BAYER

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Bayer ’ s developments and vision for the supply chain ’ s future are truly futuristic and the company ’ s focus on solutions for contemporary problems doesn ’ t stop at RFID . Increasing the level of sustainability in the company ’ s operations has been over 20 years in the making , starting with the 1997 ‘ Ronchi Decree ’, which redefined corporate waste as anything a company discards , intends or is required to throw away , and is consequently taxed for . This has given way to ‘ circular economic ’ thinking , wherein a company seeks to reduce production ‘ inputs ’ and reuse materials in a cost-effective and environmentally friendly manner .

It was this restructuring of priorities that resulted in Bayer ’ s ‘ GreenPallet ’. Realising that 75,000 new wooden pallets were being produced every year , the company realised that it could save large amounts of money by manufacturing reusable pallets from ( recycled ) plastic . “ Instead of being wasted , the pallets return to the warehouse ,” says Palumbo . “ This has allowed us to avoid a huge amount of wasted wooden packaging , as well as tax payments for

the waste . As a result we have saved , more or less , € 1mn per year .”

The effective evolution of Bayer ’ s supply chain is a model example of why innovative and bold thinking aren ’ t just ornaments for successful companies , they are the reasons for that success .

Referring back to those challenges outlined previously , Palumbo claims that the company ’ s attitude towards investment in R & D could be more valuable now than ever before . “ We ’ ve collectively realised how fragile

JUNE 2020