Upstream sustainability in purchased goods and services

Abstract

Sustainability is one of the major driving factors for changes in the economy and the transition requires a lot of work from all the participants. To secure that resources are used effectively for sustainable development, the research part of this thesis used qualitative methods. A survey was conducted to material and service suppliers of a global manufacturing company to gather information on the current state and future goals in sustainability actions. Internal stakeholders were interviewed to form the survey questions and to ensure to get the most out of the survey. Current regulations and regulations in preparation were studied to understand the demands that are placed on the suppliers and to ensure they don’t conflict with the planned improvements.

Sustainability related regulations that are introduced in Europe in connection with the European Green Deal, are demanding increasing awareness and efforts from all the companies. Since unlimited resources don’t exist at any counterpart of the supply chain, it is important to have a profound understanding on what the most necessary actions are to ensure sustainable development throughout the value chains while supporting all parties it concerns.

Based on the studied regulations and survey results, several recommendations were made for future improvements. Support that the suppliers of goods and services require, are clear specifications for sustainability demands and related calculation tools. Both clear specifications and calculation tools ensure coherent data and free up resources from background research to requirement fulfillment. Changes for internal ways to operate are also needed. Implementing sustainable design principles and reinforcing environmentally aware design of the products that are manufactured at suppliers, will have a direct impact on the upstream emissions.