The Influence of Ethical Practice on Sustainable Supplier Selection in the Furniture Industry

Abstract

This study was carried out with an objective to investigate the sustainable supplier selection and ethics influence within the furniture industry. Literature has shown that corporates have increasingly adopted the ethical standards provided they also achieve economic sustainability. The current study carried out in the furniture industry aimed to achieve four objectives: (1) to appreciate the role of ethics in selection of a sustainable supplier; (2) to evaluate and assess different methods used in the selection of suppliers; (3) to appreciate the role of ethical practices in supply chain management; and (4) to explore the important ethical practices within the furniture industry. In the furniture industry, organizations are keen to involve top management in pushing for ethical practices that enhance sustainability within supply chain management. This includes the presence of environmental policies for sustainability and carrying out corporate social responsibility activities in order to boost it. Despite the cost still being a major factor for corporates, understanding the importance of ethical practice in such an industry is becoming appreciated as more rules and standards become standard in these corporate sectors. Thirty-one participants were interviewed in four groups. The major conclusions supported the appreciation of the role of ethics in influencing sustainable supplier selection and cite the significance of adopting ethical practices in the furniture industry. The study found out that the process of selecting suppliers is flexible, and that supplier selection is integrated with ethical practices. It boosts the organization’s image, reputation and competitiveness.