Supplier Engagement EAUC – EAF Programme

EAF Programme Background  Three year project  Reducing negative environmental and social impacts through purchasing  Steering group, partners from Further Education and Higher Education  Training Train the trainer Policy and strategy development Risk based approach to procurement Supplier engagement Social issues in procurement

Supplier Engagement Agenda 10.45Coffee and registration 11.00Introductions and objectives 11.15What do we mean by supplier engagement? 11.45Good practice review Examples of different approaches 12.30Lunch 13.00Good practice review Examples of different approaches 14.30Action planning – What can we do? 15.00Coffee and close

Supplier Engagement Format and style of workshops  Interactive  Informal  Varied  Fun  Proactive

Supplier Engagement Objectives Share ideas on approaches to supplier engagement to achieve sustainability Review good practice in supplier engagement Identify opportunities to increase supplier engagement Understand the benefits and risks of supplier engagement

What do we mean by supplier engagement? What is it? What do you already do? Why is it important?

What is it?

What do you do already?

Why is it important?

Life cycle impacts of an organisation ò Suppliers ò Energy ò Materials ò People Inputs Your Organisation ò Information ò Services ò Products ò Wastes Outputs Environmental and social impacts

Why is it important? Natural Resources TransportationManufacturing Product Distribution Consumers Environmental Footprint Impacts and Opportunities (Environment) Low Supply Chain High

Why is it important? Natural Resources TransportationManufacturing Product Distribution Consumers Environmental Footprint Current Management Effort (Environment) Low Supply Chain High

Why is it important? Natural Resources TransportationManufacturing Product Distribution Consumers Environmental Footprint Mismatch between the two Low Supply Chain High

Why is it important? You are at risk!!  Activities of your suppliers  Prosecution  Negative media publicity There are opportunities!!  Increase and protect your reputation  Tell a good news story  Build productive partnerships

Good practice review

Supplier Engagement Good practice review  Where do you start!  Supplier credo’s and codes of conduct  Use of questionnaires  Supplier workshops  Guidance for suppliers  Working with suppliers

Supplier engagement Where do you start?  What is important to your organisation?  Do you know who your suppliers are?  Do you understand the impact of your organisation?  Are you committed to sustainable procurement?  Are staff ready to support implementation?  Internal first!

Supplier engagement  Supplier credo’s and codes of conduct  Use of questionnaires  Supplier workshops  Guidance for suppliers  Working with suppliers Different approaches

Supplier engagement SWOT Analysis  In pairs Supplier workshops Questionnaires

Supplier engagement StrengthsWeaknesses OpportunitiesThreats

SWOT Analysis Feedback

Understanding the feedback Exercise – Analysing Questionnaires

Key indicators of poor practice Use of vague statements e.g. “we comply with all relevant regulations”. Concentration on peripheral issues – e.g. overemphasis on community involvement and charitable giving. Lack of transparency – no published CSR or sustainability report. The following are indicators that companies do not take sustainability seriously:

Key indicators of good practice A commitment to continuous improvement. A systematic approach to the management of CSR issues (e.g. through the use of ISO 14001, EMAS, BS8555, SA8000). A commitment to publishing a CSR or sustainability report. The following are indicators that companies take sustainability seriously:

Supplier engagement Guidance  Examine the guidance materials that are available  What do you like about them?  What can you use?

Feedback

Supplier engagement What are the different approaches available to us?

Supplier engagement Summary  Internal first Your priorities Your objectives Your focus Staff are prepared Buy in at every level

Supplier engagement Summary  Engaging with suppliers Prioritised Use familiar processes Start the conversations early Produce guidance Support them

Many thanks Jimmy Brannigan