Schneider Electric, the leader in the digital transformation of sustainable energy management and automation, provides a global supply chain decarbonisation service. It is designed to help organizations address the significant amount of emissions in their supply chains. One of the company’s priority goals is to increase its own efforts to decarbonize the supply chain, committing itself to reducing carbon emissions from the operations of its top 1,000 suppliers by 50%, by 2025.

For many companies, much of the carbon footprint is in the supply chain. CDP reports that, based on 2020 data from more than 8,000 companies, supply chain emissions are more than 11 times higher, on average, than operational emissions. These volumes may be even higher in certain industry segments, such as retail, clothing and services.

The Schneider Electric offering, outlined in the Climate Change Advisory Service, helps organizations address these high values through a unique combination of supplier involvement, measurement, strategy setting and implementation through energy efficiency, renewable energy procurement and carbon offsetting.

The offer is based on successful solutions implemented in supply chains for customers such as: Walmart, Maple Leaf Foods and Takeda Pharmaceuticals.

“The acceleration of today’s corporate climate action is tremendous, driven in large part by increasing investor pressure on environmental, social, governance (ESG) and transparency risks,” said Steve Wilhite, SVP of Schneider Electric.

“For most companies, the next step, beyond their own operations, is in the supply chain. The good news is that by involving suppliers in decarbonisation efforts, companies can not only respond to these pressures, but also identify cost-cutting solutions, develop innovations and increase the value of supplier relationships.”

In January, Schneider Electric was designated by the Corporate Knights as the most sustainable company in the world, a recognition gained through the company’s commitment over 15 years to the sustainable practices and sustainable development goals of the United Nations (SDGs). In addition to the company’s specific goal of reducing its own supply chain emissions by 2025, Schneider Electric is also committed to working with 100% of its strategic suppliers and reaching a net zero supply chain by 2050.