How do these functions work together?
If EHS compliance is compromised, or if the supply chain procurement process goes wrong at any point— either of those two things could damage and harm an organization; if both things occur, it could be disastrous.
Another area that both EHS Managers and increasingly supply chain teams are responsible for is a company’s Corporate Social Responsibility (CSR) program, specifically in legal EHS compliance as well as for ethical and sustainable procurement. A company with a CSR program is committed to embracing business practices that value and account for more than just financial results. Further, today’s consumers and shareholders know that a commitment to sustainability applies not only to an organization’s bottom line, but to its commitment to responsible EHS and supply chain operations.
Although both EHS and supply chain teams have roles to further their company’s mission and values, the lack of information on both sides about the other’s responsibilities may negatively impact the organization’s goal of risk reduction.
Our experience shows that companies spanning across various geographic, political, economic, commercial, and social boundaries need to develop cross-functional relationships to support critical operations, such as supply chain and EHS. These synergistic partnerships are conducive to the company protecting its workforce and continue engaging its employees.
Integration of these two functions also allow for integration with company systems to build organizational resilience. It demonstrates commitment to sustainability and social responsibility, and allows for leadership to have assurance that both critical programs are functioning correctly. Integration insures that ethical supply chain obligations are met, EHS legal compliance is adhered to, and that social responsibility and sustainability goals are being reached. By working in tandem with supply chain and EHS, organizations are able to achieve local, responsive support from internal and external stakeholders, and help increase the knowledge of national and provincial requirements and cultural considerations.