The issue of sustainability continues trending upward, driven by issues such as net-zero emissions, biodiversity, climate action, and a circular economy. People aren’t just paying lip service to this concept. Businesses, individuals, and governments are looking for ways to save the planet.
Companies are examining new ways to improve their sustainability practices. It’s not just about them. It’s also about their supply chains, vendors, logistics, and everything else involved in their operations. And consumers are increasingly seeking to do business with those whose commitment to sustainability is demonstrable.
As consumer demand rises and resources decline, everyone needs to ramp up their environmental game. Among those efforts is sustainable sourcing, which helps protect our planet’s resources. Here’s how it does.
It Protects Natural Resources
Most of us take resources such as water, air, and soil for granted. It’s difficult to imagine that they won’t be here forever. But if companies don’t take steps to protect our natural resources, they will eventually disappear.
Organic farming is one answer. The absence of chemical pesticide use produces far fewer greenhouse gas emissions, improves soil and water quality, and maintains biodiversity. It also results in the safe storage of vast amounts of carbon dioxide in the soil, keeping it out of the atmosphere.
Food and beverage producers, for example, are taking note. Many are not only sourcing ingredients from sustainable suppliers but also partnering with co-packing services that share these environmental values. Co-packers that prioritize sustainable practices help companies create products that are healthier and free from chemicals and preservatives, while also protecting our natural resources.
Of course, organic farming practices are more expensive, which means procuring these products cost more as well. But it’s an investment in the future that will need our natural resources as much as we do now.
It Reduces Our Carbon Footprint
We hear a lot about our carbon footprint. That’s the amount of carbon dioxide and methane we produce during the course of a day. Those greenhouse gas emissions are what’s causing the planet’s temperatures to rise, so reducing them is vital.
Transportation is a major contributor to greenhouse gas emissions. That’s why companies are looking for ways to green up their supply chains, production, and shipping methods. Finding more local suppliers and using electric vehicle fleets are a couple means to that end.
Where products come from and how they’re produced is also where companies need to amp up their sustainability game. While cheap Chinese goods are easy on the budget, they’re killers on emissions. From low-quality materials used to coal-fired energy used in production to the distance to transport, they take a toll on the planet. Companies that opt for greener products instead make a difference.
The need to reduce emissions is immediate. We need only to look at rising sea levels, rampant wildfires, drought, and devastating weather events as evidence. Sourcing products and services from companies using sustainable practices means no longer giving businesses with huge carbon footprints a pass.
It Builds Resilient Communities
Companies source materials and products from communities of all shapes and sizes, all over the world. The resources of the planet pay a heavy price in some of the poorest countries. That’s because their resources are often exploited by wealthier ones.
Take the mining of lithium that’s destroying the environment. In Zimbabwe, for example, illegal trade, corruption, child labor, and unsafe working conditions mix with environmental destruction. Lithium requires massive water resources, which are already scarce, and pollutes water as well.
If more companies source sustainably, they can create communities that are more resilient against corruption and the effects of climate change. Bolstering economies will help them build better infrastructure that will help them mitigate environmental issues. And public transportation, energy-efficient buildings, and green energy production will help them thrive while reducing negative environmental impact.
Responsible sourcing can build collaboration between the materials that companies need and the communities providing them. From raw materials to consumers, that kind of chain can protect the planet. And if that happens, everyone benefits.
It Builds Commitment
Corporate commitment to sustainable sourcing and procurement begins with a company’s ESG program. That comprises the practices they undertake to measure their impact on the environment, society, and governance. Then, they find ways to reduce the negative impact they measure.
When companies make a commitment to sustainability, they will inevitably need to work with others that have likewise committed. They don’t operate in a vacuum, so they have to reduce their negative environmental impact by partnering with like-minded companies. It’s that demand that should force businesses lagging in sustainability efforts into action.
This demand helps improve the planet in another way, by driving innovation. Climate change can’t be solved overnight. But companies become increasingly creative when challenged to find greener alternatives to traditional ways of doing business. That innovation can lead to a more rapid transformation from environmental destruction to protection.
Moreover, as governments embrace sustainability, companies will have to respond accordingly or face costly penalties. And while protecting the environment should provide the impetus for sustainable sourcing, money talks as well. Even if profits are the primary goal, the planet still gets its share of a different kind of wealth.
Get It from the Source
The need to keep overhead low to reap higher profits puts companies in a somewhat complicated relationship with the planet. But they must find ways to reconcile their bottom lines with the higher cost of sustainable sourcing. Otherwise, there may not be a planet to profit from.
