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Sustainable products, procurement and supply chains

Companies are increasingly looking at the impact their operations and supply chains are having on the environment and the communities in which they operate. Understanding these impacts can drive improvements to corporate strategy, day to day operations and ultimately financial performance.

The shift towards a circular economy is accelerating and businesses need to understand how to deliver their products and services with less waste, safer materials and better outcomes for people and the planet.

The scope of local regulation is also widening with regulated product stewardship requiring companies in a growing number of industries to provide end of life recovery solutions for their products. Many organisations also have targets to ensure all product packaging is recyclable, re-usable or compostable by 2025.

Ensuring procurement decisions align to your organisation’s sustainability ambitions

Key questions to consider:

  • does your organisation's procurement team consider whole of life value when sourcing goods and services?
  • does your organisation’s supplier evaluation and monitoring criteria consider social, environmental and governance (ESG) costs and benefits?
  • does your organisation’s procurement assessment criteria look at the origin of the good and the conditions in which it was produced?

We can help with:

  • development of procurement frameworks that consider social, environmental and governance (ESG) costs and benefits
  • development of sourcing assessments and balanced scorecards to vet suppliers and prevent child labour, poor enviromental practices and negative social outcomes 
  • education and strategies to calculate the whole of life cost of a product considering lifespan, maintenance, safety and ESG impacts.

Taking responsibility for your products and packaging throughout their entire life span

Key questions to consider:

  • does your product allow for easy disassembly and recycling at the end of its life?
  • will your product be shut out of markets or forced to change rapidly as new regulation locally and globally mandates circularity and reduced waste?   
  • what options do your customers currently have to dispose of your product or its packaging in their local area?
  • what does a cost effective packaging solution that meets expectation and regulation look like?

We can help with:

  • analysis of trends and regulation in the markets in which your organisation operates to identify risks and opportunities relating to the transition to a circular economy
  • analysis of what materials are best suited to the local areas of your customers
  • strategy development to address product circularity and the wider circular economy
  • product adaptation to meet the requirements to be part of the circular economy.

Optimising your supply chain to balance financial and sustainability performance

Key questions to consider:

  • do your organisation's supply chain effectively balance financial and sustainability performance?
  • has your organisation set clear targets for energy efficiency, waste reduction and water use reduction throughout its supply chain?
  • are your organisation’s commitments to climate change also reflected in the practices of your suppliers?
  • does your organisation understand and monitor the social impacts across its supply chain such as the incidence of modern slavery?
  • does your organisation know whether compliance reports it receives from facilities around the world are all based on comparable assessments?
  • do customers believe your organisation’s stated sustainability claims?

We can help with:

  • evaluation and management of environmental, social and governance risks associated with your organisation's supply chain
  • global supply chain optimisation focused on balancing efficiency with minimising environmental and social impacts
  • analysis and recommendations based on best practice from across a range of industries
  • sustainable supply chain audits.

Contact us

Annabell Chartres

Annabell Chartres

Partner, Sustainability & Climate Change Leader, PwC New Zealand

Tel: +64 21 799 927

Andrew Jamieson

Andrew Jamieson

Partner, Strategy & ESG Leader, PwC New Zealand

Tel: +64 21 711 641

Peter  Chambers

Peter Chambers

Partner, PwC New Zealand

Tel: +64 21 404 015

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