Supplier engagement is crucial for any company that is committed to the Science Based Target initiative (SBTi).

Focus on supplier engagement is key on our decarbonization journey

Supplier engagement is important for all companies committed to the Science Based Target initiative (SBTi). Lesjӧfors works strategically with partnerships and prioritizes suppliers that can provide metals and transport with low CO2 emissions.

Lesjofors Groups’ ambition to reduce its climate impact has led to a commitment to reduce direct and indirect emissions within the group’s operations (scope 1 and 2) as well as the footprint within products and services (scope 3), where most of the emissions take place.

“Since scope 3 emissions are not caused directly by us, we must work with other tools which impact our suppliers’ emissions, and with a focused and centralized approach, we are a more attractive customer to our suppliers. In return, we can put more pressure on them to fulfill our CO2 requirements”, says Anna Haesert, Head of Sustainability.

Together we are powerful

Since there are many steps in the supply chain between material processing and the final product, it is important that there is a collaborative approach.

Jonas Olofsson, Group CPO, explains the importance of a strategic approach: “We are a valuable customer to many suppliers due to our global procurement program. With a growing need for major volumes, we can generate benefits for both us and our suppliers and give precedence to contracts with suppliers who meet or exceed our carbon reduction targets.”

Many different actions

In so-called driver groups across the Lesjöfors group, purchasing behaviors are analyzed in different wire and sheet materials to get a comprehensive overview of joint material needs. Suppliers are audited to pinpoint those who, for example, offer materials made from recycled metal, transit to electrical furnaces and transports with lower CO2 emissions. 

“We are already in partnerships with suppliers who offer what we require, and more are to come. It is a challenging task, since there are many steps and players in the supply chain that need to adjust, but my feeling is that Lesjöfors are pioneers in our industry, and our suppliers are perceptive and understanding that a change is inevitable”, says Jonas Olofsson.

Part of a chain

As a Group, Lesjӧfors provides strong support to supplier journeys in lowering CO2 footprints by giving preference to recycled materials, which in turn adds value to Lesjӧfors customers.

“By these measures, we prepare to meet rising demands from our customers which we know will come when they must take actions to lower their CO2 emissions. To be in the lead on this journey provide great advantages for the Lesjöfors Group”, says Anna Haesert.

Lesjöfors AB