The Challenge of Scope 3
Scope 3 emissions often represent the majority of a company’s carbon footprint - up to 80% or more (LSEG, 2024). Yet, many organizations struggle to capture and act on this data. The challenges are clear: complex global supply chains, thousands of suppliers, varied reporting standards, and limited internal resources.
While Scope 1 and 2 emissions are relatively straightforward to measure and manage, Scope 3 requires collaboration beyond company boundaries. Many firms rely on spend-based or secondary data-averages or estimates that obscure the real impact of suppliers’ operations. Without granular insights into supplier activities, energy use, and material composition, it’s nearly impossible to design effective reduction strategies.
Strategic Supplier Engagement
Carbmee emphasizes that successful Scope 3 management begins with strategic supplier engagement. Leadership buy-in is crucial - not only internally but also externally with suppliers. When suppliers understand that sustainability is a core business priority, they take data collection seriously. Clear communication of expectations, long-term targets (e.g., SBTi-aligned goals), and structured support in multiple languages all contribute to higher-quality data submission.
Building a Scalable Engagement Program
To scale, companies need more than emails and spreadsheets. A structured end-to-end supplier program includes training, webinars, and clear guidance on reporting requirements. Suppliers with varying carbon maturity levels must be supported with accessible tools, resources, and cultural understanding. By prioritizing high-emitting suppliers and ensuring consistent engagement, companies can turn data collection from a challenge into an opportunity.
Turning Blind Spots into Insights
With strategic engagement in place, companies gain visibility into previously unknown emissions hotspots. These insights form the foundation for reduction strategies, guiding investment, supplier development, and process improvement.
This shift from estimation to insight is already delivering tangible results for industrial leaders. As Andreas Kins, Purchasing Strategy & Strategic Supplier Management Sustainability at Schaeffler, explains:
“In piloting carbmee´s powerful carbon management solution we saw the possibility to calculate our supplier emissions quickly and at scale, allowing Schaeffler to achieve a more detailed transparency on scope 3 emissions. Now, having identified our hotspots, we will leverage carbmee´s Environmental Intelligence System (carbmee EIS™) to collaborate further with our suppliers - collecting primary data in mass for more powerful insights and unlocking reduction potential in the next months.”
As Scope 3 becomes increasingly regulated and scrutinized, proactive supplier engagement positions companies as leaders rather than followers in carbon management - enabling them to reduce risk, drive decarbonization, and build more resilient supply chains.
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