Unreliable supplier data may cause companies to underestimate supply chain emissions by up to three times

A new report from EcoVadis and Kearney finds that companies with less reliable supplier carbon data expose themselves to greater and more costly carbon risks throughout their supply chain.

The report, Carbon Action Report, is based on data from more than 56,000 companies assessed by EcoVadis on their carbon performance over the past year, found that only 4% of companies use primary supplier data to calculate their Scope 3 footprint. Most either rely on industry averages or do not report on Scope 3 at all. The analysis suggests those relying on low reliability data may be underestimating their true Scope 3 footprint by up to three times.