Responsible supply chain
Elopak is committed to conducting business in a responsible manner and to account for social and environmental aspects in our value chain. Our business depends on reliable and high-quality suppliers and raw materials that meet the demands of our own production as well as demands and expectations from our customers, end-consumers and other stakeholders.
Transparency and credible proof of sustainability is key to us. This is why we ensure that our main renewable materials, paperboard and renewable plastics, are sourced and verified through certification systems such as FSC™ and ISCC.
Elopak is committed to reducing emissions from our value chain by 25%. by 2030 from a 2020 base year. This can only be achieved through partnership and collaboration with key suppliers.
Science Based Targets in ElopakElopak’s Responsible Supply Chain work follows a risk-based approach and is based on UN Guiding Principles and OECD framework.
Supplier Code of Conduct
We work with suppliers that meet our requirements and monitor their performance and compliance to assess and mitigate social and environmental risks in our supply chain.
Elopak global Supplier Code of Conduct sets forth our requirements and expectations in business ethics, human rights, labor practices, health and safety, and the environment. We expect all suppliers to comply with the code and have an equivalent code for their suppliers and sub-suppliers. It is an integral part of our supplier onboarding process and supplier contracts.
Supplier Assessments
As part of our process to ensure responsible and sustainable business practices in our supply chain, we perform supplier sustainability assessments with the support of a third-party service provider, Ecovadis, covering the supplier’s performance in the areas of Environment, Labor & Human Rights, Ethics, and Sustainable Procurement Practices.
Supplier selection for the assessments considers supplier criticality, country of origin, and industry.
We have also developed and started implementing a Supplier Integrity Due Diligence self-assessment questionnaire used for supplier onboarding and qualification purposes covering the supplier’s ability to meet our requirements and expectations.
Where suppliers do not meet our expectations, we work with them on corrective actions to better understand potential gaps and improvement areas. Re-assessments are conducted minimum bi-yearly depending on results of of the initial assessments.
If Elopak identifies or becomes aware of a non-compliance or high risk, we actively engage with suppliers to discuss and agree on mitigating activities and a clear timeline for following up the activities. If a supplier fails or shows an unwillingness to improve or remediate the gap and/or key risk, we evaluate what steps to take and appropriate contractual actions.
By 2021 100% of our raw material suppliers and in total 80% of all suppliers (by spend) had either signed our Supplier Code of Conduct or demonstrated conformance.
Assurance
As a next step we are reviewing our suppliers on-boarding, qualification and performance
We are working to further embed human rights due diligence into our procurement processes and to continuously improve our Responsible Supply Chain procedure and framework.
We strive to improve the training program for all people involved in procurement processes and will improve engagement and effectively integrate responsible supply chain and sustainability considerations. We have also started working to develop nano-learnings and additional training material related to Responsible Supply chain and specifically on Human Rights risk assessment and due diligence in the supply chain that will be implemented in 2022/2023.