Supply Chain Management

Triple Bottom Line of Sustainability & Supply Chain

Executive Summary
Throughout history the view of sustainability has changed and developed drastically.
Beginning as an idea, sustainability has now become a necessity and is therefore a
serious factor for businesses and consumers. With consumer knowledge and
concern growing, it is imperative for businesses to find ways to be sustainable with
their practices.

The Triple Bottom Line (TBL) is a business model created by Jon Elkington in the
early 90s. Although the platforms of this model were not entirely new, it gives
businesses a relatively clear understanding of the fundamentals of sustainability.
Social, economic and environment are the three aspects that make up the TBL.
These elements are used to guide businesses into developing practices that help
them sustain into the future, whilst taking into consideration and causing as little
possible damage to people, the planet and profit (also known as the 3 Ps).
When discussing the topic of sustainability, Corporate Social Responsibility (CSR)
comes into play. Working with TBL, CSR involves businesses exploring further than
the traditional measures of personal profit. Consumers are calling for companies to
go beyond what the law requires them to do. The strategic role of CSR in companies
is vital, with components of the environmental TBL business model being demanded.

The report includes an investigation into the luxury brand created by designer Stella
McCartney. The sustainability of Stella McCartney business practice was examined,
making sure to look at all stages of the supply chain with a focus on linkages to the
TBL. With a strong focus and image of a responsible, honest and vegetarian
business, the expectation from consumers is high.
When looking from an economic perspective, Stella McCartney is currently a
profitable brand that maximises profit earning potential. Unlike many brands,
McCartney does not choose to produce the majority of her products in cheaper
developing countries e.g. Bangladesh. A financial benefit to this is the reduced risk of
costly delays brought on by underdevelopment e.g. factories and roads. This saying,
the brand does still source and manufacture globally (mostly Italy) instead of locally.
This comes with costly nodes and linkages. Furthermore, there she has costs
brought on by using ethical materials, none containing or testing on animals.
Stella McCartney takes the social impacts of her business very seriously and is
constantly look at ways to reduce it and also help benefit people. She is part of many
organisations (e.g. ETI) that have strict working and ethical standards. Standards
include no forced or slave labour, no child labour and workers security and equity.
She also has a program that helps mutually benefit by providing opportunities to
marginalised people. This saying, the details of her operations are not provided by
Stella McCartney or the brand owner Kering. This shows the businesses lack of
transparency with consumers.
When it comes to environmental practices, McCartney is working to achieve their
goals with NRDC. The brand no longer uses PVC, is involved with Meat Free
Monday, and has many systems in place to reduce the retails stores impact on the
environment. A possible improvement found was their inefficient use of resources in
their dyeing process and not using 100% organic cotton.
After examining Stella McCartney, sustainability as a whole and general TCF
sustainable industries business practices, recommendations are made. When it
comes to the environmental damage of the TCF industry, currently there is a lot of
focus on the beginnings of the supply chain. However, it is important for companies
to also look at the environmental footprint of their warehouses, distribution centers
and retail store. Furthermore, the TBL has noticeable gaps that brands such as Stella
McCartney have recognized. Ethics towards people (e.g. workers) and the
environment is important, but this should be extended towards ethics towards all
living beings, including animals. Lastly, the importance of transparency in a
businesss supply chain is highlighted. It aims to gain the trust of consumers and
encourage sustainable business practices in all stages of the supply chain.

Sustainability has seen enormous grown, however it is clear that more can be done
by businesses. The importance of sustainability is known, and is crucial for the
survival of companies, people and the earth.