Supply Chain Executives Embracing “More than the Basics” in Sustainability

In a study released by West Monroe Partners, 51% of participating supply chain executives (in North America) consider a green supply chain to be a strategic priority, showing that “appetites for sustainability exist.” However, only 37% have dedicated sustainability individuals or teams.

Since it can be difficult to secure the resources to embrace sustainability initiatives that have an impact, the report notes that regulations could help to “force action.” It also suggests that, within companies, those interested in making changes should assemble the sustainability business case for senior leadership.

Sustainable supply chain leaders derive benefits including:

  • Improved brand image and “customer sentiment,” and related revenue upside
  • Easier recycling
  • Reduced logistics costs
  • Reduced production costs
  • Compliance with regulations

Embracing the SDG framework and identifying how each SDG could be relevant and impactful for the company’s supply chain, could be a new, key way to secure more resources for advancing a green supply chain.

How does your supply chain link up with the SDGs?

SDG 12: Ensure Sustainable Consumption and Production Patterns (SCP)

SDG 12 calls for: efficiently using natural resources; halving global food waste – both at retail/consumer levels, and along the production and supply chain; managing chemicals and wastes in an environmentally sound way throughout their life cycle, and reducing their release to air, water and soil; preventing and reducing waste generation, and recycling and reusing;  encouraging companies to adopt sustainable practices and conduct sustainability reporting; and promoting sustainable public procurement.

SDG 12 in Action  

Tesco Group Chief Executive Dave Lewis is co-chairing a coalition of 30 international leaders – “Champions 12.3” – to reduce global food waste. The coalition is named for SDG Target 12.3, which calls to halve per capita food waste and reduce food losses by 2030. The coalition will showcase best practices in reducing food waste, and advocate for more investment and innovation in the field.

Another food waste initiative was undertaken by the Consumer Goods Forum, which notes that “if food waste was a country it would be the third biggest emitter of greenhouse gases globally after China and the US.”

The Food Waste Resolution focuses on CGF’s retailer and manufacturer members, and aims to halve the amount of food wasted in their operations by 2025. The resolution notes that food waste “undermines food security, contributes to climate change, consumes scarce natural resources such as water unnecessarily, and costs money.” CGF aims to achieve the goal by engaging with supply chains and end consumers, where material, and through partnerships with governments and NGOs.

Tell us your SCP story at @GlobalSourcing with

SDG 13: Combat Climate Change and its Impacts

SDG 13 calls for action in three areas, in parallel to the agreements reached in the UN Framework Convention on Climate Change (UNFCCC): resilience and adaptive capacity to climate-related hazards and natural disasters in all countries; national policies, strategies and planning on climate change; and education, awareness-raising and human and institutional capacity on climate change mitigation, adaptation, impact reduction and early warning.

$100 billion will be needed annually by 2020 “from all sources” to address developing countries’ needs in mitigating climate change, and capitalize the Green Climate Fund.  Goal 13 calls for building capacity for effective climate change-related planning and management, including a focus on women, youth and local and marginalized communities.

SDG 13 Amplifier

The Supply Chain program at CDP enables organizations to engage suppliers on climate change and water.

According to CDP, business supply chains’ GHG emissions can be as much as four times that of a company’s direct cdp videooperations, and they represent a primary area of focus for businesses seeking to mitigate climate-related risks. CDP also notes that climate change and water stewardship issues increasingly impact business supply chains through new regulatory requirements, with potential negative implications on a company’s license to operate.  Moreover, extreme weather is creating supply chain volatility, leading to rising costs and the risk of reputational damage to a company’s brand value.

The Supply Chain program helps member organizations reduce their GHG emissions, improve water sustainability, and minimize environmental risks across their supply chains. Learn more.

Tell us your Climate Change story at @GlobalSourcing with GSC1717

SDG 14: Protect Oceans, Seas and Marine Resources

Goal 14 highlights the need to reduce marine pollution, restore marine and costal ecosystems, address ocean acidification, address overfishing and destructive fishing practices and restore fish stocks, and direct more of the economic benefits from marine resources to small island developing states.

SDG 14 in Action

Jet Blue knows that a healthy ecosystem in the destinations on its route network have a direct impact on its business: “No one benefits when oceans and beaches are polluted, yet these problems persist around the world.” Jet Blue has partnered with: The Ocean Foundation, to show the economic value of clean beaches, the Center for Responsible Travel, to introduce sustainability students to coastal tourism; and the Surfrider Foundation to support coastal restoration and protection for oceans, waves and beaches. Jet Blue wants its customers to “land on a clean beach, now and in the future.” Learn more.

