Stepping-stones for integrated chain management in the firm

Abstract

The Dutch government's National Environmental Policy Plans (issued in 1989 and 1993) identified Integrated Chain Management – the incorporation of sustainability considerations into supply chains and related networks – as an important means of implementing their ambitious environmental objectives in the economic sphere. However, there is a debate going on as to what kind of policy measures would support its adoption and how they can be implemented in practice. Integrated Chain Management has two main features. The first is the flows of materials which result from economic activities. The second is the institutional frameworks which shape the production and consumption processes which drive the material flows. Previous studies have examined the ecological, economic, organizational and public policy aspects of Integrated Chain Management. However, they have not clarified the business logic behind the forces that give rise to chain‒oriented action. This matters because public policy is most effective when it is compatible with existing business trends. This paper therefore examines these trends (in particular Total Quality Management, Supply Chain Management and environmental management) utilizing current literatures and four case studies of large British and Dutch companies. From this examination it generates four stepping-stones for encouraging movement towards Integrated Chain Management. In principle, the results are relevant to all economic sectors. © 1997 John Wiley & Sons, Ltd. and ERP Environment.