Innovation Exchange

Retail and Consumer Goods

Stores and General Merchandise

Retail and Consumer Goods

Today’s consumer products are part of a complex global supply chain that often includes poor visibility into product manufacturing, as well as increased shipping disances. At the same time, 70% of Americans say quantifying the actual environmental impact of a product or service is influential in their purchasing decisions.

Companies are responding by reducing and recycling waste, improving energy efficiency, reducing packaging and expanding consumer awareness of environmental best practices.

Improve your operations

  • Improve energy efficiency - Implement programs to reduce your use of energy and water in your stores and encourage your suppliers to reduce energy throughout the manufacturing process.
  • Reduce waste - Reduce and recycle used shipping pallets and boxes, plastic bags for customers and clothing hangers.
  • Improve products – Offer – and use – more environmentally preferable products such as recycled paper products, less-toxic cleaners and devices that save energy and water.
  • Save fuel and reduce emissions. Incorporate hybrid delivery trucks and green your passenger vehicle fleet.

Collaborate with your customers and suppliers

  • Address climate change - Optimize your supply chain management (SCM) system to include a new variable – energy and carbon. Reduce greenhouse gas emissions and energy costs by locating facilities appropriately to minimize transport distances. Provide incentives for employees to choose efficient modes of transportation, and identify energy saving opportunities.
  • Examine your supply chain - Work with your suppliers to implement tracking systems and programs to minimize risks associated with product sourcing.
  • Mitigate toxics & nanotechnology risks - Ensure your suppliers have mitigated the risks from consumer products and packaging containing nanomaterials.
  • Reduce waste - Retailers have an opportunity to ask their suppliers to eliminate or reduce excess packaging for their products. This not only reduces customer waste but can also reduce material costs.
  • Source seafood responsibly - Offer seafood that is harvested sustainably from well-managed fisheries or aquaculture farms.
  • Educate your customers about sustainability activities.

Examples: What companies are doing

  • Environmental Defense Fund partner Wal-Mart is driving environmental progress throughout its supply chains by creating environmental “scorecards” that reward suppliers with greener products. Home Depot is highlighting green products through its Eco Options program and rewards those products with preferential product placement in its stores.
  • IKEA, Whole Foods and Wal-Mart have all launched programs to significantly reduce or eliminate plastic bags in their store check-out lines through improved employee education and the promotion of reusable bag options.
  • Office-supply giant Staples Inc. is the first national retailer to offer an everyday consumer recycling program for computer and electronics waste in its stores. For a nominal fee, the company accepts most office electronics equipment for proper recycling regardless of where it was purchased.
  • Several retailers, including Wal-Mart, Target and Kohl's, are deploying solar technology to help power their stores.

Posted: 29-Oct-2008; Updated: 26-May-2009

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