We ensure that our supply chain complies with legal, ethical and social requirements, while also finding opportunities for environmental improvement and economic efficiency.
We are committed to ensuring that all Third Parties we work with share our values and standards. We work closely to with our suppliers to encourage higher standards, for example through our work on Responsible Sourcing of Palm Oil (RSPO)
- Supplier Code of Conduct
Innospec believes that honest and transparent business conduct is vital and is committed to ethical business practices and actively enforcing compliance with all applicable laws, regulations and rules.
Innospec’s supplier code of conduct (code) applies to all Innospec’s suppliers, service providers, and other contractors (suppliers). All suppliers are responsible for ensuring that their employees involved with Innospec business are familiar, and comply, with the Code.
- Third Party Due Diligence
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 that may include the collation of data via completion of questionnaires, risk screening and interviews.
The level of due diligence conducted depends on risk factors such as third-party type, territory 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.
- Third Parties compliance training
All medium and high risk Third Parties (agents, distributors and consultants) are required to complete our anti-corruption online compliance training. If training is not completed within the notified timeframe, we place the Third Party on hold, meaning that no sales orders can be processed. If training is still not undertaken within a reasonable extension period set by our Legal and Compliance Department, then the relationship is terminated.
- Managing procurement responsibly
Since 2016, we have partnered with EcoVadis, a supplier sustainability evaluation rating platform, to assess our key global suppliers. The platform enables us to assess, evaluate and benchmark the relative environmental, ethical and social risk of suppliers as compared with over 44,200 global companies.
In 2018, we introduced a new system that allows us to incorporate EcoVadis assessment scores into our supplier evaluation process. The process is now fully emended into our purchasing and procurements systems and is a requirement for all raw material suppliers.
In addition, all potential customers and suppliers are also 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 that may include the collation of data via completion of questionnaires, risk screening and interviews. The level of due diligence conducted depends on risk factors such as third-party type, territory and business division.
In 2019, we invited 190 suppliers to complete EcoVadis assessments covering 98% of our annual spend on raw materials. We recorded an impressive 84% response rate from the suppliers targeted, with an average score of 57.4, comparing favorably with the EcoVadis average of 42.5.
- Conflict Minerals
We are committed to the responsible sourcing of materials, which includes ensuring that conflict minerals are not ‘necessary to the functionality or production’ of our products, as defined under Section 1502 of the Dodd-Frank Wall Street Reform and Consumer Protection Act. Our most recent conflict minerals statement along with our supplier expectations can be found via the link below.
Click below for further information.