More and more SMEs and mid-sized companies are being challenged by their customers, investors, employees, or directly by regulations regarding their carbon footprint. Many, however, feel ill-equipped: how can they tackle this complex issue with limited resources? What do the famous "Scopes 1, 2, and 3" actually mean for a mid-sized company? And above all, how can they move from measurement to action without jeopardizing their economic stability?
The first step is to understand what these scopes cover. Scope 1 includes the company's direct emissions: on-site combustion of fossil fuels (boilers, furnaces, internal combustion engines, etc.), fuel for vehicles owned or controlled by the company, and certain industrial emissions. Scope 2 concerns indirect emissions related to purchased and consumed electricity, heat, or steam. Scope 3 encompasses all other indirect emissions: purchases of goods and services, upstream and downstream transport, business travel, commuting, use and end-of-life of products sold, investments, etc.
For an SME or an ETI, it is often relevant to start with a simplified balance sheet, focusing on the most significant items.
Once this diagnosis is made, it becomes easier to define priorities. If a company finds that the majority of its emissions come from its gas consumption for heating its buildings, it can focus on insulation, regulation, heating optimization, or even gradually switching to other energy sources. If another realizes that business travel by car represents a major expense, it can work on its mobility policy: developing video conferencing, promoting train travel, implementing a carpooling plan, and evolving its vehicle fleet. If a third sees that its purchases of raw materials or sub-assemblies represent a significant portion of its emissions, it can engage in dialogue with its suppliers, rethink certain procurement choices, or work on eco-design.
Setting clear objectives is an important step in providing direction. These objectives must be both ambitious and realistic, taking into account technical, economic, and regulatory constraints. They can be formulated as a percentage reduction compared to a baseline year, over a five- to ten-year period. It is often useful to distinguish between internal objectives (what the company sets for itself) and external commitments, communicated to its customers or partners, while being very careful about the risk of greenwashing.
Taking action requires mobilizing all company functions. Operations and production are, of course, at the forefront of improving energy efficiency, optimizing processes, and reducing waste. Procurement plays a crucial role in integrating climate criteria into the selection of suppliers, materials, and logistics providers. Sales and marketing management can work on developing more sustainable offerings and highlighting lower-emission solutions for customers. Human Resources supports skills development and considers the social implications of the changes (evolving roles, training, and potential retraining).
Leaders, in this context, play a crucial role as conductors. They must arbitrate investments, give meaning to the approach, define priorities, and sometimes accept longer return on investment in exchange for a significant reduction in carbon footprint or vulnerability to certain fossil fuels. They must also be vigilant regarding overall consistency: a company that communicates extensively about its “carbon neutrality” while continuing high-emission and uncontrolled practices risks facing repercussions.
For SMEs and mid-sized companies, external cooperation can be a catalyst. Participating in collective programs (by sector or region), leveraging professional networks, and pooling certain assessments or training resources allows them to benefit from the experiences of comparable companies, avoid reinventing the wheel, and share best practices. Some regions and sectoral ecosystems offer specific support programs for companies' climate transition.
Finally, the importance of involving employees in this process should not be underestimated. Many of them already have a strong awareness of climate issues and can contribute valuable ideas. Involving them in identifying opportunities, implementing specific actions, and monitoring progress strengthens the integration of the strategy into the company culture. It is also a factor in attracting talent: an SME or mid-sized company that demonstrates it takes these issues seriously, even without the resources of a large corporation, can stand out in the job market.
Implementing a carbon reduction strategy at the scale of a small or medium-sized enterprise (SME) or an intermediate-sized enterprise (ISE) is not about aiming for immediate perfection. It's about accepting a step-by-step approach, starting with the most significant areas, experimenting, adjusting, and learning. Above all, it's about recognizing that the climate transition is not just a constraint, but also an opportunity to rethink the business model, improve efficiency, and strengthen resilience.
