Uncovering, assessing, and addressing the ESG (Environmental, Social & Governance) risks within today’s upstream supply chains is critical to reaching retail’s goal of net zero by 2040. Managing, monitoring and reporting Scope 3 emissions is emerging as the biggest climate challenge by far for most BRC members.
Voluntary participation in scope 3 accounting and disclosure is increasing (such as ISSB, GRI, TCFD, SBTi) but further mandatory ESG requirements are under consideration. Retailers face financial, operational and reputational risks if they don’t fully understand and manage their supply chain and work more sustainably. As a key UK economic sector we have a responsibility to lead the way and set a positive example to consumers.
We are delighted to collaborate with IBM Consulting on our report ‘Overcoming the Supply Chain Sustainability Conundrum’. The report is built around a case study carried out with Pets At Home focusing on two commodities – chicken and soy – in a pet food product. This case study provides both context and recommendations to help inform and action Scope 3 supply chain transformation.
Step-by-step, by focusing on supplier maturity assessment, supply chain modelling and risks and insights the IBM team outlines the business change journey, and the key ESG transformation success factors for Retailers. It also discusses how the right use of technology can support this process and deliver insights at scale.
Growing the retail sector is not incompatible with driving down emissions, reducing waste and creating a circular economy. The new report helps retailers understand how to work more closely with their suppliers and understand their supply chains to achieve better outcomes for the planet, consumers and businesses.