You can’t decarbonise what you can’t see: why supplier data is the missing piece of Scope 3

Richard Davis, CEO & Co-founder, 51toCarbonZero

Over the past few years, organisations have invested significant time and resource into measuring Scope 3 emissions. That’s been driven by a combination of regulation, investor expectations and increasingly ambitious net zero commitments. As a result, businesses today generally have a much better understanding of the scale of emissions that sit across their value chains than they did just a few years ago.

That represents real progress, but measurement alone won’t reduce emissions.

For many organisations, Scope 3 remains the largest and most complex part of their carbon footprint, often accounting for 70% or more of total emissions. Unlike operational emissions, it sits outside their direct control and depends on the quality of information available from suppliers. While many businesses have become far more effective at quantifying these emissions, far fewer have reached the point where that data is consistently informing procurement decisions and supplier engagement.

The next phase of Scope 3 management is therefore less about measuring more and more about improving the quality of the information organisations use to make decisions.

Moving beyond averages

One of the biggest challenges organisations continue to face is the quality of supplier emissions data.

In practice, many businesses still rely on industry averages and spend-based calculations to estimate emissions across their supply chain. These methodologies have an important role to play, particularly when organisations are establishing an initial baseline or where primary supplier data isn’t yet available. However, estimates alone can only take organisations so far.

If every supplier appears broadly similar because they’re being measured using generic assumptions, procurement teams have little evidence on which to prioritise engagement or identify where the greatest opportunities for emissions reduction exist.

Supplier-specific emissions data provides a much clearer understanding of where emissions genuinely sit within the supply chain. It allows organisations to focus attention where it will have the greatest impact, rather than treating every supplier in the same way.

Procurement is central to reducing Scope 3 emissions

Procurement teams have a far greater influence over Scope 3 emissions than they are often given credit for. They decide which suppliers their organisation works with and the standards those suppliers are expected to meet.

Every supplier selection and commercial negotiation presents an opportunity to consider carbon alongside the factors that already influence procurement decisions. Increasingly, these considerations are becoming closely linked rather than competing priorities.

This is why sustainability can no longer sit solely within dedicated ESG or sustainability functions. It requires the teams responsible for procurement and sustainability to work from the same information, so carbon becomes part of day-to-day decision-making rather than a separate reporting exercise.

Turning supplier data into action

The value of supplier-specific data isn’t simply that it improves reporting accuracy. Its real value is that it gives organisations a stronger basis for engaging with suppliers.

Rather than relying on questionnaires completed once a year, organisations can begin having ongoing discussions about emissions performance and the practical actions that can reduce carbon across the value chain. Those conversations create a much stronger foundation for collaboration than generic reporting ever can.

Ultimately, reducing Scope 3 emissions is not something organisations achieve in isolation. It requires suppliers and customers to work together, sharing information, improving transparency and recognising that taking action across one organisation’s operations has a direct impact elsewhere in the supply chain.

What does this look like in practice? Organisations that are making the greatest progress typically start by segmenting their supplier base, identifying those that are most strategic and where they have the greatest influence. That creates a clear starting point for engagement.

Some organisations bring suppliers together to share best practice and align on common goals; others take a more tailored approach, working one-to-one with suppliers to develop practical decarbonisation plans. We’ve seen this first-hand with a client in the printing industry, which worked closely with its main paper supplier to reshape its distribution model while committing to source 100% FSC-certified paper over a defined timeframe.

Don’t wait for perfect data

Another misconception is that organisations need complete supplier data before they can begin taking action.

Supplier emissions data becomes more valuable over time, as organisations strengthen supplier relationships, improve reporting processes and replace estimates with primary data.

The important point is not to wait until every supplier has provided perfect information. In reality, success comes from breaking the challenge down into manageable parts. For most organisations, that means starting with the suppliers that account for the greatest share of emissions and building from there. Early action builds both the evidence and the confidence to expand those conversations across the wider supply chain.

Supplier-specific data is not an end in itself. Its purpose is to help organisations understand where they can have the greatest impact and give procurement teams the confidence to act on that information.

Ultimately, organisations cannot reduce what they cannot see. Improving the quality of supplier emissions data is not simply about meeting reporting requirements; it’s about giving procurement teams the visibility they need to make informed decisions and deliver meaningful emissions reductions across the value chain.

This article originally appeared in the Summer 2026 edition of IN Supply. Read the full issue here.