Modern Australian
Men's Weekly

.

Zuellig Pharma Recognised with A Score Of "A-" On CDP Supplier Engagement In Industry First

Recognition further affirms company’s decarbonisation efforts, having been awarded the CDP Climate Change score of “B” for 2022

SINGAPORE - Media OutReach - 27 April 2023 - Zuellig Pharma, one of the largest healthcare services groups in Asia, has announced its score of "A-" for Supplier Engagement from global carbon disclosure platform CDP, making it the first and only company worldwide in its activity group to receive this recognition.

This comes on the back of scoring "B" on CDP Climate Change earlier in the year. Zuellig Pharma first participated in this voluntary disclosure in 2021 and has improved their Climate Change score from "C" to "B", and their Supplier Engagement score from "B" to "A-" within a year. Their improved scores set them well above the global, Asia and industry averages and is a testament to their long-standing commitment to sustainability and driving climate action across the value chain.

CDP is a not-for-profit charity that runs the global disclosure system for investors, companies, cities, states and regions to manage their environmental impact.

"These ratings affirm our decarbonisation efforts in an industry where 70% of greenhouse gas emissions sit within the value chain. We are proud to receive recognition and are grateful to our suppliers for their commitment to sustainable business, which has enabled us to navigate the complexity of coordinating these efforts in an operationally diverse environment. We will continue working closely with our clients, customers and suppliers to drive our sustainability agenda and make a positive impact on the communities we serve," said John Graham, CEO, Zuellig Pharma.

Active engagement with suppliers to reduce carbon footprint
Zuellig Pharma is the first and only company worldwide in their activity group (Road Transport) to make it to the A-list for CDP's Supplier Engagement Rating (SER). The SER acknowledges that purchasing organisations have the potential to incentivise significant environmental changes in their supply chain through supplier engagement best practices. A significant portion of Zuellig Pharma's efforts to reduce greenhouse gas (GHG) emissions focuses on Scope 3 emissions[1] through procurement policies. The company incorporates sustainability criteria within its supplier selection processes and contracts and prioritises working with suppliers that demonstrate commitment to reducing their carbon footprint. Suppliers are required to report the carbon impact of activities, and the company's largest suppliers have environmental targets that Zuellig Pharma maps against its own carbon reduction targets.

Sustainability initiatives with suppliers to reduce Scope 3 emissions include the use of biofuel and newer generation engines, driver training and monitoring to promote emission-reducing driving habits, innovative insulation in cold trucks to reduce the use of aircon blowers, aerodynamic improvement to achieve fuel savings, and constant refinement of asset utilisation rates and routes. These efforts are tracked and assessed on the IntegrityNext platform, which provides insights on suppliers' sustainability practices and enables Zuellig Pharma to flag improvement areas and mitigate issues through ongoing dialogue and education.

In addition, Zuellig Pharma runs Sustainability Development Programmes to drive concrete and timebound actions to improve sustainability performance. It also works with suppliers on one-off sustainability initiatives, such as co-developing the use of solar panels to power refrigeration units in delivery vehicles in Malaysia and launching an electric-powered fleet in South Korea to reduce its carbon footprint and increase fuel efficiency.

Organisation-wide commitment to reducing greenhouse gases recognised by CDP
The score of "B" on Climate Change awarded by CDP for 2022 recognises Zuellig Pharma's commitment to reducing absolute scope 1 and 2 GHG emissions by 42% as well as a 25% reduction in absolute scope 3 GHG emissions by 2030, in addition of its goal to be carbon neutral in its own operations by that year. These targets have also been validated and approved by the Science-Based Targets initiative (SBTi). The company has gained a comprehensive view of its total direct, downstream and upstream GHG and identified opportunities for emissions reduction by screening all Scope 3 categories listed by the GHG Protocol to identify those relevant to its activities. This has enabled it to initiate actions such as:

  • Reducing energy use from IT infrastructure by moving most of its regional services from on-premises hosting to cloud-based Microsoft Azure data centres, achieving greater energy efficiency of up to 93% and greater carbon efficiency of up to 98%.
  • Rolling out solar panel installation starting in Taiwan and Vietnam with installation planned for Singapore, Thailand, and Cambodia in 2023. This has so far generated 5.4M kWh, covering 5% of electricity needs.
  • Switching to electric vehicles – The company is actively moving towards greener transport fleets in selected markets. By 2030, internal combustion engine (ICE) delivery vehicles will be phased out in Singapore, while Korea will use electric vehicles for all short-distance deliveries.

Apart from CDP ratings, Zuellig Pharma's sustainability efforts have also been recognised with the EcoVadis Platinum certification for two years running, placing the company at the top 1% of all assessed companies worldwide and ranking it #1 globally in their industry amongst 2,800 logistics leaders. Its latest Sustainability Report can be found here.



