Picture this: You’re trying to complete a thousand-piece jigsaw puzzle with 900 pieces missing. That’s the challenge organisations face when tackling Scope 3 emissions - all those indirect emissions lurking in your supply chain, from the farmer growing your wheat to the lorry delivering your finished biscuits. The numbers speak volumes. Scope 3 emissions typically account for 70-90% of a company’s total carbon footprint. Yet, when companies send out requests for data, many receive responses from fewer than a quarter of their suppliers. The result? Critical business decisions based on incomplete information.
The challenge isn’t simply about gathering numbers. It’s about building strong relationships with suppliers who might view emissions reporting as yet another administrative burden in an already complex business landscape. The missing piece? Genuine human connection. Technical systems alone cannot solve what is, at heart, a relationship challenge.
The Current State of Emissions Reporting
The regulatory landscape driving emissions reporting has evolved dramatically in recent years. British businesses now navigate a complex web of requirements, including the Streamlined Energy and Carbon Reporting (SECR) framework, Task Force on Climate-related Financial Disclosures (TCFD) recommendations, and for those operating in Europe, the Corporate Sustainability Reporting Directive (CSRD) and Carbon Border Adjustment Mechanism (CBAM).
These frameworks increasingly emphasise the importance of Scope 3 emissions. Food and beverage companies often have particularly high Scope 3 percentages, with agricultural production representing a significant portion of their carbon footprint. What’s becoming increasingly clear is how this isn't just an individual company problem but a collective industry challenge. The same suppliers often receive multiple, nearly identical requests from different customers, creating unnecessary duplication and undermining response quality.
Research from CDP (formerly Carbon Disclosure Project) highlights four main challenges companies face when collecting supplier emissions data:
- Dishearteningly low supplier response rates to data requests
- Wildly inconsistent data quality and calculation methodologies
- A frustrating lack of standardisation across reporting formats
- Severe resource constraints, particularly among smaller suppliers
These challenges reflect a disconnect in how companies approach supplier data collection - often treating it as a purely technical task rather than a relationship-based collaboration.
Why Traditional Approaches Fall Short
Many companies have defaulted to annual supplier surveys as their primary data collection method. However, this approach increasingly shows significant limitations. Research from sustainability consultancies and industry bodies identifies “survey fatigue” as a growing problem. Suppliers, particularly those serving multiple large customers, receive numerous sustainability questionnaires annually, many requesting similar information in different formats. The administrative burden creates a significant barrier to engagement. When suppliers do respond, the resulting data often lacks transparency. Companies often receive figures without understanding how they were calculated or their accuracy, making it difficult to validate data or compare results.
Knowledge and capacity gaps within supplier organisations present another problem. Industry surveys suggest many suppliers, particularly SMEs, simply lack the technical expertise and resources needed to measure their emissions accurately. According to CDP’s 2024 report, supply chain emissions (Scope 3) are, on average, 26 times greater than a company’s operational emissions (Scope 1 and Scope 2). This highlights the need for supplier engagement and support to ensure accurate data collection. Without guidance and transparency, many suppliers either fail to respond or provide low-quality, unreliable data.
Perhaps most fundamentally, traditional approaches often fail to align incentives between companies and their suppliers. From a supplier’s perspective, emissions reporting can appear as an administrative burden with unclear benefits, leading to minimal investment in response quality.
Key Elements of Effective Supplier Engagement
Successful supplier emissions engagement recognises a fundamental truth: behind every data point sits a person making decisions about whether and how to respond to your request. Successful supplier engagement recognises this human element. Trust forms the foundation of effective engagement. According to sustainability network reports, suppliers who trust a company’s intentions and approach are significantly more likely to share potentially sensitive information about their operations. Building this trust requires consistency, transparency, and genuine commitment to long-term partnerships. Waitrose & Partners exemplifies this approach through its “Farming for Nature” programme, which provides farmers with tailored support, expert guidance, and innovative tools to enhance sustainability while ensuring financial resilience.
