Significance
Realizing that supplier’s operations have an impact on product and service quality and being a key factor in creating competitive advantages as well as playing a key role in the ESG operations directly and indirectly, BPP operates its businesses with top priority to the sustainable supply chain management. Consequently, it focuses on creating participation and promoting suppliers’ ESG operations in order to create mutual benefits.
Management Approach
BPP has established the operating guidelines for supplier management according to the sustainable supply chain policy in order to achieve its goals to create sustainable values throughout the supply chain as follows:
- Procuring with transparency and fairness in accordance with the code of conduct principle of BPP.
- Integrating the targets on safety, occupational health, environment, social and governance (ESG) with the supply chain management strategies and other associated policies as well as searching for opportunities to improve and mitigate risks likely to arise in the supply chain.
- Driving the sustainable supplier management in production units through the integration of ISO 9001 Management System Standard, ISO 45001 Occupational Health and Safety Management System Standard and ISO14001 Environmental Management System Standard.
- Verifying supplier’s qualifications relating to ESG in order to be able to properly identify and manage supply chain risks.
- Promoting business operations with suppliers adhering to ethical principles with social and environmental responsibility, respecting to human rights, and complying with the supplier code of conduct and any associated policies.
- Implementing any procedures to ensure that suppliers comply with laws and local regulations as well as international labor standards, such as setting up selection criteria, stipulating in the procurement contracts, and monitoring suppliers’ operations associated with environment, society and corporate governance, etc.
- Supporting local procurements in order to create economic returns in areas where BPP has operated.
- Developing the supplier code of conduct and applying it to supplier management by starting with the critical supplier.
- Encouraging suppliers to expand the use of sustainable practice guidelines throughout the supply chain for the continuous development and efficiency.
- Establishing the key performance indicators and regularly monitoring operations to ensure that the suppliers operate in accordance with the standards and laws set, for example inspecting the supplier’s operating sites, etc.
- Providing a safe working environment for contractors, organizing training to educate them about safety and workplace environment, as well as conducting risk assessment on operational activities or job safety analysis (JSA) prior to starting working.
- Regularly inspecting and evaluating contractors when performing their duties in the area to ensure safety and improve operational quality continuously.
- Regularly disclosing the supply chain’s sustainable performance to stakeholders.
Performance
- None of ESG related complaints regarding supplier management.
- No incidents suppliers violating applicable laws, human rights, labors and environment.
- None of fatalities resulted from supplier’s works.
- Suppliers’ LTIFR was zero.
- Developing supplier ESG checklist for integrating into the procurement system across the organization.
Key Activities and Projects
Document Download
Sustainable Supply Chain Policy
Supplier Code of Conduct
