RISK & RESILIENCE

Sandra explains that in CHEP’ s plants,“[ we’ re ] getting creative, innovating and, from a more forward looking perspective, we’ re investing in digitalisation capabilities that enhance that visibility and traceability to get these orchestration capabilities at scale.”

One of the main benefits of using technology for supply chain transparency is being able to see the extent of a supply chain’ s Scope 3 emissions – indirect greenhouse gases which arise throughout the value chain, including upstream( suppliers) and downstream( customers). Scope 3 emissions make up the majority of a company’ s emissions, but are the most difficult to track and reduce.

According to the 2025 Carbon Action Report from EcoVadis and Boston Consulting Group, titled Scope 3: From Unmanaged Risk to Untapped Opportunity, despite the fact that Scope 3 emissions are, on average, 21 times larger than Scopes 1 and 2 combined, only 24 % of companies report on them.

Moreover, only 8 % set reduction targets. This can be increased, however, through a move towards transparency and supplier collaboration. Through further transparency and visibility across the value chain, businesses can discover hidden truths and tackle complex issues that are proving problematic.

Levent Ergin, Chief Climate, sustainability & AI Strategist, Informatica supplychaindigital. com

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