Henkel launches carbon emissions evaluation tool to provide energy advice for supply chain partners

12 Apr 2024 --- Henkel is launching a new engagement program headlined “Climate Connect,” which helps global suppliers in its supply chain make carbon emissions evaluations. While gathering data on its partners, the chemicals and consumer goods giant aims to offer tailored support on climate action KPIs through “academy training.”

Packaging Insights speaks to Sina Pfanschilling, media relations manager at Henkel, to explore the company’s take on open data sharing among value chain stakeholders.

“The program will record key figures on energy, water consumption and waste volumes,” she tells us. “The focus and recommended actions, however, will be on energy data and CO2-emissions.”

Streamlined data exchange
Pfanschilling shares her insights on the program’s use of Manufacture 2030, a software platform assisting companies with carbon reduction. The program collects data on Henkel’s raw material and packaging suppliers, as well as its contract manufacturers and suppliers of globally traded goods, where more than 90% of Henkel’s Scope 3 upstream emissions occur.

Through the Manufacture 2030 platform, Henkel works with its selected partners to record and analyze their sustainability KPIs and advise them on suitable measures to reduce emissions.

“Manufacture 2030 offers a supporting software solution for this, as well as more extensive service and consulting functions,” Pfanschilling tells us. “This approach relates to all participating supplier categories. There is no specific approach for packaging suppliers.”

Suppliers share their raw data with Manufacture 2030. “Henkel and their other customers will see aggregated, non-commercially sensitive data only,” says Pfanschilling.

“That way, it is ensured that sensitive data such as sales shares or exact energy consumption per site remain confidential,” she adds. “Manufacture 2030 is ISO27001 certified to achieve and maintain the highest standards of information security. Suppliers sign standard terms and conditions when they register.”

“The program majorly aims to increase the data availability at our suppliers, so that they will be able to provide a product carbon footprint of their products in the future and accelerate their actions for decarbonization. The individual actions on decarbonization by our packaging suppliers may also impact their packaging solutions.”

Climate Connect will be rolled out and adapted gradually to an increasing number of suppliers in the different Scope 3 categories.Academy training
Henkel’s Climate Connect initiative also aims to advance decarbonization along the value chain through “continuous upskilling.”

The program, which will record key figures on energy, water consumption and waste volumes, will be rolled out and adapted gradually to an increasing number of suppliers in the different Scope 3 categories.

Entering the Climate Connect program, suppliers have gained access to an “extensive” range of training courses offered by Henkel’s Together for Sustainability (TfS) Academy. The academy is a “central component” of the TfS initiative, which Henkel co-founded together with other partners in the chemical industry in 2011.

Henkel has already been collecting product carbon footprint data from suppliers through the TfS initiative, but expects this approach is now to be extended to an “even larger supplier base” with various maturity levels through its new Climate Connect program.

“We will start with trainings for the selected suppliers shortly to introduce them to the platform and process,” Pfanschilling tells Packaging Insights.

“Suppliers will then be able to submit their data, which will be analyzed by Manufacture 2030 to assess their baseline. Manufacture 2030 will provide regular tracking dashboards for the suppliers and recommend concrete actions,” she illustrates.

These concrete actions can range from sourcing renewable electricity to changing entire heating systems.

“Additionally, Henkel will conduct a supplier maturity assessment and propose dedicated trainings in the TfS Academy,” Pfanschilling notes. “We expect suppliers to increase their data availability, provide a product carbon footprint of their products in the future and accelerate their actions for decarbonization.”

In addition to training, the program allows suppliers to track their progress in environmental key figures regularly and make data generated in Manufacture 2030 visible to other customers.

Suppliers can also export relevant data for the Carbon Disclosure Project, a global disclosure system to manage environmental data, which various companies have joined, Henkel highlights. The data overview is intended to help them gain access to business partners and green finance opportunities.

Adapting the program
This year, Henkel plans to gather initial experience of how its suppliers cope with the process and will adapt the program accordingly over the following years.

“We started the program to enter into a dialogue with our suppliers and to help them accelerate their emissions reduction,” says Pfanschilling. “In the mid-term, Henkel aims to reduce its CO2 emissions from raw materials and packaging by 30% by 2030.”

“In the long-term, Henkel will develop a net-zero pathway for its Scope 3 emissions along the value chain, in line with the Science Based Targets initiative standard.”

In other recent developments, Henkel developed a low-temperature cleaner for aluminum beverage cans amid increasing industry and consumer demand for recyclable packaging. When used in traditional spray systems, the Bonderite C-IC 72000 series cleans at a lower temperature than existing applications, reducing natural gas use and thereby lowering carbon emissions.

By Benjamin Ferrer