EcoVadis has unveiled its 2019 Sustainable Procurement Barometer: From Compliance to Performance report, which reveals how sustainability is evolving in procurement priorities. Compiled together with NYU Stern Center for Sustainable Business, the analysis suggests that organizations are attaching greater importance on business ethics and labor and human rights practices than they did three years ago.
However, the fact that compliance with regulations remains a high priority suggests that companies’ motivations aren’t as altruistic as the above would suggest.
“The importance placed on regulations is quite striking, but not surprising given the global awareness and growth in supply chain due diligence and reporting laws. While keeping up with compliance is important, a compliance-only approach could compromise the business benefits awaiting companies that move beyond ‘checking boxes’ to truly engage suppliers,” said Pierre Francois Thaler, Co-CEO of EcoVadis. “Embedding programs into corporate strategy, leveraging external databases and integrating them via a balanced scorecard approach will inherently address compliance concerns while also delivering long-term value.”