Wal-Mart's Sustainability Initiative - The Packaging Scorecard

Abstract:

The case details the sustainability initiatives of the US based Wal-Mart Stores Inc. (Wal-Mart). It describes the Packaging Scorecard that was introduced by Wal-Mart on November 01, 2006, which aimed at reducing product packaging by 5 percent by 2013. In the Packaging Scorecard system, the suppliers were required to enter information regarding the packaging of each product. Each product packaging was then judged in terms of different metrics of sustainability that included Green House Gas (GHG) emissions produced per ton of packaging, size of packaging, use of raw materials, use of renewable energy, recycled content, transportation impacts, innovation, etc.

With the Scorecard, Wal-Mart could evaluate its suppliers on their performance in ensuring environment friendly packaging. Wal-Mart also attracted some criticism for its Packaging Scorecard. Analysts said that the Scorecard was more of a green washing. They opined that the company was putting needless pressure on its suppliers to comply with the requirements of the Scorecard.

Issues:

» To learn about the importance of corporate social responsibility (CSR) of a global company in new market development and developing sustainable business.

» To show the role played by NGOs and partners in increasing the effectiveness of CSR activities.

» To show how the CSR activities could go about benefiting not just the target community but also the government, local partners, the business prospects of the company itself, as well as the economy of the region.

» To learn the necessity for creating CSR initiatives based on understanding the needs of the target population, instead of offering an initiative based on the convenience of the company.

Contents:

Keywords:

Wal-Mart Stores Inc, Packaging Scorecard, Environment Friendly Packaging, Sustainability, Metrics of Sustainability, Green House Gas Emissions, Renewable Energy, Recycled Content, Transportation Impact, 7 'Rs' of Packaging, Environmental Impact, Cost Reduction, Sustainable Value Networks, Organic Products, Sustainability Projects, Sustainability 360, Clinton Global Initiative, Scorecard Modeling Software, Sustainability Appeal

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