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SME’s Can Profit From Greener Supply Chains

Small businesses are being urged to cut carbon in their supply chains to take advantage of opportunities in the green market.

The Carbon Trust is encouraging smaller companies to embrace the opportunities offered by the growing green economy, which is now worth £112 billion. However, research by the Carbon Trust has found that over half of UK small-medium businesses see a greener economy as a threat, with less than a third expecting it to lead to higher profits.

Ian Gibson, Director of Delivery Programmes at the Carbon Trust said: “Businesses that do not embrace the green economy risk losing out. As larger firms look to reduce carbon in their supply chains, SMEs that don’t act now could get cut out in favour of greener competitors.”

One example of an SME using its green credentials to win major new contracts is Lamport Gilbert, a printing business based in Reading with 40 employees.

By investing in green technology, Lamport Gilbert is reducing its overheads and improving profitability and can market the business as one of the UK’s leading eco-print providers. Not only is this environmental positioning helping it win business, but it has also reduced its annual energy spend by around 10,000.

“There’s no doubt that being greener has won us new business,” said Lamport Gilbert’s managing director Andy Robbins.

“Large companies are looking for higher environmental standards from their suppliers and unless you can prove you are doing your bit, you will miss out on opportunities.”

The Lowry Hotel, a five star hotel in Manchester, is another SME that is benefiting from green growth. It has reduced its carbon emissions by 11 per cent and has reported an increase in business and customer loyalty after promoting its energy efficiency measures.

The Carbon Trust has released a guide for SME’s with information and advice on how to take advantage of green growth: Click here for more information

By | 2011-04-18T10:52:36+00:00 April 18th, 2011|Supply Chain Management|0 Comments