Sustainability in Supply Chain Management Casebook

Financial Times
Chuck Munson  
Total pages
September 2013
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Until now, instructors have struggled to find relevant, high-quality case studies for their courses on sustainable supply chains and operations. Now, for the first time, there’s a comprehensive collection of original case studies on building sustainability into the supply chain. An ideal resource for graduate-level and executive courses in sustainability, operations management, and supply chain/logistics, The Sustainability in Supply Chain Management Casebook covers a wide spectrum of social, economic and environmental issues; as well as new areas such as reverse logistics and closed-loop supply chains.


Steven Leon covers these and other specific topics: strategy, implementation, decision making, transportation, supplier relationships, collaboration, lean and continuous improvement, finance and economics, worker safety and rights, procurement, production, delivery, packaging, logistics, and global supply chains. He frames these case studies with authoritative introductory material, and offers corresponding teaching notes and Q&A sections that make this an even more useful instructional resource.


Original, state-of-the-art case studies in the practice of supply chain sustainability. 

  • An invaluable resource for graduate and executive courses in sustainability, operations management, and supply chain/logistics
  • Covers a wide range of social, economic and environmental challenges
  • Introduces new applications in sustainability, including reverse logistics and closed-loop supply chains
  • Presents valuable introductory content, corresponding teaching notes, and Q&A sections

Table of Contents

Part 1 Disaster Response: Social and Financial

Impacts 1

Chapter 1 The Armenia Earthquake: Grinding Out an Effective Disaster Response in Colombia’s Coffee Region

Alfonso Pedraza Martinez, INSEAD; Catalina Estrada Mejia,

UniAndes School of Management; Orla Stapleton INSEAD;

Luk Van Wassenhove, INSEAD 3

Introduction  4

The Earthquake 4

The Relief Chain 6

Planning and Preparedness 6

Assessment 8

Resource Mobilisation 9

Financial 9

Human Resources 9

Organisational Set-up   10

Procurement and Donations 12

Transportation 13

Tracking and Tracing 15

Stock Asset Management 15

Extended Relief to Beneficiaries 17

Monitoring, Evaluation and Reporting 18

Coordination and Collaboration 19

Conclusion 21

Appendix 1 22

Glossary of Organisations  22

Chapter 2 Resilient Response and Recovery at Western Digital: After the Thai Flood

Joe Bunya, Western Digital; Christopher Tang,


Thailand Floods in 2011 30

Western Digital in Thailand 31

Before the Flood–Identifying, Assessing, and

Mitigating Risks 33

During the Flood–Resilient Response 34

After the Flood–Speedy Recovery 37

The Sun Shines Again 38

Chapter 3 Global Effect of a Natural Disaster on a Lean Supply Network

Mark Dolsen, Wayne State University and Tokai Rika Group

North America-Quality Safety Systems Company (TRQSS),

Dr. Ratna Babu Chinnam and Dr. Kenneth Chelst, Wayne

State University    43

Breaking News–Friday, March 11, 2011 43

Background of TRQSS, Inc. 46

Assessment of the Supply Base 48

Trouble from the Other End of the Chain 49

Preserving the Culture in a Downturn 52

What’s Next? 55

Chapter 4 Honda Automobile (Thailand) and Its Supply Chain Disruption

Kraiwinee Bunyaratavej, Wesley College 63

Honda Automobile (Thailand) History 63

The Big Flood 64

Financial Impact 66

Other Plants 69

Part 2 Organizational Change, Environmental

Sustainability, and Financial Analysis   71

Chapter 5 Going Green: The Pfizer Freiburg Energy Initiative (A)

Sam Aflaki and Paul Kleindorfer, INSEAD  73

Pfizer and the Pharmaceutical Industry 74

Becker’s Portfolio: The Freiburg Energy Master Plan 77

The Wood-Pellet Boiler Project 82

Role of the Portfolio of Projects within Pfizer’s

Sustainability Agenda 86

The Decision 88

Appendix 1 89

Kyoto Protocol, CO2 and Emissions Trading 89

Chapter 6 Sandvik Coromant Recycling Concept

Gal Raz and Michel Schlosser, University of Virginia    97

Industry Overview 98

Tungsten and Cobalt 100

Company Overview 101

Sandvik Tooling’s Supply Chain 103

Manufacturing 103

Logistics 103

R&D and New Product Development 103

Multibranding 104

Cooperation with Customers   104

Quality 105

Organization and Culture 105

Organization 105

Culture 105

The CRC at Sandvik Tooling 106

Cemented Carbide Recycling 106

History 107

The Reverse Supply Chain 108

In-house or Outsource? 109

Environmental Impact 110

Pricing of Scrap 110

Local Sales Organizations: The U.S. Example 110

Chapter 7 HeidelbergCement: Technology Choice
Under Carbon Regulation

David Drake, Paul Kleindorfer, and Luk Van Wassenhove,


History, Growth and Landscape 125

The History of HeidelbergCement 126

The Competitive Landscape 128

The Emergence of a Carbon Economy 129

From Kyoto to Carbon Credits 129

The European Union Emissions Trading Scheme 131

Emissions Regulation in European Cement 133

Cement Operations and Carbon Impacts 136

Kiln Operations 136

Fossil, Alternative and Biomass Fuels 137

Cement Blending and Clinker Substitution 140

On the Horizon–Carbon Capture and Storage 142

The Benelux Cluster 144

A Question of Impact and Survival 146

Chapter 8 Electronic Waste: What to Do with It?

