When companies begin measuring their carbon footprint, they often discover something unexpected: most of their emissions may occur within their value chain.
These emissions are known as Scope 3.
Examples of Scope 3:
- Purchased goods and services
- Product transportation
- Business travel
- Waste management
- Use of sold products
For many companies, these activities represent the majority of their climate impact.
Why is it difficult to measure?
- Much of the data comes from suppliers
- Data is often incomplete or in different formats
- Methodologies can be complex
Many organizations start with estimates based on spend or activity, and then improve accuracy by incorporating more specific data—eventually using what is known as primary data, provided directly by suppliers. This represents a major challenge, often addressed through the implementation of responsible or low-carbon supplier programs.
Understanding not only how to quantify Scope 3 but also how to strengthen strategies alongside suppliers is key to achieving corporate decarbonization goals.