[1] Scope 1 emissions are direct emissions generated by operating vehicles or computers. Scope 2 emissions are indirect emissions caused by the energy purchased and consumed by an organisation. Scope 3 emissions are indirect emissions produced when customers use the company's products, or when suppliers manufacture products used by the company. Source: What are Scope 3 emissions and how it differs from Scope 1 and 2 | World Economic Forum (weforum.org). Accessed: 6 Apr 2023

Hashtag: #ZuelligPharma #Sustainability #Healthcare #ESG #Pharmaceutical #Scope3 #GHG


The issuer is solely responsible for the content of this announcement.

About Zuellig Pharma

Zuellig Pharma is one of the largest healthcare services groups in Asia, and our mission is to make healthcare more accessible to the communities we serve. We provide world-class distribution, digital and commercial services to support the growing healthcare needs in this region. The company was started a hundred years ago and has grown to become an over US$15 billion business covering 16 markets with over 13,000 employees. Our people serve over 350,000 medical facilities and work with over 500 clients, including the top 20 pharmaceutical companies in the world.

7 Common Air Conditioner Issues in Melbourne – And How to Fix Them

Image by freepik Living in Melbourne, we all know how unpredictable the weather can be. One moment it’s cold and windy, the next it’s a scorchin...

Powering Palm QLD with Reliable Electrical Solutions

Image by pvproductions on Freepik When it comes to finding a trustworthy electrician Palm QLD locals can count on, the team at East Coast Sparkies s...

The Smart Way to Grow Online: SEO Management Sydney Businesses Can Rely On

If you’re a Sydney-based business owner, you already know the digital space is crowded. But with the right strategy, you don’t need to shout the...

What Your Car Says About You: The Personality Behind the Vehicle

You can tell a lot about someone by the car they drive—or at least, that’s what people think. True Blue Mobile Mechanics reckon the car says a l...

The Confidence Curve: Why Boudoir Photography Is the Empowerment Trend You Didn’t Know You Needed

Boudoir photography has been quietly taking over social feeds, Pinterest boards, and personal milestones—and for good reason. It’s not just abou...

Understanding Level 2 Electricians: Why Sydney Residents Need Licenced Experts for Complex Electrical Work

When it comes to electrical work around the home or business, not all electricians are created equal. In Sydney, particularly when you're dealing wi...

Retirement Anchored in Model Boat Building for Waterford’s Doug Unsold

WATERFORD — When Doug Unsold sees his ship come in, it’s usually one he’s crafted with his own hands. The 67-year-old retiree from Waterford ...

The Science Behind Alarm Clocks and Your Circadian Rhythm

Waking up on time isn’t just about setting an alarm—it’s about working with your body, not against it. At the heart of every restful night and...

How to Use Plants to Create a Calming Atmosphere in Your Home

In today’s fast-paced world, cultivating a calm, soothing environment at home has never been more important. Whether you live in a busy urban apar...

How Maths Tutoring Can Help Students Master Maths

Mathematics can be a daunting subject for many students, often causing stress and frustration. However, maths tutoring has proven to be an effective...

Refurbished iPads Are Better Than New Ones (Here's Why)

Image by rawpixel.com on Freepik Apple's refurbished iPad program has quietly become one of the best deals in tech. While everyone obsesses over the ...

Your Guide to Finding the Right GP: What Perth City Doctors Offer Today

Choosing a General Practitioner (GP) is one of the most important health decisions you’ll make. Luckily, Perth’s vibrant CBD now hosts a new ge...

Why Every Mining Operation Needs a Robust Safety Management System

Mining is one of the backbones of the Australian economy, particularly in Western Australia. Back in 2019-20, mining contributed 10.4% of Australia...

Australian Classic Literature Enjoys Resurgence

Welcome back to the good old days of storytelling! As the modern world becomes increasingly more demanding, returning to childhood favourites offers...

How to Choose the Right Lawyers in Sydney for Your Situation

When faced with a legal issue, selecting the right legal representation can make all the difference. Whether you're dealing with a personal injury, ...

Building a Governance Model for Headless Content Management at Scale

Image by pch.vector on Freepik There's never been a better time to implement a headless content management system (CMS) to gain the flexibility and ...

Understanding Trade Insurance: Essential Protection for Businesses

Image by Drazen Zigic on Freepik In the current economic environment, trade insurance is an important element for companies trading both locally an...

Choosing the Right Timber for External Cladding

Timber cladding is one of those finishes that pulls double duty: it makes a building look warm and welcoming, and it quietly shields the frame from ...