Facchini: Embracing SAP Tech To Automate ESG Reporting

Facchini, the Brazilian road equipment manufacturer, has implemented SAP Sustainability Control Tower to overhaul its environmental and social reporting methods.

The move addresses the significant time iot invests in data collection for its annual sustainability reports, which currently involves extensive manual processes.

As the world's seventh-largest manufacturer of road equipment, Facchini finds the data collection for its yearly sustainability report to be a three to four-month endeavour.

The new system integrates with Facchini's existing SAP S/4HANA Cloud Private Edition, helping consolidate environmental data points such as carbon inventory, water consumption, renewable energy use and circularity metrics.

The SAP system also facilitates improved data gathering on social indicators for Facchini, including diversity, inclusion and workplace safety. This provides a more holistic view of Facchini's ESG performance.

Automating data for strategic management

The automation of its data collection marks a considerable operational change for Facchini, which runs 10 factories across Brazil and has a network of 30 distributors that employ almost 6,500 people.

"Our biggest challenge has always been the consolidation of social and environmental data, which required a lot of time and manual effort," explains Claudemir Brito, Sustainability and ESG Manager at Facchini.

"With SAP Sustainability Control Tower, we will have all metrics integrated from carbon emissions and material circularity to social indicators of diversity and inclusion."

Claudemir says the expectation is that the system enables Facchini to generate sustainability reports in real time, "turning them into a foundation for strategic management decisions".

Meeting customer and regulatory demands

This implementation also addresses growing pressure from customers both domestically and internationally who require in-depth due diligence reports. These questionnaires can feature as many as 600 questions and compiling the responses currently takes Facchini several weeks.

The new system shortens this response time to a matter of days, potentially strengthening Facchini’s standing in markets with increasing regulatory scrutiny.

Pedro Pereira, SAP's Sustainability Director for Latin America and the Caribbean, views the technology as a way to transform corporate reporting.

"The unique value of the Sustainability Control Tower is to transform reports from annual documents to daily management tools," he explains.

"By integrating indicators directly into SAP's ERP supported by artificial intelligence and automation tools, the company will have a predictive and strategic vision to accelerate its sustainable growth."

Aligning with sustainability goals and future innovation

This development coincides with a heightened global focus on Brazil's sustainability efforts, particularly with COP30 being held in Belém.

Jan Gilg, SAP Americas' CRO and President, connects Facchini’s investment to the conference's sixth pillar, which centres on financing technology and capacity building.

"Using the cloud-based SAP Sustainability Control Tower, Facchini S/A made data central to decision-making: aligning metrics, automating data management and laying the foundation for a new wave of innovation powered by agentic AI," Jan says.

The system supports several of Facchini's specific targets, including its aim to achieve 100% renewable energy usage by 2026.

Facchini already reports that it reuses more than 95% of the steel scrap from its manufacturing and has directed at least US$5m to community organisations and social projects in the last decade.

SAP also indicates that this consolidated data could eventually provide context for AI agents developed to assist with strategy and risk anticipation, although a precise timeline for this functionality has not been released.