In June 2025, Achilles’ Head of ESG and Compliance, Adam Whitfield spoke at the Procurement Summit in Hamburg talking about the importance of procurement in due diligence of the value chain for effective CSRD compliance. In this blog we share the detail of that presentation.
From the EU’s CSRD to the SEC’s climate disclosure rules in the U.S., and emerging frameworks like IFRS S2, a new wave of non-financial reporting obligations is sweeping across markets and industries. These frameworks are redefining what businesses must report to include impacts on people and the planet as well as financial performance.
For most organisations, meeting these requirements will mean looking beyond their own walls, deep into their supply chains. Procurement functions, long the conscience of the business and the bridge between commercial goals and ethical obligations, are central to making that shift possible.
Procurement: The Engine Behind ESG Transparency
Procurement has long played a role in risk management and compliance. Whether it’s avoiding sanctioned suppliers, guarding against corruption, vetting financial stability, or securing continuity during global disruptions, the function has acted as the organisation’s quiet but powerful conscience.
Now, that same function is being called upon to support non-financial disclosure by sourcing, validating, and managing the data that sits within the supply chain.
Whether you’re responding to CSRD, the SEC’s Scope 3 emissions rules, or sustainability-linked loan requirements, businesses can’t report what they aren’t tracking.
What the Data Really Reveals
It’s one thing to collect supplier ESG data. It’s another to verify it, interpret it, and act on what it shows.
In one real-world example, a global organisation uncovered the following through third-party validated supply chain data:
- 5 fatalities and 25 serious injuries, all traced to just 3% of suppliers
- 56% of suppliers flagged with ESG risks requiring follow-up
- Nearly 1 in 3 suppliers lacked certified environmental management systems
All this was within a supply chain that had previously passed a basic compliance review. The risk wasn’t visible until verified data and deeper analytics brought it to light.
Why Assurance Matters
- Reported 13.5% higher emissions—showing more accurate accounting
- Achieved 7.5% faster annual emissions reductions
- Were more likely to disclose complete Scope 3 figures
What gets verified gets improved. That means for non-financial reporting obligations that span climate, human rights, and governance, confidence in your data is critical, not just for compliance, but for investors, regulators, and customers.
The Procurement Opportunity
To support evolving ESG disclosures, procurement must:
- Integrate ESG criteria into onboarding, contracts, and due diligence
- Segment suppliers by risk and performance
- Use platforms that offer verified data, not just self-reported surveys
- Build supplier improvement programs based on insight, not assumption
When procurement uses data not just to monitor but to engage, the function becomes a driver of both compliance and performance.
The Right Tools Make the Difference
There’s no shortage of ESG platforms, but not all are created equal. For procurement teams facing rising disclosure pressure, the best tools combine:
- Third-party validation and audits
- Global reach with local expertise
- Real-time ESG risk scoring and reporting aligned to CSRD, SEC, and IFRS S2
- Support for supplier training and performance improvement
Platforms like Achilles offer this assurance-first approach, helping organisations surface hidden risk, track verified progress, and prepare for scrutiny.
From Obligation to Opportunity
Non-financial reporting is no longer niche, it’s becoming business-critical. As the demands grow, procurement has a unique opportunity to lead: by connecting supply chain data to sustainability disclosure, and insight to action.
Done well, this goes beyond compliance. It builds resilience, trust, and long-term value.
Supporting tools:
This post is part of our Non-Financial Reporting Insight Series.
Explore our latest guides on CSRD, Scope 3, and supply chain ESG disclosure.
- Download our free non-financial reporting checklist
- Download free Guide to CSRD
- Download free Guide to Non-financial Reporting
- Download Achilles Carbon in Action report
