Cottrill Research, LLC

A Country Comparison of Supply Chain Sustainability

A Country Comparison of Supply Chain Sustainability

CDP and Accenture have produced a study entitled, Supply Chain Sustainability Revealed: A Country Comparison, that assesses the “relative climate risk faced by supply chains in 11 key markets, the preparedness of these supply chains to manage these risks and the propensity of suppliers to work with their customers to reduce risk and seize climate opportunities…This information allows international buyers to quickly assess the sustainability of their supply chains at the country level.”  Detailed country-level analysis is provided for Brazil, Canada, China, France, Germany, India, Italy, Japan, Spain, United Kingdom, and the United States. Key findings (directly quoted) include:

Concerning high levels of climate risk in key supply chains, and inadequate supplier response:

  • Supply chains in the US, China and Italy are considered ‘vulnerable’
  • Suppliers in India and Canada are not doing enough to manage climate change risks. Indian companies, in particular, demonstrate a low propensity to report on emissions
  • Suppliers in Brazil have done the least to manage climate exposures and recent water shortages indicate these may be higher than the risk/response matrix suggests

Opportunities exist for collaboration and high-return investment. Suppliers in China and India demonstrate a high propensity to collaborate with supply chain partners to reduce climate risk and, where they do invest in emission reduction initiatives, they deliver the greatest return on investment.

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