Benchmarking self-declared social sustainability initiatives in cocoa sourcing

2018 ◽  
Vol 25 (9) ◽  
pp. 3986-4008 ◽  
Author(s):  
Sumit Kishore Lalwani ◽  
Breno Nunes ◽  
Daniel Chicksand ◽  
Dev Kumar (Roshan) Boojihawon

Purpose The purpose of this paper is to examine the self-declared sustainability initiatives of the world’s four largest chocolate manufacturers (Ferrero, Mars, Mondelez and Nestlé) and the measures they take to tackle social problems within the context of establishing sustainable sourcing of cocoa in Ghana and the Ivory Coast. Global cocoa supply chains are under continuous media and public scrutiny. Recent incidents of malpractice in supply chain management have left global chocolatiers vulnerable in terms of how they deal with social issues across their global supply chain networks. Critics have argued that there is a lack of consistency and transparency between what companies say and do in upholding sustainable practices across their supply chains. Design/methodology/approach The authors draw from the sustainable supply chain literature to develop our theoretical parameters and undertake a case-based analysis of the existing sustainability practices of these chocolatiers. Using the insights from this analysis, the authors propose a conceptual framework for a rigorous comparative assessment of self-declared sustainable sourcing initiatives of global agricultural supply chains. The methodology is qualitative and the research method is a secondary-data case study. Findings Four main parameters were identified and used to compare self-declared initiatives, namely: social sustainability certification from respectable bodies; code of conduct for suppliers; partnerships with the primary supply chain stakeholders; and supplier collaboration programme and improvement initiatives. The case companies chosen have implemented several initiatives, but the most prominent seem to indicate the reliance on third-party certification. Not all companies adopted a supplier code of conduct. The partnerships and collaboration programmes with different associations are presented as efficient for companies as well as farmers. Improvements in the conditions of farmers are advocated as a key result. Research limitations/implications This paper is based on self-declared secondary data. Subsequently, it is possible that the case companies did not document some practices; or that companies do not do what they claim. Practical implications This paper provides a comprehensive framework for agricultural businesses to compare their sustainability efforts and improve the performance of their supply chains, particularly those who belong to the cocoa supply chains. The proposed framework allows an assessment of initiatives at policy, strategic, tactical and operational levels to improve social sustainability of supply chains. Social implications This paper may help companies to think more clearly about greater transparency and provide the impetus for dealing more effectively with serious social issues in agricultural supply chains such as: child labour, child trafficking, modern slavery, etc. It may also instruct consumers to better understand what companies do as part of their sustainability agenda, alongside the communication of other features of their products, such as quality. Originality/value The framework adds value by providing a novel way to systematically compile and analyse data around self-declared sustainable initiatives. Actors within agricultural supply chains can use the framework to assess and drive their sustainability efforts and practices, leading to ways to improve the social performance of their global supply chains.

2018 ◽  
Vol 12 (3) ◽  
pp. 81-99 ◽  
Author(s):  
Mark Stevenson ◽  
Rosanna Cole

Purpose The purpose of this study is to examine how organisations report on the detection and remediation of modern slavery in their operations and supply chains and to understand their approaches to disclosing information in response to modern slavery legislation. Design/methodology/approach An analysis of secondary data based on the statements is released in response to the 2015 UK Modern Slavery Act by 101 firms in the clothing and textiles sector. Findings Many firms use the same practices to detect and remediate modern slavery as for other social issues. But the hidden, criminal nature of modern slavery and the involvement of third party labour agencies mean practices need to either be tailored or other more innovative approaches developed, including in collaboration with traditional and non-traditional actors. Although five broad types of disclosure are identified, there is substantial heterogeneity in the statements. It is posited however that firms will converge on a more homogenous set of responses over time. Research limitations/implications The study is limited to one industry, responses to UK legislation and the information disclosed by focal firms only. Future research could expand the focus to include other industries, country contexts and stakeholders. Practical implications Managers must consider how their own firm’s behaviour contributes to the modern slavery threat, regulates both their stock and non-stock supply chains and ensures modern slavery is elevated from the procurement function to the boardroom. In making disclosures, managers may trade-off the potential competitive gains of transparency against the threat of information leakage and reputational risk should their statements be falsified. The managers should also consider what signals their statements send back up the chain to (sub-)suppliers. Findings also have potential policy implications. Originality/value The study expands the authors’ understanding of: modern slavery from a supply chain perspective, e.g. identifying the importance of standard setting and risk avoidance; and, supply chain information disclosure in response to legislative demands. This is the first academic paper to examine the statements produced by organisations in response to the UK Modern Slavery Act.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Christina Öberg

