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Value Chain - Include Your Partners

Map and manage ESG impacts across your entire supply chain and distribution network.

What is Value Chain?​

Value Chain helps you understand and manage ESG impacts beyond your organization. It's where you:

  • Map entities - Identify suppliers, partners, customers
  • Classify relationships - Categorize by type and impact
  • Share data - Collaborate with partners
  • Assess risks - Evaluate supply chain vulnerabilities
  • Track performance - Monitor partner ESG metrics

Why Value Chain Matters​

Modern ESG reporting (especially ESRS and CSRD) requires:

  • Scope 3 emissions - Upstream and downstream impacts
  • Value chain due diligence - Know your suppliers
  • Supply chain transparency - Trace materials and impacts
  • Shared responsibility - Collaborate on improvements

Key Capabilities​

🗺️ Entity Mapping​

Build your value chain map:

  • Suppliers - Raw materials, components, services
  • Manufacturers - Production partners
  • Distributors - Logistics and transport
  • Customers - B2B customers
  • Tiers - Track Tier 1, 2, 3+ suppliers
  • Geographic mapping - Visualize global footprint

🏷️ Classification System​

Organize entities systematically:

  • Entity types - Supplier, manufacturer, distributor, customer
  • Product categories - Link to what they provide
  • Spend categories - Financial materiality
  • Risk categories - High/medium/low risk
  • Materiality topics - Which ESG topics are relevant
  • Custom tags - Organization-specific classifications

📊 Data Sharing & Collection​

Collaborate with partners:

  • Data requests - Ask suppliers for ESG data
  • Shared portals - Partners input their data
  • Standardized formats - Templates for consistency
  • Approval workflows - Review before accepting
  • Historical tracking - Year-over-year comparison

🔍 Risk Assessment​

Evaluate supply chain risks:

  • Country risk - Geographic vulnerabilities
  • Sector risk - Industry-specific issues
  • Supplier size - SME vs. large corporations
  • Certification status - ISO, B-Corp, etc.
  • Performance data - Based on actual data
  • Risk scoring - Automated risk calculations
  • Heat maps - Visual risk identification

📈 Performance Tracking​

Monitor value chain ESG performance:

  • Aggregated emissions - Total Scope 3
  • Supplier scorecards - Individual performance
  • Trends - Improvement over time
  • Benchmarking - Compare suppliers
  • Engagement metrics - Response rates, data quality

🔗 Network Visualization​

See the big picture:

  • Interactive maps - Geographic view
  • Network diagrams - Relationship flows
  • Impact flows - Trace materials and emissions
  • Drill-down - Explore specific pathways

How to Use Value Chain​

Step 1: Map Your Value Chain​

  1. Go to Value Chain → Entities
  2. Click "Add Entity"
  3. Enter entity details:
    • Name, country, contact
    • Entity type (supplier, manufacturer, etc.)
    • Products/services provided
    • Tier level
  4. Add classification tags
  5. Upload supporting documents (contracts, certs)
  6. Click "Create Entity"

Step 2: Classify Entities​

  1. Select an entity
  2. Go to Classification tab
  3. Assign:
    • Spend category (based on procurement data)
    • Risk level (auto-calculated or manual)
    • Material topics (which ESG topics apply)
    • Priority level (for engagement)
  4. Save classification

Step 3: Request Data​

  1. Select entities to engage
  2. Click "Request Data"
  3. Choose data type:
    • GHG emissions
    • Energy and water usage
    • Waste and materials
    • Social indicators
    • Certifications
  4. Set deadline
  5. Customize invitation message
  6. Click "Send Requests"

Step 4: Review Submitted Data​

  1. Go to Data Requests → Submitted
  2. Review each submission
  3. Check for completeness and quality
  4. Request clarifications if needed
  5. Approve or reject
  6. Approved data flows to Core and Performance

Step 5: Assess Risks​

  1. Go to Value Chain → Risk Assessment
  2. System auto-calculates risk scores based on:
    • Country risk indices
    • Sector risk profiles
    • Data availability
    • Spend level
  3. Review high-risk entities
  4. Assign mitigation actions
  5. Track risk reduction over time

Step 6: Monitor Performance​

  1. Go to Value Chain → Performance
  2. View aggregated metrics:
    • Total Scope 3 emissions
    • Supplier engagement rate
    • Data quality scores
  3. Compare suppliers
  4. Identify improvement opportunities

Integration with Other Features​

→ Core​

Value chain data feeds into Core for reporting.

Example: Supplier emissions data → Included in Scope 3 calculations in Core

← Performance​

Performance tracks value chain metrics.

Example: Supplier emissions → Tracked in Performance dashboard

← Materiality​

Material topics guide value chain engagement.

Example: Labor rights material → Focus on labor data from suppliers

→ Risk Management​

Value chain risks inform overall risk assessment.

Example: High-risk supplier → Creates supply chain risk in Risk Management

← Collaboration​

Collaboration enables partner access.

Example: Invite supplier as guest user → They input data directly

Best Practices​

Start with Priority Suppliers​

  • Focus on highest spend (80/20 rule)
  • Prioritize high-risk categories
  • Start with Tier 1, expand to Tier 2+
  • Build relationships gradually

Make it Easy for Suppliers​

  • Use simple data requests
  • Provide templates and examples
  • Offer training and support
  • Recognize good performance

Use Spend Data​

  • Link to procurement systems
  • Classify by spend category
  • Prioritize based on financial materiality
  • Track spend-based emissions

Build Trust​

  • Explain why you need the data
  • Show how data will be used
  • Respect confidentiality
  • Share aggregated insights

Improve Over Time​

  • Start with basic data
  • Increase granularity gradually
  • Provide feedback to suppliers
  • Collaborate on improvements

Value Chain Scope​

Upstream (Pre-Organization)​

  • Raw material extraction
  • Component manufacturing
  • Transportation to you
  • Services (consulting, IT, etc.)
  • Capital goods

Downstream (Post-Organization)​

  • Product transportation
  • Product use
  • End-of-life disposal
  • Customer impacts
  • Sold product emissions

Both Directions​

  • Employee commuting
  • Business travel
  • Waste generated
  • Leased assets

Common Questions​

How many suppliers should we include?​

Start with suppliers representing 80% of your spend or those in high-risk categories. Expand coverage over time.

What if suppliers won't share data?​

Start with estimated data using spend-based calculation methods. Build relationships and explain benefits. Some regulatory pressure may help.

How do we calculate Scope 3 emissions?​

Use supplier-specific data when available. Otherwise, use spend-based emission factors (e.g., from EPA or DEFRA databases).

How do we ensure data quality?​

Use validation rules, require supporting documentation, compare with benchmarks, and build ongoing relationships with suppliers.

Next Steps​

Need Help?​