Responsible sourcing

For suppliers
For suppliers
Responsible sourcing

We expect suppliers to share our commitment to sustainability, provide a safe work environment and treat their employees fairly. Meeting these conditions is a prerequisite for embarking on a business relationship with us.

Our approach to responsible sourcing

At AkzoNobel, we are focused on ensuring that the pioneering paints and coatings we supply continue to protect what matters most – both now and in the future. We innovate with and for customers and play a progressive and collaborative role in energizing entire industries to advance towards a more sustainable future.

We’re focused on realizing our science-based target of halving our carbon emissions by 2030. It is one of several ambitions we have, which are built on three main pillars – producing durable solutions in a more sustainable manner; helping our customers become more sustainable; empowering communities and our employees.

We believe in working together to find inventive ways to make a positive contribution to an ever-changing world. This is not a “nice to have” – it is vital, if we are to realize our ambitions and respecting internationally recognized human rights throughout our value chain.

Responsible sourcing policy

Together for Sustainability

As a member of Together for Sustainability (TFS) we have been proactively managing the sustainability performance and risk management of our suppliers since 2014.

The TfS initiative provides infrastructure for one-line assessments carried out by EcoVadis – the partner of TfS and AkzoNobel – and on-site audits.

Both programs are based on international standards and cover key sustainability areas like Environment, Labor and Human Rights, Health and Safety, Ethics and Responsible Supply Chains

The results of audits and assessments are shared across all TfS members, which helps our suppliers to limit the amount of assessment/audit.

In scope are suppliers operating in risk regions or industries.

Together for sustainability TFS Academy

Supplier Carbon Scorecard (SCS)

We use our SCS to collect information on our suppliers decarbonization plans and Product Carbon Footprint (PCF) in line the TfS PCF Guideline. This is to ensure that suppliers with a high impact on our carbon emission support us on our SBTi target of reducing carbon emission by 50% by 2030 (2018 baseline).

What we expect from our suppliers in regards to human rights?

Commit to respect human rights: Publicly endorse the UNGPs, Establish a human rights and responsible sourcing policy.
Identify and assess risks in your supply chain: The materials we have identified in our supply chain might be a starting point, however your due diligence process should not be limited to those
Increase traceability & transparency: Track back materials and products and the conditions under which they were produced through the supply chain. Gain information on upstream actors until so called “control points” and be transparent on your human right issues
Audit “point of transformation”: Ensure that control point are conducting due diligence on their upstream suppliers to reasonable determine that risk of adverse impact have been identified, prevented and mitigated
Increase leverage: Collaborate with peers, supply chain partners or industry initiative (e.g. Responsible Mineral Initiative)

Key ambitions

*Across the value chain (Baseline 2018)

**Suppliers with a global spend of more than €250,000 that work in a risk category or country, or have a global spend of more than €1 million (irrespective of their risk rating) are in scope for Together for Sustainability (TfS) assessment and audits

***Transparency of identified high-risk materials regarding their potential impact on human rights

Four steps towards a sustainable supply chain

1. Code of conduct

All suppliers with purchases over €1,000 must sign the Business Partner Code of Conduct or confirm in writing that it has equivalent business principles in place.

2. Assess

Suppliers with a global spend of more than €250,000 that work in a risk category or country, or have a global spend of more than €1 million are selected to participate in TfS assessments (executed by EcoVadis, a partner of TfS) and TfS on-site audits.

3. Improve

Suppliers are expected to work on their improvement areas as indicated in the assessment scorecard or the audit corrective action plan.

4. Review

Suppliers need to achieve an overall EcoVadis score of at least 45 and a labor and human rights score of at least 50. Suppliers not meeting our expectations are requested to improve through annual re-assessments within 3 years. For the on-site audits, that are executed by 3rd party auditors, we expect our supplier to close their findings as indicated in the corrective action plan.