Sustainability and Value Chain Optimization: A Network Perspective

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1 Sustainability and Value Chain Optimization: A Network Perspective Robert Kozak University of British Columbia Faculty of Forestry Co-Theme Leader (2 & 3), NSERC VCO Strategic Network

2 NSERC VCO Network Themes 2 & 3 Integrated Supply Chain: Agile Logistics and Manufacturing (Theme 2) Integrated and Collaborative Planning (Theme 3) These themes consider both manufacturing and logistics systems together in a holistic manner and attempt to define production systems that are more robust. The objective of these themes is to provide the tools and methods necessary to deploy agile and resilient value chains, especially in a context where mass customization, integration and collaboration may be the keys to greater competitiveness in the modern bioeconomy.

3 NSERC VCO Network Themes 2 & 3 Integrated Supply Chain: Agile Logistics and Manufacturing (Theme 2) Integrated and Collaborative Planning (Theme 3) These themes consider both manufacturing and logistics systems together in a holistic manner and attempt to define production systems that are more robust. The objective of these themes is to provide the tools and methods necessary to deploy agile and resilient value chains, especially in a context where mass customization, integration and collaboration may be the keys to greater competitiveness in the modern bioeconomy.

4 NSERC VCO Network Themes 2 & 3 Integrated Supply Chain: Agile Logistics and Manufacturing (Theme 2) Integrated and Collaborative Planning (Theme 3) These themes consider both manufacturing and logistics systems together in a holistic manner and attempt to define production systems that are more robust. The objective of these themes is to provide the tools and methods necessary to deploy agile and resilient value chains, especially in a context where mass customization, integration and collaboration may be the keys to greater competitiveness in the modern bioeconomy.

5 NSERC VCO Network Themes 2 & Development of a Holistic Forest Value Chain Model Can forest products value chains be devised that incorporate multiple products and values? How can forest products value chains evolve to include social and environmental costs / values? Is there a need for more holistic approaches to value chain optimization in the forest industry given rapidly evolving business environments, supply chains and business models? If so, what types of decision support tools should be developed?

6 NSERC VCO Network Themes 2 & Development of a Holistic Forest Value Chain Model Can forest products value chains be devised that incorporate multiple products and values? How can forest products value chains evolve to include social and environmental costs / values? Is there a need for more holistic approaches to value chain optimization in the forest industry given rapidly evolving business environments, supply chains and business models? If so, what types of decision support tools should be developed? Objective of Workshop: to provide clarity on the need for sustainability issues (environmental and social) to be incorporated into forestry value chain optimization efforts.

7 Sustainability meeting the needs of the present without compromising the ability of future generations to meet their own needs. Brundtland, 1987 might best be defined as an ethical concept that things should be better in the future than they are at present. Like other ethical concepts such as fairness and justice, sustainability is best interpreted conceptually rather than technically. Seager, 2008

8 Sustainability potential / capability restorative economy? drawdown of natural capital current ecological footprint ecoefficiency? status quo? Source: Jon O Riordan, BC MOE (2005); Paul Hawken, The Ecology of Commerce (1994)

9 Sustainability

10 Sustainability

11 Approaches life cycle analysis industrial ecology carbon accounting forest certification corporate responsibility practices ecoefficiency strategies

12 Approaches life cycle analysis industrial ecology carbon accounting forest certification corporate responsibility practices ecoefficiency strategies decision support tools

13 Agenda Keynote: Sustainability and Business (David Cohen, UBC) Sustainability and the Forestry Value Chain: Gaps and Needs Industry Perspective (Michael Bradley, Canfor) Research Institute Perspective (Jennifer O Connor, FPInnovations) Academic Perspective (Getachew Assefa, University of Calgary) NSERC VCO Projects / Researchers Survey of Eco-Efficient Supply Chains (Sophie D Amours, Université Laval) LCA Analysis of the Forest Biorefinery (Paul Stuart, Polytechnique Montréal) Rethinking Forestry Supply Chains for Media Consumption: Paper versus Pixels (Justin Bull, UBC)

14 Outcomes Facilitated Group Discussions: Sustainability and the Forestry Value Chain Research Gaps and Needs Research Projects for the NSERC VCO Network A Path Forward

15 Thank you