A new CDP report highlights sustainable supply chains as the future trend. The Carbon Disclosure Project (CDP) released its 2017 Supply Chain Report, analyzing information obtained from over 8,200 suppliers across 89 multinational corporations with a combined $2.7 trillion in purchasing spending. The report, titled \"Harnessing the power of purchasing for a sustainable future,\" analyzes the impact of these spending sprees and expenditures. These international giants include brands such as BMW, Dell, Coca-Cola, Lego, L\u2019Oreal, Microsoft, and Walmart, spanning various industries. Information disclosed by these suppliers regarding their environmental carbon reduction performance shows that in 2016, these companies collectively reduced carbon emissions by 430 million tons, exceeding even France's total annual greenhouse gas emissions. Effectively understanding and quantifying the potential impacts, risks, and opportunities of climate change is an indispensable cornerstone for building sustainable supply chains and helps companies prioritize, plan, and guide their collaborations with suppliers. The number of companies participating in the supplier reporting grew by 20% in 2016, indicating a growing emphasis on the environmental management and quantifiable performance of their suppliers. After evaluating over 3,300 companies, 29 were selected for CDP's inaugural Supply Chain Engagement Rating, becoming global leaders. These selected companies are leading the way in working with their suppliers to reduce carbon emissions and mitigate climate-related risks in the supply chain, including internationally renowned brands such as 3M, Fiat Chrysler, HP, Nestle, Mitsubishi, and Sony. Supplier disclosures in 2016 alone revealed total cost savings of $12.4 billion achieved through carbon reduction actions, double the figures reported in 2015. However, only 47% of these reporting companies set actual carbon reduction targets. While 59% of suppliers reported increased carbon emissions or failure to meet consumer expectations, this presented an opportunity for brands to increase communication with suppliers, build carbon reduction capabilities, enhance training, save energy costs, and work together for a sustainable future for the planet. For detailed information on the CDP 2017 Supply Chain Report, please see the attached file: CDP 2017 Supply Chain Report.pdf. Source: CDP (January 25, 2017) (Compiled by PIDC)<\/p>","protected":false},"excerpt":{"rendered":"
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