INSIGHT

How Pharma Can Accelerate Scope 3 Decarbonization Through Supply Chain Partnerships

Decarbonization is a business imperative requiring stronger collaboration among providers, manufacturers, and suppliers.

The PSCI Decarbonization Summit 2025 brought together leaders across the pharma value chain to share strategies and to advance decarbonization. The closing panel featured Cristina Indiveri, AVP at Vizient; Ninel Raven Armada, Head of Procurement Excellence and Transformation at Sanofi; and Rachel Kaufman, VP Global Sustainability & Impact at Avantor, moderated by Bridget Ferrari of Takeda.

Pharma Supply Chain Decarbonization Trends

1. Decarbonization is now core to business decisions

Cristina emphasized that “decarbonization is no longer optional. It is not a siloed project. It is essential for long-term business viability.” She highlighted direct links to cost reduction, supply chain resilience, and “the very patients we’re aiming to serve,” framing climate as a health priority.

2. The biggest emissions lever is the value chain

Scope 3 remains the toughest challenge but also the greatest opportunity. Cristina noted that more than 80% of healthcare emissions come from the supply chain, reinforcing why transparency and measurable reductions should be expected.

3. Supplier maturity varies widely — and customers must adapt

Ninel described Sanofi’s challenge managing “numerous suppliers in different levels of maturity,” which requires playing “the role of an advisor and educator” to enable progress. She added that complexity, data availability, and cost pressures are key barriers — and emphasized, “You’re not alone, this is a collective game.”

4. Internal alignment accelerates supplier action

Rachel called for stronger alignment between sustainability and commercial procurement teams. When those teams deliver the same message, suppliers can move faster because the value is already understood internally, rather than sustainability having to “make the business case” every time.

5. Accountability is tightening through procurement

Sanofi is already embedding ESG into buying decisions. Ninel shared that ESG is “the biggest contributor to our supply score when it comes to selection,” with KPIs “embedded in our contracts,” including incentives and penalties.

Actionable Takeaways for Suppliers

Move quickly on emissions transparency

Providers and top pharma companies expect disclosure across scopes 1, 2, and 3. Suppliers that lead “gain a strategic advantage in a marketplace that increasingly rewards climate leadership.”

Focus areas:
• Establish baseline emissions
• Prioritize data quality and product carbon footprints
• Share reduction roadmaps with customers

Align sustainability with commercial outcomes

Rachel urged sustainability teams to “speak the language” of cost, resilience, and risk mitigation to drive adoption across internal stakeholders.

Recommendations:
• Connect carbon reduction to operational efficiency
• Demonstrate avoided cost and supply continuity benefits
• Integrate sustainability KPIs into commercial roles

Engage early, even if maturity is low

Both Sanofi and Vizient value intent and progress over perfection. “The most important thing is to get started,” Ninel stressed. Support is growing through free training and capability development. Cristina encouraged small suppliers to ask for help: “Some really great companies are doing really innovative programming to assist everyone.”

Collaboration beats one-off requests

Suppliers should advocate for harmonized expectations and standardized reporting to reduce administrative burden and facilitate faster emissions cuts.

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