Case study: How Univar Solutions promotes sustainability across its supply chain
Univar Solutions is one of the world’s leading chemical distributors and a global partner to its customers and suppliers for the value-added distribution of chemistry and related products and services. Univar Solutions sees it as important to carry out due diligence through its supply chain, in order to gain confidence that its supply partners are operating in a socially, environmentally, and economically responsible manner.
This case study is based on the 2019 Sustainability Report by Univar Solutions published on the Global Reporting Initiative Sustainability Disclosure Database 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
Univar Solutions seeks to lead on transparency in its supply chain Tweet This!, as it responsibly manages and influences the environmental and social impacts of its suppliers. In order to promote sustainability across its supply chain Univar Solutions took action to:
- assess suppliers
- implement a supplier Code of Conduct
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With this case study you will see:
- Which are the most important impacts (material issues) Univar Solutions has identified;
- How Univar Solutions proceeded with stakeholder engagement, and
- What actions were taken by Univar Solutions to promote sustainability across its supply chain
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What are the material issues the company has identified?
In its 2019 Sustainability Report Univar Solutions identified a range of material issues, such as economic performance, diversity and equal opportunity, effluents and waste, occupational health and safety. Among these, promoting sustainability across its supply chain stands out as a key material issue for Univar Solutions.
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 Univar Solutions engages with:
To identify and prioritise material topics Univar Solutions engaged with its stakeholders through the following channels:
| Stakeholder Group | Method of engagement |
| Customers
| · On-demand technical expertise · Sales team engagement in sustainability issues · Customer feedback surveys · Sustainability focused collaborations and joint programmes |
| Suppliers
| · Supplier surveys · Supplier auditing · Sustainability focused cooperation |
Employees
| · Training and education · Competency and skills development · Safety stand down events · Employee resource networks · Colleague wellbeing initiatives · Organised charitable events · Global employee surveys and feedback · Senior management question sessions · All-employee meetings |
| Investors and Shareholders
| · Shareholder focused sustainability engagements · Financial reporting · Investor information area |
| Governing Bodies
| · Committee participation and policy informing · Emergency scenario training · Auditing and compliance |
| Industry Groups
| · Committee participation and information sharing · Collaborative projects · Transparent reporting |
| Unions
| · Chairing committees · Collective bargaining agreements · Progressive Code of Conduct |
| Local Communities
| · Charity and fundraising · Educational sponsorship · Community development |
What actions were taken by Univar Solutions to promote sustainability across its supply chain?
In its 2019 Sustainability Report Univar Solutions reports that it took the following actions for promoting sustainability across its supply chain:
- Assessing suppliers
- In 2017, Univar Solutions set out to develop an extended assessment process for suppliers and service providers to bring additional considerations into its supplier assessment in the areas of quality, safety, environmental, social, and ethical areas. Within this, the social and ethical aspects include, but are not limited to, the ILO (International Labour Organization) Declaration on Fundamental Principles and Rights at Work. In 2018, Univar Solutions achieved this and introduced this to all new suppliers across EMEA (Europe, Middle East, and Africa), reviewing all existing suppliers over a five-year period. The addition of these assessment topics added meaningful additional transparency to Univar Solutions’ processes and helped it identify risks related to suppliers’ sustainability performance. Through 2019, Univar Solutions continued to expand the use of its supplier assessments to all regions and aims to assess 100% of new product suppliers on these criteria.
- Implementing a supplier Code of Conduct
- Univar Solutions is working to establish a globally applicable supplier Code of Conduct. This key resource will be made available to Univar Solutions’ indirect procurement supply chain over a phased introduction. The establishment of this process will elevate the prominence of sustainable supply chain practices across the geographies and industries in which Univar Solutions Following the key aspects of its global Code of Conduct, Univar Solutions will be working to set out its clear expectations of its suppliers in addition to the existing direct supplier assessments it carries out.
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 414-1 New suppliers that were screened using social criteria
Disclosure 308-1 New suppliers that were screened using environmental criteria 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
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References:
1) This case study is based on published information by Univar Solutions, 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 original on the Global Reporting Initiative’s Sustainability Disclosure Database at the link:
http://database.globalreporting.org/
2) https://www.globalreporting.org/standards/gri-standards-download-center/
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