We look at our impacts across our full value chain, but what does that actually mean? Our value chain is deep and complex; it involves many stages, from raw material extraction to products’ end of life. The infographic below shows an overview of those different stages — or “tiers” — of our value chain, the main processes within those tiers, and the relative carbon and water impacts of the tiers.
Insights from our value chain footprinting
- Our value chain includes nine tiers — that’s more than most other industries — and thus is a challenge to address comprehensively, especially in the tiers where we have less control or influence.
- A major hotspot of impact is consumer use, due to the washing and drying apparel. Our research indicates that Nike’s influence over consumer washing and drying practices is very limited, with care labels having less leverage over consumers than convenience, habit or other factors tied to detergent and washing machine used. We have therefore decided to focus our efforts on the other tiers of the value chain where we have better opportunities to mitigate impacts.
- Another major hotspot of impact lies in materials, from extraction to material manufacturing to material finishing. Learn more about how we are focused on scaling low impact materials in our FY20 Nike Impact Report.