Structured vs Unstructured Data
Can AI help us to get to (better) grips with supply chain compliance? Supply chains are based on fairly complex partnership networks where every link ideally must meet strict efficiency and compliance standards. Supplier audits and legislation aim ultimately to ensure high standard, it is a not the least highly time demanding task to be successful at. AI offers the potential to support practical solutions for risk assessment, process optimization, and partner evaluation. Commercial providers are already jumping on the band wagon by providing ways to build 'digital twins' of real supply chains – hence opening them up for 'offline optimisation' - and of course highly sophisticated data analytics tools drawing from multiple disjoint data sources.
Structured vs Unstructured Data
AI has the potential to transform corporate responsibility by handling data-heavy tasks like reporting or data and KPI management. It hence can contribute to helping companies 'being less bad'. However, its potential to support professionals and companies in driving real positive impact is still developing. This post introduces AI’s current potenntial in corporate responsibility and sustainability. In upcoming blog posts we'll explore specific applications: in sustainability reporting, supply chain management, and integrating financial considerations with sustainability impact.
Photo by Myriam Zilles on Unsplash
The healthcare industry's social responsibility goes beyond just workplace and supply chain issues; it's about its impact on society and what its real goals are. Trials and prevention efforts often overlook certain groups. Politics and money regularly determine who gets treated, in function of political agendas in some jurisdictions. And: Using the GDP to measure health isn't necessarily helpful as it incentives fixing problems rather then preventing them early on.
Act Now or Swim Later - Climate Change
Over the last couple of years a plethora of pledges has arisen in the sustainability/ESG space. The weird thing: Pledges intend to drive change the wrong way around. Commit people (read: companies) publicly, then hope they will actually move in accordance to the pledge/commitment, and then only hold them to account if and when they do not delivery. If anyone remembers that is. Do we need all these pledges? Do they really make a difference? Data says: probably not ... Shouldn't hence the Lemma simply be: Actions before words. Impact before messaging. Walk before talk. Science before marketing.
Mind the Gap
The supply chain. It has been accepted a long-time ago: supply chain is a risk. Or better: a RISK in capital letters. But also a word that sounds impersonal. Very akin to a factory being a cogwheel in a much larger clockwork. And while the definition of the term does list ‘people’, the focus is very clearly on the idea of it all being a neat system of seamless interactions.
Business not as usual
The more time I spend ‘doing sustainability’, i.e. being involved both as a professional as well as as an individual in cajoling, motivating, convincing and helping companies – and the individuals therein - to become ‘better citizens’, the more I realised that … actually, in would not be that hard to do better. Or let me reformulate more accurately: it is equally hard as many other things in businesses.
Large corporations now habitually report on their sustainability achievements, have resource efficiency programmes firmly implemented into their operations, and are investing to make their enterprises ‘future proof’. But what needs to happen for SMEs to do the same? After all they make up way over 80% of national economies ...
The design stage is usually the longest, most expensive and riskiest part of the chain. Additionally, research has shown that at least an estimated 80% of a product's environmental (and to a lesser degree also social) impact is locked at the design stage into a product. By integrating the product design with the supply chain, companies can compress non-value adding time and costs in their supply chains, increase responsiveness and mitigate supply chain risks – while simultaneously managing (improving) their sustainability performance without added costs or efforts.
During the former Soviet Union, Ukraine developed as one of the largest centres of textile industry, representing approximately 50% of the entire SU's textile industry. And even after the SU fell to pieces, the Ukraine for quite some time remained with its manufacturing power. So, what is the status quo today?
Already early last year the Swedish Fast Fashion retailer H&M announced the placement of test orders for garments from Ethiopian and Kenyan suppliers. And they're not even the first ones: Retailers such as Tesco and Walmart seem to have gone down that lane already some time ago.
Supply chains, as a discipline of expertise, have come out of the hiding and recognise their role in reducing corporate risk. This is notably and specifically the case in fashion and textiles. At the same time, 'design' - not just in the creation room, but in all facets where it impacts the making, delivery and use of a product or service, is increasingly recognised as relevant.
For retail, Brazil is the ‘next hot’ place to go to. For a variety of reasons: For one, the country’s economy has been for a long time up and raising. Brazil is one of the 4 BRIC countries – the 4 most dominant raising economies, and ranks forth among them. Its retail sector is expected to boom tremendously over the next few years owing largely to the two major global sport events – the 2014 FIFA World Cup and Rio 2016 Summer Olympics that will take place in the country.