Ethical Discussion on Supply Chain and Environment Investments: Colombian Case

Ethical Discussion on Supply Chain and Environment Investments: Colombian Case

Andrés Lopez Astudillo (Universidad Icesi, Colombia), Carlos Hernán Hernán Fajardo-Toro (Universidad EAN, Colombia) and Alvaro José Fajardo-Toro (Universidad Icesi, Colombia)
Copyright: © 2020 |Pages: 24
DOI: 10.4018/978-1-7998-0315-7.ch012

Abstract

This chapter presents the importance of understanding how a country's competitiveness is evaluated according to international reports as well as in specific terms that assess the country logistics achieved. These results show the main variables to determine why certain levels of competitiveness are reached. On the other hand, a reflection will be presented, showing that it is necessary to include variables that must be taken into account, that promote or will be possible barriers to sustainable development, which in the long term define the sustainable development of a country. Subsequently, the structure of the supply chain management (SCM) proposed by different authors and which is required to allows to define in a company what are the elements required to be able to structure of its SCM are shown. Additionally, a relationship between the elements necessary for development of competitiveness and sustainability will be established, integrating these components with the concepts of the SCM, where the results will be environmental SCM, i.e. ESCM.
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Introduction

The United Nations Framework Convention on Climate Change (UNFCCC), describes the adaptation to climate change includes several programs that countries should realize. These Programs should have integrated social and economic actions in order to minimize the adverse effects on the economy, offer a good public health program for the population and the improvement the environment quality (UNFCCC, 2012).

On the other hand, IPCC (Intergovernmental Panel on Climate Change), identifies three factors that are considered most vulnerable to climate change such as:

  • 1.

    The effects on rainfall and winter seasons affecting agriculture, making necessary the development of new capabilities to farmers;

  • 2.

    The effects of the “El Niño” phenomena periods and its consequences on crops; and

  • 3.

    The production of food using adequately water resources.

This situation becomes critical in low-income countries, where investments are needed in their vulnerable geographical areas. In these countries, the resilience capacity is dependent on the resources and the investments made to mitigate and adapt the climate risks, as well as the attitude of the communities and the government ability to improve the well- being and quality of life of its citizens (Business and climate change adaptation, 2012).

These countries have developed national programs for adaptation and action (NAPAs). These programs are oriented to respond to special circumstances, which according to the OECD, should be focused on actions related to agriculture. To achieve this aim, the programs should focus on the efficiency on water use and irrigation, the care of watersheds to increase the capacity of reservoirs, the anticipation to possible disasters caused by sea-level rise in coastal areas, improve the health conditions related with medical treatments, prevention, and immunization, and finally, improving communication systems, access to energy sources, transportation and education access.

The SCM is the area in charge of organizations, responsible for implementing programs that allow an organization to be present in markets, through the platforms that constitute the transport and communication systems of a country.

The main aim of this chapter is to show a theoretical exposition of what is Supply Chain Management showing the different approaches of different authors that are considered representative of this field and, subsequently exposing the definitions associated with sustainable supply chain management. Later, some literature will be presented to finally make a reflexion about the Colombian case.

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The Supply Chain Management (Scm) – A Background

The supply chain allows the organization to develop a management system that creates the possibility of:

  • Apply the ability to anticipate the needs of the markets and the consumer, the possibility of understanding the processes aimed at integration with logistic activities;

  • Facilitate the development and integration of logistics processes with the processes described for quality management in the areas of transport, storage, planning and purchasing;

  • Identify the correct acquisition of working capital assets;

  • Have the ability to optimize the logistics networks of goods and services, present the bases in logistics management to contextualize;

  • Determine the concept and develop supply chain management based on cross-cutting business processes, integrating customers and suppliers.

The supply chain management (SCM) at organizations is designed through the transversal processes of the businesses; these processes are integrated with customers and suppliers through the activities they configure, information flows, the flow of money and especially, those processes that allows the construction of value in the market where the organizations participates.

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