Slides to support discussion on sustainability strategy formulation

1. ECSCIA, European Centre of Supply Chain Information Architecture
Sustainability framework,
the STRATEGY perspective

2. This document focuses on sustainability strategy formulation.
“Strategy” refers to activities defining direction for why and how
to approach the topic of sustainability. The details for how to
actually execute once that direction has been set is described in
other documents.
ECSCIA, European Centre of Supply Chain Information Architecture

3. Recap section
ECSCIA, European Centre of Supply Chain Information Architecture

4. The sustainability framework illustrates and structures what supply
chain related knowledge that need to be available as formal data
order to digitally manage sustainability.
Each brick in the framework covers one aspect of the data foundation
needed to ensure “sustainability”.
Building a strong sustainability chain requires having data in every
brick under control
ECSCIA, European Centre of Supply Chain Information Architecture

5. Compounds
CO2e
Compliance
ECSCIA, European Centre of Supply Chain Information Architecture
The “3C”s “Sustainability”

6. Compounds
CO2e
Compliance
Sustainability framework, the bricks
Transactions, the execution
Lifecycles, the phases
Value chains, the interaction
ECSCIA, European Centre of Supply Chain Information Architecture
“3C”s +
fundamentals
“Sustainability”
Plans and predictions, the choices

7. Compounds
CO2e
Compliance
Network
efficiency
ECSCIA, European Centre of Supply Chain Information Architecture
“3C”s and an “N” “Sustainability”

8. ECSCIA, European Centre of Supply Chain Information
Architecture
CO2e
Emission
factors
Workload Value chain

9. ECSCIA, European Centre of Supply Chain Information
Architecture
Compliance
Regulations
Laws
Industry
standards

10. ECSCIA, European Centre of Supply Chain Information
Architecture
Compounds
Items
BOMs
Substances

11. ECSCIA, European Centre of Supply Chain Information
Architecture
Network
efficiency
Locations
Routes
Modes of
transport
Operations
Trade & legal
compliance
Plans
Transactions

12. Portfolio and
Innovation
lifecycle
Design
lifecycle
Supply chain
lifecycle
Operational
lifecycle
Total sustainability lifecycle
Sales
lifecycle
End of life
lifecycle
Extended
ecosystem
Lifecycle(s)
Sustainability lifecycles
ECSCIA, European Centre of Supply Chain Information Architecture

13. Routes ,
Lanes
Modes of
transport
Product
structures,
”Bill of material”
Locations
Value chains
Compound &
substance
structures
Operations
Dimensions
Conditions
Lead times
The sustainability framework; “bricks” (revision 7…)
Partners,
stakeholders
Contracts &
agreements
Items,
catalogues and
launch plans
ECSCIA, European Centre of Supply Chain Information Architecture
Resources
Drawings and
specifications
Standard
Operating
Procedures

14. Entities
(legal and
financial)
The sustainability framework; “bricks” (revision 7…)
ECSCIA, European Centre of Supply Chain Information Architecture
Segmentation
hierarchies
Product portfolio
hierarchies
NPI plans Calendars
Trade & legal
compliance rules
Product and
standards
compliance
Sustainability
weight/cost
measures
Emission factors

15. Transactions (revision 1…)
Quotes
Customer orders
Sales orders
Purchase orders
Manufacturing
orders
Delivery
orders
Movement
orders
ECSCIA, European Centre of Supply Chain Information Architecture
RFIs,RFPs and
RFQs
Splits and quotas

16. Plans and predictions (revision 1…)
Forecast Plan Budget
ECSCIA, European Centre of Supply Chain Information Architecture

17. End recap section
ECSCIA, European Centre of Supply Chain Information Architecture

18. ECSCIA, European Centre of Supply Chain Information
Architecture
Sustainability strategy formulation, focus area grouping
Focus areas
Marketing and sales Strategies relating to how sustainability is used to promote/ market
and increase sales
Formal legal/trade/ industry compliance Strategies relating to how sustainability is formally confirmed and
proven to standards and laws across value chains and lifecycles
Network efficiency Strategies relating to how sustainability is incorporated into (supply
chain) network optimization

19. ECSCIA, European Centre of Supply Chain Information
Architecture
Sustainability strategy formulation,
criteria and priority formulations
Focus areas
Marketing and sales Strategies and criteria relating to how
sustainability is used to promote/ market and
increase sales
Formal legal/trade/
industry compliance
Strategies and criteria relating to how
sustainability is formally confirmed and
proven to standards and laws across value
chains and lifecycles
Network efficiency Strategies and criteria relating to how
sustainability is incorporated into (supply
chain) network optimization
Meet and be visible in the
market
Meet laws and regulations
Optimize supply and value
chain

20. Defining a strategy
Adopting someone elses strategy
Strategic thinking
Tactical thinking
ECSCIA, European Centre of Supply Chain Information
Architecture

21. ECSCIA, European Centre of Supply Chain Information
Architecture
Sustainability strategy formulations :
A continuous loop of evaluation and choices
Execute
Can
Want
should

22. European Center of Supply Chain Information Architecture,
ECSCIA
Sustainability in
daily operations
(Optimize)
Sustainability in
new business
models
Efficiency
Differentiation
Paradigm shift
Sustainability as a
qualifier
(Stay in business)
Exercise and
challenge your
strategic thinking!

23. European Center of Supply Chain Information Architecture,
ECSCIA
Defensive
Offensive
Lead, follow or get out of the way?

24. Converged strategy development entails interaction between three streams.
The fundament is the business process.
The driver is the business strategy
The enabler is the information processing capability
Business process
Information processing capability
Business strategy
AS-IS TO-BE

25. ECSCIA, European Centre of Supply Chain Information
Architecture
Know where you
want go

26. ECSCIA, European Centre of Supply Chain Information
Architecture
Know what vehicle
that can take you
there

27. ECSCIA, European Centre of Supply Chain Information
Architecture
Have a map

28. ECSCIA, European Centre of Supply Chain Information
Architecture
Learning Teaching
Make talent grow
Continuous change
Continuous adoption
Thrive of experience Discard experience
Put “smart” to work
Strategy formulation is continuous/iterative