Companies are increasingly expected to report on the GHG footprint of their value chains
While Scope 3 reporting is voluntary, it is increasingly expected by customers, investors and other key stakeholders. The majority of the GHG footprint for companies that produce goods, lease assets, have a franchisee model and/or have a strong travelling component, will be generated outside of their direct operations (Scope 1 and 2). For such companies, reporting on Scope 3 has become best practice.
Did you know that upstream emissions alone, generated through your company’s supply chain, are likely to be five times greater than those from your direct operations?
15 categories: where to start?
Scope 3 encompasses all emissions outside of your direct operations. The GHG protocol categorises these emissions into 15 distinct categories and splits these across two groups: upstream (supply chain) and downstream (post-sale). Faced with this range of categories, it can quickly become overwhelming to decide where to draw the reporting boundary, how to collect data, where to allocate your resources and what to do if certain data is not available.
Reporting across all categories can be a time and resource-intensive process. On the other hand, reporting on a select few Scope 3 categories can be received with criticism from investors, customers and wider stakeholders, particularly where material impact areas are not addressed. Finding the right approach is key to supporting the development of an actionable sustainability strategy.
Our tailored Scope 3 GHG assessments will help you put your resources where they matter most
Whether you are looking to become more transparent in your reporting or are looking to better understand and measure key impacts, risks and opportunities across your value chain, we can support you in achieving your sustainability goals. We have developed specialist tools to help your business draw a meaningful boundary around Scope 3 impact categories:
Identify key impact areas across your value chains to help you prioritise efforts and resources - Our assessment will provide a preliminary view of key impacts and will help you both identify and measure those hotspot areas which are most material to your business and key stakeholders.
Understand how key stakeholders can help drive the sustainability agenda - We can help you collect scope 3 data through meaningful engagement strategies and surveys. Whether you are looking to collect data on your suppliers or better understand the use and end-of-life of your products from your customers, our tailored approaches can support your business needs.
Overcome data gaps through our tailored models and advanced data platforms - In some instances, it may not always be possible to engage with certain stakeholders. In other cases, data may not exist. To overcome such data gaps, Avieco has developed models based on the best available data to help your business better estimate the footprint associated with its upstream and downstream operations.
Interested in a Scope 3 GHG assessment? Book a free consultation with our team of experts here.
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I was impressed with the thoroughness and level of detail that our data set was analysed in. Presenting an extensive data set in an easy to use format was of great value in communicating the outcome of the work internally, and prioritising areas of the supply chain for future action.
Alan Sweeting, Global Health, Safety and Environment Senior Manager, Allen & Overy LLP
Avieco supported us in collating and organising data to develop a robust risk assessment process. They have been easy to work with, responsive to our requirements and pragmatic in their solutions.
Gijs Voskuilen, Head of Corporate Responsibility, Bunzl
Avieco has been the preferred environmental consultant since the beginning of our journey to become a sustainable company. Dentsu Aegis has worked with Avieco’s experts on various areas, such as carbon footprint reporting and assurance support, and recently also advised us how to switch our global network to renewable electricity. The team’s expertise on environmental sustainability is impressive, and the work delivered is always of highest standard.
Lars Holm, Global Senior Manager CSR, Dentsu Aegis Network
Avieco informatively led us through the processes needed to reduce our carbon footprint. With their clear and concise advice we have been able to effectively reduce our energy and waste levels. Avieco made the complex notion of energy efficiency into a manageable and achievable reality
Nigel Pink, Group Engineering Manager, Dominos UK & Ireland Ltd
Avieco delivered exactly the workshop we needed to get our sustainability team and regional leads on the same page when it comes to ‘market-based’ reporting. It’s a challenging area to tackle for a global business – particularly when we operate in a number of markets where there is little or no choice in terms of energy purchasing. Avieco has given us the knowledge and tools to ensure we get our disclosures right – they really exceeded my expectations for what we could achieve in one afternoon!
Dr Julia Rowe, Group Sustainability Advisor, Johnson Matthey
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