supply chain maps · supply chain maps this pack shows the ... both as flow diagram maps, ......

20
supplychainschool.co.uk – building sustainability Supply Chain Maps This pack shows the key outputs of the Supply Chain Mapping Group in terms of mapped supply chains for four products. It should be read in conjunction with the accompanying protocol guide on Supply Chain Mapping. The following products were mapped. 1. Hi vis vest, mapped for two distinct supply chains 2. Floor Cleaning Product 3. (Recycled) Plastic Bag 4. (Steel) Rebar

Upload: dokiet

Post on 20-May-2018

218 views

Category:

Documents


4 download

TRANSCRIPT

Page 1: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Supply Chain Maps

This pack shows the key outputs of the Supply Chain Mapping Group in terms of mapped supply chains for four products. It should be read in conjunction with the accompanying protocol guide on Supply Chain Mapping. The following products were mapped.

1. Hi vis vest, mapped for two distinct supply chains

2. Floor Cleaning Product

3. (Recycled) Plastic Bag

4. (Steel) Rebar

Page 2: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Simple, Generic SC Map

Disposal / Circular

EconomyUse

Storage & Distribution

Manufacture & Assembly

ProcessingGrowth / Extraction

▪ This diagram depicts a simplified supply chain map; this is the basis for building a picture of your supply chain and the processes that products undergo in their manufacture and delivery. This is then used to overlay first the geographic data and flow of materials (location of production facilities and relationship between tiers of supply) and then the risk data for modern slavery or other sustainability impact.

▪ The following slides show the outputs from mapping the supply chains for hi vis vests, floor cleaning product, plastic bag and rebar (steel), both as flow diagram maps, and ask as risk overlays for modern slavery (and water stress in one example).

Page 3: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Hi-vis Vest SC Map #1

PartnerTier 1 Distributor

of PPE - UKManufacturing

facility- MOROCCO

Fabric – 83% -production - UK

Polycotton –manufacture -

INDIA

Cotton –manufacture -

INDIA

Polyester -manufacture -

INDIA

Reflective Tape –10% - manufacture

- GERMANY

Reflective Tape –manufacture - USA

Raw materials: polymers?

Velcro strip – 2% -

manufacture- UK

Raw materials: polymers?

Bias Binding – 3% -manufacture - UK

Raw materials: polymers?

Stud – supply – 1% - GERMANY

Stud -manufacture -

CHINA

Raw materials: polymers?

Thread – 1% -manufacture -

GERMANY

Raw materials: cotton?

Packaging –manufacture -

MOROCCO

Raw materials: polymers & cardboard?

Dyeing and Finishing –GERMANY

Page 4: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Legendfabric from India to UK, then to Germany and back for dyeing and finishing, before going to Morocco for assembly into final product

reflective tape, from USA to Germany for cutting, then to UK in rolls, before going to Morocco• Black line: velcro and bias binding direct from UK to Morocco• Purple lines: press studs from China, to Germany and then to UK before going to Morocco • Blue line: thread from Germany to Morocco• Green line: final product sent back from Morocco to UK• Also included but not shown: plastic bag and cardboard box packaging sourced within Morocco

Page 5: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Findings

With respect to risk of Modern Slavery

▪High risk in India

▪Moderate to high risk in Morocco

▪ Low to moderate risk in China

▪ Low risk in UK, USA and Germany

▪But needs to be considered with the activities being undertaken, namely cotton growing/manufacture; production of components like studs and tape, etc, as well as the actual supplier and their capabilities

▪Also mapped to water stress to demonstrate the wider application, overleaf

Page 6: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Legendfabric from India to UK, then to Germany and back for dyeing and finishing, before going to Morocco for assembly into final product

reflective tape, from USA to Germany for cutting, then to UK in rolls, before going to Morocco• Black line: velcro and bias binding direct from UK to Morocco• Purple lines: press studs from China, to Germany and then to UK before going to Morocco • Blue line: thread from Germany to Morocco• Green line: final product sent back from Morocco to UK• Also included but not shown: plastic bag and cardboard box packaging sourced within Morocco

Page 7: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Findings

With respect to risk of Water Scarcity

▪High water scarcity in large parts of India, China, UK and Germany

▪Moderate risk in parts of USA

▪But needs to be refined to more detailed location to account for river basins, as well as the activities being undertaken and their relative demand on water, viz:

➢ Cotton growing has a high water demand

➢ Manufacture of plastic components a relatively low demand

Page 8: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Hi-vis vest SC Map #2

