The essence of value chain management and fair trade is to influence regular business contracting processes to align with the need to address socio-economic inequality, stem the loss of both local produce and biodiversity, support cultural diversity and to take account of sustainability through three important steps: establishing a sustainable supply chain policy and management system; supporting suppliers in reaching sustainability goals; and integrating sustainability criteria into suppliers’ contracts.
Governments
Successful value chain initiatives are helped by support from government bodies and agencies, not only in financial terms, but also in order to provide a supportive context, official recognition and encouragement to these initiatives through important steps: establishing a sustainable supply chain policy and management system; supporting suppliers in reaching sustainability goals; and integrating sustainability criteria into suppliers’ contracts.
NGOs, networks, partnerships
NGOs are of vital importance as ‘facilitators’ of sustainable supply chain management. They can help the tourism industry to select and assess sustainable business partners by developing and establishing sustainability standards for different tourism-related activities, assessing the performance of actors in the industry, providing marketing platforms and facilitating business to business matchmaking.
Research, education, consultancy
Research institutes and consultancy firms are often involved in sustainable value chain management and fair trade by contributing to development and validation of the standards and by monitoring and analysing the nature and progress of value chain management and fair trade in the tourism sector.
Destinations
Destinations often control the external factors that enable local businesses in the value chain to meet sustainability criteria, such as through providing adequate local infrastructure for water and waste management. They can also assist with providing information and linkages between businesses.
Businesses
Private sector businesses, including tour operators and service providers, lie at the heart of sustainable value chain management and fair trade. A joint approach is vital – both horizontally (the collaboration between operators) and vertically (between operators and suppliers), sharing experience of the challenges of integrating sustainability into supplier selection and contracting.
Travellers
Value chain management and fair trade mean that travellers can be clear not only about the sustainable performance of tour operators but also their suppliers. Travellers should play their part in observing, supporting, and providing feedback on the various providers of the products and services they encounter.
VALUE CHAIN MANAGEMENT & FAIR TRADE
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