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Compliance Partnerships Help Achieve ESG Goals

When thinking about governance in the context of sustainability, most people would immediately associate it with reporting frameworks, transparency, tracking ESG targets, and adherence to key policies and regulations. But today, I’d like you to think about governance as an enabler to achieve your sustainability targets. Furthermore, I’d like you to consider how your logistics service provider (LSP) can play a crucial role in achieving those targets.

For a whole host of reasons – increasing calls for transparency, pressure of social media, shareholder activism – stakeholders are keenly aware of what organizations are doing and how they back up their claims to environmental and social responsibility with actions. Sustainability is a top priority for DHL and our customers because their customers demand it. Investors are increasingly scrutinizing the sustainability of their potential investments. Our communities and our ecosystems are calling for immediate action. Everyone is conscious of the urgency of the sustainability agenda.

Increased knowledge of material and non-material sustainability issues

Solution and sector expertise is a crucial differentiator for LSPs to deliver efficiencies in the customer’s supply chain. When your provider performs a materiality analysis, the process to define the social and environmental issues that matter most to their business, it needs to consider the more holistic ecosystem of stakeholders. That means the ESG priorities of your LSP will, in some cases, align with the inherent material issues of your sector and thus drive next-level innovations with a direct benefit for your business. Some examples include transport fleet electrification, further strides in sustainable packaging, or enhanced facility energy management.