CUSTOMER STORY
Travis Perkins leverages VitalMetrics for a comprehensive spend analysis of its supply chain
Background
Travis Perkins is a multibillion dollar trading company with over 2,000 operating sites worldwide. It is an FTSE 100 company with 18 industry-leading brands, 1,900 outlets, more than 24,000 employees, and over 2,000 suppliers.
In 2014, Travis Perkins wanted to establish a comprehensive and quantified baseline of multiple sustainability impacts (greenhouse gas emissions, water consumption, energy use, and waste generation) associated with its entire supply chain and segmented by business division, business unit, supplier and multiple levels of procurement description.
We commissioned VitalMetrics to quantify and analyze the carbon, energy, water and waste impacts within our supply chain. We were very impressed with the efficiency of the process, and the support throughout the project. The findings are extremely important and mean that we can more easily identify focused interventions that are likely to have the greatest impact and deliver results more efficiently. We will also be able to help suppliers identify areas of their own operations where improvements can be made. From a governance perspective we will now be able to report on our scope 3 emissions with greater confidence. This fits in well with our existing business objective to improve our environmental reporting procedures."
Jez Cutler, Head of Environment & Sustainability | Travis Perkins
Results
VitalMetrics’ expertise in spend analysis revealed that 96% of the company’s total greenhouse gas emissions were embedded in the supply chain (Scope 3).
Three spend categories - gypsum and cement products, heating equipment, and polystyrene foam products - accounted for 65% of all Scope 3 emissions, 31% of water consumption, and 44% of total energy usage.
Figure 1: Supply chain environmental impacts and spend by business division (spend redacted)
Travis Perkins incorporated these results in sustainability reports and used them to improve efficiency along the supply chain.
This analysis earned VitalMetrics the 2015 SPLC Leadership Award. VitalMetrics continues to work with Travis Perkins to further assist them with sustainability performance.
Figure 2: top 3 product categories contributing to GHG emissions, top correlative sub groups, and top 3 suppliers contributing to each sub group (supplier names redacted)
VIDEO
Jez Culter, Head of Sustainability at Travis Perkins s talks about his experience on supply chain footprinting and spend analysis.
