SUSTAINABILITY
“Avoid generic claims about your products and business that are not supported by data ”
CAMILLA MJELDE COMPLIANCE & SUSTAINABILITY DIRECTOR , TRIMCO
Firms with large supply chains exposed to greenwashing risks Organisations with large supply chains are more prone than most to falling foul of this . With value-chain vendors for large companies often numbering in their thousands , running the ESG rule over all of them is devilishly difficult .
But , with sustainability , the devil is very much in the details . This is why end-to-end transparency is so important in the supply chain , not just as a way to ensure operational resilience , but so organisations can exercise control over ESG compliance – especially in the deepest recesses of their supply chain , where non-compliance is most likely to be found .
There can be little doubt that greenwashing is a real problem . A recent report from global spend management specialist Ivalua suggests that 90 % of organisations fail to drive green initiatives across the supply chain , with just 10 % saying they always include sustainable practices in contracts and agreements .
The Ivalua Supplier Relationships Report surveyed suppliers across the UK , France , Germany and Switzerland , with a view to examining how collaboration can boost environmental initiatives .
Ivalua Chief Marketing Officer Alex Saric said of the report ’ s findings : “ Firms need to ensure environmental efforts to cut carbon emissions extend beyond their own four walls . Anything else is greenwashing .”
Working with suppliers crucial on sustainability “ For most organisations , emissions from their supply chain are several times greater than their own direct emissions . This means it ’ s critical they work with immediate and sub-tier suppliers to drive improvements in environmental practices .”
Saric then stresses that suppliers have a vital role to play in reducing environmental impact but that organisations have a responsibility to give them the right tools to boost green initiatives .
“ This means regularly communicating with suppliers , assessing their efforts , and
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