Hero image
Latest news, Enterprise resources, Events,

Reshape 2022 Recap: The Essential Role of Procurement in Delivering ESG Performance

Research highlights how procurement is a critical link to ESG impact in the supply chain
By Claire Jurkiewicz, Senior Partner Marketing Manager Published on 02 March 2023

During Amazon Business’ first in-person Amazon Business Reshape event in Scottsdale, AZ, Gartner Senior Analyst Laura Rainier discussed how procurement is a critical link to environmental, social, and governance impact in the supply chain. Without the materials and components that procurement provides, products can’t be made. Especially during times of supply chain disruption, procurement teams’ supplier relationships are critical, and procurement has the buying power to influence those impacts.

 

To demonstrate the growing importance of ESG, Rainier outlined key points from relevant research.

  • Customers prioritize sustainability. According to 2021 Gartner® Future of Supply Chain Survey, 78% of supply chain leaders reported that they expect customers to intentionally purchase more sustainable products.
  • Environmental sustainability is increasingly among executives’ top five priorities, according to 2012-2022 Gartner CEO and Senior Business Executive Surveys. In 2019, environmental sustainability made the top five for less than 5% of CEOs. CEOs are now making environmental sustainability a core and potentially sustained priority, with 20% including it among their top five priorities.
  • There may be supply chain risks for organizations that don’t focus on climate change beyond their four walls. The 2022 Gartner Emerging Priorities in Supply Chain report found that supply chain leaders expect climate change will impact their ability to deliver their supply chain strategy in the next 10 years. When asked which of the climate change impact areas will most impact their ability to deliver supply chain strategy, 72% of leaders cited environmental risk.

 

Gartner session, The Essential Role of Procurement in Delivering ESG Performance, was in September 2022 at Amazon Business’ Reshape event.

GARTNER is a registered trademark and service mark of Gartner, Inc. and/or its affiliates in the U.S. and internationally and is used herein with permission. All rights reserved.

Product Updates