Steven Leon, University of Central Florida   161

A Day at the Office 161

Technology Changes   162

Repercussions of Changing Demand

for CRTs 163

Industry Responsibility 164

Government Intervention 165

Supplier Oversight 167

Good News 169

Part 3 Sustainability Throughout the Supply Chain 171

Chapter 9 Better Tomorrow at Sodexo North America

Jan Bell, S. Sinan Erzurumlu, Holly Fowler,

Babson College 173

Introduction 173

Sodexo: Corporate Overview 175

Supply Management Group 177

The Better Tomorrow Plan 179

Sustainability Strategy and Priorities at Sodexo

North America 180

“We Do” Protect the Environment

at NORAM 183

Energy and Emissions 184

Water and Effluents 186

Local, Seasonal, or Sustainably Grown or

Raised Products 187

Sustainable Fish and Seafood 188

Moving Forward 190

Chapter 10 GroBaby Foods: Green Sourcing

Sheneeta W. White, University of St. Thomas 197

Introduction 197

Company Background 198

Competitive Pressures 199

Infant Purée Production 200

The Supply Chain 200

The Sourcing Strategy 201

Developing a Green Sourcing Strategy 203

The Challenge 204

Discussion Questions 205

Chapter 11 Reducing Pollution Through Green Logistics

Tom McNamara, ESC Rennes School of Business and

Erika Marsillac, Old Dominion University  209

Sources 213

Part 4 Social Sustainability Through Innovation 215

Chapter 12 Bosch: Creating Innovations Through Active Collaborations

Marina Mattera, Universidad Europea de Madrid 217

The Base of the Pyramid (BoP) 217

Open Innovation 220

Open Innovation: Robert Bosch GmbH 222

Continued Financial Success 222

Business Sectors 224

Automotive Industry 224

Industrial Technology 225

Consumer Goods and Power Tools 225

Social Responsibility 226

Innovation Production: R & D and Operations 227

Bosch’s R & D Infrastructure 228

How to Proceed When Conducting R & D and

Operations 229

Collaborations 231

Innovation Production: Processes and Products 233

Processes and Procedures 233

Products 235

Conclusion 239

Questions 240

References 241

Chapter 13 Max Foundation (A): Saving Children’s Lives Through Business Model Innovation

Martijn Thierry, Strategy Consultant and Luk Van

Wassenhove, INSEAD  243

I. Creating Something Positive Out of a Tragedy 244

II. The Vision and the Search 245

III. Building the Base in the Netherlands 247

IV. The First Steps in Bangladesh: Learning While Doing 248

V. Challenges at Home 251

VI. Increasing Presence in Bangladesh 253

VII. Envisioning the Next Step 255

Max Foundation: Saving Children’s Lives

Through Business Model Innovation (A) and (B) 257

Appendix 1 264

Pictures of Joke and Steven in Bangladesh   264

Appendix 2 266

Additional Information on the Implementation

Partners in Bangladesh 266

Overview  .266

Some Partner Specific Information 267

Chapter 14 Max Foundation (B): What Is the Best Route Forward?

Martijn Thierry, Strategy Consultant and Luk Van

Wassenhove, INSEAD    269

I. Finding Partners for Growth 270

II. Measuring and Analysing Impact for Better Performance 271

III. Developing One Marketing Strategy for a Specific Donor Segment 273

Chapter 15 NH: Innovation and Knowledge Production Through Active Stakeholder Management

Marina Mattera, Universidad Europea de Madrid 275

Creation of Innovations 275

Knowledge Production and Diffusion

Life Cycle 277

Tourism Industry 279

NH Hoteles History Overview 281

Corporate Profile: Mission, Vision, and Values 283

Knowledge Life Cycle at NH 284

Business Process Environment 288

Questions   295

References   296

Index    299

Back Cover

15 Thought-Provoking Case Studies in Achieving Sustainable Supply Chains


High-quality, up-to-date case studies on sustainable supply chains and operations have been all too rare. Now, for the first time, there’s a comprehensive collection of up-to-date case studies that show the challenges that organizations face when successfully building sustainability into their supply chains.


Through 15 new case studies, Steven M. Leon and a team of expert contributors present innovations in strategy, execution, transportation, sourcing, collaboration, ethics, financial tradeoffs, procurement, reverse logistics, humanitarian logistics, and more. Each case study is framed with insightful dialogue and supported with teaching notes and Q&As.


Steve Leon is a Clinical Professor at the University of Central Florida and teaches supply chain and operations management in the executive M.B.A., M.B.A., and undergraduate programs. His research focuses on sustainability, supply chains, and air transportation, which appear frequently in both academic journals and industry publications. He routinely presents his research at both academic and industry forums worldwide. He is a member of various associations including the Council of Supply Chain Management Professionals (CSCMP) and is on the board of the Central Florida CSCMP Round Table. Prior to his academic career, Steve had an 18-year career in the airline industry, principally in flight operations, training, and satellite communications, in such roles as an airline pilot flying internationally and various management positions. Steve earned his Ph.D. in Transportation and Logistics from North Dakota State University, an M.B.A. with an International Business concentration from Loyola University Maryland, and a B.S. in Aeronautical Studies from the University of North Dakota.