Last fall, then-Governor of California Arnold Schwarzenegger signed a bill requiring state businesses to provide information regarding their efforts to end slavery and worker exploitation within their own supply chains.
That measure is an isolated example of governmental bodies taking action to create more sustainable business practices. Amid an ever-changing and rapidly expanding global economy, it becomes increasingly difficult for businesses to ensure the various social, environmental, humanitarian and economical practices that are involved in supply chains are responsible.
But these concerns are not only in the interest of governments, as businesses - for both financial and social reasons - should be conscious of their own impact.
"These events have run the range of environmental (products or materials tainted with toxic chemicals), economic (cost spikes of a feedstock) or social (poor or illegal labor practices by a supplier)," Paul Anastas, assistant administrator for the Environmental Protection Agency's Office of Research and Development, told Inc. magazine.
"Without designing sustainability into the supply chain of the company," Anastas adds, "the risk of significant adverse impact is high."
As the economy continues to globalize and emerges from the worldwide recession, entrepreneurs looking to incorporate in California would do well to always have sustainability in mind.
Tags : ca, incorporation news, operations, small business management
Posted: Mar 24th, 2011