Tell us your marine protection story at @GlobalSourcing with GSC1717

Showcase your sustainability leadership by aligning your mission with the UN 17 SDGs through the GSC 17/17 initiative.

Contact Louis Coppola (louis.coppola@gscouncil.org) or Angeline Judex(angeline.judex@gscouncil.org) to learn how to leverage our extensive global network to communicate your commitment to sustainable development.

Promoting Women is Good Business Says World Bank, UN Women

 

Ten Fortune 500 companies across ten industries have opened their gender diversity figures to UN Women for a report on gender parity. In the ten companies – AccorHotels, Barclays, Koç Holding, McKinsey & Company, PricewaterhouseCoopers (PwC), Schneider Electric, Tupperware Brands, Twitter, Unilever and Vodafone – women’s participation at senior leadership levels is between 11% and 33%. UN Women says companies with the highest representation of women in executive committees and positions perform and compete better than their counterparts.

 

While none of these companies has achieved gender parity in the top 6% of roles, Barclays, PwC, Tupperware and Unilever have achieved gender parity in new hires, and AccorHotels and Tupperware have achieved board parity (between 40-60%).

 

The World Bank issued a new resource covering over 200 countries, and detailing: businesses with female owners or females in top management positions; women in ministerial-level government positions; women and men with mobile phones; and women and men who saved money over the past year. The ‘Little Data Book on Gender 2016′ demonstrates that gender equality is “not only a core development objective, but smart economics.”

 

How are your company’s equality practices good for business?

 

Join GSC 17 / 17 SDGs Initiative to showcase your sustainability leadership. Contact Louis Coppola, louis.coppola@gscouncil.org, to find out more.

 

SDG 9 is about Industry, Innovation & Infrastructure.

Goal 9’s targets call for: developing quality, reliable, sustainable and resilient infrastructure; promoting inclusive and sustainable industrialization; raising industry’s share of employment and GDP; improving access to financial services for small-scale enterprises; upgrading infrastructure and retrofitting industries for better resource-use efficiency and clean and environmentally sound technologies and industrial processes; and upgrading the technological capabilities of industrial sectors in all countries.

 

In addition, SDG 9 supporters are called on to: encourage innovation; enhance financial, technological and technical support to the countries most in need; support domestic technology development, research and innovation in developing countries; and increase access to information and communications technology including universal and affordable access to the internet in least developed countries.

 

SDG 9 in Action
3S Impact Sourcing 2015 Award Nominee: Protoprint
Protoprint provides low-cost technology for waste picker co-operatives in India, to add value to the waste plastic they collect, by allowing them to turn it into 3D printer filament. Production takes place in a shed at the garbage dump, and Protoprint pays Rs.300/kg of filament processed (as compared to Rs.14/kg the wastepickers normally get by selling the plastic to scrap dealers). Learn more.

 

It’s your turn! How do you contribute to resilient infrastructure, inclusive and sustainable industrialization, and innovation?

SDG 10 is about Reduced Inequalities.

Goal 10’s targets address: income growth for the bottom 40% of the population; social, economic and political inclusion for everyone, irrespective of age, sex, disability, race, ethnicity, origin, religion or economic or other status; social protection policies; regulation and monitoring of financial institutions and markets; enhancing the representation and voice for developing countries in global international economic and financial institutions; and safe migration.

 

SDG 10 supporters can help by reducing transaction costs for migrant remittances, and increasing foreign direct investment to the developed countries, African countries, and small island developing States.

 

SDG 10 in Action
Fight for 15 is a movement of employees to secure $15/hour for low-wage jobs and the right to form a union.It’s your turn! How do you contribute to equality within and among countries?

 

SDG 11 is about Sustainable Cities and Communities.

Goal 11’s targets highlight: access to adequate, safe and affordable housing and basic services; access to safe, affordable, accessible and sustainable transport systems ;  improving road safety, expanding public transport; inclusive and sustainable urbanization; protecting the world’s cultural and natural heritage; reducing deaths and economic losses from disasters; air quality and municipal waste management; and universal access to safe, inclusive and accessible, green and public spaces.

 

SDG 11 supporters can assist least developed countries in building sustainable and resilient buildings utilizing local materials.

