Corporate Social Responsibility (CSR) Assessment Report

Transcription

1 Corporate Social Responsibility (CSR) Assessment Report Company Assessed : PGM LOGISTICA SRL Overall Score: January /100 CSR engagement: Advanced Size: Small Country (company headquarters): Italy Presence in Risk Countries: No Category/Industry: Other transportation support activities Page: 1/30

2 TABLES OF CONTENTS 1. Score Overview 2. Supplier Scorecard Objectives 3. Assessment Process 4. Ecovadis Methodology a. Four themes with 21 criterias b. Seven management indicators c. Scoring Scale 5. How to understand company Scorecard a. Quantitative information: score & activated criteria b. Qualitative information: Strengths & Improvement Areas 6. Theme: Environment 7. Theme: Labor Practices & Human Rights 8. Theme: Fair Business Practices 9. Theme: Sustainable Procurement Stakeholder Information 11. Specific Comments 12. Contact us ABOUT CORPORATE SOCIAL RESPONSIBILITY (CSR) Corporate Social Responsibility (CSR) is the continuing commitment to behave responsibly by integrating social and environmental concerns into business operations. CSR goes beyond regulatory compliance to focus on how companies manage their economic, social, and environmental impacts, as well as their relationships with stakeholders (e.g. employees, suppliers, government). ABOUT THE ASSESSMENT The EcoVadis methodology framework assesses the policies and measures put in place as well as the reporting published by companies with regards to environmental, labor practices & human rights, fair business practices and sustainable procurement issues. The assessment conducted by CSR experts is made on the basis of the company answers to a survey which is dynamically adapted to their country, sector and size, on the basis of supporting documentation, and on public and stakeholder (NGOs, trade unions, press) information. ABOUT ECOVADIS EcoVadis operates the 1st collaborative platform allowing companies to assess the environmental and social performance of their suppliers on a global basis. EcoVadis combines technology and Corporate Social Responsibility (CSR) expertise to deliver simple and reliable supplier scorecards, covering 150 purchasing categories and 21 CSR criteria. This document cannot be reproduced or distributed unless otherwise specified in EcoVadis contractually granted license right. No part of this document may be modified in whole or in part and in any form prior express written permission of EcoVadis. EcoVadis does not warrant the accuracy, reliability, completeness of the information, content, text, graphics provided on this document. Page: 2/30

3 1. Score Overview OVERALL SCORE 70/100 The overall and theme scores summarize the CSR performance of PGM LOGISTICA SRL on a scale of 1 to 100. Legend CSR PERFORMANCE Environment ENV 80 Labor Practices LAB 70 Fair Business Practices FBP 60 Outstanding Advanced Confirmed Partial None Sustainable Procurement SUP 60 BENCHMARK The grey bars on this graph represent the benchmarks. Benchmarks compare a company s overall score and theme scores to other companies operating within the same industry. Here the Benchmark on over 150 suppliers. NOTE: The top and bottom 5% of performers are excluded to ensure statistical relevance. ENV : Environment LAB : Labor Practices & Human Rights FBP : Fair Business Practices SUP : Sustainable Procurement Benchmark is done on all suppliers of the same business category on the EcoVadis database This graph depicts the distribution of overall scores for several thousand companies on the EcoVadis platform. PGM LOGISTICA SRL has an overall score of 70 and the company is ranked alongside 2% which have Advanced CSR engagement. The red dot represents the average of all suppliers The blue diamond refers to company position PGM LOGISTICA SRL has been identified as Gold regarding their approach to CSR management. To achieve this recognition, a company must have an overall score of [62-100]. Corrective Action Plan in progress The Corrective Action Plan (CAP) is an interactive tool shared between suppliers and buyers. It helps to develop Action Plans, a starting point for an effective dialogue on actions taken by the supplier to improve their CSR performance. PGM LOGISTICA SRL has a CAP in place and is working on improving their CSR management system. Page: 3/30

4 2. Supplier Scorecard Objectives UNDERSTAND: Get a clear picture of the company s CSR performance. With a score on four CSR themes (environmental, labor practices & Human Rights, fair business practices and sustainable procurement), that highlight the company s strengths and possible areas for improvement. Know the company s positioning compared to their industry sector peers. On which theme is this company better positioned than their peers? How is this company positioned in comparison to their sector average? Identify sector specific initiatives. What are the main international CSR regulations and sector initiatives specific to the industry sector of the company? COMMUNICATE: Meet client needs. More and more companies raise questions about their supplier s environmental and social performance. This assessment allows to demonstrate company commitment. Leverage a unique communication tool. Directly share the assessment results with all clients. 3. Assessment Process Page: 4/30

