Decarbonizing our supply chain
Philips continues its long-standing effort to improve the environmental performance of its suppliers. To help mitigate climate change, we take a multi-pronged approach: reducing the environmental impact of our products, committing to carbon neutrality in our operations, and engaging with our supply chain to reduce their carbon footprint.
Philips motivates its suppliers to disclose emissions, embed board-level responsibility on driving environmental action, and actively work to reduce greenhouse gas emissions. • Data-driven insights: Through accurate data insights, Philips’ buyers are enabled to consider climate action in their supplier selection. • Capability building: We support suppliers in advancing their approach to climate action, offering (online) guidance that is tailored to their climate action maturity, and providing tailored and continuous feedback and guidance to grow suppliers’ capabilities and help improve their approach. • Opportunities for decarbonization: Through on-site assessments we identify energy efficiency opportunities that enable our suppliers to make cost-effective carbon reductions. We undertake regular on-site assessments that result in tailored plans for improvement. • Carbon Adjustment Border Mechanism (CBAM): As a result of the CBAM regulation, EU importers of steel & iron, aluminum, fertilizers, cement, electricity and hydrogen will have to declare the level of carbon emissions related to the imported material and pay tax whenever emission levels exceed EU standards. Philips is in scope of this regulation as an importer. In case of any supplier-related questions, please reach out directly to: cbam@philips.com.
• CDP engagement: We have been a longstanding partner with CDP Supply Chain, through which we have invited many of our largest suppliers, including first-tier manufacturing and transportation-related suppliers, to disclose their environmental performance and carbon intensity.
Sustainable procurement
When buyers ask the right questions and apply consistent sustainability standards, each purchasing decision influences not just cost and clinical performance but also the environmental footprint of the full value chain.
Globally agreed sustainable purchasing criteria for imaging equipment illustrate this impact. Built on existing standards and best practices, they help scale sustainable radiology by requiring greenhouse‑gas reporting and reduction, circular design, transparency in product performance, digital solutions that support decarbonization, and disclosure of social impact.
By using their purchasing power to reward responsible innovation, healthcare organizations strengthen supply chains, stimulate market transformation, and advance care that benefits both people and the planet. As providers set these expectations, manufacturers and suppliers must collaborate to meet them.
