Project Narrative

Mitigating Water Risk For the past decade, the World Economic Forum (WEF)70 has listed water crises and impacts from climate change among the top five global risks. This is important for NIKE because our supply chain spans the globe and the impacts of an otherwise local water issue, such as a drought or flood, can ripple across the supply chain and affect the consumer. In FY16, we performed a baseline water risk analysis of our strategic finished goods and material suppliers by leveraging the Aqueduct Water Risk Atlas of the World Resources Institute (WRI). From FY17 to FY20, suppliers operating in regions classified as being at ÒhighÓ or Òextremely highÓ water risk were further assessed against local conditions and, once validated, required to develop mitigation plans aligned with NIKE expectations and ISO 14001 Environmental Management System and Risk Standards. By the end of FY20, all in-scope suppliers completed water risk mitigation plans.