How to Design a Supplier Code of Conduct for Supplier Qualification

May 4, 2021 EcoVadis EN

Suppliers’ sustainable business acumen is critical to the success and integrity of sustainable procurement. By developing and enforcing a Supplier Code of Conduct, procurement departments mitigate unwanted risk and support suppliers in maintaining a high level of sustainability integrity. 

Following are important components of a Supplier Code of Conduct: 

  • Systematic coverage across all business units and categories,
  • Mandatory supplier self-assessment questionnaire,
  • Supplier registration process is consolidated in a centralized database and system is linked to sourcing, procure-to-pay and risk modules,
  • Complete qualification and due diligence process in place covering all supplier risk and quality aspects against clear internal quality requirements and external standards e.g. industry specific ISO certifications,
  • Sustainability fields and data points are mandatory and detailed documentation and proof is requested,
  • A dedicated and empowered team is in charge of the validation,
  • Absence or incompleteness of sustainability data points blocks the supplier validation and disables the creation of purchase orders. 
To learn more about defining a clear code of conduct for your suppliers, visit the EcoVadis Academy.

About the Author

EcoVadis EN

EcoVadis is a purpose-driven company dedicated to embedding sustainability intelligence into every business decision worldwide. We offer a full range of solutions including IQ-Plus Risk & Compliance Management, EcoVadis Ratings, and Carbon Action Module for Scope 3 Decarbonization. Key features like 360/Live News Monitoring, Academy E-learning and Corrective action plans help companies comply with ESG regulations, reduce GHG emissions, and improve the sustainability performance of their business and value chain across 250 industries in 185 countries.

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