The Triple Connection: sustainability

Business game Report

Realized by : HASSANI Imane

Supervized by : Mr. EL KORCHI Akram

Field: Mechanical Engeeniering

University year : 2023/2024

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 Table of components :
I. Case study presentation.................................................................................................................3
II. Supply chain maping of the 1st round...........................................................................................4
III. The Supply Chain strategy adopted :..........................................................................................6
IV. Outcome Analysis: Unveiling Sustainability Advancements at Each Level..................................6
1. Level1 :circularity........................................................................................................................6
a. Level Objective Overview :.....................................................................................................6
b. Strategy :................................................................................................................................7
c. The method behind dicisions :................................................................................................7
d. Results on circularity :.............................................................................................................8
2. Level2 : Water usage ans waste..................................................................................................8
a. Level objective overview :......................................................................................................8
b. Strategy :................................................................................................................................8
c. The method behind the decisions :........................................................................................9
d. Results on water usage and waste :........................................................................................9
3. Level3 : Child exploitation..........................................................................................................9
a. Level objective overview :......................................................................................................9
b. Strategy and method :..........................................................................................................10
c. Results on water usage and waste :......................................................................................10
V. Appendix : Overview of the results achieved...............................................................................10
1. Level 1 : circularity....................................................................................................................11
2. Level 2 : Water usage and waste..............................................................................................14
3. Level 3 : Child exploitation........................................................................................................17

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 I. Case study presentation
‘The Triple Connection’, based in Netherlands, excels in crafting milk chocolate beverages.

Specializing in a diverse range of three distinct products, the company embraces a flexible
approach to cater to consumer preferences.

The one-liter formats are meticulously packaged in cardboard (Carton), while the 0.3-liter
formats are presented in PET bottles, offering six captivating variations.

This strategic diversification positions ‘The Triple Connection’ uniquely in the beverage
market.

Our case study will focus on enhancing sustainability within the company's value chain,
exploring challenges, objectives, and strategies implemented to strengthen its environmental
and social impact, While remaining profitable.

At the nucleus of our case study, The Triple Connection's proactive response addresses
critical market warnings on sustainability.

The wake-up call sounded when the company's pilot received alerts regarding the
environmental impact of their packaging, exposing a glaring lack of sustainability. Delving
into production, unsettling revelations unfolded—excessive water consumption, the
generation of substantial waste, and notable losses during manufacturing. The issues
transcended production, extending their tendrils into procurement practices, particularly the
acquisition of cocoa raw material from the spot market. This process, devoid of considerations
for sustainable development goals, kindled substantial concerns linked to child exploitation
and human rights violations.

The Triple Connection unwaveringly commits to 13 of the 17 Sustainable Development

Goals.

These include addressing : human rights violations, child exploitation, ensuring safety,
managing workload, fostering diversity, minimizing the carbon footprint, responsible water
usage, effective waste management, circularity, maintaining soil quality, enhancing farmer
productivity, cultivating long-term relationships, and bolstering farmer income.

These commitments will meticulously steer each tier of our study.

The inaugural level (Level 1) will conscientiously focus on circularity, with the aim of
maximizing the responsible utilization of resources.

The succeeding tier(Level 2) will concentrate on sustainable water usage and reducing waste.

Finally, the concluding tier (Level 3) will systematically confront the issue of child
exploitation, thus fortifying the company's overarching commitment to a sustainable and
socially responsible future.

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II. Supply chain maping of the 1st round
Suppliers Inbound Production Outbound Clients
Name:
Tight
Contact Contract
Component Milk:0,8
index: 0,98 index: 0,885
Quality:
Middle
Lead time:
2 days
Country:
Service
The BeGood
Cocoa: 0,1 level(Pieces
Netherlands Pallet classique
Super ): 99,8%
Payment 1L
Term: 4 (Carton)
Weeks
Carton
Agreed Service
delivery level(Oder
reliability: lines):
98% 99,8%
Suguar:0,1
Delivery
Service
window: 1 Mixing:
level(Orders
day Chocmix
): 99,6%
Truck MQ
Name: Pété
Contract
Contract Carton:1
index: 0,875
index: 0,995
Quality:
Service
middle
Milk:0,7 level(Pieces
Lead time:
): 99,7%
15 days
Country:
BeGood Service
France
Pallet Dark level(Orders
Payment Cocoa:0,2 Save
PET 1L lines):
term: 4
99,7%
weeks
Agreed
delivery
reliability: Service
98% Sugar:0,1 level(Orders
Delivery ): 99,5%
window: 1
day
Truck Bottling: BeGood Carton:1 Convi
Contract
Milk Name: Tank Pack1 Diet 1L
index: 0,915
Dairy
Contract Service
index: 0,965 level(Pieces

