McKinsey Partner Peter Spiller Explains how Procurement can be Sustainable in the Face of Multiple Challenges , and why ESG Practices Must Become More Embedded
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WRITTEN BY : In SEAN ASHCROFT the summer of 2022 Microsoft , was the latest in a string of highprofile companies to be accused of greenwashing , when it revealed that its Scope 3 emissions had risen by 22.7 % year-on-year , despite pledging to be carbon neutral by 2030 .
While the company had succeeded in reducing its carbon emissions in fuel , energy , and company vehicles , it transpired that most of these carbon savings were pandemic-driven . In the meantime , Microsoft ’ s procurement practices – around purchased goods and the use of sold products – threatened to derail its 2030 carbon neutral pledge . Shortly after the news broke , the majority of Microsoft ’ s partners made promises to become net zero by 2050 .
Ensuring that procurement is sustainable is no easy task , yet when implemented and managed correctly , it can lead to better decision making , significant cost reductions , and a more successful brand .
More importantly , it puts so-called greenwashing practices in their place , replacing them with strategies that actually make a difference .
Here we speak to sustainable procurement expert Peter Spiller for his take on the subject . Spiller is a Partner with McKinsey , and is based in its Frankfurt office , where he advises clients across industries including telecoms , high-tech , automotive , and consumer goods on
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