 

SDG 11 in Action
3S Community Engagement 2015 Award Nominee: Paradign Initiative Nigeria
Paradigm’s L.I.F.E. program – L.I.F.E.(Life Skills, ICTs, Financial Readiness and Entrepreneurship Skills) is a train-the-trainer capacity building initiative to transform slums in Nigeria, as a model of intervention for other underserved communities. Training participants are then either matched with companies to complete internships or supported to pursue their entrepreneurial interests. Learn more.

It’s your turn! How do you contribute to inclusive, safe, resilient and sustainable cities and other settlements?

 

Join GSC 17 / 17 SDGs Initiative to showcase your sustainability leadership. Contact Louis Coppola, louis.coppola@gscouncil.org, to find out how.

New Commission to Quantify Business Case for SDGs

In a key announcement from Davos last week, 20 business leaders are setting out to quantify the economic case for engaging in the SDGs, and explore ways for businesses to take advantage of the 2030 Agenda.

The members of the Global Commission on Business and Sustainable Development, launched during the World Economic Forum 2016, include Paul Polman, Unilever, Arif Naqvi, The Abraaj Group; Ken Frazier, Merck & Co; Hendrik du Toit, Investec Asset Management; John Fallon, Pearson PLC; Roberto Oliveira de Lima, Natura; Amy Jadesimi, Lagos Deep Offshore Logistics Base (LADOL); Vineet Rai, Intellecap; and Gavin Wilson, IFC Asset Management Company LLC.

Polman, who serves as co-chair of the Commission, outlined the SDGs’ potential economic value, saying “gender equality could unlock $37 trillion in value, universal energy access will unlock $18 billion and there is $90 trillion in the need for sustainable cities.”

In addition to economic rewards from creating and accessing new markets, the SDGs will also help avoid risks created by resource competition and fragility, and they can create an environment for businesses to  perform – inclusive, sustainable growth and widespread job creation.

Take the first step: Sponsor an SDG for GSC’s 17 Weeks/17 SDGs Initiative

GAlogo_solid_vertical
We’re proud to have G&A Institute as a strategic Goal 17 partner in the GSC 17 Weeks / 17 SDGs Initiative!

Founded in 2006, Governance & Accountability Institute is a sustainability consulting firm headquartered in New York City, assisting corporations in executing winning strategies that maximize return on investment at every step of their sustainability journey. The G&A team helps corporate and investment community clients recognize, understand and address sustainability issues to address stakeholder and shareholder concerns. Visit G&A at www.ga-institute.com.

 

SDGs 5 and 6 focus on women’s empowerment, water
and sanitation.
How does your company bring these to life?

SDG 5 – Achieve gender equality and empower all women and girls has six target areas addressing discrimination against women and girls, violence including trafficking and sexual exploitation, child marriage and female genital mutilation, full participation for women in leadership and decision-making, and access to sexual and reproductive health and reproductive rights. In addition, Goal 5 highlights information and communications technology, and other enabling technology for women’s empowerment.

How does your supply chain contribute to gender equality and women’s empowerment?

SDG 5 in Action
A Global Movement for Women’s Economic Empowerment:

In this 3-minute presentation, Anna Falth, Empower Women, explains Goal 5, its relevance in the 2030 Agenda and how can businesses start addressing it.
3S Empowered Women 2015 Award Winner:

18% of women and girls in Rwanda miss school and work because they can’t afford pads. Sustainable Health Enterprises (SHE) has found a solution to this problem. SHE makes pads locally and employs members of the community. Here is how they are doing it.

SDG 5 Amplifier
High Water Women is an organization of women in the hedge fund and investment industries, focused on providing enriched educational opportunities for low-income youth and the economic empowerment of women and children. HWW provides thought leadership in values-based investing.

 

SDG 6 – Ensure access to water and sanitation for all has six target areas addressing safe and affordable drinking water, sanitation and hygiene, improving water quality, wastewater, water recycling and reuse, water-use efficiency, integrated water resources management, and protecting and restoring water-related ecosystems. In addition, Goal 6 calls for supporting developing countries in water- and sanitation-related activities and programmes, including water harvesting, desalination, water efficiency, wastewater treatment, recycling and reuse technologies, and supporting local communities’ participation in improving water and sanitation management.

How does your supply chain contribute to water and sanitation?

SDG 6 in Action
3S Community Engagement 2015 Award Winner: SOIL

In Sustainable Organic Integrated Livelihoods’ (SOIL’s) simple social business design, wastes from SOIL’s ecological sanitation toilets are collected and transported to a waste treatment facility where the waste is safely composted into rich, agricultural-grade compost. This compost is then sold for agricultural application. Revenue from monthly… Learn more.