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 Quality:
): 99,8%
Middle
Lead Time: Service
2 days level(Orders
Country: lines):
Milk: 0,8
Denmark 99,7%
Payment
term: 4 Cocoa:0,1
Weeks
Agreed
delivery Service
reliability: level(Orders
Sweetener
98% ): 99,7%
:
Delivery
0,1
window: 1
day
Truck
Name:
Zuaqual
Contract Contract
PET:1
index:1,017 index: 0,870
Quality:
high
Lead time:
50 days
Country: Service
BeGood
Brazil Milk: 0,24 level(Pieces
Pallet Classiqu
Sugar Payment LOVE ): 99,8%
e
term: 4
PET
weeks
Agreed Service
delivery Cocoa: level(Orders
reliability: 0,03 lines):
98% 99,7%
Delivery
Service
window: Sugar:
level(Orders
1day 0,03
): 99,5%
Truck
Sweete Name: Pallet BeGood TRUE
ner Sweet Dark
Bolivia PET
Contract
Contract PET: 1
index: 0,875
index: 0,975
Quality:
middle
Lead time: Milk:0,21 Service
40 days level(Pieces
Country: ): 99,7%
Bolivia

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 Payment
term: 4
weeks
Agreed Service
delivery Cocoa:0,0 level(Orders
reliability: 6 lines):
95% 99,7%
Delivery
Service
Window: 1 Sugar:
level(Orders
week 0,03
): 99,5%
Boat
Spot market PET: 1
Lead time:
Milk: 0,24
5 days
Country:
Cocoa:
the BeGood
Cacao - 0,03
Netherlands Diet PET
Delivery
window: Sweetener
1day : 0,03
Truck

III. The Supply Chain strategy adopted :

At the core of my supply chain management strategy lies a steadfast commitment to
advancing the True Return on Investment (TROI), the initial three years are purposefully
geared towards establishing and showcasing my dedication to the 13 Sustainable
Development Goals.

Through the game featuring three distinct levels, the first focusing on circularity, the second
on reuse and waste management, and the third dedicated to eradicating child exploitation, I
aim to create a value chain that excels in sustainability.

Over the three years, my goal is to achieve a high TROI by implementing targeted practices
and strategies to minimize environmental and social impacts. However, the fifth year marks a
transition where I aim not only to maintain a high TROI but also to maximize profits by
increasing the Return on Investment (ROI).

This overarching strategy aims to ensure profitable growth while honoring my

commitments to sustainability at each level of the supply chain.

IV. Outcome Analysis: Unveiling Sustainability Advancements at Each

Level
1. Level1 :circularity
a. Level Objective Overview :

