How supply chain assessments provide a detailed approach to packaging sustainability

Supply chain assessment is a critical process for achieving comprehensive sustainability within the paper and packaging industry.

It involves a systematic evaluation of the environmental and social impacts associated with each stage of a packaging product’s journey, from the sourcing and extraction of raw materials, through manufacturing and transportation, to consumer use and end-of-life management (disposal or recycling).

This assessment provides a holistic view, enabling companies to identify areas of both risk and opportunity within their extended value chain. Additionally, a thorough supply chain assessment provides key insights into a company’s overall environmental footprint. This includes a detailed evaluation of the following:

Raw Material Sourcing: Assessing the sustainability of raw materials, including factors such as responsible forestry practices, the use of recycled content and the environmental impact of extraction processes.

Manufacturing Processes: Analyzing energy consumption, water usage and waste generation associated with the production of packaging materials and the final packaging itself.

Transportation and Logistics: Evaluating the emissions and environmental impact of transporting raw materials, packaging components and finished goods throughout the supply chain.

Supplier Practices: Examining the environmental and social responsibility practices of suppliers, including their adherence to labor standards, human rights and environmental regulations.

End-of-Life Management: Assessing the recyclability, compost ability and biodegradability of packaging, as well as the efficiency of collection and processing systems.

Several factors drive companies to conduct supply chain assessments:

Consumer Demand: Increasing consumer awareness of environmental and social issues leads to a demand for greater transparency and sustainable packaging options.

Retailer Expectations: Major retailers are setting ambitious sustainability targets and requiring suppliers to meet specific environmental criteria.

Regulatory Pressures: Evolving government regulations are placing greater responsibility on companies to manage the environmental impact of their packaging and reduce waste.

Risk Mitigation: Proactive assessment helps companies identify and mitigate potential risks within their supply chain, such as disruptions in material supply, reputational damage and non-compliance with regulations.

Opportunity Identification: Supply chain assessments can reveal opportunities for cost savings, efficiency improvements and the development of more sustainable packaging solutions.

Collaborating with suppliers to implement sustainable practices yields significant benefits, like reducing environmental impact (lowering emissions, minimizing waste, conserving resources), achieving cost savings (optimizing logistics, reducing material usage, improving energy efficiency), enhancing brand reputation (demonstrating commitment to sustainability and appealing to consumers) and fostering innovation in materials and technologies.

Related: How to communicate your sustainability efforts

Key steps in supply chain assessment include mapping the supply chain (identifying suppliers, materials and processes), establishing sustainability criteria (defining performance expectations), data collection and analysis (gathering information on supplier practices), supplier evaluation (assessing against criteria), collaboration and improvement (implementing changes for progress) and ongoing monitoring and reporting (tracking performance).

By prioritizing supply chain assessment, packaging companies can gain a deeper understanding of their environmental impact and drive meaningful progress toward a more sustainable future for their products and the industry.

Are you seeing interesting developments regarding sustainability in the plastics and packaging industry? We want to hear about it! Contact Jesse Warnke at (336) 217-9102 or jesse.warnke@charlesaris.com.