SDG 6 Amplifier

The CEO Water Mandate is an alliance of corporations committed to promoting water sustainability, including in supply chain and watershed management. The signatories recognize that the world’s water challenge, including the lack of access to clean water and sanitation in many parts of the world, undermines humanitarian, social, environmental and economic goals. Signatories include Nestle, which also leads the 2030 Water Resources Group, and is working to reduce its water footprint, and PwC, which led the development of the alliance’s Corporate Water Disclosure Guidelines.

Make Your Mark as a Sustainability Leader with the

GSC 17 / 17 SDGs Initiative!

GSC invites you to showcase your companies’ contributions to the SDGs. For 17 consecutive weeks, we will highlight one SDG per week, also lending the spotlight to those who have made it their business to take action on each goal.

Contact Louis Coppola (

louis.coppola@gscouncil.org) to sponsor one or more SDGs by Feb 15th for 17% off sponsorship rate.

 

The Business Case is Building Itself – Get Ahead of the Curve

 The Business Case is Building Itself – Get Ahead of the Curve
Capital and Talent is Flowing to Companies Focused on SDGs 
A growing body of research shows that companies that measure and manage their sustainability issues are outperforming their peers in the market, attracting / retaining better talent, engaging their customers, decreasing risk and increasing opportunities to grow and enter new markets.  In addition, members of the Millennial Generation are quickly rising up the employment ranks becoming managers, and taking control of their families’ wealth and investment choices — and they are driving demand for sustainable integration and investment opportunities.

 

For the next 15 years, the SDGs will be the primary lens by which this growing pool of capital and talent will examine the companies that they invest in.  Leading sustainable organizations that position themselves to help meet the objectives of th new global goals will increasingly be favored in the market by this growing pool of important players.  ESG criteria and sustainability data are becoming larger factors in where capital flows, where the best talent chooses to work, how companies reputations are shaped, and how investments are valued in the capital markets.

 

Stake a Claim as a Sustainability Leader!

Teleperformance logo

Teleperformance joins the GSC 17 / 17 SDGs Initiative in support of SDG and ! Join
GSC 17 / 17 SDGs Initiative and sponsor one or more SDGs to showcase your leadership. (click here for prospectus,
or contact Louis Coppola (louis.coppola@gscouncil.org) to find out more.

 

SDGs and are about ending poverty and hunger by 2030.
How is your strategy aligned?

The seven targets for SDG 1 address: making sure nobody lives on less than $1.25/day; setting up social floors; ensuring equal access to economic resources, basic services, land and property ownership, natural resources, and technology and financial services; building climate and disaster resilience; providing developing countries with the means to implement policies and programs to end poverty; and accelerating investment in poverty eradication actions.

SDG 1 in Action – 2015 GSC 3S Awards Nominee: Vihara Foundation

This video shows the commissioning of a creative fundraising platform Rock against Poverty to help raise global awareness and funds to pay for real scientific and business enterprise development intervention to counter extreme poverty in rural India (The Vihar Project).

The eight targets for SDG 2 address: ending hunger and ensuring access to safe, nutritious food; ending malnutrition for vulnerable groups, and tackling stunting and wasting for children under five; increasing agricultural productivity and ensuring access to land and other inputs; ensuring sustainable food production systems, and making agriculture more resilient and adaptive to climate and disasters; protecting genetic diversity and sharing its benefits; increasing investment in rural infrastructure, agricultural research and technological development for agriculture; addressing trade distortions; and limiting price volatility.
SDG 2 in Action – DupontDuPont has focused its efforts on developing innovations that will produce more food, enhance nutritional value, improve agriculture sustainability, boost food safety, extend food freshness and reduce waste.

Innovating to feed the world. DuPont committed $10B to R&D, and the introduction of 4,000 new products by the end of 2020. Moving forward with these goals, DuPont has invested more than $1.2 billion in research and development, and has already introduced more than 600 new products – all in 2014. Learn more at Dupont Feeds the World.

Make Your Mark as a Sustainability Leader
Join the GSC 17 / 17 SDGs Initiative!

Join GSC in responding to the new generation of responsible investors, who are “already beginning to alter the corporate landscape,” according to the UN Global Compact.

