![]() How do you close the gap or ease the tension that exists between different groups within the organization? Supply chain executives, for instance, pointed to sustainability as their primary goal, where procurement executives pointed to diversity. But a recent North Carolina State University study found that a key issue that businesses face is misalignment between organizational initiatives and the teams that are tasked with achieving them. And better managed companies save time and money.Īnd a great way to optimize business processes is through collaboration. It creates opportunities for collaboration across departments and innovative ways of repurposing or rethinking products and services. How are we actually engaging our customers and suppliers on environmental issues and encouraging conversations that maybe weren't going to happen otherwise?.What is our most material Scope? Scope 1, 2, or 3 Emission sources?.And what are we doing to manage those risks?.How are these risks going to impact our business in the short, medium, and long term?.What are the climate-related risks that impact our business?.Once they’re actually in that world, they ask questions like: But we found that it is actually a really great management exercise of going through disclosure. Companies will start disclosing through CDP because many of their peers are disclosing, or because of the 700 institutional investors with $130 billion in assets who are saying disclose through CDP. SF: That's often not why companies come into the disclosure world. But what about internal stakeholders within companies? How are they taking advantage of this data? That’s an obvious reason to want to collect this data and utilize it. D&B then streamlines that into ESG ratings, rankings and analysis. But also, if you're publicly disclosing this information in this standardized, comparable, and structured way that CDP facilitates, we can make that data accessible to other entities like D&B. SF : We're really excited that that's the case, because a big part of driving CDP disclosure is that your customer is requesting this or your investors are asking for it. It helps companies determine the risk factor of their supply chain portfolios or credit portfolios. RM : D&B is lucky enough to use the great data from CDP in our ESG rankings. How did CDP and D&B come to work together? Since then, we’ve seen a 233% increase in the number of companies disclosing climate change information through CDP. Simon Fischweicher (SF): I joined CDP in 2015, the same year as the Paris Agreement. But it's still very new, 15-20 years old, and there's a lot of room to evolve. The different ways you collect data through unstructured means with the help of AI and satellite has just really benefited the field. The introduction of a lot of tech companies that took a data-driven approach allowed us to quantify things like emissions or diversity benefits and since then, it's really taken off. Rochelle March (RM): When I was first working in sustainability consulting, it was still very conceptual. When and how did you come to work with ESG? How has ESG changed in that time? You both have over a decade of experience with ESG data. CDP (formerly the Carbon Disclosure Project) has a long history of collecting environmental data and works with everyone from Walmart to the United States government. Fischweicher is head of corporations and supply chains for CDP North America and helps private sector companies report emissions data and more – while empowering procurement professionals to get their suppliers to do the same. March is the head of ESG Product for Dun & Bradstreet (D&B), a world leader in business information and research, and has spent her career helping everyone from Fortune 500 companies to NGOs implement their sustainability initiatives backed by data. Supply & Demand Chain Executive’s Bethany Chambers sits down to speak with two international ESG data leaders – Rochelle March and Simon Fischweicher – to find out ways you can use ESG data to help grow your business and put supply chain and procurement at the center of that success. *This content is brought to you in partnership with Dun & Bradstreet (D&B)*ĮSG is a critical part of the supply management role today.
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