Purpose Additive manufacturing has been described as converting supply chains into demand chains. By focusing on metal additive manufacturing as a contemporary technology causing ongoing disruption to the supply chain, the purpose of this paper is to describe and discuss how incumbent firms act during an ongoing, transformational disruption of their supply chain. Design/methodology/approach Interviews and secondary data, along with seminars attracting approximately 600 individuals operating in metal additive manufacturing, form the empirical basis for this paper. Findings The findings of this paper indicate how disruption occurs at multiple positions in the supply chain. Episodic positions as conceptualised in this paper refer to how parties challenged by disruption attempt to reach normality while speeding the transformational disruption. Originality/value This paper contributes to previous research by theorising about episodic positions in light of a supply chain disruption. The empirical data are unique in how they capture supply chain change at the time of disruption and illustrate disruptive, transformational change to supply chains. The paper interlinks research on disruption from the innovation and supply chain literature, with contributions to both.


2019 ◽  
Vol 10 (1) ◽  
pp. 157-182 ◽  
Author(s):  
Samanthi Silva ◽  
Stefan Schaltegger

Purpose The necessity to assess and manage supply chains to be free from social problems such as human and labour rights abuses has become particularly apparent since the introduction of conflict minerals regulations in the United States (Dodd-Frank Act) and the European Union. Similarly, stakeholders demand that products are free from social problems. Ever more companies are therefore challenged to assess and manage social issues in their supply chains. At the same time, the increasing literature on assessment and management of social issues is disperse and an overview missing. This paper aims to provide an overview of the existing literature on social assessment and management approaches relating to conflict minerals and connected to social issues in supply chains. Design/methodology/approach A review of the academic literature on social assessment and management of conflict minerals to provide an overview is currently missing. This paper addresses this gap by systematically reviewing the existing research literature on approaches for the social assessment and management of conflict minerals from a supply chain perspective. Findings The systematic literature review found 21 social assessment and 30 social management approaches with reference to conflict minerals, with the most referenced approach being the OECD guidelines. Overall, the conflict mineral related literature discusses rather general social assessment and management approaches, such as codes of conduct, while the effectiveness of the approaches is not analysed in depth. The paper finds that an analysis of the effectiveness and interlinkages of different approaches is missing. The large variety of social and human rights issues addressed in the academic literature ranges from corruption to violence, going beyond the scope of regulations focused on conflict minerals. This indicates that regulations on conflict minerals and the consequences for management are seen as a specific case with wider implications for future regulations and the necessity for management to solve social problems in supply chains in an effective way. Research limitations/implications The review paper is conceptual and develops a framework to classify social assessment and management approaches for conflict minerals, drawing on the supply chain management literature. Practical implications The overview reveals that research refers to broader social assessment and management approaches indicating wider implications for assessing and managing social issues in supply chains in general, irrespective of whether they are conflict mineral related. Research has, however, so far not addressed the effectiveness and interlinkages between social assessment and management approaches. The aim of the emerging regulations, however, is to foster more effective management of social issues in supply chains. Management is therefore challenged to develop and implement innovative approaches to effectively reduce social problems in supply chains beyond conflict minerals. Conclusions are drawn for management and research. Social implications The paper highlights the need for collaboration with NGOs, industry associations and suppliers, recommending to engage in supplier development. Originality/value The paper conducts the first systematic review of academic literature on conflict mineral related social assessment and management approaches. A framework is proposed to classify social assessment and management approaches based on supply chain management literature. While conflict minerals often represent a small fraction of components in a product, they can have huge and costly implications for companies, which require (potentially) large changes for the sourcing and supply strategy of a company. Conflict mineral regulations represent the first attempt to regulate social and human rights abuses in supply chains holding companies responsible for misconduct caused by suppliers abroad.


