Sedex: Data-Driven Tools for Supply Chain Sustainability
In most companies, Scope 3 emissions represent the largest area of greenhouse gas (GHG) emissions.
Supply chains can be vast, making it difficult to track every element of a product’s journey.
If the impact of these processes is not visible, it can be very difficult to create actionable goals to make a difference.
Global technology company Sedex aims to solve this by increasing supply chain visibility.
The company is debuting three data-driven tools to empower businesses to meet evolving ESG challenges.
Jon Hancock, Chief Executive Officer at Sedex, says: “By expanding our solutions for comprehensive supply chain ESG risk management and globally scalable, site-level visibility, we enable companies to enhance their operational efficiency, compliance readiness and supply chain resilience.
“Our latest advancements provide more in-depth ESG data, streamlined analysis and actionable insights across social and environmental areas, supporting our customers to respond to multiple sustainability-related demands through data-led decision-making.”
Sedex’s new sustainability tools
The company’s three new tools will support businesses by giving better supply chain visibility, supporting compliance with sustainability regulations and ESG performance management.
The Sedex Members Ethical Trade Audit (SMETA) is the world’s most widely used audit that supports the improvement of working conditions and environmental performance across both business and supply chain.
SMETA has been updated to version 7.0, through a multi-year project to deliver a more focussed assessment that can help to identify harder to detect issues at supply chain worksites, uncover root causes and drive collaborative resolution.
Sedex has also released the Environment Self-Assessment Questionnaire (ESAQ) to expand its environmental data capabilities and allow businesses to collect, share and analyse data through its platform.
The Service Provider Self-Assessment Questionnaire (SAQ) has been tailored for service providers in supply chains.
The SAQ is aimed at addressing unique risk and compliance needs in sectors like logistics, security and waste management.
How Sedex improves supply chains
Sedex is the world’s largest data platform for supply chain assessment, supporting more than 85,000 businesses to create more socially and environmentally sustainable supply chains.
Amongst these businesses are 10% of all Fortune 500 companies.
Sedex estimates its sustainability practices benefit 28 million workers around the globe.
The platform contains 20 years of knowledge and data insights to back up the 370,000 audits it has conducted.
The company specialises in emphasising the importance of social sustainability alongside environmental.
Sedex’s funding success
In 2023, Sedex secured funding from LDC, a private equity investor and part of Lloyds Banking Group, to support its mission and global growth.
Steven Esom, Chair of the Sedex Board, says: “Over the last 20 years, Sedex has provided businesses with the tools to build ever-greater knowledge of the places, people and practices in their supply chains.
“Our members now look to us to aid them across the wider sustainability agenda.
“With LDC, we can do this faster and more effectively. We are delighted to partner with them – it is fantastic to see Sedex’s potential recognised in this way.”
Ross Heritage, Chief Technology Officer at Sedex, says: “This is an important milestone in the journey for Sedex as this allows us to accelerate the delivery of our product roadmap and provide a greater range of services to our members.”
Joe Tager, Investment Director at LDC in London, says: “We are incredibly proud to partner with Sedex. We have known the management team for over 18 months and through our portfolio have experienced the significant benefits of becoming a Sedex member.”
Sedex’s successes in sustainability
Kellogg Company has an organisation of 33,000 people and its supply chains can contain as many as 20,000 people.
Sedex supports Kellogg Company in improving its supply chain visibility, making it easier to address issues and be sustainable.
Alistair Hirst, SVP Global Supply Chains at Kellogg Company, says: “Sustainability is no longer just about reducing your greenhouse emissions or energy footprint – it’s your end-to-end supply chain.
“We have a responsibility – whether it’s tier 1, tier 2, tier 3 or 4 supply chain – to understand what is going on throughout that whole supply chain.“
International multi-channel retailer M&S also uses Sedex to achieve continuous improvement in its sustainability mission.
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