🧱 LEGO stacks up the pressure for suppliers to build towards net zero
In their latest sustainability push, LEGO Group is urging its suppliers to set and achieve emissions reduction targets. This effort is part of LEGO's ambitious plan to reach net-zero emissions by 2050, with interim goals of a 37% reduction by 2032.
Brick by Brick with Suppliers
The LEGO Group has launched a new Supplier Sustainability Programme to enhance its climate collaboration with suppliers. This new program acknowledges the vital role of suppliers in reaching sustainability targets.
Annette Stube, Chief Sustainability Officer, at the LEGO Group said:
“To put it simply, a net-zero world is simply not possible unless we find solutions that are greater than our own operations. We will not be able to meet our sustainability targets alone – we have to work in partnership with our suppliers. We want children to inherit a healthy planet and there’s no time to waste.”
The Supplier Sustainability Programme builds on the Engage-to-Reduce programme the LEGO Group launched in 2014 to help suppliers report environmental data and lower their carbon, water and forest impacts. The key requirements to suppliers in the new programme include:
- Reporting on carbon data annually, starting in 2024.
- Report on emission reduction targets for 2026 and 2028.
- Collaborate to identify and develop the actions suppliers need to work towards the reduction goals set by LEGO Group, such as improving efficiency to use less resources, switching to renewable energy, and finding less carbon-intensive ways to transport materials.
What is building all this pressure for suppliers?
LEGO Group shared in their GHG emissions report 99% of their emissions come from outside the company’s operations, these are largely from suppliers that provide and deliver raw materials, machines, products, and services related to LEGO® products.
These emissions are known as Scope 3 emissions, and are challenging to mitigate without collaboration. To drive down emissions in LEGO’s supply chain, meet their reduction target, and work towards building greener LEGO blocks, they can’t achieve it without their suppliers (the alternative to drive down emissions is to not purchase anything, which wouldn’t be a viable plan!)
The program marks a cornerstone of LEGO Group’s climate action plan and their commitment to net zero emissions by 2050 and reducing emissions by 37% by 2032.
LEGO’s other brick-busting initiatives
Not only did the company announce a series of climate-related commitments last year, including a pledge to achieve net zero emissions by 2050 and reducing emissions by 37% by 2032, they have also introduced a policy linking employee bonuses to emission reduction targets to help them track their progress towards their targets this year. This initiative is part of LEGO's comprehensive strategy to integrate sustainability into its core operations and corporate culture, reflecting the company's dedication to reducing its carbon footprint and promoting environmental responsibility at all levels.
Carsten Rasmussen, Chief Operations Officer, highlighted the importance of collaboration, saying:
“Sustainability is a license to operate and a requirement of how we do business, including how we select our suppliers. We have ideas and we have a pathway, but we cannot do it alone. We need all our great partners to help us achieve our sustainability targets. The Supplier Sustainability Programme is founded on collaboration and we cannot underestimate the power of working together to create real, lasting change and a more sustainable future.”
Read more from LEGO’s announcement here
Visit LEGO’s GHG Footprint for their report and methodology.
You can start your own supplier engagement initiative too
You can start engaging with your suppliers and support them on their carbon accounting journey too. Check out our Scope 3 Engagement guide on how to get started, or reach out for a chat.