Our Supply Chain
JCB’S SUPPLY CHAIN IS OUR SECOND LARGEST IMPACT IN TERMS OF CLIMATE CHANGE
We are currently working to understand how we can increase local supply and dual sourcing in our supply chain to build resilience and reduce carbon emissions.
Since localisation of supply is not always an option we are also addressing our logistics impacts by improving utilisation of carriers, moving to lower carbon modes of freight and requiring our logistics providers to invest in low carbon transport.
JCB’s suppliers have a key role in helping us deliver our ambition on impact reduction.
To help keep focus we are embedding carbon reduction and wider sustainability goals into our supplier contracts, and assessing supplier performance. All of JCB’s suppliers are required to sign up to our Supplier Code of Conduct, which sets out our expectations across social and environmental impacts, and ethical business practices.
Packaging waste represents a significant environmental impact, in particular waste wood and plastics which are typically received as low grade materials.
Provenance of timber packaging is also of great importance, especially for supplies from areas at risk of illegal deforestation.
To reduce the impact of single use packaging, JCB’s strategy is three-fold:
- Standardising packaging requirements.
- Setting specifications around sustainable supply.
- Introducing returnable packaging.