What does the CSRD mean for SMEs in the supply chain?
Large companies subject to CSRD regulations must report on their entire supply chain – including the emissions and ESG practices of their suppliers (Scope 3). Consequently, they require structured ESG data from SME suppliers, frequently through VSME reports or EcoVadis ratings. With ESG Lift, SMEs can generate the necessary sustainability report in just 1–3 hours.
Scope 3: The Supply Chain Effect
Companies subject to the CSRD must disclose their Scope 3 emissions – meaning the indirect emissions across their entire value chain. This compels them to actively collect ESG data from their suppliers. Consequently, SMEs acting as Tier 1 or Tier 2 suppliers are increasingly receiving standardised questionnaires, EcoVadis assessment requests, or direct inquiries regarding VSME reporting.
What Specific Data is Required from SME Suppliers?
The information requested typically includes: CO₂ emissions (Scope 1 and 2 at a minimum), energy consumption, waste management, workforce structure and working conditions, governance practices (Code of Conduct, anti-corruption policies), as well as details on their own supply chains. A comprehensive VSME report covers all of these requirements.
The ESG Lift Solution for Suppliers
With ESG Lift, SME suppliers create a single VSME report, providing them with a universal document that can be shared with an unlimited number of corporate clients. Starting from €590/year, completed in just 1–3 hours.
What does CSRD mean for SMEs in the supply chain? Scope 3 obligations, precise data requirements, and how ESG Lift prepares SMEs for ESG reporting and sustainability compliance.