Assessing Environmental Practices in Supply Chains within Trade, Manufacturing, and Logistics Companies

Abstract

Sustainability is progressively emerging as a critical element across all economic sectors, including supply chains. This article discusses the primary stakeholders - trade, manufacturing and logistics service provider (LSPs) organizations – and categorizes them according to the incorporation of environmental practices within their supply chains. The primary goal of this study is to evaluate how these practices are implemented and to identify patterns of adoption across three types of organizations. Cluster analysis was conducted using empirical data from different type of organizations. Internal and external sustainability metrics are used in order to identify the different stages of implementations of environmental practices. The results show three distinct categories of organizations that emerged: leading, developing and non-adopting environmental practices organizations. The empirical study reveals that companies with a higher level of sustainability integration achieve better results compared to those without such practices. The findings underline the significance of implementing environmental practices within supply chains to promote sustainability and gain a competitive advantage. This article contributes valuable knowledge for researchers and practitioners creating a basis for developing sustainable strategies aligned with the organization’s environmental commitment.