Supplier engagement

Supplier engagement is the set of actions a company takes to involve its suppliers in measuring and reducing emissions. It ranges from requesting primary data to training and setting joint targets, and it is the main route to better data quality in Scope 3 emissions.

Why it is key for Scope 3

Scope 3 emissions arise across the value chain and are often calculated from estimates based on spend or average sector factors. When a supplier shares its own data, those estimates can be replaced with real figures, and the result reflects each purchase more accurately. The GHG Protocol methodology distinguishes between primary data, provided by the supplier, and secondary data, and favours the former where it is available.

Common actions

• Requesting primary data: asking suppliers for their consumption, emissions or the footprint of the products they supply.
• Questionnaires: gathering information on environmental management, targets and data in a consistent format.
• Training and support: explaining how to measure a carbon footprint and what information the buying company needs.
• Joint targets: agreeing reduction goals and reviewing progress regularly.

These actions fit into the management of a sustainable supply chain and rely on value chain traceability.

Link with science-based targets

The SBTi allows Scope 3 targets built on supplier engagement: the company commits that a share of its suppliers will set science-based targets within a given timeframe, as an alternative to a direct emissions reduction target.

Challenges

Small suppliers may lack the capacity to measure their emissions, and the data received is not always comparable because of differences in method or boundaries. For that reason it makes sense to start with the most relevant suppliers, offer clear templates and review the consistency of the information received.

At Manglai we automate the collection and traceability of your company's ESG data, and our AI reads supplier invoices and PDF documents to extract the information, following the GHG Protocol methodology and delivering audit-ready data. Discover how Manglai can help you.