Walmart’s supply chain beware

Let me get this news from Walmart last week before it becomes stale. Everybody knows in the supply chain community that what Walmart and other big box retailers do vibrates all the way even up to chemical feedstock producers.

This year, Walmart decided to further put their nose in their supply chain’s businesses by asking them (very nicely of course) to reduce their own greenhouse gas (GHG) emissions if they still want to be part of the Walmart empire. The retailer is coordinating with groups such as the Environmental Defense Fund, ClearCarbon Inc., PriceWaterhouseCoopers, the Carbon Disclosure Project and the Applied Sustainability Center (ASC) at the University of Arkansas, to implement this huge task.

To implement the program, Walmart will first assess product categories with the highest embedded carbon on their lifecycle. As soon as the products are identified, those involved must then reduce the products’ GHGs from the sourcing of raw materials, manufacturing, transportation, customer use or end-of-life disposal.

Walmart must also demonstrate it had direct influence on the reduction and show how that reduction would not have occurred without Walmart’s participation. Just showing I guess that it is all about Walmart…

Finally, suppliers and Walmart will jointly account for the reductions. ClearCarbon will perform a quality assurance review of those claims to ensure methodology, completeness and calculations are correct. When the claims meet the quality assurance check, PricewaterhouseCoopers will assess whether the defined procedures were followed consistently to quantify the reduction claim.

Walmart aims to eliminate 20 million metric tons of greenhouse gas emissions from its global supply chain by the end of 2015.

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