Current segment
Segment 11.3 Achieving Ethical and Responsible Sourcing
Segment 11.3 Achieving Ethical and Responsible Sourcing
Knowledge: Will know and understand | Capabilities: Will be able to |
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International and industry standards that apply against criminal conduct |
Inform colleagues and stakeholders of international standards that apply against criminal conduct, such as:
|
How to support the implementation of ethical and sustainable sourcing practices |
Engage with stakeholders to devise specifications, contract terms, KPIs and other instruments that encourage suppliers to prevent, detect and eradicate breaches of ethical standards |
The use of prequalification and assessment criteria across all tiers of the supply chain that can be applied to encourage ethical/and sustainable sourcing in the procurement process |
Engage with stakeholders to agree prequalification and assessment criteria that can be applied to encourage ethical and sustainable sourcing and undertake a risk-based approach to segmenting tiers of the supply chain to fully assess ethical and sustainability risks |
Sources of information and databases that examine ethical practices |
Carry out research and map supply chains to assess vulnerabilities and risks in supply that may result in breaches of ethical standards |
The importance of obtaining supporting information on ethical practices in supplier quotations and tenders |
Undertake due diligence to evaluate the risks of suppliers breaching ethical standards |
The use of audits and other feedback mechanisms to evaluate workplace standards |
Monitor performance and encourage dialogue with suppliers about how improvements to workplace standards can be achieved, and recommend to senior management appropriate remedies that can be taken with suppliers that may have committed breaches of ethical policies |
The potential impact of bribery, corruption and fraud on sourcing activity in procurement and supply |
Undertake due diligence checks on suppliers to evaluate the risks of bribery, corruption and fraud, and monitor for potential breaches in the performance of contracts |
The potential impact of corporate social responsibility (CSR) on sourcing activity in procurement and supply |
Undertake due diligence checks on suppliers to evaluate compliance to CSR principles and develop contracts which ensure future CSR adherence and the ability to monitor for potential breaches |
The potential impact of sustainable procurement on sourcing activity in procurement and supply |
Undertake due diligence checks on suppliers to evaluate compliance with sustainable procurement principles. Develop contracts that ensure ongoing sustainable procurement principles. Monitor for potential breaches |
The potential impact of modern slavery on sourcing activity in procurement and supply |
Undertake due diligence checks on suppliers to evaluate their position on modern slavery and develop policy and procedures to identify and act on any suspected breaches of associated legislation, e.g. UK Modern Slavery Act (2015) |
International and industry standards that apply against criminal conduct
Inform colleagues and stakeholders of international standards that apply against criminal conduct, such as:
- Bribery, corruption and fraud
- Human rights abuse, including modern slavery, child labour and decent working principles
- Industry schemes, voluntary codes and legislation and escalating any suspected breaches
- United Nations Guiding Principles on Business and Human Rights (UNGP, 2011)
How to support the implementation of ethical and sustainable sourcing practices
Engage with stakeholders to devise specifications, contract terms, KPIs and other instruments that encourage suppliers to prevent, detect and eradicate breaches of ethical standards
The use of prequalification and assessment criteria across all tiers of the supply chain that can be applied to encourage ethical/and sustainable sourcing in the procurement process
Engage with stakeholders to agree prequalification and assessment criteria that can be applied to encourage ethical and sustainable sourcing and undertake a risk-based approach to segmenting tiers of the supply chain to fully assess ethical and sustainability risks
Sources of information and databases that examine ethical practices
Carry out research and map supply chains to assess vulnerabilities and risks in supply that may result in breaches of ethical standards
The importance of obtaining supporting information on ethical practices in supplier quotations and tenders
Undertake due diligence to evaluate the risks of suppliers breaching ethical standards
The use of audits and other feedback mechanisms to evaluate workplace standards
Monitor performance and encourage dialogue with suppliers about how improvements to workplace standards can be achieved, and recommend to senior management appropriate remedies that can be taken with suppliers that may have committed breaches of ethical policies
The potential impact of bribery, corruption and fraud on sourcing activity in procurement and supply
Undertake due diligence checks on suppliers to evaluate the risks of bribery, corruption and fraud, and monitor for potential breaches in the performance of contracts
The potential impact of corporate social responsibility (CSR) on sourcing activity in procurement and supply
Undertake due diligence checks on suppliers to evaluate compliance to CSR principles and develop contracts which ensure future CSR adherence and the ability to monitor for potential breaches
The potential impact of sustainable procurement on sourcing activity in procurement and supply
Undertake due diligence checks on suppliers to evaluate compliance with sustainable procurement principles. Develop contracts that ensure ongoing sustainable procurement principles. Monitor for potential breaches
The potential impact of modern slavery on sourcing activity in procurement and supply
Undertake due diligence checks on suppliers to evaluate their position on modern slavery and develop policy and procedures to identify and act on any suspected breaches of associated legislation, e.g. UK Modern Slavery Act (2015)
This segment was last updated on: 21st May 2021