Enterprises are under increasing pressure from consumers, investors and regulators to demonstrate their sustainability credentials.
The position is stark: data shows global temperatures may rise by 2.4-2.6 degrees Celsius by the end of the century[1], surpassing the 1.5 degree rise the world was trying to avert.
Businesses certainly are working toward sustainability goals. Procurement Leaders Organization[2] research shows nearly 80% of chief procurement officers are under greater scrutiny from the C-Suite to mobilize on ESG-related initiatives.
But without the proper data managed in a way that can generate actionable insights, it can be hard to create, act and report on sustainability efforts. For true ESG success and to make a real dent in climate change, enterprises need a way to holistically collect, organize and store their sustainability-related supply chain data.
“We truly believe that now is an imperative time for organizations to not only have an ESG strategy, but also to figure out how to best mobilize on it,” says Rafiq Merchant, Senior Consulting, GEP. “The market really is demanding that companies achieve that operational sustainability.”
Anticipating regulations
So, what does the regulatory landscape look like? Europe has been a leader with landmark legislation such as the Corporate Sustainability Reporting Directive and German Supply Chain Due Diligence Act. The U.S. is following suit.
“You’re starting to see that momentum in the U.S. at a national level,” says Merchant.
Enterprises are anticipating regulations such as the SEC’s proposed climate disclosure rule[3], which would make having a clear ESG strategy even more critical for companies looking to make strides toward sustainability.
Yet on this crucial imperative, companies are still struggling to create an effective plan which allows them to achieve their goals.
The truth is that they need help.
A one-stop-shop for sustainability
GEP’s end-to-end sustainability management platform hosts all sustainability-related data in one spot. The tool includes a simple interface where users can upload ESG data and external data, and it starts by establishing a comprehensive ESG baseline by uniting disparate data sources.
It gives enterprises a granular view of sustainability, showing the overall emissions impact caused by a variety of categories in areas related to products, employee travel and transportation.
“The platform is that one-stop-shop,” says Merchant. “It’s a really powerful way for you to make meaningful progress for your operational supply chain and ESG goals.”
GEP Green’s recommendation engine is powered by GEP’s generative AI. It helps various stakeholders collaborate to create an actionable road map and list of projects to contribute to corporate-wide goals – like reducing carbon emissions or water usage or eliminating waste.
The view of the overall supplier landscape and how suppliers are progressing on their ESG goals helps give executives an easy-to-understand view of how the organization is progressing.
With the technology, enterprises easily report on their sustainability progress through annual reports. They can compare their progress with their peers, too.
“GEP Green can really be that end-to-end solution for your supply chain sustainability goals.” Merchant says.
Learn more about GEP Green.
[1] United Nations, Technical dialogue of the first global stocktake. Synthesis report by the co-facilitators on the technical dialogue, September 2023
[2] Procurement leaders, Thoughts from Day 1 and Day 2 of Americas Procurement Congress, September 2021
[3] Deloitte, The SEC unveils environmental disclosure requirements