5 4. Ecovadis Methodology is based on A. Four themes with 21 criteria The EcoVadis methodology takes into account 21 CSR criteria which are contained under four themes: ENVIRONMENT, LABOR, FAIR BUSINESS PRACTICES, and SUSTAINABLE PROCUREMENT. The methodology and criteria are in line with international CSR standards including the Global Reporting Initiative, United Nations Global Compact, and ISO B. Seven management indicators The EcoVadis assessment evaluates a company CSR management system by looking at seven management indicators. The four themes and their subsequent 21 CSR criteria are assessed on the basis of the following management indicators that a company has in place. Policies (weight: 25%) 1. Policies: Mission statements, commitments, principles, objectives and/or policies issued by the company. 2. Endorsement: Endorsement of CSR external initiatives, principles and/or active participation to international/sector CSR initiative. Actions (weight: 35%) 3. Measures: Concrete actions put in place to support commitments, objectives and deployment of policies (e.g. training, manual procedures). 4. Coverage: Level of deployment/dissemination of measures and concrete actions put in place throughout the company to support commitments and/or policies. 5. Certifications: Certifications received for the management system and/ or labels received for the products/ services delivered. Results (weight: 40%) 6. Reporting/ KPI: Quality and level of reporting readily available to stakeholders : Controversies, condemnations or positive developments reported by stakeholders (NGOs, Trade Unions, Press) having an impact on the company's CSR performance. Page: 5/30

6 5. How to understand company Scorecard The overall score can be better understood by looking at quantitative information - theme scores, activated criteria - and qualitative information - strengths & improvement areas. A. QUANTITATIVES INFORMATION: SCORES & ACTIVATED CRITERIA THEME SCORES: Like the overall score, theme scores are on a scale of 1 to 100. ACTIVATED CRITERIA: Each of the four themes - ENVIRONMENT, LABOR, FAIR BUSINESS PRACTICES, and SUSTAINABLE PROCUREMENT- have specific criteria associated to them. It is important to note that not all 21 criteria are activated for every company and some criteria have more weight than others in the overall assessment. The weights for the criteria are determined based on the CSR risks faced by the company according to their industry of operation and their country of operation(s). For more information see Appendix: category profile. Non Activated Medium Importance High Importance Only in Risk countries If criteria are not activated, this means that the specific associated issue is not relevant or has very low CSR risk for the company Medium importance criteria are the issues where there is some CSR risk, but it is not the most pressing criteria. High-importance criteria are the issues where the company faces the greatest CSR risk. Criteria classified as Only in Risk Countries are activated only if the company has significant operations in one or more risk country. B. QUALITATIVE INFORMATION: STRENGTHS & IMPROVEMENT AREAS Qualitative information provides more details and insights into the theme scores. For each theme the company is assigned Strengths (the elements of the CSR management system that are positive) and Improvement Areas (the elements of the CSR management system that need to be improved). The strengths & improvement areas are divided according to the 3 management indicators - Policies, Actions, Results and are also classified by level of importance/priority (i.e. Priority.) Green check marks indicate the Strengths Alert signs indicate the Improvement Areas Improvement Areas are a focus point for improvement. The EcoVadis Corrective Action Plan Tool allows companies to improve their CSR performance on specific improvement areas. It is an interactive tool shared between suppliers and buyers. It supports the development of Action Plans, a starting point for an effective dialogue between buyers and suppliers on actions taken by a supplier to improve their CSR performance. Each improvement area is given a priority level which can be used to set up corrective action plans. High Medium Low Priority Level Page: 6/30

