The study done by Microsoft and TCS suggests only a handful of public supply chain companies are releasing emissions reduction strategies
A recent major study done by Microsoft and global IT consultancy TCS says that 84 per cent of major firms around the world are yet to set science-based targets for supply chain emissions.
The study suggests companies are struggling to measure progress on reducing carbon impacts in the logistics and business world.
TCS and Microsoft partnered to research how supply chain data could measure the transition towards a net-zero ecosystem in the sector, with 400 public companies randomly selected to participate.
TCS and Microsoft say the study’s results are particularly important for Australian companies due to recent climate change regulation that came into effect last September in a bid to reduce greenhouse gas emissions by 43 per cent below 2005 levels before 2030.
Yet the research shows that only 16 per cent of the participating companies publicly set science-based targets for operational carbon emissions, with only 11 per cent committing to carbon reduction targets in supply chains.
TCS Australia & New Zealand consulting director of managing practice Guy Ferrier says improving the quality of global supply chain data can help companies better measure their carbon footprint and set equivalent targets.
“Globally, Europe and specifically the UK are moving very quickly towards the new standard of supply chain. These regions will set the pace and lead globally, and it’s up to businesses in Australia and New Zealand to keep up to ensure they’re part of the global solution to what is truly a global problem,” Ferrier says.
“The only way to do this is through new tech and analytics expertise – both of which will become vital for firms looking to adapt and reduce supply chain emissions in a transparent and scientific way.”