MSC Highlights ESG Progress in 2023 Report - Modern Distribution Management

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MSC Highlights ESG Progress in 2023 Report

See the top latest accomplishments out of the metalworking and MRO supplies distributor's ESG efforts.
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Metalworking and MRO supplies distributor MSC Industrial Supply has shared highlights from its 2023 ESG Report, which the company titled, “BETTER: Better World, Better Tomorrow.”

MSC — No. 13 on MDM’s 2023 Top Industrial Distributors List — said its ESG commitments and impacts span four key pillars: Waste reduction, Climate Change, Ethical Supply Chain Stewardship, and People & Communities.

“This report provides meaningful insight into MSC’s approach to ESG and how we manage our business and run our operations, as well as our sustained effort to always do the right thing for our stakeholders,” Erik Gershwind, MSC President and Chief Executive Officer, said in a Dec. 18 news release. “Our brand promise — Built To Make You Better — is to help North American manufacturers and industrial businesses be the best they can be. It also means that we care for our environment, people, and communities around us.”

The company’s ESG highlights in the report include:

  • Governance: MSC said it has made major progress in achieving substantial compliance with the NIST 800-171 standards, which is a crucial step for serving government business and contractors. The company has also eliminated dual-class shares, aligning all shareholders’ voting rights and financial interests, further enhancing corporate governance.
  • Waste Reduction: MSC noted that in 2023, the company reduced 32 million kWh and 88 million cubic inches of waste for customers through sustainable metalworking solutions like MSC Millmax, through which customers have realized a significant savings of $20 million. The company refurbished 665 vending units and 538 PCs reused 1,009 wooden crates and recycled 294,380 lbs. of metal. MSC said it is actively working with its Total Waste Management provider to increase recycling and landfill efforts and has established a target of an 80% Recycling Rate at all Customer Fulfillment Centers (CFCs), building upon 4,000 tons of corrugated packaging recycled since 2021.
  • Environment & Climate Change: MSC said it has increased climate disclosure through an enterprise-level assessment of greenhouse gas emissions, inventory and calculation with a third-party assessment of climate disclosures and GHG emissions inventory having been completed. Over 20,000 products MSC carries represent environmentally preferred certifications or attributes, including Green Seal, Safer Choice, ECOLOGO, GREENGUARD, EnergyStar, WaterSense and USDA Bio-Preferred.
  • Ethical Supply Chain Stewardship: MSC has appointed a new Supplier Diversity & Sustainability program manager, which the company said reflects a commitment to identifying, engaging and promoting diverse suppliers. The company currently engages with 600+ suppliers with historically underrepresented ownership and has achieved $30 million in business with Women-Owned Small Businesses. MSC utilizes its MSC Supplier Code of Conduct to engage suppliers to ensure their products are manufactured and sourced responsibly.
  • People & Communities: MSC said it has established a new inclusion circle focused on cross-generational collaboration, adding to seven inclusion circles. The company scored 90 on the 2023 Best Places to Work Disability Equality Index and has been recognized as a Top 2023 Workplace by Long Island Papers, Charlotte Observer and Dan’s Papers. MSC offers unique training and education opportunities with over 70,000 ‘MSC Learning’ Course Registrations, averaging 20 hours per associate. MSC also donated over $13 million in funds and products to charities and disaster relief efforts, with associates volunteering over 400 hours.
  • The company conducted 292 Safety Needs Analysis, resulting in over $1 million in customer cost savings through safety solutions. Safety commitments have been strengthened through certifications and investments in ISO 45001, Ergonomic Tech, and AutoStore — a space-saving storage and order-picking system.

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