EcoVadis just released its annual Global CSR Risk and Performance Index. The report offers so much comprehensive insight into the supply chain global sustainability performance. Most interestingly, we are talking more than 30,000 companies worldwide.
Here’s what you need to know:
- Overall, despite global sustainability scores increasing since 2015, it appears they have plateaued.
68% of companies globally lack measures to promote diversity, equality and inclusion.
The lowest scoring theme is “sustainable procurement” (or, what suppliers are doing about their own supply chain), which means visibility into sub-tiers is a serious risk area.
The top performing regions for large companies are Europe and North America.
Greater China is the lowest-scoring and highest-risk region.
Here’s why it matters:
When left unmanaged, the supply chain can expose organizations. As well as society to serious hidden risks. Those include most noteworthy slavery, forced labor, dangerous working conditions, environmental damage, corruption and more.
Here’s what you need to do:
First of all, Engage your suppliers. Your supply base is the single-most crucial lever for reducing risk and creating real, networked impact across the supply chain.
In conclusion, more than 75% of companies that were assessed at least twice by EcoVadis maintained or improved their score. Finally proving that sustainable procurement makes a difference!!