Sustainable supply chain practices result in improved brand equity
Source: World Economic Forum,
“Beyond Supply Chains”
90% of the studies on the cost of capital show that sound sustainability standards lower the cost of capital for companies
Sustainable supply chain practices can reduce costs linked to supply chain by 9-16%
Source: World Economic Forum,
“Beyond Supply Chains”
Johnson & Johnson is a holding company, which engages in the research and development, manufacture and sale of products in the health care field. It operates through the following segments: Consumer, Pharmaceutical, and Medical Devices.
By partnering with our suppliers, we can strengthen the social, environmental and economic performance of our supply chain, reducing our collective footprints and strengthening our companies as well. EcoVadis helps us to map our supplier conformance to J&J Responsibility Standards.
Nestlé SA is a nutrition, health and wellness company, which engages in the manufacture, supply and production of prepared dishes and cooking aids, milk-based products, pharmaceuticals and ophthalmic goods, baby foods and cereals.
We have found EcoVadis to be extremely efficient and useful to manage most of our service and indirect materials suppliers. Through EcoVadis we are able to get a deep understanding of our suppliers' practices.
Aligned with Nestlé Responsible Sourcing, EcoVadis gives suppliers a unique way to demonstrate their sustainability performance by building on what they already have.
For buying organizations such as Nestlé, the EcoVadis platform is one of the tools we use to avoid duplication and to ensure effective collaboration on responsible sourcing with our strategic suppliers.
LVMH Moet Hennessy Louis Vuitton SE is a luxury goods company. Its business activities are divided into various business groups, including Wines & Spirits, Fashion & Leather Goods, Perfumes & Cosmetics, Watches & Jewelry, Selective retailing and Other activities.
New regulations can be helpful because until recently sustainability was something that each LVMH House had to approach on its own. Now, with Sapin II and "Devoir de vigilance" (Duty of Care) regulations, especially in France, the group as a whole is also responsible for what happens at the subsidiary level. This means we need to create more links between what can be done at House level, the business line level, or at the group level. It also strengthens all the synergies we want to create between our subsidiaries. This is a very positive thing for us. The advice I would give about using EcoVadis is that it can help you to make a quick and fairly accurate mapping of the suppliers who are at risk
Founded in 1876, Henkel operates worldwide in three business areas: Adhesive Technologies, Beauty Care and Laundry & Home Care.
The company holds leading positions in both industrial and consumer businesses thanks to brands, innovations and technologies such as Persil, Schwarzkopf and Loctite.
Besides the metrics, EcoVadis provides a point of entry for discussion with our suppliers, enabling dialogue about innovation. These can potentially result in joint opportunities, creating a competitive advantage for Henkel or simply securing supply.
L’Oréal S.A. is a French personal care company headquartered in Clichy, Hauts-de-Seine with a registered office in Paris. It is the world’s largest cosmetics company and has developed activities in the field concentrating on hair colour, skin care, sun protection, make-up, perfume, and hair care.
We have more than 70.000 suppliers, and I'm just talking about tier one. Knowing this very large scope, I need people around me to help me drive my action plans.
Atos is a French multinational information technology (IT) service and consulting company headquartered in Bezons, France and offices worldwide. It specialises in hi-tech transactional services, unified communications, cloud, big data and cybersecurity services.
We at procurement have to help our sales organization with bids to our customers or clients or potential clients. Certainly, we've seen recently that more clients are asking for a sustainability criteria or even an EcoVadis score within the bid package that we're putting back. In the UK, we won a public sector bid. The difference was the fact that we had a CSR score and a sustainability program that we could reference and that they recognized.
Group PSA is a French multinational manufacturer of automobiles and motorcycles sold under the Peugeot, Citroën, DS, Opel and Vauxhall brands.
It starts with the strategy we ask every buyer and every commodity to have. When they have a strategy, every supplier who are part of it must already have a CSR rating. This means that before any call for tenders is launched, CSR is part of it. And then, of course, we keep in mind that when each buyer presents something to the whole group, they want to make a call for tenders, CSR must be in order.
If you look at our vehicles, more than 90% of what they are made of is purchased....This is why we are working in the purchasing department to ensure that all the vehicles on the street are produced in a sustainable way. Here we really have a very big job to do. There’s also something for us in it, it's a pleasure to do that and we really feel empowered to do it to really drive the industry in that. I think this is a natural thing to do.
Founded in 1933, Air France is a founding Member of SkyTeam. Air France is always pursuing an ongoing policy focused on quality and innovation. Tailoring products and services to customers’ expectations is one of the most important challenges of Air France. Our efforts have led to major overhauls, such as the introduction of the New Travel Concept on long-haul flights, in particular with the new cabin layout in La Première (First Class), Affaires (Business Class), Premium Voyageur (Premium Economy) and Voyageur (Economy) cabins, along with significant changes to medium-haul flights.
