Skip to main content

An Open Access Journal

Table 1 Corporate Social Responsibility - purchasing benchmark activities and brief description (source: [11])

From: Exploring the relationship between urban freight demand and the purchasing behaviour of a University

 

Engaging suppliers key activities

Description

1

The use of code of conduct (CoC) (e.g. the United Nations’ declaration of human rights and convention on the rights of the child; the International Labour Organization’s declaration of fundamental principles and rights at work; the Rio Summit declaration of environment and development)

CoC sets guidelines on a range of principles and issues, whose purpose is to:

- state the values of the purchasing company and the expectations placed on suppliers;

- improve the social responsibility performance of a company; and

- influence business partners and provide a set of expected standards.

2

Internal training and education (for a successful corporate social responsibility (CSR) performance)

Linked to the implementation of the CoC described above, training among co-workers is important to the development of understanding and capability.

3

Integrate CSR in management (through for example: ISO 14000 and different forms of green labels to integrate the environmental dimension of CSR in business management)

Also linked to the implementation of the CoC above, integration of CSR does not stop at business strategy and policy but is also in the management system, the organisational processes and the culture of the entire staff (not only the managers) which affect daily life.

4

Report the CSR performance (i.e. communication of the achievements to stakeholders; reports of management of suppliers and purchasing)

Documents such as supply chain policies and general information about companies’ progress regarding social (and environmental) responsibility were used to measure the CSR performance. Examples of the reporting framework can be seen in the Global Reporting Initiatives (GRI)a established since the late 1990s to integrate sustainability into an organisation’s decision making.

5

Monitor suppliers (through for example: questionnaires and factory inspections/audits)

This key activity aims to investigate if the suppliers comply with the CoC or other expectation sets. Physical inspection and audits at suppliers’ facilities, a documentation inspection, interviewing management and workers, and a second inspection to monitor progress, are some of the key activities.

6

Draw up improvement plans (e.g. ways to support local supplier development; written statements from the buyer and or the supplier; including suppliers in the design of the improvement plan)

The improvement plan includes information regarding practices that need to be changed within a particular time frame and, in some cases, how improvements have to be carried out.

7

Reject suppliers

If suppliers do not comply with the CoC, termination of the relationships could be conducted.

8

Educate/inform/support suppliers (through for example: training programmes, workshops, and meetings)

Dialogue with suppliers is central to successful implementation of any principle across a supply chain. This is especially the case in addressing the CSR issues. It is important for the trainer to have good knowledge of the local specifications of where plant is located.

9

Use rewards for compliance

This key activity is useful in combination with the use of the CoC.

10

Supplier collaboration (i.e. collaborative suppliers/buyers meeting, collaborative audits)

Addressing CSR in a collaborative way has been discovered by many companies to be best practice, as both buyer and supplier can learn from each other while strengthening the relationship.

11

Restructure relationship (i.e. co-operation, trust, mutuality, power/dependence, and intensity)

One strategically important task for the purchasing function is to create and maintain good relationships with suppliers. By restructuring the relationship with suppliers, both the social performance and the business can potentially benefit.

  1. a www.globalreporting.org