2. What Effective Decarbonization Actually Looks Like
2.1 Start with hotspots, not endless data gaps
Most emissions sit in a handful of materials, processes, and suppliers. You don’t need perfect data across 10,000 suppliers to start reducing CO₂. You need clarity on the few that matter most. Focusing resources on these hotspots enables early, visible progress and builds internal momentum for deeper decarbonization efforts.
2.2 Engage suppliers based on their maturity
Advanced suppliers can provide primary data and reduction plans. Most can’t. Effective programs adapt expectations, simplify workflows, and help suppliers level up over time. This tiered approach ensures that all suppliers can participate meaningfully, rather than being overwhelmed by unrealistic data demands.
2.3 Mix estimation and real data intentionally
Waiting for “100 percent supplier data” leads to inaction. Leading companies combine high-quality models with supplier inputs and update the mix continuously. This pragmatic blend ensures that decisions can be made today while the quality of underlying data improves naturally over time.
2.4 Track progress continuously, not once a year
Decarbonization is an operational process, not an annual survey. Quarterly (or even monthly) tracking helps companies steer real decisions, not just report the past. Regular monitoring also reveals whether reduction initiatives are working and where corrective action is needed before another year is lost.
2.5 Tie decarbonization to procurement decisions
Impact comes from what you buy and who you buy from. Integrating CO₂ into sourcing, incentivizing lower-carbon materials, co-investing in improvements and challenging business-as-usual processes unlock the largest reductions. When procurement criteria include emissions performance, decarbonization becomes part of everyday trade-offs rather than a parallel sustainability agenda.
2.6 Bring value to your suppliers, not another survey
Most suppliers do not need another questionnaire. They need support. Companies that make real progress shift from an auditor mindset to an enabler mindset. Instead of centering supplier engagement around data demands, they help suppliers reduce emissions, lower energy costs and strengthen long-term competitiveness.
Effective support includes practical decarbonization guidance, best-practice sharing, useful benchmarks, training materials and tools that help suppliers act. This creates a win-win situation: suppliers feel supported rather than overwhelmed, and the lead company sees real progress against its own reduction targets as supplier emissions go down.
