Catalyse change in your supply chain with responsible procurement
By Barbara Nebel and Femi Perumbally https://www.thinkstep-anz.com/ Supply chains have become a focal point of conversations around a company’s performance. Organisations and their stakeholders now want assurances that their values are reflected throughout the supply chain. A responsible procurement framework helps companies to mobilise positive change through the different tiers of their supply chain. By prioritising suppliers that align with their environmental and social values, they can encourage a much wider range of companies to shift the dial on those issues. This means working with companies that have similar values and are willing to put in the work to comply with the preferred supplier requirements — not just companies that already meet the requirements. We look at the companies putting responsible procurement frameworks into action and the three core components required for success: stakeholder engagement, screening, and supplier code of conduct. Stakeholder engagement: Understand the priorities of your company and stakeholders The first step is to understand the areas that are most important to your organisation. A materiality assessment can help you identify and prioritise the issues that are most important to your organisation, based on feedback from a wide range of internal and external stakeholders. If you are not able to undertake a full materiality process right now, it doesn’t mean you have to miss out on the benefits of stakeholder engagement. You can still engage with your internal and external stakeholders on a smaller scale to understand the high priority areas and market expectations for your organisation. This can feed into your responsible procurement framework and the overall process for supplier selection. To determine priority areas related to their sustainability values, premium lighting solutions company, Eagle Lighting (formerly known locally as Fagerhult NZ) looked to the UN Sustainable Development Goals framework for inspiration. An SDG workshop run by […]