Procurement decisions have a significant impact on people and the planet. By considering the social and environmental practices of suppliers, businesses can reduce risks, support ethical supply chains, and drive positive change beyond their own operations. Sustainable procurement also helps improve resilience, strengthen supplier relationships, and align with growing expectations from customers, investors, and regulators.

To embed sustainable procurement, businesses should assess the environmental and social risks associated with their key suppliers — such as labour practices, emissions, resource use, or waste. They should set clear expectations through supplier codes of conduct or contractual terms, and engage suppliers in discussions about responsible practices.

This may include prioritising suppliers with recognised certifications, supporting small or local enterprises, or collaborating to improve standards over time. Regular monitoring, audits, or self-assessments can help track performance and identify areas for improvement.

By integrating sustainability into procurement decisions, businesses can reduce harm, support more equitable and sustainable supply chains, and create long-term value for all stakeholders.

Do you assess social and environmental impacts of key suppliers, set expectations for responsible practices, and engage them to drive improvements?

• Percentage of significant suppliers evaluated for social and environmental impacts.
• Information on how suppliers are engaged to improve social and environmental performance
• Information on social and environmental requirements for key suppliers