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VALUE CREATION AND SUPPLY CHAINS

SUSTAINABILITY-FOCUSED RISK ANALYSIS

Carrying out a sustainability-focused risk analysis helped an e-commerce company ensure the safety of their product range—and take products with a negative impact off the market.

We were hired by a large e-commerce company to analyze and evaluate their product range in terms of sustainability risks. The goal of the project was not simply to demonstrate that the company was keeping up with the times, but also to set guardrails for the development of the company’s future product range.

Our database-supported approach: We linked together purchase volumes, regional origin and reputation of suppliers with sustainability and human rights risks specific to the products’ raw materials and countries of origin. From this data, we were able to draw up risk profiles for the complete product range. As a next step, we created different risk classes, which, along with a blacklist, were stored in the system and complemented with recommendations for future suppliers and product range development.

As part of this process, we rated more than 100,000 products regarding their sustainability-related reputation risks. The analysis resulted in the company removing a wide range of products with critical sustainability effects from their product range.

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