Hospitality

Decarbonizing hospitality: The Restaurant Group’s sustainability journey

Customer story

8. Jul 2024

From scattered data to actionable insights: how The Restaurant Group is targeting specific emissions reductions through carbon accounting

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Vania Sparro

Content Writer

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The Restaurant Group (TRG) is a major player in the UK hospitality industry, operating approximately 300 sites, including the popular Wagamama chain, a network of pubs, and a variety of concessions predominantly in airports. With a workforce of around 15,000 employees, TRG is committed to high-quality dining experiences with a strong focus on environmental sustainability.

The challenge: Navigating complex hospitality emissions

The hospitality sector contributes around 1% of global greenhouse gas emissions (Sustainable Hospitality Alliance; World Economic Forum) and faces unique challenges in sustainability. Like most restaurant groups, TRG has huge needs for food procurement, so it’s not a surprise that 95% of its emissions are classified as scope 3. Because of the complexity of working with suppliers for raw ingredients, TRG recognized the need for a sophisticated approach to managing its carbon footprint effectively.

Isaac Pelham-Chipper, Head of Decarbonisation at TRG, reflects on the company’s carbon accounting journey, highlighting the limitations of their initial approach: “Carbon accounting started as a regulatory requirement. It was expanded beyond SECR’s remit to include other scope 3 categories. But the structure we had in place wasn’t necessarily that comprehensive or useful in how the data was processed and what the outputs were.

Why carbon accounting and why Normative

TRG used carbon accounting to lay a solid foundation for its sustainability strategy. The collaboration with Normative aimed to gain a comprehensive understanding of TRG’s emissions, pinpointing key areas to mitigate its impact. Pelham-Chipper elaborates on the decision: “After speaking with Normative, we realized that we could improve both our carbon accounting platform and have a supply engagement platform at the same time. Having everything in one place is just the key thing for us.

TRG’s use of value chain engagement

TRG’s value chain engagement program was already underway before joining forces with Normative. Normative’s in-depth analysis of TRG’s carbon footprint provided additional insights and helped expand the program.

We have 95% of our emissions in our scope 3. Because of our type of business, food is such a big feature, and about 75% of the emissions are purchased goods and services.

Utilizing the outputs from Normative, TRG developed a multi-faceted approach to engage with their diverse network of food suppliers.In particular, the group recognized the necessity of an active dialogue with suppliers around decarbonization progress. To facilitate this dialogue, the company utilized Normative’s Engage Module for efficient data collection. Through the platform, TRG invited its suppliers to share their primary carbon data. The Engage Module provided a high-resolution view of the company’s scope 3 emissions, allowing the company to identify which suppliers had the greatest potential for reduction actions. This insight helped the group prioritize its efforts and provide targeted support to suppliers. Along the way, TRG benefited from the expert guidance of Normative’s climate strategists, who helped with supporting data collection for downstream scope 3 categories and understanding potential regulatory changes.

The results

Normative’s objective was to thoroughly analyze and clarify TRG’s carbon emissions, focusing particularly on its scope 3 emissions. Utilizing Normative’s advanced carbon accounting engine, TRG gained a precise and comprehensive understanding of its emissions profile.

Pelham-Chipper notes the transformative impact: “The Normative platform makes the whole process visible. You can see what’s gone in, you can see what comes back, and you know the process that it’s been through. We know that we’ve captured everything we possibly could have captured.”

This holistic perspective was crucial for TRG to delve deeper into each supplier’s status and practices, enabling them to pinpoint key areas needing attention throughout the supply chain.

The impact at a glance

Comprehensive emissions overviewProvided a comprehensive view of TRG’s emissionsEnabled the identification of emission hotspots
Unified dashboard insightsOffered an integrated view of TRG’s supply chainCombined hard data with expert insights from climate strategy advisors
Scope 3 emissions managementIdentified that 95% of emissions were scope 3, with 75% from purchased goods and services
Value chain engagementEngagement with suppliers through the Engage Module to report their emissions and understand energy use. Identified top 100 suppliers in terms of emissions.
Robust data foundationFormed the basis of TRG’s sustainability reporting and decision-makingProvided a credible foundation for outlining reduction efforts and future plans

Pelham-Chipper emphasizes the practical implications: “Even just a tiny change of reducing the amount of protein in a menu or swapping it from a high-emitting protein like beef to chicken or something will have a massive impact when it’s rolled out at scale.

Looking ahead: paving the way for sustainable dining

Through its partnership with Normative and by leveraging data-driven insights, the company is making informed decisions that balance culinary excellence with environmental responsibility. TRG’s journey demonstrates that even in a sector heavily reliant on resource-intensive ingredients and processes, significant strides in sustainability are possible.

Pelham-Chipper reflects on the motivation driving their efforts: “What keeps me motivated is knowing that impact can be had. We have almost 300 sites, and food is a massive emitter of carbon throughout the whole agricultural process.”

This approach to menu engineering, informed by comprehensive emissions data, exemplifies how TRG is turning sustainability challenges into opportunities for innovation. By prioritizing transparency in its supply chain and actively engaging with suppliers, TRG is not just reducing its own carbon footprint but also catalyzing change throughout its ecosystem. The company’s commitment to reaching net-zero emissions by 2040 aligns with ambitious sector targets, demonstrating that delicious, varied cuisine and sustainability can go hand in hand.

Executive summary

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