7 C. THE SCORING SCALE Page: 7/30

8 6. ENVIRONMENT The environment theme takes into account both operational factors (e.g. energy consumption, waste management, etc.) and product stewardship (e.g. product end of life, customer health and safety issues). ENVIRONMENT: SCORES CSR PERFORMANCE BENCHMARK DETAILED SCORE BENCHMARK Environment ENV 80 Labor Practices LAB 70 Fair Business Practices FBP 60 Sustainable Procurement SUP 60 WEIGHT of the Theme ENV 2 out of 8 -> 25% of the global score Themes are weighted according the Corporate Social Responsibility (CSR) risks associated to the company industry of operation and country of operation(s). The theme weights influence the resulting overall score. This benchmark shows the company overall score in comparison to the scores of industry sector peers on the EcoVadis platform. The top and bottom 5% of performers are excluded to ensure statistical relevance. The theme benchmark is a more detailed comparison of the company s theme score in comparison to other companies operating within the same industry. NOTE: Benchmark is only activated when they are at least 3 suppliers to compare with. ENVIRONMENT: ACTIVATED CRITERIA Non Activated Medium Importance High Importance Only in Risk countries Note: Not all 21 criteria are activated for every company and some criteria have more weight than others in the overall assessment. The weights for the criteria are determined based on the CSR risks faced by the company according to their industry of operation and their country of operation(s). ENVIRONMENT: STRENGTH & WEAKNESSES Note: The number of alert signs or checks next to a strength or weakness does not represent the performance of the company; rather they indicate the level of importance of each individual strength and/or weakness This icon informs that the company has a Corrective Action Plan (CAP) in place associated to a particular weakness. The CAP is an interactive tool shared between suppliers and buyers. It helps to develop Actions to improve the supplier s CSR performance. Page: 8/30

9 ENVIRONMENT:POLICIES Priority Strength or Weakness Additional Definition CAP No supporting documentation or only basic policy on some relevant issues [ i.e. materials, chemicals & waste ] The company has either no supporting documentation on policies, or only provided evidence of basic policy statements that do not cover all the major environmental issues the company is confronted with. A standard environmental policy integrates commitments and/or operational objectives on the main environmental risks the company faces. It is communicated to internal and external stakeholders through a formal dedicated document (e.g. QHSE Policy). A standard environmental policy contains qualitative objectives/commitments specific to those issues. The policy should also incorporate some of the following elements: scope of application, allocation of responsibilities, quantitative objectives (i.e. on energy consumption & GHG emissions and materials, chemicals & waste management), and review mechanisms. No endorsement of external CSR initiatives or principles (e.g. Global Compact) The company declares it is not a signatory or does not publicly adhere to any external CSR principles, charters, codes of conduct or international guidelines. There is no evidence of public adherence to an external CSR initiative or membership in a voluntary CSR initiative within the company's supporting documentation. Such initiatives can encompass many CSR issues (e.g. Global Compact principles), or focus on a single issue (e.g. Carbon Disclosure Project). They can be intergovernmental (e.g. OECD Guidelines for Multinational Enterprises), multi-stakeholder (e.g. Accountability), business-led (e.g. Responsible Care), crosssector (e.g. Ceres principles) or sector-specific (e.g. Clean Clothes Campaign). Environmental policy on some relevant issues [ i.e. energy consumption & GHG ] The company has formalized statements, commitments, and operational objectives on the management and mitigation of its environmental footprint, focusing on some material issues. The existing policy does not cover all the major environmental issues the company is confronted with. A standard environmental policy integrates commitments and/or operational objectives on the main environmental risks the company faces. It is communicated to internal and external stakeholders through a formal dedicated document (e.g. QHSE Policy). A standard environmental policy contains qualitative objectives/commitments specific to those issues. The policy should also incorporate some of the following elements: scope of application, allocation of responsibilities, quantitative objectives (i.e. on energy consumption & GHG emissions and materials, chemicals & waste management), and review mechanisms. Page: 9/30

