Procurement magazine October 2025 | Page 93

SUSTAINABILITY
Q. WHAT ARE THE BIGGEST CHALLENGES ABB FACES IN EMBEDDING CIRCULAR PRINCIPLES INTO GLOBAL PROCUREMENT FUNCTIONS AND HOW ARE YOU ADDRESSING THEM?

» Premium costs for sustainable and‘ green’ materials, limited supplier production capacity and the long validation and recertification processes for safety-critical electrical products are key obstacles.

We address these by prioritising materials that might not require complete recertification, piloting new product ranges that can be scaled quickly in markets with strong sustainability demand and using our global platforms for efficient rollout.
Mission to Zero – ABB’ s framework for achieving net-zero emissions and more sustainable operations – guides our approach by aligning procurement KPIs with environmental goals and enabling robust business cases that balance impact with shareholder value.
Q. HOW DO YOU MEASURE THE IMPACT AND SUCCESS OF CIRCULAR PROCUREMENT INITIATIVES AT ABB, PARTICULARLY IN RELATION TO SUSTAINABILITY TARGETS?

» At ABB, we measure the impact of our sustainability initiatives through a structured and holistic approach. In partnership with EcoVadis, we actively engage tier-one suppliers to track their annual sustainability performance and improvements across key areas: environment, labour and human rights, and ethics and sustainable procurement.

Carbon management is central, particularly monitoring Scope 1 – 3 emissions to assess progress. In parallel, we collaborate with suppliers on primary data collection at product level, including Product Carbon Footprints( PCFs), Life Cycle Assessments( LCAs) and Environmental Product Declarations( EPDs). Together, these actions support ABB’ s 2030 target of reducing Scope 3 emissions by 25 %.
Q. WHAT ROLE DOES INNOVATION IN SUPPLIER COLLABORATION AND MATERIALS SCIENCE PLAY IN ABB’ S JOURNEY TOWARDS TRULY CIRCULAR PROCUREMENT PRACTICES?

» Innovation and commitment to a more resource-efficient future, drive ABB’ s journey to circular procurement. By engaging suppliers early in product design and value engineering, we embed circularity and sustainability from the outset. This collaboration accelerates the adoption of recycled and biobased materials that meet strict performance and safety standards. Externally certified Environmental Product Declarations( EPDs) and our EcoSolutions products reinforce transparency, ensuring that new ideas move quickly from pilot to market-ready solutions.

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