Practical strategies to lower supply chain emissions
Supply chains often represent a large share of a business’s emissions. Reducing these requires working with suppliers, changing procurement practices, and rethinking product design.
Initial steps:
- Map supplier emissions: focus on the largest or most carbon-intensive suppliers first.
- Set procurement policies that favor low-carbon materials, local sourcing, and suppliers with credible sustainability practices.
Supplier engagement:
- Discuss targets and improvement plans with key suppliers and offer collaboration opportunities (efficiency audits, demand forecasting to reduce waste).
- Encourage suppliers to report emissions and adopt renewable energy or efficiency measures.
Product and process changes:
- Design for longevity and repairability to lower replacement rates and embodied emissions.
- Optimize packaging and logistics to reduce transport miles and improve load factors.
Tools and incentives:
- Include environmental criteria in tender scoring and prefer suppliers with transparent EPDs or sustainability certifications.
- Offer long-term contracts or volume certainty to help suppliers invest in cleaner technologies.
Measure and iterate:
- Track supplier performance, recognize improvements, and phase in stricter standards over time.
By targeting major suppliers, improving procurement rules, and supporting supplier transitions, businesses can cut a significant portion of their overall footprint.