We chose EcoVadis because we believe that we should work with subject matter experts, because we do not have the resources in-house and because EcoVadis has made it possible for us to have a procedure, a network of suppliers and a structured method for the evaluation of suppliers. It fully meets our needs and I think it can meet the needs of many companies.
Founded in 1964, Cascades offers sustainable, innovative and value-added packaging, hygiene and recovery solutions. Cascades provides innovative products that customers have come to rely on, while contributing to the well-being of people, communities and the entire planet.
In 2012, all the evaluations were conducted in-house and our sustainable development team looked at several companies that could support us. EcoVadis was the most advanced among them and the one we decided to go for. And last year, when it was time to renew our contract, we looked again at what's available in the market and decided to continue with EcoVadis. One of the things we really appreciate is the support we receive from the experts who work with us to help us improve.
A world leader in gases, technologies and services for Industry and Health, Air Liquide is present in 80 countries with approximately 66,000 employees and serves more than 3.6 million customers and patients. Oxygen, nitrogen and hydrogen are essential small molecules for life, matter and energy. They embody Air Liquide’s scientific territory and have been at the core of the company’s activities since its creation in 1902.
Air Liquide’s ambition is to be a leader in its industry, deliver long term performance and contribute to sustainability.
Our company has a spend of around EUR 10 bn per year, with around 70 000 suppliers. One of our purchasing specificities is linked to the diversity of our activities and geographies we work with. And therefore brings a degree of complexity when managing purchasing categories and during the implementation of our procurement strategies.
Rete Ferroviaria Italiana (RFI) is the company of the Ferrovie dello Stato Group with the public role of Infrastructure Manager. As the body responsible for the track, the stations and the installations, RFI ensures to Italian railway undertakings the access to the railway network, performs the maintenance and the safe circulation on the whole network, manages the investments for the upgrading and improvement of railway lines and installations and it develops the technology of systems and materials.
We are first in Italy, and I presume in Europe, in the railway sector, introduced to the EcoVadis rating as awarding criteria in our public tenders. Now, the next step will be the whole group introducing this evaluation as an awarding rating, not only us, but also the train operating companies and the other two main company of the group.
ManpowerGroup is the world leader in innovative workforce solutions, connecting human potential to the power of business. ManpowerGroup serves both large and small organizations across all industry sectors through our brands and offerings: ManpowerGroup Solutions, Experis, Manpower and Right Management.
We use the EcoVadis assessment as our common standard to educate local teams about global client expectations, discover areas of potential risk, and identify good practices to share across the organization.
AXA is a French multinational insurance firm headquartered in the 8th arrondissement of Paris that engages in global insurance, investment management, and other financial services.
The benefit of working with EcoVadis is their expertise and their support to train our procurement colleagues and helping us to redefined our processes to understand the risks and proactively address them.
UPM products include pulp, paper, plywood, sawn timber, labels and composites, bioenergy, biofuels for transport, biochemicals and nano products. The company is the world’s leading producer of graphic papers and second-largest producer of self-adhesive label materials.
UPM has a rather large supply base. We have over 25,000 suppliers, and we source a lot of different raw materials. For us, it's crucial to know where the risks are. We need tools that help us decide where to focus our actions.
New trends and expectations are reshaping the automotive industry. Inspired by the exciting new challenges associated with this revolution, Faurecia anticipates the future of mobility developing cutting-edge solutions for cockpit of the future and sustainable mobility. If you’re willing to contribute and create value for tomorrow’s cleaner and smarter mobility, Faurecia is the place to be.
Sustainability reporting is fully included in Faurecia key performance indicators and monthly reviews. As we assess our suppliers we adjust their key performance indicators to match our sustainability maturity levels.
Verescence is the world leader in glass bottle manufacturing for the Perfumery and Cosmetics Industry and has been supplying the biggest brands with glass for over 120 years.
We were evaluated EcoVadis for several years due to our customers' request. Three years ago, we took the decision at the executive committee level to choose Ecovadis as the internal reference for our sustainability initiatives. That allowed us to structure our CSR system because the EcoVadis reference framework covers all of the CSR issues and, on the other hand, it also allowed us to align the different subsidiaries with the group's strategy and ensure that the deployment of this strategy was both measurable and aligned with the group's strategies.
Belron International Ltd. is the world’s leading provider of vehicle glass repair and replacement (VGRR) services. The company operates a network of thousands of glass replacement service centers, backed by a mobile repair fleet.
