The objective
To define the set of information and metrics to collaboratively assess and monitor the performance in terms of Environmental, Social and Governance (ESG) Sustainability of industrial Supply Chains, while raising the level of awareness on initiatives that increase the Sustainability performance of players across all the layers of the Supply Chain.
Starting from the ESG requirements by Lenders and End-Users, the measurement of the ESG Sustainability of Vendors is considered not just a way to exert compliance, but a lever to grow competitiveness and business opportunities. In fact, the ESG aspects represent a growing relevance and are a core value for the re-start after COVID-19.
The 10 principles behind the Guidelines
1. Standard approach, focused on B2B industrial supplies
2. Comprehensive (including both equipment and services) and valid for all types of supplies (based on multiple templates)
3. Valid on a global level and independent
4. Pragmatic, lightening the burden for all actors of the value chain
5. Linked – as much as possible – to the existing ESG standards, norms and programs
6. Easy-to-use, with ESG Scores built to drive improvements of Vendors’ Sustainability
7. Shareable with the banking system to support funding on ESG improvement initiatives
8. Open and free-of-charge to Vendors from all categories
9. Accessible also to smaller Buyer organizations
10.Constantly updated to cope with newly introduced practices, requirements and standards
Inspired by existing standards and programs, applied to industrial supplies








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How the Guidelines were developed
The collaboration between Sustainability Managers and Supply Chain Managers delivered, across multiple interactions, the following points:
A. Mapping of the ESG requirements by Customers and Financial Institutions and of the existing standards and norms available on the market
B. Definition of the recommended practices on ESG Questionnaires to Vendors
C. Definition of the metrics for the creation of ESG Scores
D. Assessment of the benefits
E. Calibrations of the metrics based on utilization
