Mcdonald’s sets sustainability targets
McDonald’s has set itself several objectives for supply chain sustainability, which it hopes to meet by 2020. Some of its aspirations include only using coffee, palm oil, and fish sourced from verified sustainable sources.
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Conflict and political violence on the rise
According to the latest findings by Maplecroft from its Conflict and Political Violence Index, the intensity of conflict and political violence in 48 countries in the last six months has increased, causing significant disruption to supply chains.
The top three countries rated as being at the most “extreme” risk were Syria, Central African Republic and Iraq.
The principal political risk analyst at Maplecroft, Charlotte Ingham, notes that the disruptive nature of conflict has several negative effects for the supply chain. These include: the risk of harm to personnel, logistics disruptions and/or the need to stop production. Furthermore, companies which have invested in countries with severe disruption caused by conflict and political violence, face a high risk of reputational losses.
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Asda and climate change
British supermarket chain Asda has enlisted the help of consultants PwC to map its worldwide fresh produce supply chain, in an attempt to understand the extent it will be affected by climate change. The preliminary results are quite shocking: 95% of its entire fresh produce range is already vulnerable to climate change.
Vicki Hird, Friends of the Earth’s senior food campaigner, has reacted positively to the incentive of the study, but notes that it is now, more than ever, that retailers must take action. She further adds that Asda must implement a new marketing strategy to safeguard its supply chain, presenting consumers with more sustainable alternatives which use much less water and meat. Furthermore it is recommended Asda pay its producers more so they can afford to utilize more sustainable production methods.
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Have a great weekend!