Value creation is equally important. Suppliers are more likely to engage when they see clear benefits beyond compliance. For example, Innocent Drinks supports its agricultural suppliers through the Farmer Innovation Fund, providing grants for projects that improve soil health, biodiversity, and carbon reductions. Simplicity also has a major impact. Studies show that response rates decline with every unnecessary data field or overly complex request. Streamlined processes that respect suppliers’ time constraints are far more effective.
Language and knowledge sharing play a significant role in success. Technical jargon like “emissions factors” may alienate suppliers unfamiliar with sustainability frameworks. Framing requests in terms like “fuel use” or “electricity consumption” often yields better results. Similarly, bridging knowledge gaps is critical. Sipsmith, for instance, shared resources on Scope 1 and 2 emissions with over half of its significant suppliers to improve understanding and data quality. Perhaps most crucially, the best programmes treat suppliers as partners, not just data sources—involving them in process development, seeking feedback, and showing how their data influences decisions fosters lasting collaboration.
Best Practices for Implementation
Not all suppliers contribute equally to your carbon footprint. Strategic segmentation—based on carbon intensity, spend volume, strategic importance, and relationship maturity—enables companies to focus resources where they’ll have the greatest impact. Research confirms this targeted approach is far mroe effective than treating all suppliers the same.
Communication and incentives are vital to engagement. Rather than sending one-way questionnaires, leading organisations create two-way dialogues where suppliers can provide feedback and help shape the process. Incentives extend beyond compliance: they include business benefits tied to data quality, recognition efforts, and collaboration on emissions reduction. Integrating emissions into broader supplier relationships can also drive greater buy-in.
Technology platforms, whether custom-built or third-party solutions, can streamline data collection when implemented thoughtfully. The goal is to reduce, not increase, the supplier burden. Measuring success requires more than just response rates. Smart programmes track data completeness, quality, supplier satisfaction, how the data informs decisions, and whether it ultimately reduces emissions. The most effective organisations balance short-term wins with long-term capacity building, aiming for lasting change rather than just box-ticking.
Creating a Roadmap for Improvement
Developing your supplier engagement strategy begins with honest assessment of current practices. This should include:
- Existing suppliers touchpoints across your organisation
- Supplier feedback on existing processes
- Comparison with industry best practices
- Identify critical gaps and opportunities
From this foundation, you can develop a framework for improvement covering:
- Refining supplier segmentation strategy
- Developing tailored engagement approaches for different supplier segments
- Establish clear value propositions for participation
- Simplifying data collection tools and processes
- Building internal capabilities for supplier relationship management
- Creating feedback mechanisms for continuous improvement
Implementation timelines need realistic phasing:
- Phase 1 (3-6 months): Quick wins and pilot programmes
- Phase 2 (6-12 months): Broader implementation and capability building
- Phase 3 (12+ months): Continuous improvement and industry collaboration
Progress tracking requires thoughtful metrics:
- Supplier response rates by segment
- Data completeness and quality metrics
- Supplier satisfaction scores
- Internal usage of supplier emissions data
- Impact on decision-making and strategy
Conclusion
As climate regulations tighten and stakeholders demand greater transparency, supplier emissions data has evolved from optional to essential. The companies that excel will be those that recognise supplier engagement as a strategic investment rather than a compliance exercise.
Beyond regulatory compliance, there’s a compelling business case for getting this right. Stronger relationships with suppliers lead to new efficiency opportunities that can reduce both costs and carbon emissions. Better data enables more informed decision-making about product design, sourcing strategies, and business models. The journey towards comprehensive emissions data collection requires patience, persistence, and partnership. By placing effective supplier engagement at the centre of your sustainability strategy, you'll not only improve your emissions reporting but also strengthen your entire value chain.
Ready to transform your approach to supplier engagement? Begin by assessing your current practices and identifying your most critical supplier relationships. The path to better emissions data starts with better conversations. Talk to our team to see how we can help you improve data quality, reduce emissions, and build stronger supplier relationships.
