Description

On May 8th, at Ford Motor Company's annual shareholder meeting, they will face a proposal focused on how they report their efforts to reduce greenhouse gas (GHG) emissions on their way to being carbon neutral by 2050.

The proposal was made by Green Century Capital Management, a sustainability-focused activist fund that regularly challenges recognizable companies about their emissions reduction efforts, using the threat (or promise?) to mount a shareholder vote if necessary.

Companies like Procter & Gamble, PepsiCo, Coca-Cola, and McDonald’s have faced similar challenges, all intended to change how they manage their Scope 3 emissions.

The Ford Board of Directors has advocated for shareholders to reject the proposal, saying it is unnecessary and expensive to create another report in addition to their Integrated Sustainability and Finance report.

In this episode of the Art of Supply podcast, Kelly Barner covers:

• The unique requests Green Century has made of these publicly traded companies in pursuit of lower Scope 3 emissions
• How these companies have responded to Green Century’s ‘asks’ and proposals
• The idea of reporting as a weapon in addition to being a tool for tracking and accountability

Links:

• Ford asks investors to vote down supply chain emissions proposal
• Kelly Barner on LinkedIn
• Art of Supply LinkedIn newsletter 
• Art of Supply on AOP
• Subscribe to This Week in Procurement