SUSTAINABLE SOURCING: HOW COMPANIES ARE REDEFINING THE TRADITIONAL SUPPLY CHAIN MODEL

Due to growing strains imposed on businesses globally by climate change, scarcity of resources, societal stress to adopt ethical business practices, the old paradigm of take-make-dispose supply chain is increasingly becoming unsustainable. This study explores the way businesses are rebranding their sourcing and supply-chain approaches using sustainable sourcing methods in two organisations: Patagonia, a worldwide leader of textile sourcing sustainability, and Epyllion Group, an extensive apparel manufacturer based in Bangladesh. This study is based on the general question of the next nature: How do companies include sustainable sourcing into their supply chain models, and how do these approaches affect their sustainability in the broad overall? Based on the theoretical foundation of Sustainable Supply Chain Management (SSCM), this research describes how material selection, supplier relationship, visibility, and outsourcing can support the three facets of environmental, social and economic aspects of sustainable value generation. Green supply chain management, circular economy, ethical procurement and supply chain transparency are incorporated in the analysis to examine drivers, practices, and barriers of sustainable sourcing in the apparel industry. Based on a qualitative methodology of the case study, the study would utilise secondary data to collect data on the sustainability report of the companies, traceability tools, certifications, and the supply chain disclosures used by Patagonia and Epyllion. The main conclusions include the fact that Patagonia has installed sustainable sourcing on a large scale: it focuses on organic cotton, recycled fibres and Fair Trade certified; on best-in-class transparency through its Footprint Chronicles and Material Traceability Programme; and on renewable energy, waste-reduction and circular-economy programs. Albeit less established, Epyllion Group is experiencing significant advances in the usage of organic and recycled materials, use of an ISO 14001 compatible supplier sourcing strategy, and employee-welfare programmes, though limited by affordability, complexity of the supplier chain and institutional inefficiencies at the local level. This thesis concludes that sustainable sourcing ceases to be a marginal CSR activity but a business-level facilitator to competitive advantage, openness and sustainability. The scalability, affordability and traceability of such endeavours, however, are a major concern, especially in emerging-economy situations. Lastly, there are suggestions to industry practice in terms of further capacity building of their suppliers, investment in digital traceability solutions (e.g., blockchain), and participatory multi-stakeholder platforms. It has recommended future studies that should involve longitudinal studies of financial performance, consumer behaviour in the market or digital-technology adoption in the global supply chain.