Tens of trillions of US dollars in assets are represented in the investors mobilized by the Principles for Responsible Investment and Carbon Disclosure Project. “These long-term oriented investors are requesting more and more information on how investee companies are managing environmental, social and governance issues,” UNGC reports. Strong ESG-managing companies stand to benefit the most from this new development era.

Contact Louis Coppola (louis.coppola@gscouncil.org) today to sponsor one or more SDGs by January 31st for 17% off sponsorship rate.

The 6th “P” for Profit is Why Businesses Should Align with the SDGs

 

Dear Global Sourcing Council community member,

I am pleased to bring you our first greetings in 2016 on behalf of the Board of Directors of the Global Sourcing Council.

P is for Profit

We are moving into a new era in business, in which socially and environmentally responsible sourcing is not just a “nice-to-have” gambit in your marketing portfolio. Consumers are voting with their wallets for responsible products, and employees are offering their talents to entities committed to ethical, sustainable business.

Beyond this, the mainstream financial industry and investment communities are increasingly examining Environmental-Social-Governance (ESG) risks and opportunities of the companies in which they invest. They increasingly incorporate ESG criteria and sustainability data in decisions on where capital flows, and how companies are valued in the capital markets. As millennials become investors, they are driving intense demand for sustainable investment products, and the capital markets are responding with innovative offerings from data providers, analyst research, indexes, impact investing, ETFs, mutual funds, sustainable retirement fund options, and more.

A key opportunity for the private sector in 2016 is found in the 2030 Agenda for Sustainable Development, adopted at the UN by heads of state and government in September 2015, and its Sustainable Development Goals (SDGs). These 17 global goals will stimulate action over the next 15 years, and stand to reshape the practice of development globally. Business entities have much to gain economically by pursuing new markets and new business models through this brand-new agenda, which took effect on January 1, 2016.

GSC will be launching a special program to showcase companies’ contributions to the SDGs. For 17 consecutive weeks, we will highlight one SDG per week, also lending the spotlight to those who have made it their business to take action on each goal.

Tell us your SDG story, demonstrate your leadership, inspire action around the goals and share your best practices by sponsoring one or more SDGs. Contact us to be part of the 17 Weeks / 17 SDGs Initiative! 

Why should businesses align with the SDGs?

First, businesses cannot succeed unless the world succeeds. As Unilever says, there is no business case for enduring poverty.

The Harvard Business Review (HBR) recently ran an article identifying three other, even more immediate reasons to care about the SDGs:

  1. New Markets: The SDGs represent a significant new opportunity for companies for whom emerging and frontier markets are a source of long-term growth, as “trapped value” in these markets is overcome through progress on the SDGs. According to estimates from McKinsey, consumer spending in these markets could be worth $30 trillion by 2025, a significant step up from the 2010 value of $12 trillion. 
  2. Competitive pressure: Many companies have publicly pledged to help with the SDGs. Early-acting companies could get a jumpstart in their industries by organizing partnerships and even positioning themselves as leaders in sustainable development, using the Goals as a branding anchor. Being slow to take action could lead to being left out of these relationships and become a source of competitive disadvantage from a brand equity perspective. 
  3. The World Needs You: The Goals cannot be realized without business participation. The price tag for accomplishing the SDGs is estimated to be up to $3 trillion a year for 15 years. For most governments, financing the Goals’ achievement will be a stretch; governments have already reneged in the past on commitments for similar targets. This time around, many governments and UN leaders have stressed the importance of private sector support to meet the world’s Goals.CPwofE_WcAAruvi200x200

In addition to the five “Ps” identified by the world’s governments as shared priorities, there is a sixth P – profit, as Bhaskar Chakravorti notes. The SDGs can be utilized as a framework for innovation and investment, and we invite all businesses to join us in showcasing how your work is aligned with one or more of these brand-new global goals.

The 2030 Agenda took effect as the clock struck midnight in every country around the world on January 1, 2016. On the occasion, the UN General Assembly’s president said that private companies – along with civil society and young people – will “be with us every step of the way over the next 15 years,” and that many companies are showing that “the change we need is not only possible but already happening.”

Is your company part of that change? How is your supply chain already working to make the global goals for sustainable development a reality?

Share your SDGs story!

Contact Lou Coppola to be part of the GSC 17 Weeks / 17 SDGs Initiative!

Best wishes for a fulfilling 2016 and success in building sustainable and responsible global business.

Sincerely,

Wanda R. Lopuch, Ph.D.
Chair of the Board
Global Sourcing Council
wanda.lopuch@gscouncil.org