GITNUX MARKETDATA REPORT 2023
Essential Supply Chain Esg Metrics
Highlights: The Most Important Supply Chain Esg Metrics
- 1. Environmental Footprint
- 2. Sustainable Sourcing
- 3. Greenhouse Gas (GHG) Emissions
- 4. Renewable Energy Usage
- 5. Water Usage Efficiency
- 6. Waste Reduction
- 7. Labor Practices
- 8. Human Rights
- 9. Health and Safety Performance
- 10. Supplier Diversity
- 11. Local Engagement
- 12. Traceability and Transparency
- 13. Ethical Conduct
- 14. ESG Risk Management
Table of Contents
Supply Chain Esg Metrics: Our Guide
The concept of environmental, social, and governance (ESG) metrics is becoming increasingly important in the world of supply chain management. As businesses pay more attention to sustainable operations, understanding these ESG metrics is vital. In our recent study, we delve deep into the essential ESG metrics that guide supply chain sustainability and contribute to overall business success.
This metric evaluates a supply chain’s environmental impact by measuring carbon emissions, water use, waste generation, and energy consumption at each stage.
This metric assesses the share of raw materials from suppliers meeting ESG criteria, including responsible land use, fair labor practices, and ethical conduct.
Greenhouse Gas Emissions
This metric measures the total greenhouse gas emissions throughout the supply chain for goods and services, including production, transportation, and consumption.
Renewable Energy Usage
This metric gauges the use of renewable energy sources by the company and its supply chain partners, promoting cleaner energy and reducing reliance on fossil fuels.
Water Usage Efficiency
This metric tracks the efficiency of water usage in the supply chain, focusing on water consumption reduction, recycling, and the implementation of water-saving technologies.
This metric evaluates the company’s efforts to minimize waste generation, encourage recycling, and reduce disposal in landfills or incinerators throughout the supply chain.
This metric evaluates supply chain labor conditions based on global standards, including fair pay, worker safety, non- discrimination, and freedom to associate.
This metric reviews the supply chain’s compliance with human rights principles, including preventing child labor, eliminating forced labor, and addressing identified human rights abuses.
Health And Safety Performance
This metric measures the frequency and severity of occupational injuries and illnesses among workers along the supply chain, evaluating efforts to improve worker safety and well-being.
This metric assesses the company’s commitment to diverse supplier inclusion, including women-owned, minority-owned, and small and medium enterprises in its procurement process.
This metric gauges the company’s support for local communities, fostering economic development, job creation, and community relationships through supply chain involvement.
Traceability And Transparency
This metric assesses the company’s capability to transparently track and disclose product origin, processing, and transportation details, ensuring supply chain transparency and accountability.
This metric evaluates supply chain partners’ ethics and compliance with global business standards.
ESG Risk Management
This metric examines the company’s ability to identify, assess, and manage ESG-related risks and opportunities throughout its supply chain, promoting long-term resilience and sustainability.
Frequently Asked Questions
What are Supply Chain ESG Metrics?
Why are Supply Chain ESG Metrics important for businesses?
What are some examples of Supply Chain ESG Metrics?
How can companies effectively track and manage Supply Chain ESG Metrics?
How do Supply Chain ESG Metrics impact a company's competitive advantage?
How we write these articles
We have not conducted any studies ourselves. Our article provides a summary of all the statistics and studies available at the time of writing. We are solely presenting a summary, not expressing our own opinion. We have collected all statistics within our internal database. In some cases, we use Artificial Intelligence for formulating the statistics. The articles are updated regularly. See our Editorial Guidelines.