At JBT, we believe in the significance of sustainability and diversity in shaping the future of our organization and the world. Our commitment towards making a positive impact on the environment and society extends beyond our internal operations and reaches into the heart of our supply chain. We are currently taking steps to reduce our carbon footprint and enhance the scope of diversity, equity, inclusion, and belonging (DEIB) in all facets of our operations.
Towards a Greener Supply Chain
We have begun this journey by embarking on a detailed survey and interview process involving our top 30 suppliers, who represent over $175 million in annual expenditure across 6 categories. This strategic initiative aims to gain insights into their existing sustainability practices and initiatives. By understanding their methods and strategies, we aim to collaborate on effective ways to further reduce environmental impact. This reduction in environmental impact includes waste reduction, resource conservation, and the promotion of renewable energy initiatives, all critical elements of a sustainable supply chain.
The Green Steel Initiative
An example of our commitment to sustainability is our ongoing research into the potential adoption of “green steel”. Green steel, also known as sustainable steel or low-carbon steel, is steel produced using environmentally friendly and sustainable methods that minimize carbon emissions and resource consumption. Traditional steel production methods have historically been dependent on the use of fossil fuels, such as coal and natural gas, leading to considerable greenhouse gas emissions. By exploring green steel alternatives, we aim to significantly mitigate the environmental impact of our supply chain operations.
Not just our raw materials, but we are also actively exploring more carbon-friendly ways to transport goods worldwide. Our efforts range from evaluating the impact of international versus domestic sourcing strategies to the potential use of more sustainable carriers and low-carbon options. This transition includes potential strategies such as utilizing electric ground fleets, considering biofuels as an alternative to fossil fuels, and leveraging tracking systems to monitor and manage greenhouse gas emissions. We believe that these initiatives will contribute significantly to reducing the carbon footprint of our logistics processes.
A Strong Emphasis on DEIB
While sustainability is a key focus, JBT also remains dedicated to the principles of Diversity, Equity, Inclusion, and Belonging (DEIB), both within the organization and in our relationships with external stakeholders. Our Supplier Diversity program is a testament to this commitment. We intentionally foster relationships with minority, women, veteran, disabled, and LGBTQIA+ owned businesses, and in 2022, we spent over $27.8 million with over 42 diverse suppliers across 10 of our North American manufacturing sites.
Our commitment to DEIB goes hand in hand with our vision of creating a sustainable supply chain. As we move forward, we will continue to identify and engage with new, competitive, and dynamic diverse suppliers. This drive not only reinforces our commitment to DEIB but also supports our overarching Food Play vision and operating plan.
Shaping a Greener, More Inclusive Future
At JBT, we stand tall with our commitment to sustainability and diversity. We view these not just as corporate social responsibility objectives but as critical pillars of our company’s mission. These strategic initiatives are more than just tactical movements; they are a testament to our unwavering dedication to creating a greener, more inclusive environment. Our rigorous efforts to minimize our carbon footprint, coupled with our relentless pursuit of diverse supplier relationships, stand as a clear reflection of this commitment.
We are relentlessly forging ahead, carrying the promise of a sustainable and inclusive future with us. Our strategies, whether it is the exploration of green steel production or the intent to foster diverse supplier relationships, are steadily driving us towards a future where our operations yield positive impacts on the environment and society. The journey certainly presents its challenges, but we believe in the potential of our initiatives to make a real difference. We take immense pride in being a company that values both the world we live in and the diverse individuals and communities we serve, and we are excited about the sustainable, inclusive path that lies ahead.