Supplier Selection Process Based on Green Approach

Abstract

Abstract The focus on profit and continuous struggle for increasing market share has gradually led to the neglect of the environment. The opportunist behavior of companies by threatening of ecological environment has led to a indirect neglect of its consumers. According to that, the implementation of green approach in all business areas has to be present. When it comes to a supply chain and its sustainability in an ecological sense, the question of adequate choice of suppliers and/or partners is a priority. The process of supplier selection is the first stage in the process of designing the supply chain. Therefore, this phase will decide whether the whole supply chain will be green-oriented. The aim of the paper is to point out the increasing implementation of the green approach in the supply chain, and above all in the supplier selection process. In addition, the paper analyses the impact of the economic environment as a factor of implementation of the green approach. In order to verify the hypothesis, the authors analyze EPI and LPI indexes, as well as the correlation between them. According to the results of the analysis, the authors indicate which countries are the green destinations and also the source of the green suppliers (green partners).