Updated: May 18
By Jessica Peters
Climate change confronts supply chains in obvious ways – sudden floods, flash fires – as well as through secondary repercussions like a migrating workforce or infrastructure in need of modifications.
These scenarios and others stand to directly affect an organisation’s bottom line. According to a research from the United Nations Development Programme1, productivity losses related to climate-change-related workplace disruption is globally estimated at US$300 billion in losses by 2030.
Given these facts, it is only in the last decade that most organisations have begun to guard against climate impacts “Companies that are going to be ahead in the game are hiring risk-management consultants that are tooled up in the impacts of climate change and can give an idea of what portions of their company are more at risk going forward,” said Christoper Knittel, a professor of applied economics at MIT Sloan.
Organisations should look to swiftly adopt practices such as supplier segmentation, set GHG emission reduction targets according to the Science Based Targets initiative, understand the levers while make sustainable procurement and policy choices, and set up an emission monitoring system.
Greenfish has developed a dedicated solution to increase supply chain resilience, looking at sustainability in a framework of transparency, supplier engagement and strategy implementation in procurement practices. For more information, please find here a link to our white paper: How to improve Supply chain resilience? The importance of transparency within Supply Chains.
To learn more about our solution, contact Jessica Peters by sending an email to [email protected]. Jessica Peters leads the CSR & Sustainability practice at Greenfish.