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Suppliers face axe if they don't go green

04 Feb 2010

Source: SupplyManagement.com, 1 February 2010

Major global businesses would delist suppliers for failing to cut carbon emissions, a study has revealed.

More than half of the 44 businesses questioned for the Supply Chain Report from the Carbon Disclosure Project (CDP) would end relationships with vendors that do not meet carbon management criteria. Only 6 per cent, however, said they would do this immediately, according to the study produced on behalf of the CDP by consultancy AT Kearney.

The research, released today, quizzed the CDP’s 44 member companies (which include Dell, PepsiCo and BAE Systems) and 710 of their suppliers.

The report found that 89 per cent of the member firms had strategies for how to deal with suppliers on carbon-related issues, but only 20 per cent of the 44 companies had reported figures for supply chain emissions.

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