Measuring supply chain efficiency from a green perspective

Purpose – This paper aims to examine whether some countries achieve logistics efficiency at the cost of undermining environmental quality. In so doing, a hybrid index, the green logistics performance index (GLPI) combining both the LPI and the environmental performance index (EPI), is constructed.Design/methodology/approach – Being a macro analysis measuring the green supply chain efficiency of a country, this paper utilizes the secondary data compiled by the World Bank and the World Economic Forum. A series of simple regression analyses were conducted in order to find out the varying degrees of association between the LPI, the EPI, the GLPI and the national income level.Findings – As active logistics activities can have an impact on carbon footprints such as greenhouse gas emissions, it was found that some countries chose to increase their income level at the expense of the environment degradation. Consequently, the GLPI is suggested as a good indicator of a country's green logistics efficiency, showing ...

[1]  Trevor A Spedding,et al.  Creating a Green Supply Chain , 2001 .

[2]  Abby Ghobadian,et al.  An empirical study of green supply chain management practices amongst UK manufacturers , 2009 .

[3]  L. V. Wassenhove,et al.  Sustainable Operations Management , 2005 .

[4]  Beatriz Junquera,et al.  Influence of the perception of the external environmental pressures on obtaining the ISO 14001 standard in Spanish industrial companies , 2003 .

[5]  Bjarne E. Ytterhus,et al.  Environmental initiatives in the retailing sector: an analysis of supply chain pressures and partnerships , 1999 .

[6]  Lauri Ojala,et al.  Trade Logistics in the Global Economy: The Logistics Performance Index and Its Indicators , 2016 .

[7]  Joseph Sarkis,et al.  An empirical evaluation of environmental efficiencies and firm performance: Pollution prevention versus end-of-pipe practice , 2001, Eur. J. Oper. Res..

[8]  Ottar Michelsen,et al.  Eco-efficiency in extended supply chains: a case study of furniture production. , 2006, Journal of environmental management.

[9]  Hokey Min,et al.  Challenges and Opportunities for Entering the Chinese Logistics Market , 2003 .

[10]  Christofer Kohn,et al.  Centralised distribution systems and the environment: how increased transport work can decrease the environmental impact of logistics , 2008 .

[11]  José F. Molina-Azorín,et al.  The potential of environmental regulation to change managerial perception, environmental management, competitiveness and financial performance , 2010 .

[12]  J. González‐Benito,et al.  Environmental proactivity and business performance: an empirical analysis , 2005 .

[13]  Frank L. Montabon,et al.  An examination of corporate reporting, environmental management practices and firm performance , 2007 .

[14]  Chika Saka,et al.  Environmental management accounting applications and eco-efficiency: case studies from Japan , 2006 .

[15]  F. Agostinho,et al.  Sustainability of nations by indices: Comparative study between environmental sustainability index, ecological footprint and the emergy performance indices , 2008 .

[16]  Haw‐Jan Wu,et al.  Environmentally responsible logistics systems , 1995 .

[17]  Paul Shrivastava,et al.  Environmental technologies and competitive advantage , 1995 .

[18]  Theodore P. Stank,et al.  WORLD CLASS LOGISTICS PERFORMANCE AND ENVIRONMENTALLY RESPONSIBLE LOGISTICS PRACTICES , 2000 .

[19]  Håkan Aronsson,et al.  The environmental impact of changing logistics structures , 2006 .

[20]  R. Klassen,et al.  The Impact of Environmental Technologies on Manufacturing Performance , 1999 .

[21]  Qinghua Zhu,et al.  Green supply chain management in China: pressures, practices and performance , 2005 .

[22]  Julian Allen,et al.  Low emission zones: the likely effects on the freight transport sector , 2005 .

[23]  P. Rao,et al.  Do green supply chains lead to competitiveness and economic performance , 2005 .

[24]  S. Schmidheiny Changing Course: A Global Business Perspective on Development and the Environment , 1992 .

[25]  P. Ekins,et al.  Eco‐efficiency Trends in the UK Steel and Aluminum Industries , 2005 .

[26]  L. Zhuang,et al.  Legislation for the environment: does it work? ‐ an empirical study into selected UK‐based chemical manufacturing firms , 1997 .

[27]  Samir K. Srivastava,et al.  Green Supply-Chain Management: A State-of-the-Art Literature Review , 2007 .

[28]  Joseph Sarkis,et al.  RELATIONSHIPS BETWEEN OPERATIONAL PRACTICES AND PERFORMANCE AMONG EARLY ADOPTERS OF GREEN SUPPLY CHAIN MANAGEMENT PRACTICES IN CHINESE MANUFACTURING ENTERPRISES , 2004 .

[29]  Julian Allen,et al.  London low emission zone feasibility study phase II: final report to the London low emission zone steering group , 2003 .

[30]  Charles J. Corbett,et al.  Extending the Horizons: Environmental Excellence as Key to Improving Operations , 2006, Manuf. Serv. Oper. Manag..

[31]  Wendy L. Tate,et al.  Green, lean, and global supply chains , 2010 .

[32]  S. Morse,et al.  Making ‘dirty’ nations look clean? The nation state and the problem of selecting and weighting indices as tools for measuring progress towards sustainability , 2005 .

[33]  Nico Vandaele,et al.  MANAGING THE ENVIRONMENTAL EXTERNALITIES OF TRAFFIC LOGISTICS: THE ISSUE OF EMISSIONS , 2001 .

[34]  S. Vachon,et al.  Linking supply chain strength to sustainable development: a country-level analysis , 2008 .

[35]  Environmental sustainability index of Shandong Province, China , 2004 .

[36]  K. Lai,et al.  Green supply chain management: pressures, practices and performance within the Chinese automobile industry , 2007 .