A study of challenges faced by the global paper industry.

Abstract

This dissertation is a study based on the effects of electronic technology, the environment and globalisation on the global paper industry. The study aims to illustrate the effect that each of these aspects have towards the threat of diminishing paper consumption and to thereafter draw certain conclusions and propose recommendations to those within the paper industry. E-Commerce and related innovations such as the electronic supply chain are transforming the pulp and paper industry by reducing the need for paper, thereby cutting costs, reducing inventory and opening up new business developments. The effects of the changing world will have a major impact on the paper industry. The external drivers of change in the pulp and paper industry are increasing environmental concerns, global economic fluctuations, digitalisation and demographic changes and skills shortages. Pulp and paper production, consumption and wasting have numerous negative environmental and social impacts. The pulp and paper industry is amongst the world's major generators of air and water pollutants, waste products, and the gases that cause climate change. It is also one of the major users of raw materials, including fresh water, energy and forest fibres. The pulp and paper industry is entering a new era of business evolution driven largely by consolidation of industry, globalisation and competition. These market drivers are compelling the pulp and paper industry to place greater focus on cost efficiency. This focus is creating a new challenge for the organisation by way of information technology. The study entailed research by means of a questionnaire, each consisting of twenty eight questions, incorporating a combination of both closed and open-ended questions. Data was obtained from thirty respondents. Quantitative research was chosen over qualitative research as this methodology offers a high level of measurement precision and statistical advantage. Quantitative methods ensure a greater level of reliability of data. Research using quantitative methodology also eliminates or minimises the subjectivity of judgement. Further research was suggested and included conducting a qualitative study, exploring the aspect of diversification and understanding the recycling sector of the industry.