2020 ◽  
Vol 40 (12) ◽  
pp. 1873-1907
Author(s):  
Bruno S. Silvestre ◽  
Fernando Luiz E. Viana ◽  
Marcelo de Sousa Monteiro

PurposeA growing number of private, voluntary and mandatory sustainability standards have recently emerged. However, supply chain corruption practices as mechanisms to circumvent sustainability standards have also grown and occur regularly. This paper strives to elaborate theory on the intersection of institutional theory, business corruption and the sustainability standards literature by investigating factors that influence the emergence of supply chain corruption practices.Design/methodology/approachBased on secondary data, four in-depth case studies of supply chain corruption practices are investigated through the use of adaptive theory and the method of constant comparisons to elaborate theory on this important phenomenon.FindingsThe paper suggests that although sustainability standards can improve supply chain sustainability performance, if they are adopted only symbolically and not substantively, unanticipated outcomes such as supply chain corruption may occur. The study proposes a typology of supply chain corruption practices, further explores the symbolic adoption of sustainability standards in supply chains and proposes the novel construct of “social isomorphism for corruption.” Since focal companies play central roles in leading supply chain corruption practices, we reason that they can also play a pivotal role in preventing supply chain corruption practices by promoting the substantive adoption of sustainability standards across their supply chains.Originality/valueThis paper elaborates theory on the challenging phenomenon of corruption in supply chains by linking the supply chain management literature to the corruption and the sustainability discourses and offers important insights to aid our understanding on the topic. It generates six propositions and four contributions to the sustainable supply chain management theory, practice and policy.


2019 ◽  
Vol 10 (2) ◽  
pp. 290-313 ◽  
Author(s):  
Matloub Hussain ◽  
Mehmood Khan ◽  
Mian Ajmal ◽  
Karim Sajjad Sheikh ◽  
Amiruddin Ahamat

Purpose The purpose of this paper is to develop a framework for the identification, categorization and prioritization of social sustainability barriers in health-care supply chains. Design/methodology/approach An exploratory survey tool is used to identify barriers that are relevant to a health-care supply chain. The identified barriers are grouped into five main categories and experts’ opinions were applied to validate the content. Finally, an analytical hierarchical process (AHP) is used to prioritize the main categories and sub-categories of the barriers. Findings The exploratory phase identified 34 barriers that are relevant to a health-care supply chain. These barriers were grouped into the following categories: poor infrastructure, organizational culture, poor coordination, stakeholder disparity, and uncertainty. Organizational culture and poor coordination were assigned the highest priority through the AHP. Overall, lack of management support, lack of commitment and lack of coordination were found to be the top relevant barriers to a health-care supply chain. Research limitations/implications This study only explored and prioritized the barriers of social sustainability. Future research should explore the impact of the identified barriers on the overall performance of the hospital supply chain. Practical implications The findings of this study may be of value to the local health-care industry in achieving their objectives by overcoming social sustainability barriers, which would in turn facilitate the implementation of social sustainability programs that can positively contribute to the overall supply chain performance. Social implications Social sustainability has grown in importance as a pressurizing issue to push supply chain managers to assess their social impacts on the communities. This is especially important in service supply chains such as health care, where human element is a part of every stage. Originality/value Despite practitioners’ and academics’ growing emphasis on the social dimension of sustainability, the categorization and prioritization of social sustainability practices across health-care supply chains and general service care supply chains have not been addressed. This study aims to cover this gap by contributing to both the academic literature and the practical health-care environment.


