The new enhanced version of SAP Carbon Impact OnDemand 5.0 is SAP’s first native cloud application, and is designed to help global companies reduce their energy and carbon footprint across their entire operations and product supply chains.
Unlike SAP’s (NYSE: SAP) traditional offerings, Carbon Impact OnDemand 5.0 requires no software installation. The cloud-based service will inventory and benchmark a company’s global environmental performance across all of its facilities, according to SAP. Benefits include reduced reporting costs, improved data accuracy and shorter reporting cycles thanks to the system’s automatic data collection across a variety of sources, including metering systems, utilities, third-party applications and SAP’s own enterprise resource planning (ERP) application.
SAP said that it also offers language support for more than 50 countries.
The release comes at a time when enterprises have to respond to increasingly volatile energy prices and stricter energy use reporting regulations, such as the U.S. Environmental Protection Agency’s Mandatory Reporting Rule, which requires reporting of greenhouse gas (GHG) emissions from large sources and suppliers in the U.S.
“Due to the uncertainty and volatility in energy prices, as well as the growing concerns of consumers, NGOs and governments about organizations’ energy and carbon costs, companies face a tremendous challenge,” Peter Graf, chief sustainability officer at SAP, said in a statement.
“They need to reliably report and profitably reduce their carbon footprints in their home markets and on a global scale,” he added. “First, it requires harvesting accurate carbon data from back-end systems and a myriad of sources at all facilities. Second, companies need to analyze and benchmark their performance against peers and develop optimal reduction strategies based on best industry practices.”
Graf also said a successful global carbon reduction strategy needs a high level of engagement from suppliers and employees to promote changes in the way energy is used and managed. He said Carbon Impact OnDemand 5.0 can help organizations meet energy and carbon reduction goals by expanding the reach of those efforts from a local level to a global scale.
SAP has also launched a virtual experience center that includes videos of how Carbon Impact on Demand works.
One early customer, Arch Chemicals, said it plans to deploy the on-demand service broadly.
“SAP Carbon Impact OnDemand will enable us to comprehensively manage our total environmental impact at all locations worldwide, including energy efficiency,” Doug Udall, director of sustainability at Arch Chemicals, said in a statement. “Its on-demand functionality will help us track our carbon footprint and navigate the complex requirements for voluntary and mandatory reporting, including CDP reporting.”