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In response to market feedback highlighting concerns about our packaging, the initial focus of
the game's first level, centered on circularity, involved a proactive approach to address these
issues.
Recognizing the need for sustainability, we strategically aimed to reduce our reliance on raw
materials by transitioning to packaging that is not only more recyclable but also
biodegradable, aligning with our commitment to environmental responsibility.
b. Strategy :
Throughout my five-year collaboration with ‘The Triple Connection’, my strategy centered on
achieving a high True Return on Investment (TROI).
The primary focus was on consistently increasing this metric, prioritizing it over traditional
Return on Investment (ROI) without neglecting its significance.
This approach guided decision-making and initiatives over the first four years, ensuring a
positive and growing True ROI while maintaining a vigilant eye on conventional ROI to
prevent negativity.
As we transition into the fifth year, the strategy shifts towards optimizing profitability while
upholding sustainability principles, with a particular emphasis on circularity.
This dual-focused strategy aims to strike an optimal balance between financial gains and
ecological responsibility.
c. The method behind dicisions :
In employing a multicriteria matrix for decision-making, I categorized key factors to
comprehensively evaluate supplier options. These categories include :cost, delivery time,
performance, flexibility, and sustainability.
Assigning weights to each category aligned with their strategic importance,
 cost, a crucial aspect for maintaining The Triple Connection's profitability, held a
significant weight of 30%.
 Lead time and performance, at 10%, emphasized efficiency in logistics and overall
supplier capability.
 Flexibility, representing adaptability to changing needs, accounted for 5%.
 However, placing paramount importance on the sustainability of suppliers, I allocated
a substantial 40%, reflecting the project's core focus on enhancing sustainability
within the supply chain.
This strategic weighting structure ensures a balanced consideration of critical factors while
reinforcing the project's overarching commitment to environmental responsibility.
I conducted a thorough supplier market analysis, meticulously cataloging characteristics
associated with each supplier.
These characteristics were seamlessly integrated into their respective categories, with each
assigned a weighted score.
On a scale from :
 0 : indicating subpar performance,
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  5 : denoting satisfactory,
 10 : representing exceptional performance.
This nuanced scoring system ensures a granular evaluation of each supplier, providing a
comprehensive overview of their capabilities.
By incorporating this data into our decision-making framework, we not only quantify supplier
performance but also foster a nuanced understanding that guides our strategic choices. This
meticulous approach reflects our commitment to making informed decisions that align with
both financial objectives and our sustainability goals.
d. Results on circularity :
Please refer to the appendix for final scores.
2. Level2 : Water usage ans waste
a. Level objective overview :
In the second level focusing on Water Usage and Waste, our attention turns towards strategic
initiatives aimed at minimizing water consumption and waste generation.
A pivotal observation emerged concerning our Mexing Machine's washing process, indicating
a significant water loss.
Moreover, while supplier water usage data is available, the external nature of this metric
raises concerns about its direct impact on our water footprint.
A noteworthy revelation highlighted that 10% of our products face rejection due to
suboptimal raw material quality during production, leading to expiration and compromised
quality.
Additionally, inefficiencies in managing finished product stocks contribute to losses, with
expired items constituting a notable portion.
These findings underscore the critical areas requiring intervention for improving water
efficiency and waste reduction within The Triple Connection's operations.
b. Strategy :
Over the course of the four-year strategy aimed at increasing True ROI while maintaining
positive ROI, a multi-faceted approach was employed.
 In the initial year, a program was instituted to mitigate productivity losses during
production line startups.
 In the second year, a comprehensive inspection project for received raw materials was
implemented, acknowledging the pivotal role of material quality in the final product.
Notably, supplier contracts were renegotiated, emphasizing water consumption and
product quality, particularly for consumable items like milk, sugar, and sweetener.
 The third year saw a reduction in the economic order quantity from each supplier,
strategically minimizing raw material warehouse congestion. Concurrently, the size of
produced goods was downsized.
 The final year witnessed a further reduction in product size, alleviating finished
product warehouse congestion and resulting in exponential growth in both Return on

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 Investment (ROI) and True ROI. This sequential strategy not only optimizes
operational efficiency but aligns with sustainability objectives, fostering a harmonious
balance between financial gains and ecological responsibility.

c. The method behind the decisions :

 Suppliers choose :

For the supplier selection in Level 2, I adhered to a similar principle as in the previous level,
incorporating three categories: cost, water usage, and quality.
Assigning a significant weight of 40% to cost reflected its critical impact on overall expenses.
Similarly, recognizing the paramount importance of water usage, I allocated another 40%,
acknowledging its direct influence on our sustainability goals.
Quality, although crucial, was given a slightly lower weight of 20%, considering it as a
negotiable aspect with the suppliers.
This balanced approach ensures that suppliers not only contribute to cost-effectiveness but
also align with our sustainability targets and maintain a satisfactory quality standard.
 Operations and supply chain project :
In the first year, operational and supply chain initiatives were implemented to enhance water
efficiency and reduce productivity losses. A project focusing on decreasing water
consumption during the cleaning of PACK1, a bottling line, was instituted, alongside efforts
to minimize startup productivity losses.
Simultaneously, an inspection project for critical raw materials, including sweetener, milk,
and sugar, was introduced to ensure optimal quality.
The strategic reduction in the milk supply size, a critical component, involved calculating the
Economic Order Quantity using the Wilson formula.
Building upon the preceding findings, the equivalent production quantity was then computed
to streamline the supply chain.
These projects collectively aimed at improving water usage efficiency, reducing waste, and
enhancing the overall sustainability of The Triple Connection's operations.
d. Results on water usage and waste :
Please refer to the appendix for final scores.
3. Level3 : Child exploitation
a. Level objective overview :
The primary objective of Level 3 persists in diminishing the involvement of children in
production processes, specifically focusing on the cocoa aspect of our product.
Given that cocoa is generally produced in farms, involving farmers in countries grappling
with poverty, this challenge extends beyond our direct product level control.

