Sustainable procurement

 

Supply chain sustainability

Sustainability is integrated to all aspects of how Nordea conducts business, including our supply chain.

Nordea have established a Supplier Code of Conduct (SCoC) which is mandatory for all our contracted suppliers. It requires our suppliers to adhere to the core principles of the UN Global Compact within the areas of human rights, labour standards, environment and anti-corruption. It is not enough that our suppliers abide by the laws and regulations in the countries where they operate, we expect them to proactively move beyond compliance and to convey Nordea’s SCoC or similar principles towards their sub-suppliers. 

Supplier engagement is essential to advancing sustainability performance 

Nordea apply a risk-based approach to our supply chain. We focus our efforts where they have the greatest impact, recognizing that supplier segmentation and engagement is an ongoing process.

All potential suppliers are pre-screened before contracting on a number of parameters such as country risk, sector risk, reputational risk, climate risk, financial crime risk as well as for compliance with sanctions. Following the pre-screening, all high-risk suppliers are assessed using a sustainability questionnaire, which then determines whether additional engagement is required. Engagement on sustainability matters continues during the contract period, where all suppliers are also subject to continuous monitoring.

Each year, we select a number of suppliers that are subject to a sustainability review. During such a review, we deep-dive into topical areas like for example circularity, Human Rights impact assessments or decarbonisation targets, to secure that that suppliers proactively manage their risks and impacts.

Download Supplier Code of Conduct to read more

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