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CAP Supply Chain Carbon Management Flashcards

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Read the first 6 CAP Supply Chain Carbon Management flashcards as text
  1. What is the 'avoided emissions' concept in supply chain carbon accounting?

    Answer: Emission reductions that occur because of a company's product or service compared to a conventional baseline scenario

    Avoided emissions represent the GHG reductions enabled by a product or service compared to a conventional alternative, such as energy savings from an efficient appliance.

  2. What does Scope 3 Category 4: Upstream Transportation and Distribution cover?

    Answer: Emissions from third-party transportation of purchased goods between suppliers and the reporting company

    Category 4 covers GHG emissions from transporting purchased goods and materials via third-party carriers from suppliers to the reporting company's facilities.

  3. How does an internal carbon price (ICP) support supply chain decarbonization?

    Answer: By incorporating a shadow cost of carbon into procurement and investment decisions to favor lower-carbon supply chain options

    An internal carbon price applies a hypothetical cost to emissions in business decision-making, making lower-carbon procurement choices more financially attractive without requiring actual cash transfers.

  4. What distinguishes Tier 1 from Tier 2 suppliers in supply chain carbon management?

    Answer: Tier 1 suppliers directly supply the company; Tier 2 suppliers supply Tier 1, making their emission data harder to obtain

    Tier 1 suppliers have a direct contractual relationship with the company, while Tier 2 and beyond are further removed, making their emissions data progressively harder to collect and verify.

  5. What role does CDP's Supply Chain Program play in Scope 3 management?

    Answer: It enables companies to send standardized climate and water questionnaires to suppliers, aggregating supply chain emissions data

    CDP's Supply Chain Program allows companies to distribute standardized climate questionnaires to hundreds of suppliers simultaneously, streamlining Scope 3 data collection and management.

  6. What does 'full lifecycle emissions' (cradle-to-grave) mean in supply chain carbon auditing?

    Answer: All GHG emissions associated with a product from raw material extraction through customer use and final end-of-life disposal

    Full lifecycle (cradle-to-grave) emissions encompass all GHG emissions across every stage of a product's life, from resource extraction and manufacturing through use by consumers to final disposal or recycling.