How AECOM is working with our supply chain to reduce our Scope 3 emissions
Our ESG advisors share our four stage sustained approach to tackling Scope 3 emissions, helping us reach ambitious near and long-term emissions reduction targets.
Our ambitious emissions reduction target, approved by the Science-Based Targets initiative in 2022, is to reach science-based net-zero by 2040. We aim to achieve a near-term 50 percent reduction in total Scope 1, 2 and 3 emissions by 2030 and a long-term 90 percent reduction in total emissions by 2040.
From our early-stage carbon emissions calculations, we quickly realised tackling all three carbon emission scopes together was how we would make the biggest impact, particularly with Scope 3 supply chain emissions offering the most opportunity to drive down our carbon impact. Our Scope 3 supply chain emissions approach was based around four key areas:
Result: 8 percent baseline reduction on Scope 3 from 2018 baseline to 2022
Getting suppliers on board
- Treating every supplier as an individual. To achieve net zero, supply chain collaboration is paramount. We want to understand the risks and opportunities for their business and work together to reduce carbon emissions.
- Identifying our highest impact suppliers. We are going beyond FTSE 100 businesses by inviting medium sized suppliers to engage with our program so we can work together to improve their understanding of their carbon impact.
Getting procurement on board
- Embedding carbon and ESG into our procurement process. Carbon measurement and improvements are being introduced into AECOM’s prequalification requirements, onboarding, and annual contract renewals. As our program matures, we will put in place increasingly stringent benchmarks for the carbon intensity of our suppliers’ businesses.
- Talking to the key buyers in our own organization. Procurement is just a mechanism. Our buyers can be found throughout our organization, and they hold the important relationships with our suppliers so connecting and influencing our buyers on how to incorporate Scope 3 emissions in their selection process is crucial.
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