Achieving Higher Value Chain Efficiency Through Product Life Cycle Analytics

Source: http://ift.tt/15DrCQh --- Monday, July 18, 2016
“What data analytics did for Baseball it could do for the environment by shrinking the carbon footprint of thousands of consumer products . With data from each step in a product’s life cycle, companies are starting to pinpoint where carbon emissions are greatest to redesign their products and reconfigure operations to cut carbon and save money.” — Kim Martineau In a first of its kind initiative , CDP has collected the largest publicly available dataset of supply chain carbon emissions across the world through its Supply Chain Program. Focusing on the reported product-level emissions in that dataset, CoClear ran detailed analytics of the life cycle assessments (LCAs) of 546 products (170 in 2013, 185 in 2014, and 191 in 2015). This unique analysis spans 108 companies across 26 countries and 29 GICS Industry Groups.  A study of this breadth conclusively answers the recurrent business question: What level of emissions and corresponding cost can really be saved by understanding one’s entire value chain?  Key Findings  Upwards of two-thirds of life cycle emissions and thus efficiency improvement potential tend to be outside a company’s own operations Sectors with low average carbon intensity (CI) typically have most of their product value chain emissions upstream, whereas larger CIs are driven by downstream emissions Within sectors, CIs and value chain hotspots vary widely from product to product, and only individual LCAs reveal each ...

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