Salesforce Adds Climate Obligations to all Supplier Contracts
CRM solutions provider Salesforce announced today that it is introducing a new Sustainability Exhibit in all of its supplier procurement contracts, as part of the company’s efforts to reduce its carbon footprint.
In a letter sent to suppliers this week by EVP & Chief Procurement Officer Craig Cuffie, and VP, Sustainability Patrick Flynn, the company introduced the new exhibit, explaining that it is aimed at helping suppliers to reduce their carbon footprints, and further integrating sustainability into every aspect of the Salesforce supply chain.
The exhibit includes several obligations for suppliers, most notably requiring them to commit to setting a science-based target to reduce greenhouse gas (GHG) emissions aligned with limiting global warming to 1.5°C or less with the Science Based Targets initiative (SBTi). In the letter, Salesforce also commits to collaborating with suppliers on climate action.
Supply chain emissions often make up the bulk of companies’ climate impact, yet they are typically the most difficult to track, measure and address. Salesforce has made its own 1.5°C commitment with SBTi, and has pledged to work with suppliers to set science-based targets of their own by 2024.
The new supplier policy marks the latest in a series of climate-focused sustainability initiatives by Salesforce, including the launch last week of a new platform aiming to help companies to streamline how they track and measure supply chain carbon emissions. The company also recently announced that it will actively advocate for clear and consistent science-based climate policies that facilitate a just and equitable global transition to a 1.5°C future as part of its public policy platform, and has called for mandatory climate reporting by companies.
In the letter, the company wrote:
“At Salesforce, we consider the environment to be a key stakeholder and we are committed to harnessing our culture of innovation to improve the state of the world. We leverage the power of our people and our products to reduce the impact that we and our customers have on the planet.”