Global firms 'increasing focus on supply chain carbon issues'

Multinational corporations are placing an increased focus on proactive carbon reduction initiatives affecting their supply chains.

This is according to new analysis from Aleyn Smith-Gillespie, principal at the UK Carbon Trust Advisory, who suggested that companies are starting to realise that the majority of their carbon footprint is generated outside of their direct control.

Businesses are therefore taking a number of steps to address this, such as providing guidance and support to suppliers on meeting carbon emission guidelines, while steering clear of partners that do not meet their carbon criteria.

Mr Smith-Gillespie noted that companies must also develop their understanding of their own footprint, identify upstream emission sources and assess their procurement priorities in order to maximise their success.

He said these measures will not only boost environmental performance, but also "help develop an accurate understanding of the quantities of raw materials and key commodities that different product/service mixes adopted by the business would consume".

This comes after a KPMG report last month suggested that reporting of sustainability issues among businesses is not currently well-regulated enough to be effective.