What Does Walmart’s Sustainability Product Index Mean to You?

February 8th, 2010 by John Dinesh Mascarenhas Leave a reply »

What is it? What is driving it? How does it apply to you?

What is it?
Walmart’s Sustainability Index initiative is undoubtedly a shock to many of their 100,000 suppliers. The 15 questions on the Index focus on four areas: Energy and Climate, Material Efficiency, Natural Resources, and People and Community. These questions push beyond the typical boundaries that a supplier uses to manage their resources to remain a top competitor for the price-focused Walmart.

What is driving it?
We believe that Walmart, the worlds largest retailer, sees the path to sustainability as one that is driven by market forces, one that will give them a competitive edge, and one that makes them a ‘better’ company. 

Business realities today include sustainability related trends: resource constraints and price volatility, increasing consumer awareness of and interest in environmentally beneficial products, and active demands from stakeholders ranging from shareholders to non-profits around sustainability. Walmart, we believe, is interested in working with its suppliers to eventually align its supply chain with it’s own sustainability goals. In fact, Walmart has publically committed to be on a path to use 100% renewable energy, to create zero waste, and to sell products that sustain our resources and environment! We believe the 15 Question Index is the just the beginning of measurements, transparency and progress for Walmart’s vast supply chain.

Does it apply to you?
Of course, if you are a current or potential supplier to Walmart. And, even if you are not a Walmart supplier, if you earn your revenues in the supply chain for major retailers. Do you understand how market forces are driving your customer to push business sustainability? What does this mean for your business? Do you want to be ahead of this curve and potentially gain competitive advantage? Is it better to wait and see what your competitors are doing? What are the risks of being behind the curve?

How can Sustainametrics Help?
We are in business to help mid-size businesses navigate the sustainability evolution – strategically and profitably. We can work with you to understand and answer the Walmart Sustainability Index, or to develop a more strategic road map to sustainability that includes Walmart’s Index.
Sustainametrics’ leadership team is experienced across all four areas of Walmart’s Index. Our core service areas include: Energy and Greenhouse Gas Management, Waste Reduction and Lean Operations, Water Efficiency and Management, Stakeholder Engagement and Communications. When we wrap those areas in holistic, systems thinking and align them with your corporate strategy, we provide enhanced value that pays off in both the short and longer terms.

Walmart, we believe, knows that its suppliers will only truly embrace sustainable practices if doing so produces positive business results. Sustainametrics knows that too. We welcome the opportunity to show what ‘Profitable Green Strategies” can mean to you.

See Walmart’s 15 Question Sustainability Index here


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