For companies focused on sustainability and ESG practices, studying materiality is essential to inform and improve their strategy, allowing them to focus on assertive initiatives that create shared value together with their stakeholders. 

Among the analysis groups is the value chain which is becoming increasingly important, bringing a perspective on impacts, risks and opportunities related to sustainability. According to the standards of European Sustainability Reporting Standards (ESRS), for example, the value chain encompasses activities upstream e downstream.

your activities comprise the resources and relationships that the organization uses and relies on to produce its products or services, from conception through delivery, consumption, and recycling. It should also be noted that a company may consist of multiple value chains. In this case, prioritization can be performed based on risk-based criteria.

Large companies are increasingly demanding that their suppliers adopt the pillars of their ESG agenda, as they are co-responsible for their impacts. “Maintaining the standard of social responsibility is essential. To do this, you need to carefully select suppliers who share the same values ​​as the company and continue to use tools and methodologies that monitor and evaluate ESG performance throughout the entire chain,” explains Beat Grüninger, partner at Ferso.

See below some practices for value chain management:

• Supplier Assessment
• Strategies for mitigating greenhouse gas emissions 
• Efficient Waste Management and Recycling (Circular Economy)
• Employee Training and Engagement (ESG Training).

   

Ferso has a team specialized in methodologies and tools for managing your company's value chain. Get in touch and find out more!