Enhancing Sustainability: One UK Company's Journey in Carbon Management and Reporting

In the ever-evolving landscape of environmental sustainability, carbon management has become a cornerstone for businesses striving to make a positive impact. This article explores the journey of a mid-sized company that has taken significant strides in carbon management and reporting, underlining the challenges and breakthroughs in their path towards a more sustainable future.

Setting a Sustainability Strategy

A couple of years ago, the company embarked on a journey to solidify its sustainability strategy, focusing on key pillars: people, climate action, responsible sourcing, and impact. A significant part of this strategy was dedicated to climate action, notably in reducing carbon emissions and facilitating the transition from internal combustion engines to electric vehicles. Additionally, the company focused on minimizing its operational carbon footprint.

The First Steps: Understanding Emissions

The initial step involved partnering with a third party to assess the company’s carbon emissions, particularly Scope 1 and Scope 2 emissions. This assessment was crucial in identifying areas to focus on for a net-zero ambition. Interestingly, the most significant emissions were found in Scope 3, linked to the use of sold products, especially in cars with internal combustion engines.

Defining Commitments and Targets

After establishing a baseline and understanding the emission profiles, the company set forth clear commitments, including a net-zero target submitted for the Science Based Targets initiative. It also focused on purchasing renewable electricity and managing waste effectively.

Improving Data Quality and Reporting

A key aspect of the journey was enhancing the quality of carbon reporting, especially for Scope 1 and 2 emissions. This involved digitalizing reporting processes across the company’s 50 sites in 20 countries. By adopting tools, the company could gather and manage data on energy, electricity, water, and waste more efficiently. This step was vital in addressing the diverse drivers of improved carbon reporting, from customer demands to regulatory requirements.

Challenges with Scope 3 Emissions

Dealing with Scope 3 emissions, which constitute a significant part of the company’s carbon footprint, presented a unique challenge. Moving from estimates to actual data in reporting these emissions required a cross-functional approach, engaging various internal and external stakeholders, including suppliers and customers.

Conclusion

The journey of carbon management and reporting is a complex but vital undertaking for businesses today. This mid-sized company’s experience highlights the importance of data quality, stakeholder engagement, and strategic commitment to achieving sustainability goals. As the company continues to navigate these challenges, its efforts serve as a testament to the evolving role of businesses in addressing climate change and the power of strategic action in making a tangible impact.