How SAP solutions can help build sustainable business…
December 2021
SAP Sustainability
Management
Today’s agenda
Understanding SAP sustainability solutions
How we need to prepare ourselves for ESG transformation projects
Estimated Budget for building SAP ESG team
Goals to achieve in Y-2022
ESG - The New Equation December 2021
PwC 2
Our understanding of SAP’s ESG Solutions
SAP scope options and products that can meet sustainability challenges and opportunities
SAP Sustainable Solutions
ESG Advisory
Sustainability
Create sustainable products, services and ESG
reporting
& business models solutions
Gain a holistic insight into data, processes,
Sustainable value creation
regulations and industry specific drivers and
differentiators across value chains to create new
products, services and solutions that reach Climate Circular Social
additional customers, markets and segments change economy responsibility
ESG Assessment solutions solutions solutions
Make processes sustainable & gain
The Foundation of a Sustainable Enterprise
efficiencies
End-to-end solution portfolio, embedded within your key
processes, to address circular business models, assess SAP Supply
Digital Core SAP
and reduce carbon footprint, reduce waste, drive social Business chain
– SAP Business
responsibility across the entire value chain Technology manageme Network
S/4HANA
Platform nt solutions
Track and Report
ESG impacts with
SAP solutions Meet global obligations BW/
(Implementation) Deep transparency into financial & non-financial data will 4HANA+
address regulations proactively and ensure full compliance Analytics
along with integrated, auditable, and real-time reporting Cloud
Business transformation
ESG - The New Equation December 2021
PwC 3
Sustainability Management by SAP
People
Consumption
Recovery & Design
Reuse SAP
Responsible SAP Product
Design & Footprint
Production Management
(Circular (Climate 21)
Economy) SAP Sustainability
Control Tower
(Sustainability
Logistics & Performance Sourcing &
SAP
Transport Management)
Environment, Marketplace
SAP S/4HANA
for product Health, and
compliance Safety
Management
SAP S/4HANA,
Suite LoB
Solutions and
Industry
Innovations
Finance Production
Embedded in Business Process With a Global Network Ecosystem Impact at Scale with Partners
SAP ESG solution December 2021
PwC 4
Source : SAP partner edge
SAP Sustainability Portfolio (Sept 2021)
SAP Health and SAP SAP Business SAP S/4HANA SAP Ariba
SAP Incident SAP Qualtrics
Safety Occupational Integrity for Product (Supplier
Management SuccessFactors Employee XM
Social Management Health Screening Compliance Diversity)
responsibility
solutions SAP Work SAP
Clearance Management of
Management Change
SAP SAP Product SAP Landscape SAP SAP Treasury
Environment Footprint SAP E Mobility* Management Transportation and Risk SAP Concur
Management Management Cloud Management Management
Climate change
solutions SAP
SAP Traders &
SAP Cloud for SAP Direct Multichannel
Schedulers
Energy Distribution Order
Workbench
Management
SAP SAP Logistics
SAP S/4HANA SAP environnent SAP Rural Product
Responsible Business Integrated
for product Management Sourcing Lifecycle
Design and Network Material Business Planning
Circular compliance (EHS Waste Management Management
Production* Traceability
economy
solutions
SAP S/4HANA SAP Returnable SAP Intelligent SAP Outcome SAP
for Waste & Packaging Returns based Business Replenishment
Recycling Management Management * Insights * Planning
Sustainability SAP Ariba Eco SAP
SAP SAP SAP Health and
and ESG Vadis Supplier SAP Incident Profitability and
Sustainability Environment Safety
reporting Sustainability Management Performance
Control Tower Management Management
solutions Rating Management
*Planned in 2021 Green dedicated Sustainability Solutions Black Solutions supporting Sustainability in specific aspects
ESG - The New Equation December 2021
PwC 5
Source : SAP partner edge
Social responsibility solutions
Environment Health and Safety
EHS Incident Management Incident
Safety Observations
Management
EHS Health and Safety Chemical Operational Risk
Chemical Approval
Management Assessment
Real Time EHS Reporting and Analytics
Action Tracking and Task Management
Industrial Hygiene EHS Audit
Occupational Health
and Sampling Management
Connected Worker Safety IoT Device Monitoring Data
Monitoring
Management Analysis
EHS Environment Management Regulatory and Emissions
Permit Compliance Management
Management of Change Management of
Change
Maintenance Safety Work
Permit to Work
Clearance/LOTO
ESG - The New Equation December 2021
PwC 6
Source : SAP partner edge
ESG - The New Equation December 2021
PwC 7
Social responsibility solutions
Product Compliance https://www.youtube.com/watch?v=7g7dZ2An90g
Ensure product safety & compliance throughout the full product lifecycle
SAP Product Compliance offers complete end-to-end support across all relevant processes: from product
development, purchasing and production to sales and distribution. Deploying automated compliance
assessment and reporting, customers can mitigate reputational risk, while accelerating time to market
Key capabilities
• Centralized management of substance, regulatory, compliance and dangerous goods information in line
