// SMI 17 | Actively drive Sustainable Procurement
Quantis is the youngest member of the BCG family and an international consulting firm for corporate sustainability that supports leading companies in the transformation to make their business future-proof and successful within planetary boundaries. As Global Organizational Change Lead, Cordula Richter advises companies on the implementation of sustainability strategies – in this interview, she explains that it is high time to look at the topic of sustainability in the company not only technically, but above all strategically and culturally.
Quantis are the experts for sustainability. Can you describe a typical project?
There is no such thing as the typical project because, what we do with our clients always depends on their individual situation and the maturity of their sustainability strategy of the business. Our team of experts develops innovative solutions based on the latest scientific findings and a deep understanding. In order to develop measures that fit the client‘s situation, we divide our consulting services into three work phases: “Assess”, “Plan” and “Transform”.
In the first step, we record the company‘s footprint and create the greatest possible transparency about all sustainability factors that are relevant. This involves much more than just looking at greenhouse gas emissions, but also other dimensions such as biodiversity and water. To simulate the impact of measures and make the findings digitally accessible to stakeholders within the company, we use the eQoinsight tool. It enables us to compare the company‘s key figures with science-based data, identify hotspots and set priorities for the next steps. For a subsequent transformation, it is crucial that the assessment includes not only technical data but also the current level ofperception and knowledge on the topic of sustainability at management level and among employees, as well as the extent to which it is embedded in the corporate strategy, governance structures and KPIs.
Once this hurdle has been cleared, what is the second step?
We use the results of the first phase to make the client, but also possible stakeholders, aware of their responsibility and to show what influence changes can have. On this basis, we then work with the client in the „Plan“ phase to develop a realistic target picture for the company, to which the roadmap is oriented. In turn, we define all concrete individual measures, the time horizon, and individual interim goals. It is important here that we also describe the roles and responsibilities of all those involved, especially for the management team.
What role should it play in the transformation process?
Management must act as a role model in the transformation, closely support the teams and repeatedly raise awareness of sustainability issues. To be able to do this credibly, sustainability must not only be regarded as an individual initiative, but must also be firmly anchored in the company‘s business model. Management must not only ask itself the question of the target image and design a governance model, but also what sustainability means in concrete terms for the company, and also for eachindividual. What are the guard rails to which we orient ourselves? And what trade-offs do we as management allow? The goal is environmentally conscious corporate governance within planetary boundaries.
What are the success factors in the third phase, the actual implementation?
In the “Transform” phase, we support companies in the individual measures defined for successful implementation of the roadmap. An essential factor in this process is the topic of organizational development. Particularly in the case of very complex topics, it is important to also plan the change journey in detail and to accompany it with suitable measures. If companies want to achieve their sustainability goals, a transformation of the corporate culture is essential. New targets must be created and all employees must be involved at an early stage. Each member of the team should be able to answer the question „What do I have to do differently from tomorrow?”
Communication is the be-all and end-all and the most important management tool. In order to meetthe needs of all employees, their individual situation must also be taken into account. To do this, it helps to work with personas models – so that management can understand how they can best motivate individual employees and ensure that everyone is pulling in the same direction. As the current Inverto study also shows, a lack of knowledge and expertise – confirmed by 56 % of respondents – are among the three biggest challenges in the internal implementation of sustainability strategies. Common visions, further training opportunities for the teams, but also clear incentives can be helpful, for example. Once I have achieved the cultural transformation in my company, the topic of sustainability automatically moves into daily business and creates a domino effect, so to speak, which also has an impact on my stakeholders and supply chains.
Let‘s take the target CO2 reduction as an example. What does the next step in the company look like in concrete terms?
As a rule, it makes sense to take care of oneself first and reduce Scope 1 and 2 emissions. This is because the companies themselves are in control of this, it can be planned in concrete terms, and it also ensures an initial sense of achievement as part of the organizational transformation. Scope 3 reduction is much more complex, and many companies and their supply chains lack transparency. Yet the supply chain is usually the largest source of environmental impact in the big picture. Just as the maturity level of one‘s own company has been determined, it is now the task of procurement teams, among others, to communicate with key suppliers on the topic of sustainability and assess their maturity level in the Sustainability Transformation Journey. This is the basis for the individual strategy. Supportive communication and training are also the means of choice when working with suppliers. On the one hand, procurement should set clear guidelines, but on the other hand, it should work with suppliers as cooperation partners towards a common goal. This may require trade-offs and assistance, depending on the supplier‘s situation.
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