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To address this, our strategy involves collaboration with processors who actively engage in
promoting human rights and work collaboratively with farmers to eradicate child exploitation,
particularly those under the age of 10.
The overarching goal is to initiate projects that effectively reduce child exploitation while
concurrently compensating and providing incentives, such as bonuses, to farmers committed
to participating in the program.
By fostering this cooperative approach, we aim not only to meet our sustainability objectives
but also to positively impact the lives of those within our supply chain.
b. Strategy and method :
In crafting a strategy for Level 3, I meticulously navigated the supplier and processor market,
surveying various processors to assess their anticipated yields.
One processor stood out, contributing nearly 55% of my cocoa needs, leaving only 45% to be
sourced from the spot market. Striking agreements with all these processors, I leveraged these
partnerships to actively combat child exploitation in alignment with sustainability goals.
Engaging with the sustainability section, I identified the CLMR project, targeting the
eradication of child labor and fostering community development wich reduce the labor force
requirement.
For each processor, I implemented these projects, offering substantial €0.3 bonuses to those
committed to a 5-year engagement.
Despite a reduction in return on investment, this strategic move resulted in an increased Total
Return on Investment (TROI), showcasing the alignment of ethical practices with sustainable
business goals.
Having implemented these initiatives in the first,second and third years, I fine-tuned my
approach in the fourth year by slightly reducing bonus values to bolster return on investment.
This adjustment proved effective, as by the fifth year, the elimination of the €0.3 bonuses,
while fostering farmer collaboration, led to a remarkable shift from a negative to a positive
return on investment, surpassing 1%. This strategic evolution was accompanied by a notable
increase in the Total Return on Investment (TROI), highlighting the dynamic impact of
aligning sustainability efforts with financial outcomes.
c. Results on water usage and waste :
Please refer to the appendix for final scores.

V. Appendix : Overview of the results achieved

In this appendix, we present a comprehensive overview of the results achieved throughout the
competition.
This section serves as a visual and analytical complement to the narrative, offering a detailed
portrayal of the strategic decisions, sustainable initiatives, and their consequential impacts on
key performance indicators.

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Dive into the visual representation of our journey, exploring each level's outcomes and the
dynamic interplay between sustainability and operational efficiency.
This comprehensive collection of results encapsulates the essence of our strategic endeavors,
underscoring the synergy between responsible business practices and tangible success metrics.
1. Level 1 : circularity

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Our commitment to sustainability has yielded remarkable achievements, notably surpassing
our initial target of reaching 20 kg/1000L of virgin material usage. The dedication to
circularity and responsible resource utilization resulted in an impressive figure of 17.31
kg/1000L, showcasing our commitment to minimizing environmental impact. This

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outstanding performance has earned us the prestigious title of Ambassador, a badge of honor
recognizing our leadership in sustainable practices and setting a benchmark for excellence in
the industry.

2. Level 2 : Water usage and waste

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As the culmination of this project unfolds, we take pride in the exemplary results achieved in
waste reduction and water usage.

The final metrics reveal a remarkable accomplishment, with waste reduced to an impressive
35.48 kg/1000L, far surpassing the initial target of 90 kg/1000L.

Moreover, our water usage has been finely tuned to an exceptional 5.57L, outshining the
original goal of 10L. These outcomes underscore our dedication to operational efficiency and
sustainable practices.

The substantial improvements in waste management and water conservation not only position
us as industry leaders but also exemplify our commitment to exceeding ambitious
sustainability targets and leaving a positive impact on our environment.

3. Level 3 : Child exploitation

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Over the course of the five-year contract, the implementation of various projects has yielded
significant results in our mission to reduce child exploitation within the farming communities.
The initial rate of 60 children per 1000 farmers has seen a remarkable decrease, settling at
54.22 children per 1000 farmers.

This tangible reduction underscores the positive impact of our sustained efforts and
collaborative initiatives with processors, reinforcing our commitment to fostering ethical
practices and championing the well-being of the next generation in agricultural communities.

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