Effective Stakeholder Communication for Scope 3 Greenhouse Gas Emissions Abatement along the Supply Chain in the Food Retailing Sector : A Leadership Perspective

Abstract: The food retail industry's Scope 3 GHG emissions significantly contribute to global GHG emissions. Furthermore, it is widely acknowledged that a company's leadership style and effective stakeholder communication are critical for GHG abatement. Nevertheless, research on stakeholder communicationto persuade them to become more active in a company's sustainability process beyond current regulations is scarce. Based on a qualitative study on a case company, the thesis aims to underline the importance of effective stakeholder communication and leadership in the decarbonization process, focusing on Scope 3 GHG emissions of the company’s own brands upstream supply chain in the field of animal products. It examines and identifies communication hinders and drivers that can be influencedby leadership. Furthermore, measures of how to improve stakeholder communication along the upstream supply chain for practitioners are developed. Conclusively, the thesis displays that stakeholder communication is important due to the complexity of Scope 3 GHG emission reporting and the lack of a common language among stakeholders. It is further confirmed that leadership is key to eliminating stakeholder communication barriers. Most barriers have been identified due to inconsistent communication, making communication the primary motivator for Scope 3 GHG emission reporting. Finally, measures to improve stakeholder communication and thus Scope 3 GHG emission reporting for Company X’s in the Austrian food retail sector are presented. Moreover, the necessity for joint governmental regulations to reach climate targets set by the Paris Agreement and the SBTi is highly emphasized. As a final step, theoretical contributions, as well as directions for future research, are identified.