How can manufacturers inspire climate action among their suppliers?

An organisation’s carbon footprint doesn’t end at its premises. Indirect emissions across a company’s value chain can make up 70-90% of its footprint; and are thereby out of most organisations’ direct control. It makes measuring these indirect emissions, let alone tackling them, a much more complex undertaking. 

From manufacturing to agriculture to pharmaceuticals, most industries will find that their procurement decisions fuel their carbon footprints and tackling these emissions may seem daunting. For most organisations, 20% of their suppliers contribute 80% of their supply chain-related emissions. Targeted engagement with these key suppliers will lead to deeper and more impactful emission cuts. 

As a specialist in roof windows and skylights, VELUX saw an urgent need to deliver sustainable and healthy homes. The Danish manufacturer is making sustainability an integral part of its DNA and has reduced its Scope 1 and 2 emissions drastically. However, VELUX knew it had to tackle its supply chain emissions with dedicated carbon reduction programmes to achieve its near-term science-based target.1 The windowmaker wanted to understand to what extent purchased materials affect its carbon footprint. The goal for VELUX was to use these insights to work with suppliers at a deeper level. More so, the company recognised that – as a large customer – it can help suppliers calculate their emissions.