In order to deliver for our customers, we work extensively with third parties along the value chain.
We accept our responsibility for setting the correct standards of behaviour and ensuring our partners meet, exceed or are working positively towards these. We believe that developing a more sustainable supply chain will benefit our business over the long-term through increased efficiency, product improvements, lower risk and deeper, collaborative relationships.
For more information about how we work responsibly with our partners please see page 51 of the 2020 Annual Report.
We must behave responsibly when marketing our products to customers, which include distributors, hospitals, reimbursement organisations and, increasingly, direct to end users. The risk of acting unethically is heightened where we engage a third party organisation to sell or promote our products. To mitigate this risk our compliance team carries out due diligence reviews of distributors, as well as delivering both online and ‘live’ compliance training programmes to distributor staff, based on our Global Third Party Compliance Manual.
We require our suppliers to adhere to our Supplier Code of Conduct (“SCoC”). All new suppliers must sign the Code as part of doing business with ConvaTec and the Code is introduced to all existing supplier contracts as contracts are renewed. Our SCoC can be downloaded here.
The SCoC draws on the ILO conventions and the Principles of the UN Global Compact, and is consistent with our own Code of Ethics and Business Conduct and our Human Rights and Labour Standards Policy.
We monitor and assess using a third-party risk platform which provides in-depth, real-time coverage of a range of factors that could impact on supplier performance (geo-political, climatic, civil unrest), as well as events that may have been ‘caused’ by our suppliers (e.g. strikes, major pollution incidents, human rights abuses reported in the media).
In addition, we assess certain suppliers using the EcoVadis platform which offers an evidence-based assessment covering four themes: environment; labour and human rights; ethics; and sustainable procurement.
Whilst we are unlikely to terminate supplier relationships immediately on the basis of their assessment scores alone, unless we identify other additional ‘red flags’, such as clear bribery and corruption issues, we will consider these assessment scores as part of our overall supplier evaluation, and will take appropriate action if we consider inadequate performance improvement is being made.