By acting responsibly in collaboration with our suppliers, we aim to minimize risks and create stable, long-term business relationships with our partners. It is also an important strategic lever for Covestro in safeguarding both its global competitiveness and the supply of materials and services. For this reason, the company applies not just economic standards, but also environmental, social and corporate governance standards in choosing new suppliers or continuing its relationships with existing ones. These standards are defined in Covestro’s Supplier Code of Conduct, which generally forms the basis for our collaboration with suppliers.
To improve sustainability practices within the supply chain we follow a 4-step process:
Our expectations in the areas Ethics, Labor, HSEQ (Health, Safety, Environment and Quality) and Management Systems are defined in the Supplier Code of Conduct, which is made available to all Covestro suppliers.
Suppliers are selected for sustainability evaluations based on a combination of country and material risk as well as strategic importance in accordance with Covestro’s Corporate Business Targets.
Supplier Sustainability Performance Evaluation
Selected suppliers for further evaluation are either audited by an external audit company or assessed by EcoVadis (our external sustainability rating provider).
All assessment and audit results are thoroughly analyzed and documented. If deficiencies are found, we develop corrective actions together with the respective suppliers to ensure that they observe social, ethical and environmental standards in future.