Case study: How Randstad promotes responsible procurement
Randstad helps people secure rewarding jobs and stay relevant in the ever-changing world of work. Randstad’s suppliers make an important contribution to the quality of its services. Accordingly, Randstad asks them to embrace its standards and comply with its Supplier Code.
This case study is based on the 2021 Annual Report by Randstad, prepared in accordance with the GRI Standards, that can be found at this link. Through all case studies we aim to demonstrate what CSR/ ESG/ sustainability reporting done responsibly means. Essentially, it means: a) identifying a company’s most important impacts on the environment, economy and society, and b) measuring, managing and changing.
Abstract
Randstad requests that its suppliers – and their own suppliers, too – respect its social, ecological and other principles. Tweet This! In order to promote responsible procurement Randstad took action to:
- implement a Supplier Code
- appoint a Chief Procurement Officer
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With this case study you will see:
- Which are the most important impacts (material issues) Randstad has identified;
- How Randstad proceeded with stakeholder engagement, and
- What actions were taken by Randstad to promote responsible procurement
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What are the material issues the company has identified?
In its 2021 Annual Report Randstad identified a range of material issues, such as business ethics, human rights, occupational health & safety, data security and privacy. Among these, promoting responsible procurement stands out as a key material issue for Randstad.
Stakeholder engagement in accordance with the GRI Standards
The Global Reporting Initiative (GRI) defines the Principle of Stakeholder Inclusiveness when identifying material issues (or a company’s most important impacts) as follows:
Stakeholders must be consulted in the process of identifying a company’s most important impacts and their reasonable expectations and interests must be taken into account. This is an important cornerstone for CSR / sustainability reporting done responsibly.
Key stakeholder groups Randstad engages with:
| Stakeholder Group |
| Clients |
| Employees |
| Talent |
| Investors |
| Public organisations |
| Suppliers |
How stakeholder engagement was made to identify material issues
To identify and prioritise material topics Randstad engaged with its stakeholders through interviews and workshops.
What actions were taken by Randstad to promote responsible procurement?
In its 2021 Annual Report Randstad reports that it took the following actions for promoting responsible procurement:
- Implementing a Supplier Code
- Randstad’s Supplier Code is an integral part of its international terms and conditions and aims to ensure that the procurement of goods and services takes place in a socially responsible manner and in conformity with its business principles. In this code, Randstad explicitly requests that its suppliers respect its regulatory, social, and ecological principles, and adopt practices consistent with those principles. Suppliers must ensure that their own suppliers and subcontractors also respect the principles set out in the code. This requires them to comply with human rights, the ILO (International Labour Organization) principles regarding labour and anti-bribery and corruption legislation and international treaties, and to ensure safe working conditions in accordance with Randstad’s health & safety policy. Randstad consults with suppliers periodically in order to verify compliance with the code. If deemed necessary, Randstad may have an audit conducted at the supplier’s premises. The Supplier Code was revised in 2021, and is published on Randstad’s website.
- Appointing a Chief Procurement Officer
- In 2021, Randstad appointed a Chief Procurement Officer (CPO), with the ambition to build a world-class procurement function to make a positive, organisation-wide impact through innovation, supply risk management, and environmental responsibility, as well as ensuring cost efficiency and contributing to growth. This can only be achieved with a strong, professional, committed and trustful supply chain. The CPO reports directly to the CFO (Chief Financial Officer) and will drive the Executive Board’s agenda related to supplier engagement. In line with its commitment to the SBTi’s net-zero standard, Randstad’s ambition is to engage with its suppliers on reducing emissions as well.
Which GRI Standards and corresponding Sustainable Development Goals (SDGs) have been addressed?
The GRI Standards addressed in this case are:
1) Disclosure 308-1 New suppliers that were screened using environmental criteria
2) Disclosure 308-2 Negative environmental impacts in the supply chain and actions taken
3) Disclosure 414-1 New suppliers that were screened using social criteria
4) Disclosure 414-2 Negative social impacts in the supply chain and actions taken
Disclosure 308-1 New suppliers that were screened using environmental criteria does not correspond to any SDG.
Disclosure 308-2 Negative environmental impacts in the supply chain and actions taken does not correspond to any SDG.
Disclosure 414-1 New suppliers that were screened using social criteria corresponds to:
- Sustainable Development Goal (SDG) 5: Gender Equality
- Targets: 5.2
- Sustainable Development Goal (SDG) 8: Decent Work and Economic Growth
- Targets: 8.8
- Sustainable Development Goal (SDG) 16: Peace, Justice and Strong Institutions
- Targets: 16.1
Disclosure 414-2 Negative social impacts in the supply chain and actions taken corresponds to:
- Sustainable Development Goal (SDG) 5: Gender Equality
- Targets: 5.2
- Sustainable Development Goal (SDG) 8: Decent Work and Economic Growth
- Targets: 8.8
- Sustainable Development Goal (SDG) 16: Peace, Justice and Strong Institutions
- Targets: 16.1
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References:
This case study is based on published information by Randstad, located at the link below. For the sake of readability, we did not use brackets or ellipses. However, we made sure that the extra or missing words did not change the report’s meaning. If you would like to quote these written sources from the original please revert to the following link:
https://www.randstad.com/s3fs-media/rscom/public/2022-02/randstad-annual-report-2021.pdf
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