Supply Chain Emissions Management - Sponsored Whitepaper

Supply Chain Emissions Management
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Supply Chain Emissions Management

The world’s largest retailer, Walmart, has really brought the issue of life-cycle analysis and supply-chain emissions tracking to the forefront. With much fanfare, Walmart announced during mid-July 2009 that it would be developing a “Sustainability Index” which would in no small way require its suppliers, all 100,000 of them, to measure sustainability as part of the overall supply chain.

Lifecycle analysis (LCA), or lifecycle assessment, tells us about the environmental impacts of a product throughout its life cycle. Detailed information will theoretically allow significant opportunities for improvement along the cycle. There is clear potential here but it should be noted that considerable challenges exist before significant benefits may accrue from such an analysis.

As a company’s production of carbon becomes the subject of full disclosure, so emissions tracking takes on significant importance. What started out as a voluntary arrangement may soon, to some organizations at least, become mandatory as proposed legislation would force a certain percentage of companies within the United States to report their energy use, calculate their carbon emissions and take steps to decrease their footprint.

Emissions tracking may not become a mandatory requirement across the board, but many organizations are still planning to fully engage as they understand that other stakeholders will demand some form of accountability, tacitly or otherwise. It seems clear that we will soon see annual company reports contain comprehensive carbon analysis and transparency.
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