Our 2023 Third Party Performance:
Zero
third-party compliance disclosures were made
90%
third-party compliance training completion rate
100%
third-party compliance certification completion rate
Three
third-party accounts were temporarily held until the annual certification was completed
- Third party due diligence
- Third party compliance training
All potential customers and suppliers are screened to ensure that they are not currently on any global sanctions or debarred lists. We also undertake due diligence on our agents, distributors and certain consultants (third-party representatives).
The level of due diligence conducted depends on risk factors such as the nature of the relationship with the third-party representative, territory of operation and business division. We routinely put accounts on hold where there are any compliance related questions or concerns and only release them when the issues are resolved and will terminate contracts for compliance related reasons where necessary.
Supplier Performance
All medium and high risk third-party representatives are required to complete our online Anti-Bribery for Business Partners training course and an annual Anti-Corruption and Code of Conduct online compliance certification. If training or certification is not completed within a specified timeframe, we withhold approval for the appointment of that third-party representative or place their account on hold, meaning no sales orders can be processed, or work commissioned. If training or certification is still not undertaken within a reasonable extension period, the relationship is terminated.
- Evaluating supplier performance
- Improving supplier performance
We have used EcoVadis to assess our key global suppliers since 2016. The platform enables us to rate the relative risk of suppliers against a database of over 130,000 global companies in over 180 countries. Our supplier evaluation process incorporates EcoVadis assessment scores into our purchasing and procurement systems and procedures and it is a requirement for all suppliers meeting agreed spend thresholds.
Throughout 2023, we have continued to promote the EcoVadis platform within our supply base. At the end of 2023, 286 suppliers, representing 49% of our global spend, had either been assessed or were in the onboarding process.
Whilst we continue to onboard new accounts that meet our relevant criteria, we have shifted our primary focus to start targeting our lowest scoring / higher risk suppliers to help them better understand the output of the evaluation. This process involves liaising with both EcoVadis and the supplier to understand poor performance areas, and then implement corrective action plans to improve their rating across the four pillars of the platform. The impact of this is that our average supplier score has now increased to 61.4% which remains significantly higher than the EcoVadis average of 50%.
