Assessing Corporate Vendor Selection in the Oil and Gas Industry: A Review of Green Strategies and Carbon Reduction Options

Abstract

This paper addresses the global imperative of tackling environmental challenges, particularly in the context of the carbon-intensive oil and gas (O&G) industry, which is one of the heaviest carbon-emitting industries. Competitive advantages in this industry often stem from external connections rather than internal capabilities. How companies assess their business partners, including electric vendors, from an environmental standpoint, using a combination of quantitative and qualitative approaches, was explored using a systematic literature review approach. This literature review delves into the realm of green supply chain management, covering topics, such as carbon cap and trade, carbon offsets, renewable energy, regulations, finance, and vendor selection. Key findings from this review highlighted the limited number and lack of depth of studies regarding the presence and impact of electrical vendors, who play a crucial role in the oil and gas sector. Furthermore, our review identified a general lack of research on green supply chain management metrics, particularly in the context of the oil and gas industry and the roles and technical contributions of electric vendors.