Supplier AFlorescent Mesh FabricOrigin – China84%

Supplier BRetro reflective TapeOrigin - China7%

Supplier CPU Material for ID WalletOrigin – China4%

Supplier DBlock Tooth Nylon ZipOrigin - China3%

Supplier EFabric BindingOrigin - China1.75%

Supplier FInternal Garment LabelsOrigin - China0.25%

Manufacturing FacilityOrigin - China

Tier 2UK Wholesaler

Tier 1Uniform Fulfilment

Supplier GExternal LogosOrigin - UK

Partner

Page 9: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

FabricVelcroThreadZipperReflective tapePoly bagCartonLogistics

FabricZipper

Label

Reflective tape

FabricYarnDye

FabricYarn

Page 10: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Legend• Purple line: all materials from within various parts of China, as shown in previous slide, manufactured and assembled before shipping to the UK• Also included but not shown: logos from within UK

Page 11: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Findings

With respect to risk of Modern Slavery

▪ Low to moderate risk in China

▪However, you need to consider that there are many facilities within China that are being used with the activities being undertaken and therefore what the varying ’maturity’ of these facilities is with respect to labour standards and modern slavery

Page 12: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Floor Cleaner SC Map

Supplier APlastics- bottles and closuresOrigin – UK2.8%

Supplier BCardboard case Origin – UK1.8%

Supplier DChemical productOrigin – UK95%

Supplier CLabelsOrigin – UK0.4%

Manufacturing FacilityOrigin – UKBlending, filling, packing and distribution of cleaning chemicals

FM Contractor

Supplier D4Isocil Ultra 1.5Origin – UK<1%Dyes Origin UK <1%

Supplier D3Sodium hydroxideOrigin – UK 30%Citric Acid monohydrateOrigin UK <1%

Supplier D2Distilled coconut fatty acid- UK <1%Alcohol Alkoxylate-Origin UK 1-10%Sodium xylene Origin UK 1-10%

Supplier D1Ionised WaterOrigin – UK>50 %

Supplier D5Alcohol EthoxylateOrigin – UK 1-10%

Supplier D7Non ionic ethoxylateOrigin – UK <1%

Supplier D6FragranceOrigin – UK <1%

Partner

Page 13: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Legend• Purple line: sourcing of materials within the UK – exact locations unknown

Page 14: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Findings

With respect to risk of Modern Slavery

▪ Low risk in UK

▪Although many of the manufacturers will be larger businesses with robust systems and procedures, nonetheless, Modern Slavery does exist in the UK. Scrutiny of the types of labour they use, temporary agency workers for instance, is important to understand if there is a risk in the lower skilled, lower pay parts of the supply chain. Moreover, some of their suppliers will be overseas, which would require further investigation.

Page 15: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Plastic bag SC Map

Manufacturing FacilityOrigin – UKMelting & stretching pellets into film, rolled, converted, sealed and cut

Tier 1FM supplier

Supplier ARecycled cardboard box

Maritime & road

freight B, C, D

Road freight

A

Road freight

Location ARecycled virgin plastic– Internal factoryOrigin UK40%

Location B Recycled virgin plastic– Internal factoryOrigin – China0-60%

Location DRecycled virgin plastic– Internal factoryOrigin - Germany0-60%

Location CRecycled virgin plastic– Internal factoryOrigin - Vietnam0-60%

Partner

Page 16: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Legendrecycled plastic from Vietnam to UK

recycled plastic from Germany to UK• Purple line: recycled plastic from China to UK• Also included but not shown: recycled plastic from within UK

Page 17: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Findings

With respect to risk of Modern Slavery

▪ Low to moderate risk in China and Vietnam

▪ Low risk in UK and Germany

▪Although generally lower risks of modern slavery in these countries, some due diligence is still needed to understand the activities being undertaken and the types of labour being used. And as this is a chemicals based sector, worker health is a key issue too. As these are ‘internal factories’ supplying pellets to a UK manufacturing facility the first step is to understand what labour standards are flowed down and monitored. Moreover, sea freight is used for Vietnam and China so there might be a risk of modern slavery at sea.

Page 18: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Rebar SC Map

Location UKScrap steel (old white goods, etc)

Location SpainScrap steel (old white goods, etc)

Location LuxembourgScrap steel (old white goods, etc)

Manufacturing FacilityMelting & forming the rebarUK

Tier 1Supplier

Partner

Page 19: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Legend• Purple lines: sourcing of materials from Luxembourg, Spain and within the UK – exact locations unknown

Page 20: Supply Chain Maps · Supply Chain Maps This pack shows the ... both as flow diagram maps, ... ‘internal factories’ supplying pellets to a UK manufacturing facility the

supplychainschool.co.uk – building sustainability

Findings

With respect to risk of Modern Slavery

▪ Low risk in UK, Luxembourg and Spain

▪All sourced within in EU countries. However, Modern Slavery does exist in these countries, especially in low skilled, low paid jobs where the turnover of staff can be high and / or sourced from agency contractors. So whilst there is probably little risk of modern slavery in the first tier of supply, there might be lower down in the smaller scrap metal merchants who supply into the tier 1 supplier who then supplies the rebar manufacturers.