concern in the business world. However, by engaging in discussions and exploring potential starting points, organizations begin to identify ways in which they can make changes to existing equipment or products to be more sustainable and circular.
We also discussed supportive tools such as the materiality matrix, which can help organizations to identify the most significant economic, social, and environmental issues related to their operations. By prioritizing the most relevant issues, organizations can focus their efforts and resources on the areas that will have the greatest impact. Materiality matrices can be used as a tool for sustainability reporting and for developing sustainability strategies that align with the organization's goals and values.
In 2015 the United Nations set international Sustainable Development Goals in its 2030 agenda. In addition to materiality matrices, the 17 Sustainability Development Goals (SDGs) supply a framework for organizations to show sustainability priorities and strategies. The SDGs supply a common language and agenda for sustainability. Organizations can use the SDGs to find the areas where they can make the most significant contribution to sustainable development and align their sustainability initiatives with global goals.
Combining a materiality matrix and SDGs, organizations can set up the right priorities and strategies for their sustainability initiatives. They can name the areas where they can have the most significant impact and focus their efforts and resources on those areas.
For me it is understandable that many organizations feel hesitant to make significant changes to their supply chain practices. This could be because the company or organization is not familiar with sustainable practices, or because they are concerned about the costs and potential risks associated with making changes to their supply chain processes. The solution to this problem is to provide more guidance and support to help the company or organization feel more comfortable and confident in their efforts to implement sustainable practices. This could involve supplying training, resources, and expert advice on sustainability best practices, as well as ongoing support and feedback to help ensure that the changes are successful and sustainable over the long term.
As an expert for supply chain transformation through education, PMI plays a critical role in preparing the next generation of supply chain professionals to incorporate sustainability into their practices. Our education curriculum emphasizes the importance of sustainability and provides students with the tools and knowledge they need to create sustainable supply chain practices. I aim to prepare my students to become an active contributor in sustainable supply chain practices and to drive positive change in the industry. I am looking forward to next week to continue my discussion with the twenty-somethings in my seminar! Next topic will be how to use the results of the materiality matrix (Part 2 of 4).
