Sustainable Supply Chain Management: Environmental, Economic,

Social Performance and Research Direction

Nurhayati Sembiring and Meilita T. Sembiring

Industrial Engineering Department, Engineering Faculty, Universitas Sumatera Utara, Medan, 20155, Indonesia.

Keywords: SSCM, Supply Chain Management, organizational, desired achievement

Abstract: Research about Sustainable supply chain management (SSCM) has been growing well related with

consumer need. The emergence of changes in the economic order also makes companies think seriously

about producing product and also in service area connected with sustainability. Sustainable supply chains

are not economically measured, but also conflict with their environmental and social performance.

1. INTRODUCTION

Due to the fact that product from industry have

widely consumed and it related with sustainability,

so the sustainability of the supply chain depends on

supply management (Ageron, Gunasekaran, &

Spalanzani, 2012). SCM has been distinct as the

management of all the procedures flows such as

financial, in a relationship of inter-organizational

and outer-organizational, together by adding

significance quality and achieving fulfillment of

consumer (Brandenburg, Govindan, Sarkis, &

Seuring, 2014). Sustainability is seen as having the

three basic criteria, social dimensions, economic and

environmental This criteria approach implemented

by each business and supply chain where they are

located must be included in these aspects

(Gopalakrishnan, Yusuf, Musa, Abubakar, &

Ambursa, 2012). SSCM has come from a strategic

appreciation of all activities in a company such as

procurement both in achieving best result, and

overcoming sustainability issues in business

capabilities. Because of the three sustainability

criteria problems in some countries, the focus of

industries are the quality and quality standards for

all of part in their supply chains (Turker & Altuntas,

2014). This valuable tool for companies to identify

key supply chains for environmental and business

performance that can be measured. Economics,

social and environment can be a solution, where

economic, social and environmental (Bai, Sarkis,

Wei, & Koh, 2012).

2. LITERATURE REVIEW

2.1 Sustainability Performance

The SSCM's activity that practiced at the moment

leads to competitive advantage (Beske, 2012)

2.2 Supply Chain Performance

Then ideal two-dimensional SSCM leads to

improving the company achievement at economic,

social and environment (Gold, Hahn, & Seuring,

2013).

2.3 Sustainability and SCM

A broad definition of broad sustainable

development: development that meets needs without

surrendering the ability of next generations to

satisfied their needs. (Morali & Searcy, 2013).

Nowadays the research area of SSCM more wider.

Social and environmental aspects are analyzed for

get the optimal value in their supply chains (Harms,

Hansen, & Schaltegger, 2013).

2.4 The definition of SSCM

From the TBL criteria of sustainable development,

Seuring and Muller define all of management

procedures related with information, material, and

capital flows and some other aspects as the

Sembiring, N. and Sembiring, M.

Sustainable Supply Chain Management: Environmental, Economic, Social Performance and Research Direction.

DOI: 10.5220/0008506600910095

In Proceedings of the International Conference on Natural Resources and Technology (ICONART 2019), pages 91-95

ISBN: 978-989-758-404-6

sustainable supply chains. In a sustainable supply

chain environmental and social aspects must be

considered through customer needs and related

economic criteria (Seuring, 2013).

In addition, other studies in this fields, like

Environmental Purchases, are associated with

traditional purchasing activities with elements of

environmental management. (Zailani, Jeyaraman,

Vengadasan, & Premkumar, 2012)

2.5 Sustainable supply chains related to

organizational performance

There is a different meanings between ESCM,

environmental supply chain management and

SRSCM, socially responsible supply chain

management. It can be explained in several ways.

There are several studies that examine ESCM which

SSCM (Gomez-Mejia, Luis and Balkin, 2007).

2.6 Upcoming supply chain

management

Previous literature or studies have made estimates

for sustainable SC, but not deeply discussed. The

example for this, forecasting investment on behalf of

five years shows that scientists have made efforts to

see the results going forward. (Walker & Jones,

2012).

Table 1: Summary of some papers review on SSCM.

Paper by

Contains

Factor

Place

Blandine

Ageron, et. al.

 Learn about the are differences models that

appear for SSCM.

 Reason for SSM

 Employee performance criteria

 Greening supply chains

France

Philip Beske

 Sustainable Supply Chain Management and

DC have a relationship between

environmental situations and organizations.

 The application of SSCM field and the

DC concept in the right choice.

 Strategy SCM

 Active competences in SSCM

Germany

Kavitha

Gopalakrishnan,

et. al

 Paper from previous reinforce the

conclusion that the focus is aspects that can

act to a sustainable future.

