University:
California State University, Northridge
Course:
SOM 416 | Supply Chain Management
Academic year:

2020
Views:

70

Pages:

2
Author:

Melani F.

Lecture Note: Ethical Considerations and Challenges in Supply Chain Practices Focus on the Fashion and Electronics Industries I. Introduction - Welcome to today's lecture on ethical considerations and challenges in supply chain practices, with a specific emphasis on the fashion and electronics industries. II. Ethical Considerations in Supply Chain Management A. Definition of Ethics in Supply Chain - Ethics in supply chain management pertains to the moral principles, values, and standards that guide the decisions and actions taken by organizations in their supply chain operations. B. Importance of Ethical Supply Chains - Ethical supply chains promote responsible business conduct, enhance reputation, and mitigate legal and reputational risks. C. Key Ethical Issues 1. Labor Conditions - Exploitative labor practices - Sweatshops and child labor 2. Environmental Impact - Pollution - Resource depletion - Waste disposal 3. Transparency and Traceability - Lack of transparency in sourcing - Difficulty in tracing the origin of materials III. Ethical Challenges in Fashion and Electronics Industries A. Fashion Industry 1. Fast Fashion and Overconsumption - The fast production cycle encourages overconsumption. - High environmental and social costs. 2. Waste and Sustainability - Massive textile waste in landfills. - Sustainable fashion initiatives. 3. Labor Exploitation - Outsourcing to low-wage countries. - Poor working conditions in garment factories. B. Electronics Industry 1. Conflict Minerals - Sourcing minerals from conflict zones. - Contributing to violence and human rights abuses. 2. E-Waste - Rapid obsolescence and disposal. - Harmful chemicals in electronic waste. 3. Supply Chain Complexity - Multiple tiers and lack of visibility. - Difficulty in ensuring responsible sourcing. IV. Addressing Ethical Challenges A. Supply Chain Transparency - Implementing systems to trace the source of materials. - Sharing information with stakeholders. B. Supplier Audits and Certification - Regular audits to ensure compliance with ethical standards. - Certification programs to verify responsible practices. C. Collaboration and Industry Initiatives - Collaborating with industry peers and NGOs to drive change. - Participating in sustainability initiatives like the Sustainable Apparel Coalition. V. Conclusion - In conclusion, ethical considerations and challenges in supply chain practices are of paramount importance, especially in industries like fashion and electronics. - Organizations must proactively address these issues to build sustainable, responsible, and ethical supply chains.