Almost half of firms are not collecting data on their emissions across their entire value chain, new research has suggested.
The survey, from Economist Impact, which works with organisations to further their missions, asked 1,250 companies across different sectors and regions about their efforts to reduce so-called scope three emissions.
Scope three, which make up the majority of a firm’s emissions, includes those from across the value chain, like goods and services sold, transportation, waste disposal and franchises.
It found that 47% of companies are not collecting and monitoring their scope three emissions.
In terms of sectors, the least likely firms to monitor these emissions include consumer goods at 54% and technology/telecommunication firms at 40%.
In terms of monitoring the data, companies are least likely to engage with their suppliers, the research suggests.
It found that, on average, companies undertake 43% of supplier engagement initiatives like incentivising suppliers to meet sustainability targets and regularly auditing their emissions.
However, 97% of firms across all sectors have undertaken at least one initiative to engage customers to reduce emissions.
It comes as Economist Impact and tech consultancy Infosys launch the Value Chain Navigator – an open digital platform to help businesses understand and address their scope three emissions through interactive tracking, tools and tailored recommendations.
The navigator will be featured on the Economist Impact’s content and community platform called the Sustainability Project.
Claudia Malley, president of Economist Impact, said: “We focus on addressing pressing issues and providing the necessary insights to advance sustainable solutions.
“Our work with Infosys to create The Sustainability Project and, now, the Value Chain Navigator exemplifies the impact we can make in the world.”
Ashiss Kumar Dash, global head of services, utilities, resources and energy at Infosys, said: “The Value Chain Navigator will be pivotal in driving collaborative action at scale to tackle scope three emissions, supporting businesses along their value chains to reduce their carbon footprint.
“With this solution, we further strengthen the tools delivered through The Sustainability Project to empower sustainability stakeholders to navigate a changing landscape through data and insights, and chart their course for a better future.”