 TBL

 Concern in social area

Oguz Morali,

Cory Searcy

 The problem found in this study is the

challenge of integrating sustainability into

SCM.

 Integration Performance

Corporate social responsibility

indicators

Canada

Suhaiza Zailani,

et. al

 Contradictory findings between sustainable

packaging and operational results are the

result of the perspective of operational key

metrics.

 Practices Results

 SSC

Malaysia

Halen Walker

 The company is divided into several

sustainable supply chain

 Companies often focus on a number of

things, namely advertisements, protected

employees, respondents' schedules, and so

on. Future forecast for SSCM.

 Corporate responsibility by

considering supply chains

 Management Sustainable

development

ICONART 2019 - International Conference on Natural Resources and Technology

Table 1: Summary of previous literature review on Sustainable Supply Chain Management (Continue).

Paper by

Contains

Factor

Place

Chunguang

Bai, et. al

 The problem description is applied to

several methods. Sensitivity analysis

shows that variations in yield greatly

influence sustainable supply chain

performance.

 Performance is measured

based on sustainable

ecological aspects

 Reference supply chain

model

 Supply chain management

development

Republic

of China,

USA,

and UK

Dorli

Harms, et.

 Broad use of EMAS, which contrasts

with previous studies for the German

automotive industry.

 Supplier management

 sustainable supply chain

management

Germany

Stefan

Gold,

Rudiger

Hahn,

Stefan

Seuring

 The patterns of matching and contrasting

findings throughout the three cases.

 TBL

Switzerla

nd,

Germany

Shaikha Al

Zaabi,

Noura Al

Dhaheri,

Ali Diabat

 To determine the inhibiting factors and

the most influential factors that are

resolved with the help of interpretive

structural modeling.

 Conventional and SSCM

 Disturbance

London

Stefan

Seuring

 The problems found in gratified study

are deliberated with a specific analyze on

the sustainability dimension

 SCM

 Management related with

sustainability

 Modeling in a quantitative

way

Germany

Zhihong

Wang and

Joseph

Sarkis

 Integration of established supply chain

management, environmental and social

aspect in supply chains. Efforts relating

to performance.

 Enactment of SSCM

USA

Marcus

Brandenbur

g, et. al

 The problem found in this study is

variation that focuses on the function,

vision of the research, method, and the

variation focus of the sustainability in

SC.

 Weather alteration and

Environment societal

problem analysis

 OR in SCM

Germany

Duygu

Turker,

Ceren

Altuntas

 The problem found in this study is the

study associated with the framework by

adding some conclusions in it.

 Supply chain management

 Certain Industry

 Results related with

sustainability

Turkey

Mary J

Meixell, et.

 Analyzed universal expressive data from

the theory, and recognized the solution.

 Importance of theoretical

contribution for SSCM

Sustainable Supply Chain Management: Environmental, Economic, Social Performance and Research Direction

3. METHOD

This literature reviews the implementation of

content analysis and take the proposed some

procedural step described below:

Stage 1. Articles collection:

Articles to be collected and studied are distinct and

inadequate

Stage 2. Analysis:

Articles to be collected are analyzed

Stage 3. Category selection:

At the stage of selecting each category that will be

included in the study several related methods are

carried out

Stage 4. Article evaluation:

In this stage the factors that must be well-thought-

out are the scopes and categories connected with the

theme.

4. RESEARCH DIRECTION

There are many studies about SSCM. But, the deep

study conducted by companies is relatively small

according to evaluation of SCM performance.

Sustainability is integrated into supply chain

management (SCM) in the company. This finding

reveals that there are many challenges in integrating

sustainability into SCM. This direction is to research

future directions at SSCM. This article shows the

interrelated economic traits, dimensions of

environmental sustainability, and social, specifically

related to measuring supplier performance on

sustainability initiatives.

5. CONCLUSIONS

More and more private sector companies and supply

products and services on an ongoing basis, called

"sustainable supply chain management", in the triple

bottom line criteria. There is a difference between

illusion and reality for sustainable supply chains.

The study aims to discuss sustainable supply chain

issues and find out the factors that influence

sustainable supply chains and how sustainable

supply chain performance can change the future. It's

no longer enough for companies to profit - they also

have to do with the community, minimizing the

impact of pollution, non adult worker, safety and

health. SCM are interconnected in the matter of

providing a network of services and the things that

produces from industries to buyers.

ACKNOWLEDGEMENTS

The authors like to give b ig appreciate to students

who have helped the authors to edit the template for

this paper.

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Sustainable Supply Chain Management: Environmental, Economic, Social Performance and Research Direction