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EY recently released a survey on ‘Building supply chain sustainability that can drive revenues and reduce operational risks’. This survey of senior supply chain executives shows the need for a holistic and ROI-backed roadmap to meet sustainability performance goals.

The survey was based on the following:

Below is a summary of the key findings of the EY teams 2022 survey:

1. Despite a Long-Term Vision, Organizations Struggle with a Lack of Visibility and ROI Backed Sustainability Initiatives

EY teams 2022 survey reveals that visibility throughout the supply chain is this year’s top priority for supply chain executives, having been a top-two priority for them in 2021 and 2019. Further, there is a critical need for executives to assess risks, plan for disruptions, and even better, to avoid them. And although increased end-to-end supply chain visibility is a top priority, it remains a work in progress—only about four in 10 respondents (37%) have seen increasing visibility.

In one notable finding, EY teams research revealed that 33% of companies lack a business case for sustainable supply chains and nearly half of respondents said their companies are struggling to measure the return on sustainable supply chain activities. A lack of business case to support expenditures and processes to track sustainability improvements may stall funding support for future initiatives.

2. A Sustainable Supply Chain Roadmap Looks beyond Procurement toward End-to-End Supply Chain Transformation

Cost savings and efficiency were cited as the top motivators for embarking on supply chain sustainability by 61% of companies. However, financial performance is not the only benefit to expect.

As a result of their ESG initiatives, 55% of supply chain executives say they expect to see better management of operational risks within the next one to three years, adding to the 20% who have already seen these reductions. While 31% have already experienced enhanced efficiency and productivity, 51% expect to see that in the next one to three years. In the longer term, three to five years, 54% of respondents expect increased share price or other indicators of shareholder value.

3. Companies Should Play the Long Game but Start Their Supply Chain Sustainability Initiatives Now

While supply chain sustainability goals will look different for each company, EY teams offer five actions to get started.

For more information on this survey and to download the full report, please visit the EY webpage.

Visit our Supply chain & responsible sourcing content library aiming to keep you informed with the latest industry updates and enable sustainability and supply chain professionals to understand the impacts and improve the transparency, of their supply chains.

Speak to one of the Cority team about how Cority’s award-winning sustainability software and support services can help support and improve your organization’s sustainability reporting strategy.

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Katherine Prove

Katherine Prove

A marketing professional with 15 years of experience in B2B and B2C marketing, Katherine currently works as Head of Marketing & Partnerships for award-winning sustainability solutions company, Greenstone. Katherine is responsible for Greenstone’s global marketing operations and strategic partnership programme. Katherine has experience in working across the marketing and communications mix. Her experience includes; strategy, campaign development, online communications, PR, exhibitions and events, advertising, client research, internal communication, brand and business development.

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