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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
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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 10.45 Coffee and registration 11.00 Introductions and objectives 11.15 What do we mean by supplier engagement? 11.45 Good practice review Examples of different approaches 12.30 Lunch 13.00 Good practice review Examples of different approaches 14.30 Action planning – What can we do? 15.00 Coffee 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?
Life cycle impacts of an organisation Inputs Outputs Your Organisation • Information • Services • Products • Wastes • Suppliers • Energy • Materials • People Environmental and social impacts
Why is it important? Impacts and Opportunities (Environment) High Environmental Footprint Natural Resources Transportation Manufacturing Product Distribution Consumers Low Supply Chain
Why is it important? Current Management Effort (Environment) High Environmental Footprint Natural Resources Transportation Manufacturing Product Distribution Consumers Low Supply Chain
Why is it important? Mismatch between the two High Environmental Footprint Natural Resources Transportation Manufacturing Product Distribution Consumers Low Supply Chain
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
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
SWOT Analysis Feedback
Understanding the feedback Exercise – Analysing Questionnaires
Key indicators of poor practice The following are indicators that companies do not take sustainability seriously: • 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.
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?
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 jbrannigan@esdconsulting.co.uk