Production processes can influence the greening of the
supply chain in numerous ways. Some of these impacts
include: a process’ capability to use certain materials,
capabilities to integrate reusable or remanufactured
components into the system (which would require disassembly
capacities), and how well the processes are
designed for the prevention of waste. It is within this
function that much of the environmentally sound techological
and process innovations are most advanced (see
[3]; p. 14). This focus of environmental innovation could
be due to the fact that the production element of the
operational cycle is the most internally focused for the
organization, allowing the organization to more directly
observe the benefits of any new technology or process
that is introduced.
Distribution and transportation operations networks
are also important operational characteristics that will
affect the green supply chain. A number of decisions
including distribution outlet locations, mode of transportation
to be used, control systems, and just-in-time policies,
will not only influence the forward logistics network,
but also the reverse logistics network. Distribution
is also the operation that is most closely tied to the
characteristics and requirements of the customer. Thus,
customer involvement in distribution systems design and
development will more likely provide an effective and
efficient distribution network. For, example linking
location decisions to those of vendors and customers will
improve JIT systems.
The reverse logistics operation is probably the least
developed and studied of the operational functions. The
definition of reverse logistics from an environmental perspective
focuses primarily on the return of recyclable or
reusable products and materials into the forward supply
chain. Reverse logistics has also been studied from the
perspective of returned and warranted items that may not
even have been used. This study of reverse logistics may
be considered a subset of the environmental reverse
logistics. Pohlen and Farris [12] in a study of the plastics
reverse logistics process have identified a number of
stages within a reverse logistics channel. Included are:
collection, separation, densification, transitional processing,
delivery, and integration. Thus, not only does
there have to be a network for the reverse logistics collection
process, but a number of systems and processes
may need to exist for the stages in the reverse logistics
channel. Depending on the organization, industry, and
product type, the requirements may vary among the
stages.
Packaging has a strong relationship with other components
of the operational life cycle. Packaging characteristics
such as size, shape and materials have an impact
on distribution due to their affect on the transport characteristics
of the good. Better packaging, along with
rearranged loading patterns, can reduce materials usage,
increase space utilization in the warehouse and in the
trailer, and reduce the amount of handling required. Systems
that encourage and adopt returnable packaging will
require a strong customer supplier relationship as well
as an effective reverse logistics channel. With JIT special
kit packaging requirements will also be needed.
Efficiencies in packaging directly effect the environment.
In some countries, take-back legislation on packaging
has made the packaging operation and planning a
critical environmental logistics consideration