Corporate social responsibility in the supply chain
Input and correlations relevant to theme
Theme definition
Outsourcing, investments and production in other countries sometimes lead to an increased risk regarding the recognition and observance of norms in such areas as fundamental human rights, safety and the environment. Specifying procurement criteria and vetting suppliers in the product chain is instrumental in taking our corporate social responsibility.
Stakeholder expectation
With an annual procurement volume of about €1 billion, we are a major purchaser of products and services in the Netherlands. Stakeholders expect us, together with our suppliers, to ensure that our procurement is as sustainable as possible. If we can persuade our suppliers to take sustainability as seriously as we do ourselves, we can generate a significant positive impact through our supply chain.
Our long-term objective
We actively seek to improve our supply chain performance. This includes making plans with our suppliers to reduce carbon emissions and promote responsible operations. Our objective is to purchase at least 60% of our procurement volume based on circular principles by 2025. In addition, all suppliers must meet the Alliander Code of Conduct.
Contribution from Alliander
As well as maintaining continuous awareness of our compulsory Code of Conduct among all suppliers, we purchased 30% of our procurement volume based on circular principles in 2019. In doing so, we support the achievement of our socially responsible procurement objective in the Netherlands, while also promoting further sustainability among our suppliers through our Socially Responsible Procurement statements. Outsourcing, investments and production in other countries sometimes lead to an increased risk regarding the recognition and observance of norms in such areas as fundamental human rights, safety and the environment. The assessment of suppliers in the supply chain is part of our CSR and procurement policy.
Relationship with Alliander impact model
Manufactured capital, natural capital
Correlation with strategy
Reliability, affordability, accessibility
Risks
Capacity for change