Sustainability, a topic that cannot be ignored. With an evolving regulatory framework exerting additional pressure on businesses, rapid depletion of critical raw materials, and already ongoing events due to the results of climate change, such as draughts in the Panama Canal and severe floods hampering vital medicine supply, taking action is not just a choice but a necessity.
Deloitte's Sustainable Supply Chain (SSC) team helps businesses navigate the complex landscape of sustainability, leveraging our extensive experience and innovative tools to drive transformation across industries, with a focus on strategy, procurement, product lifecycle management, and logistics & distribution.
From experience in different industries, clients and various engagements we bring breadth and depth to both strategizing and operationalizing, enabling a successful transformation of your organization in its sustainability journey. As a collaborative partner we work shoulder-to-shoulder with our clients. Besides, we can bring in both in-house technology and tooling such as Deloitte Greenlight as tools from the market to support your goals.
Through teaming with the Sustainable & Climate Hub, the Sustainable Supply Chain team is putting new focus and targeted effort into bringing Sustainable Supply Chain solutions to the market. Within Sustainable Supply Chain four priority topics are identified, aligned with the overarching Deloitte global vision for Sustainable Supply Chain practices.
Sustainable Supply Chain
Organizations must articulate a Sustainable Supply Chain strategy to align to the business objectives, address and reduce adaptation risks and actively champion climate mitigation programs. This strategy will need to quantify the balance between financial, environmental and social benefits and collaborate with the ecosystem to amplify ESG value.
Example projects: Target setting, strategy and roadmap development, identification of improvement initiatives
Sustainable Procurement
Beyond our collective responsibility to contribute to the Sustainable Development Goals, there are additional motivations for sustainable procurement. The growing imperative is to extend scrutiny beyond tier 1 suppliers and evaluate opportunities and risks associated with suppliers deep in the value chain in order to reduce GHG emissions, improve biodiversity and address social issues in the supply chain. As a result procurement leaders are updating processes, governance, technology, incentive mechanisms and capabilities to enable sustainable procurement at its core.
Example projects: Sustainable operating model redesign, technology selection, sustainable category management and sourcing execution, supplier engagement strategy development
Product Strategy, Lifecycle Management and Traceability
Products now require an increasing sophistication level of supply chain traceability and transparency to create a circular economy for products and value chains by emphasizing rethinking, reusing, repairing, remanufacturing and recycling. This imperative goes beyond mere compliance with upcoming regulations, such as CEAP (Circular Economy Action Plan) but extends to addressing shortages of raw materials, supply disruptions and many more, ultimately thriving for, e.g., anti-deforestation and reduction of greenhouse gas emissions.
Example projects: Spare part remanufacturing for increased circularity
Logistics & Distribution
There is widespread understanding of the need to electrify fleets yet initiating the transition in sea-, air-, and road freight and expanding this shift within the last-mile introduced challenges in effectively managing the balance of capacity, cost, and time. Moreover, warehouses present significant opportunities to adopt sustainable practices, offering substantial potential for reducing GHG emissions.
Example projects: Fleet electrification and route optimization, low emission alternative
In collaboration with the Sustainable & Climate Hub, the Sustainable Supply Chain team continues to further integrate Sustainable Supply Chain as part of the broader offering. The team is reviewing and refining the offering continuously through pro-actively positioning Sustainable Supply Chain with clients and incorporating feedback from the market.
Our hands-on approach can help your organization to roadmap your transformation and execute the journey. Whether it is a maturity assessment on your sustainability, building a roadmap towards your Net Zero ambition, helping to structure your carbon inventory or any other question, please feel free to reach out! We are happy to engage and see how we can help you structure your strategy and plan your transformation.