For me, as a CSR director, it is very important to have this kind of tool to engage people in the strategy. We send the score to the partners that ask us to be evaluated by EcoVadis, and we also give this score to the other partners who have not asked us to be evaluated. This gives us an external approval, external approach of what we do, and this is something very important.
We adopted the EcoVadis platform because it was one of the longest established assessment platforms with a good robust approach to assessing and reviewing performance in the sustainability area. Also, we had one of our key clients who was requiring us to complete it as a supplier, and this basically gave us a really good synergy to adopt a program, which not only was satisfying our clients, but which also was helping us internally to drive sustainable thinking and embedding a sustainable approach to business within each of our organizations. The thing that we really like about the EcoVadis platform is a template which each of our businesses can adopt and can use to help them for their own purposes, for their own priorities within their particular country, within their particular market and it gives them their own local ownership.
Atlinks is principally engaged in home and office telecommunication product designing. Their customers include large consumers retail chain stores, telecom operators and distributors mainly located in Europe and Latin America.
Back in 2012, one first-tier telecom operator customer requested us to fill in the questionnaire as a supplier and then a second one. We soon saw the benefits of joining the EcoVadis program. It is a very well-known platform for CSR evaluation and other customers were also asking to see our assessment. Plus the fact that we got good results encouraged us to communicate this more widely to our customers.
Sustainability assessments are now part of our management system and are planned at the end of the yearly cycle of activities, programs, training, audits, awareness and reviews. This has also proved very useful for our IPO because the Hong Kong Exchange market is very demanding when it comes to sustainability. We had a number of initiatives in place before but EcoVadis helped us structure them and create value for our customers.
The Beckers Group is a global coatings company that is focused on developing high-quality environmentally compatible paint systems. With expertise based on their long history dating back over 150 years, Beckers today provides solutions to customers in 60 countries.
EcoVadis is a good guideline for the suppliers to develop their processes and performance, diminishing the long term supply risk [for Becker's Group]
Ciena is a networking systems, services and software company. They provide solutions that help their clients create the Adaptive NetworkTM in response to the constantly changing demands of their users.
The scorecard feedback is relatively easy to use and understand and includes integrated corrective actions. The format highlights focus areas which is helpful when talking with buyers about a supplier’s performance.
Clariant AG is a Swiss speciality chemicals company, formed in 1995 as a spin-off from Sandoz. The company is focused on four business areas: care chemicals (consumer and industrial); catalysis; natural resources (oil & mining, minerals); and plastics & coatings.
The key advantages and benefits of the EcoVadis methodology are that it is extremely flexible, so it can adapt to the supplier profile across industries, geographies and sizes. Additionally, it not only provides a score, but it provides a basis for suppliers to drive an improvement program. The suppliers are therefore able to show us and themselves how much they have improved in terms of sustainability performance.
Coca-Cola Amatil Limited (CCA) is one of the largest bottlers of non-alcoholic ready-to-drink beverages in the Asia-Pacific region and one of the world’s five major Coca-Cola bottlers.
Sustainable procurement for us started in the 'Protect' area, where we are all about risk management and brand reputation, making sure our suppliers are doing the right thing. A rigorous internal communication and engagement plan was developed in order to gain support and incorporate feedback prior the program launch.
EA is a 100% employee-owned public benefit corporation that provides environmental, compliance, natural resources, and infrastructure engineering and management solutions to a wide range of public and private sector clients.
It was in great interest to us as an organization to have EcoVadis come in and look at exactly what we are doing to give us some opportunities to learn what we can improve upon, as well as what we are doing well and maybe create opportunities to enhance those aspects of our program.
Firmenich SA is a private Swiss company in the fragrance and flavor business. It is the largest privately owned company in the field and ranks number two worldwide. Firmenich has created perfumes for over 100 years and produced a number of well-known scents.
EcoVadis has become a strategic tool for us and a way to structure what we do. And also a way to engage our teams. From a business point of view, a lot of our clients who know EcoVadis ask for EcoVadis Rating. It certainly helps create a common ground with our clients as well. I think we are looking forward in the future to do the same with our suppliers and to create this very interesting positive chain, from brands all the way down to farmers or suppliers in our other fields.
The ING Group is a Dutch multinational banking and financial services corporation headquartered in Amsterdam. Its primary businesses are retail banking, direct banking, commercial banking, investment banking, wholesale banking, private banking, asset management, and insurance services.
Rewarding sustainability improvement is our aim and the key message in our new sustainability campaign. We encourage clients across all sectors to improve their sustainability performance and we offer them incentives to do so. Companies can benefit from a sustainability rating and now an improved rating can result in lower cost of funding.