2018 ◽  
Vol 38 (12) ◽  
pp. 2389-2412 ◽  
Author(s):  
Hugo K.S. Lam

Purpose The purpose of this paper is to theoretically hypothesise and empirically test the impact of sustainable supply chain practices (SSCPs) on firms’ financial risk. Design/methodology/approach This research adopts signalling theory to explain the signalling role of SSCPs and the moderating role of the signalling environment in terms of supply chain characteristics. It collects and combines longitudinal secondary data from multiple sources to test the direct impact of SSCPs on firms’ financial risk and the moderating role of supply chain complexity and efficiency. It conducts various additional tests to check the robustness of the findings and to account for alternative explanations. Findings This research shows that SSCPs help firms reduce financial risk but do not affect their returns. Moreover, the risk reduction of SSCPs is greater for firms with more complex and efficient supply chains. The findings are robust to alternative variable measurements and analysing strategies. Research limitations/implications This research reveals the role of SSCPs in reducing financial risk, urging researchers to pay more attention to the financial risk implications of supply chain practices in general and SSCPs in particular. Practical implications This research encourages firms to engage in SSCPs to reduce financial risk and enables them to assess the urgency of their SSCPs investments in view of the complexity and efficiency of their supply chains. Originality/value This is the first research examining the impact of SSCPs on financial risk, based on longitudinal secondary data and signalling theory. The empirical evidence documented and the theoretical perspective adopted offer important implications for future practice and research on SSCPs.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Mark Stevenson

Purpose The purpose of this study is to provide new insight into the modern slavery threat and to enhance its detection in supply chains by understanding and addressing barriers to whistleblowing. A broad definition of a whistle-blower is adopted, which includes any witness internal or external to an organisation. Design/methodology/approach This is a viewpoint paper that includes using news reports and other secondary data sources on a recent modern slavery scandal in garment factories in Leicester, UK and the lens of the bystander effect from the social psychology literature. The core focus is on whistleblowing by members of the local community in which an operation or supply chain is embedded. Findings The phenomenon of modern slavery being an “open secret” within the local community is highlighted. But rather than the case being characterised by widespread whistleblowing, the problem only came into full focus when poor working conditions and forced labour during COVID-19 lockdown restrictions contributed to the spread of the virus. It is argued that overcoming this “bystander effect” can lead to the greater mobilisation of modern slavery whistleblowing. Research limitations/implications Two sets of propositions and a conceptual model are provided and seven future research suggestions are outlined, including extending the present study to whistleblowing by victims and other internal members of an organisation or supply chain. Practical implications If it can be mobilised, then whistleblowing has the potential to be an important part of detecting modern slavery, either temporarily replacing audits where they are not possible due to social distancing restrictions or directing the use of limited auditing resources to high-risk factories. In this way, combinations of practices can be effectively used to tackle the threat. Social implications This contributes to addressing an important societal problem and one of the grandest challenges facing modern-day supply chains. This, it has been argued, is an even bigger problem now than ever before given the economic and market conditions created by the COVID-19 global pandemic. Originality/value This is the first paper to focus on operationalising the practice of whistleblowing as a source of greater supply chain intelligence to aid modern slavery detection. Causes of the bystander effect include the perceived low-emergency threat of modern slavery, the high-ambiguity environment, a low bystander responsibility and low assistance/intervention incentive. Countermeasures include elevating the emergency status of modern slavery, creating a shared sense of responsibility for tackling the problem, having clear reporting channels and taking swift and consistent action when instances of modern slavery are detected.


