Sustainability Trends in Supply Chain Logistics

Efforts to create meaningful environmental impacts are reshaping supply chain logistics globally. With increasing regulations and standards focusing on sustainability, companies are adapting to new expectations and requirements.

Regulatory Developments and Standards

One significant change in the regulatory landscape is the rising focus on Scope 3 emissions, which are indirect emissions that occur in a company’s value chain. Both the United States and the United Kingdom are implementing new regulations that affect supply chains worldwide. The U.S. Securities and Exchange Commission (SEC) is set to introduce additional ESG (Environmental, Social, and Governance) regulations, while the UK’s Plastic Packaging Tax is expected to have a transformative effect on global supply chains.

ESG standards are becoming increasingly dominant in business operations. A substantial number of organizations are beginning to incorporate ESG data platforms into their processes. It is estimated that by 2024, 30% of organizations will use these platforms to meet their sustainability goals. Furthermore, over 50% of requests for proposals (RFPs) are projected to include sustainability metrics as a crucial selection criterion.

Corporate Accountability and Sustainability Commitments

Organizations are not only adapting to external regulations but are also setting internal sustainability targets. Many companies are committing to ambitious goals such as achieving zero emissions, zero waste, and zero inequality. These commitments often require comprehensive strategies that involve the entire organization, including supply chain leaders who are increasingly being held accountable for sustainability outcomes. Approximately 67% of organizations anticipate holding their supply chain leadership accountable for meeting environmental targets.

The emphasis on capturing and reporting carbon data is becoming more pronounced. By next year, 80% of the G2000 companies are expected to actively gather carbon data. This trend is not limited to large corporations; 60% of global manufacturers are aiming to adopt carbon footprint metrics by 2026.

Data-Driven Decisions and Technologies

As organizations strive to meet their sustainability goals, data-driven decision-making is taking center stage. The integration of ESG data platforms allows companies to better calculate and offset emissions, paving the way for more informed strategies. This approach is becoming a standard practice, as companies recognize the importance of reliable data in driving sustainability initiatives.

Co-bots, or collaborative robots, are also being explored as a best practice in greenfield projects. These technologies offer innovative solutions for reducing resource consumption and optimizing operations, aligning with broader sustainability goals.

Knowledge Sharing and Industry Collaboration

Knowledge sharing and collaboration among industry stakeholders are crucial for achieving sustainability goals. Webinars and panels featuring sustainability leaders provide valuable insights into best practices and strategies. These forums focus on various topics, including the calculation and offsetting of emissions, and offer practical guidance for organizations aiming to enhance their sustainability initiatives.

Panelists in these discussions often include leaders who have successfully implemented sustainability strategies within their organizations, providing a platform for sharing successes and lessons learned.

As sustainability continues to play a pivotal role in supply chain logistics, companies are increasingly focusing on creating meaningful environmental impacts. Adapting to regulatory changes and setting ambitious internal targets are essential steps for organizations committed to sustainable operations.