with legal and customer requirements
• Up-to-date provisioning of the latest regulatory content and automatic verification of products for different
compliance requirements
• Automated creation and provisioning of safety data sheets, certificates, labels, and dangerous goods
documents
ESG - The New Equation December 2021
PwC 8
Source : SAP partner edge
Climate change solutions
SAP Environment Management
Data Collection Data Validation Aggregation Calculation Insight Optimization
Collect asset or location-specific operational data Monitor collected and calculated data: Trend and report emissions data
• Fuel used, e.g. natural gas • Display data against thresholds • Query and filter data using Data Monitoring or
• Energy used – electricity consumption • Approve or replace data Environmental Explorer apps
• Create deviations • Trend emissions data using SAP Analytics Cloud content
• Import-export data • Feed emissions data to sustainability reporting process
ESG - The New Equation December 2021
PwC 9
Source : SAP partner edge
ESG - The New Equation December 2021
PwC 10
Climate change solutions GHG Protocol
Scope 1,2,3
Product Footprint Management EHS: Environment Management * Zero Emissions with
“Measure, calculate, track and report GHG Emission Climate Action
https://www.youtube.com/watch?v=xtMaubgYT_0 Inventories to meet corporate reduction goals”
Product Lifecycle
Analytics
End of Life
SAP Product Footprint Management
…
“Calculate product footprints at scale considering
Product Use the entire product lifecycle for disclosure and
Idea to … internal product optimization”
Track
Emission
Initiatives
Market
Distribution Network
… Factors
ARIBA
Source
Footprint to Pay Strategic
Platform Production
Material Scores
Concur
Movements Material
Footprint Operational
Import Acquisition &
Pre-Processing Dashboards
Quantity Finance Product SAP Product Footprint
Structures Costing Management can calculate the
1 2 3 4 5
environmental impact of various
S/4HANA Data Emission Footprint Footprint Footprint Value
SAP EH&S production scenarios. For
“Emissions” Acquisition Factors Mgmt. Calculation Analytics Integration Chain
Analysis
example, a cookie company can
choose its source for chocolate
… Climate Change
SFSF …
Bottom Up based both on the cost of the raw
(kg CO2e) Calculation Plan to …
material as well as on its carbon
Produce
… Top Down footprint.
Water
Allocation Lead to …
Cash
Others …
…
Impact Categories Calculation Methods
ESG - The New Equation December 2021
PwC 11
Source : SAP partner edge
Product Footprint Management - Demo
ESG - The New Equation December 2021
PwC 12
Circular economy solutions
SAP EHS Environment Management for Waste Management
• Waste Identification &
Characterization
• Onsite Waste management
• Shipment Planning
• Compliant Shipping
• Disposal Management
• Reporting (KPIs like Waste
Amount, Type, Disposal
methods and Government
Reports)
ESG - The New Equation December 2021
PwC 13
Source : SAP partner edge
Circular economy solutions
Responsible Design and Production https://www.youtube.com/watch?v=hCUoogKpbYk&t=38s
Manage ‘extended producer responsibility (EPR)’ obligations
SAP Responsible Design and Production helps
producers keep track of their EPR obligations so
they can manage the operational costs associated
with downstream processing and gain better visibility
of material flows overall
Key capabilities
• Capture updates on EPR schemes based on
Producer Responsibility Organizations and the
very latest regulations
• Harmonize EPR process ownership across
internal and external parties
• Automate EPR data collection and manipulation
across multiple sources
These regulations help ensure that producers are responsible for the recycling, reuse, or disposal of their products
ESG - The New Equation December 2021
PwC 14
Source : SAP partner edge
Circular economy solutions - Enabling full circle material flows across industries
ESG - The New Equation December 2021
PwC 15
Source : SAP partner edge
Sustainability and ESG reporting solutions
https://www.youtube.com/watch?v=5_BgblUkLp4
Sustainability control tower focus on the World
Economic Forum (WEF) Stakeholder Capitalism
Core Metrics which got developed based on the
contributions by more than 120 CEOs from around
the globe. These metrics leverage existing
standards like GRI, TCFD, and SASB, and are
focusing on the four pillars: principles of
governance, planet, people and prosperity. Topics
covered by the 21 Core Metrics include: anti-
corruption, greenhouse gas emissions, land use,
water consumption, diversity and inclusion, health
and safety, economic contribution, and more
The SAP Sustainability Control Tower comes with
prebuilt data models. However, as the SAP
Sustainability Control Tower is powered by the
SAP Business Technology Platform, the SAP
Data Warehouse Cloud, and SAP Analytics
Cloud
ESG - The New Equation December 2021
PwC 16
Source : SAP partner edge
Sustainability and ESG reporting solutions
Sustainability Control tower - Simplified Application Landscape (Illustrative)
ESG - The New Equation December 2021
PwC 17
Source : SAP partner edge
ESG - The New Equation December 2021
PwC 18
ESG - The New Equation December 2021
PwC 19
ESG - The New Equation December 2021
PwC 20
