Question

What are some of the ethical issues Supply Chain Management faces today?

Answer 1

The various Ethical Issues that the Supply Chain Management faces are :

• Producer/Manufacturer related ethical issues: The supply chain industry is encumbered by a number fo ethical standards and labor practices that are employed by the manufacturers and the producers, it has come to light that many of the famous companies who source their products form the third party manufacturers or contractors based out of developing countries use unethical labor practices like overtime without pay , child labor , unsafe working conditions etc.These contractors often neglect the basic safe working conditions naad thus pose a threat tot he lives fo the people working in these companies.
• Middlemen related Ethical Issues: The various issues related to the middlemen also come under the purview of the ethical issue of the Supply Chain Management , this includes the issues related to the fair purchase agreements , the fair sales prices , the fair share of the profit agreement . There are various issues like the discriminatory pricing where the middle man are often seen to give better prices to some clients than some other customer's in the form of heavy discounts. This unfair treatment of some of the customers by the middleman is deemed as unethical.
• Environmental Issues : The current era of globalization and cost cutting measures have led to widespread disruption of the ecological balance , the use of single use plastic which is a cheaper alternative of other packaging measures and the widespread use of cargo transportation medium'like the shipping industry is causing harm to the environment like the frequent oil spill's destroying the ecology of the oceans and seas.