2021 ◽  
Vol ahead-of-print (ahead-of-print) ◽  
Author(s):  
Marlene M. Hohn ◽  
Christian F. Durach

PurposeFocusing on the apparel industry, this study extends current knowledge on how additive manufacturing (AM) may impact global supply chains regarding structures of interorganizational governance and the industry's social-sustainability issues.Design/methodology/approachFollowing an exploratory research design, two consecutive Delphi studies, with three survey rounds each, were conducted to carve out future industry scenarios and assess AM's impact on supply chain governance and social sustainability.FindingsThe implementation of AM is posited to reinforce existing supply chain governance structures that are dominated by powerful apparel retailers. Retailers are expected to use the increased production speed and heightened market competition to enforce faster fashion cycles and lower purchasing prices, providing a grim outlook for future working conditions at the production stage.Social implicationsAgainst the common narrative that technological progress increases societal well-being, this study finds that new digital technologies may, in fact, amplify rather than improve existing social-sustainability issues in contemporary production systems.Originality/valueThis article contributes to the nascent research field of AM's supply chain impact as one of the first empirical studies to analyze how AM introduction may impact on interorganizational governance while specifically addressing potential social-sustainability implications. The developed propositions relate to and extend the resource dependence and stakeholder perspectives on governance and social sustainability in supply chains. For managers, our results enrich the discussion about the potential use of AM beyond operational viability to include considerations on the wider implications for supply chains and the prevailing working conditions within them.


2018 ◽  
Vol 21 (2) ◽  
pp. 269-292 ◽  
Author(s):  
Laura A. Carlson ◽  
Vera Bitsch

Ready-made-garment (RMG) production for sale in the EU and USA is a key source of economic development for Bangladesh. The 2013 collapse of Rana Plaza revealed worker safety and other social issues in RMG factories in Bangladesh, showing that formal, top-down approaches to these problems, including corporate codes-of-conduct and reforms in Bangladeshi labor laws, have little effect. Supply chain sustainability is a key issue for business, government and civil society. Satisfactory theoretical approaches to promoting social sustainability in supply chains are lacking. A case study using qualitative document analysis identifies the key institutional factors related to social sustainability in the Bangladeshi RMG industry, with a modified version of the Institutional Analysis and Development (IAD) framework as an analytical frame. Key elements of other frameworks for social sustainability are discussed in terms of how well the IAD framework captures those concepts, and how employing the IAD could enhance supply chain analysis.


2018 ◽  
Vol 38 (12) ◽  
pp. 2344-2366 ◽  
Author(s):  
Simon Croom ◽  
Natalia Vidal ◽  
Wellington Spetic ◽  
Donna Marshall ◽  
Lucy McCarthy

Purpose Socially sustainable supply chain (SSSC) practices address pressing social issues and may provide operational benefits as well as positive impacts on society. However, due to gaps in the current knowledge, it is difficult to know what practices will provide benefits and what management orientations can maximize the impact of these practices on operational performance. The purpose of this paper is to advance the knowledge on the effect of social sustainability orientation on operational performance by examining the mediating roles of basic and advanced SSSC practices and the moderating role of long-term orientation (LTO). Design/methodology/approach Data were collected through a survey of US-based companies about their relationships with key suppliers. Confirmatory factor analysis and multiple regression were used to test the proposed moderated mediation model. Findings Surprisingly, sustainability orientation predicts operational performance through advanced but not basic SSSC practices. Results also indicate that the effect of sustainability orientation on operational performance is significantly moderated by LTO. Research limitations/implications Results are limited by the US context, the cross-sectional nature of the research, the use of a single-respondent survey instrument and the challenges of measuring LTO. Practical implications Managers and policymakers should be aware of the limitations of adopting basic SSSC practices on the performance of their operations. Advanced practices provide a more robust business case and significantly and positively impact operational performance. In addition, the interaction of a sustainability orientation and LTO can lead to even greater improvements in firms’ operational performance. Firms with the highest levels of social sustainability and LTOs attain superior operational performance. Originality/value This study contributes to the growing literature on sustainable supply chain management (SSCM) and extends this literature by focusing on social sustainability practices, identifying specific practices that impact and the orientations that maximize operational performance. The authors contribute to the growing literature on the importance of manager’s temporal orientation and provide nuance to emerging SSCM theory by exposing the interplay of these orientations and the impact of SSSC practice adoption.


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