If the world is to reach NetZero, and avoid climate disaster it needs to make every product sustainable and that means every purchase. To achieve this, you will need more transparency. This means that there must be more information about suppliers in order to benchmark companies and improve their sourcing. While many companies do their best to reduce CO2 emissions, the real problem lies with the supply chain.
Danish startup Responsibly, reckons it has the answers in providing retailers, builders, and others with a supply network a scorecard against this supply chain of providers. A company can then check whether any of their supply chains are involved in water pollution or deforestation.
Flash Ventures has led a pre-seed round of $2 million investment. Pirate Impact, the family office of Fabian & Ferry Heilemann and Michael Wax (Founder and CEO at Planetly Benedikt Franke) are also participating.
Soft-launching the initial version of the startup’s platform, which will examine the data of over 10,000 suppliers to find pilot customers, will be done by the startup.
Thomas Buch Andersson, co-founder and CEO of Responsibly, stated that “if we make it as simple for buyers to assess how their suppliers are doing on a global agenda than it is for them to evaluate price, we believe we can unleash the enormous force for positive change in procurement departments around the globe.”
Google Startup Advisor Sustainable Development Goals Program, Responsible Development.
Flash Ventures Founding Partner Johann Nordhus Westarp stated: “The timing of the event is ideal, and businesses will fundamentally alter the way that they procure over the next few years. Impact-driven procurement is the future of price- and value-driven procurement. Today’s companies are acting blindly, trying to find solutions for the “problem of the moment” by treading water. They can finally see their purchasing footprints, and take forward-thinking actions for the right reasons.
According to CDP, some 40% of global GHG emissions are driven or influenced companies through their purchases and the products they sell. Meanwhile, Gartner found that 23% of supply chain leaders expect to have a digital ecosystem by 2025, up from only 1% today.
Buch Andersson spoke to me via phone and said that responsible sourcing had changed a lot in the last 20 years. To allow procurement staff to read and interpret all data sources, we are creating a layer to enable them to use the information for their sourcing decisions.
Responsible competition with EcoVadis & Integrity Next
Publiated at 11:31.05 +0000, Wed, 01 Sep 2021