Our focus on sustainable and responsible sourcing is all about delivering excellent results.
Sustainable and responsible sourcing is a priority for our business. For us, it’s about delivering excellent results. For two consecutive years, we have received the maximum industry score against the raw material sourcing indicator of the Dow Jones Sustainability Index assessment. Sustainable sugar sourcing and expanded risk assessment played a vital role in this achievement.
Selecting our suppliers
To select our suppliers, we have developed rigorous pre-assessment criteria. We use a robust audit process, risk assessment and SEDEX, the supplier ethical data exchange; take part in Ecovadis, the supplier sustainability ratings provider, and check whether potential suppliers hold ISO 9001, 14001, FSSC 22000 and OHSAS 18001 certification. In addition, for agricultural commodities, we refer to standards from the Rain Forest Alliance, Fair Trade, Bon Sucro, SAI Platform and the Forest Stewardship Council.
We are committed to achieving a 100 percent sustainable supply chain and to reduce our supply chain impacts by 2020.
Our sustainable supply value creation initiatives with our supply partners are critical in supporting our long-term goals.
We also require all our suppliers to follow the ethical standards, employment, environmental and work safety practices set out in our Supplier Guiding Principles. Agricultural suppliers must meet our Sustainable Agriculture Guiding Principles, while ingredient and primary packaging suppliers are required to comply with food safety standards.
Responsible sourcing in Coca‑Cola HBC Serbia
Our Supplier Guiding Principles and Sustainable Agriculture Guiding Principles are an integral part of our supplier contracts. To assess whether suppliers conform with these principles we use an independent audit programme. When signing the contract, suppliers are required to sign a special declaration to undertake and respect the Guiding Principles.
- 1,856 total suppliers
- 317 suppliers registered since XXX
- 100% of new suppliers have signed our Supplier Guiding Principles
The Supplier Guiding Principles have been signed by 175 key suppliers, covering almost 92 percent of our total annual spend. Criteria for signing this document reflects the annual turnover of the supplier, with the largest turnover around 100 million euros and lowest around 100,000 euros.
To ensure the business delivers the highest standards of quality, safety and sustainability, we assess our relationship with suppliers annually, using a special procedure (Supplier Evaluation and Authorisation Procedures). The evaluation includes mandatory verification of any certificates relating to quality and the environment.
- 83% of our suppliers are local by total spend
- 17% of our suppliers come from outside Serbia by total spend
During the evaluation we collect and give feedback from suppliers, relating to how satisfied they are with their relationship with the company. In this way, we encourage two-way communication and constantly improve relations with our suppliers. The suppliers with whom we work with can report any violation of the Guiding Principles by our employees through a telephone lines called Say!