10 ENVIRONMENT:ACTIONS Priority Strength or Weakness Additional Definition CAP ISO certified The company has provided a valid ISO certificate that covers all of its operations. The ISO standard belongs to the ISO series, a family of environmental management standards developed by the International Organization for Standardization (ISO) designed to provide an internationally recognized framework for environmental management, measurement, evaluation and auditing. The standard serves as a framework to assist organizations in developing their own environmental management system and is based on the continuous Plan-Do-Check-Act cycle. Reduction of energy consumption through innovative equipment Waste management measures in place Measures implemented to recycle toners & ink cartridges Measures to recycle paper/carton waste Measures to optimize transport or reduce CO2 emissions from transport The company has implemented specific measures to optimize transportation or to reduce the amount of CO2 emissions related to transportation. Examples might include devices to optimize route planning, provision of live traffic information to drivers, carbon compensation options and multimodal transportation plans (i.e. the transportation of goods utilizing differing means of transport). ENVIRONMENT:RESULTS Priority Strength or Weakness Additional Definition CAP Standard reporting on environmental issues There is evidence of formal reporting implemented regarding the management and the mitigation of the company environmental footprint from its supporting documentation, including key performance indicators (KPIs), statistical figures or associated concrete actions. Reporting items are standard in terms of quality and quantity, do cover the main issues, are meaningful enough, and are regularly updated. Examples of key performance indicators include total electricity consumption, electricity consumed per kg of product or per unit produced. Comprehensive reporting on environmental issues will additionally have KPIs reported in a formal public document available to stakeholders, and will be in compliance with the Global Reporting Initiative guidelines or other external CSR reporting standards. Reporting on electricity consumption The company has reported KPIs with regard to electricity consumption either through formal documentation or questionnaire declaration. The company reports on electricity consumption from facilities, plants, property or assets that are owned or controlled by the company. Examples of key performance indicators include total electricity consumption, electricity consumed per kg of product or per unit produced. Page: 10/30

11 7. LABOR PRACTICES & HUMAN RIGHTS (LAB) The labor theme takes into account both Labor Practice issues (e.g. health and safety, working conditions, etc.) and Human Rights issues (e.g. discrimination, child labor, etc.). LABOR & HUMAN RIGHTS: SCORES CSR PERFORMANCE BENCHMARK DETAILED SCORE BENCHMARK Environment ENV 80 Labor Practices LAB 70 Fair Business Practices FBP 60 Sustainable Procurement SUP 60 WEIGHT of the Theme LAB 4 out of 8 -> 50% of the global score Themes are weighted according the Corporate Social Responsibility (CSR) risks associated to the company industry of operation and country of operation(s). The theme weights influence the resulting overall score. This benchmark shows the company overall score in comparison to the scores of industry sector peers on the EcoVadis platform. The top and bottom 5% of performers are excluded to ensure statistical relevance. The theme benchmark is a more detailed comparison of the company s theme score in comparison to other companies operating within the same industry. NOTE: Benchmark is only activated when they are at least 3 suppliers to compare with. LABOR & HUMAN RIGHTS: ACTIVATED CRITERIA Non Activated Medium Importance High Importance Only in Risk countries Note: Not all 21 criteria are activated for every company and some criteria have more weight than others in the overall assessment. The weights for the criteria are determined based on the CSR risks faced by the company according to their industry of operation and their country of operation(s). LABOR & HUMAN RIGHTS: STRENGTH & WEAKNESSES Note: The number of alert signs or checks next to a strength or weakness does not represent the performance of the company; rather they indicate the level of importance of each individual strength and/or weakness This icon informs that the company has a Corrective Action Plan (CAP) in place associated to a particular weakness. The CAP is an interactive tool shared between suppliers and buyers. It helps to develop Actions to improve the supplier s CSR performance. Page: 11/30

12 LABOR PRACTICES & HUMAN RIGHTS:POLICIES Priority Strength or Weakness Additional Definition CAP Standard policy on a majority of labor or human rights issues A standard labor and human rights policy includes commitments and/or operational objectives on the main labor and human rights risks the company faces. A comprehensive labor and human rights policy includes commitments and/or operational objectives on the majority of labor and human rights risks the company faces, and integrates quantitative objectives (i.e. targets) on those risks. It is also mandatory for the policy to incorporate some of the following elements: scope of application, allocation of responsibilities, and/or a formal review process. Policies are deemed exceptional when all labor practice and human rights issues are covered by qualitative and quantitative objectives, in addition to all of the aforementioned elements. No endorsement of external CSR initiatives or principles (e.g. Global Compact) The company declares it is not a signatory or does not publicly adhere to any external CSR principles, charters, codes of conduct or international guidelines. There is no evidence of public adherence to an external CSR initiative or membership in a voluntary CSR initiative within the company's supporting documentation. Such initiatives can encompass many CSR issues (e.g. Global Compact principles), or focus on a single issue (e.g. Carbon Disclosure Project). They can be intergovernmental (e.g. OECD Guidelines for Multinational Enterprises), multi-stakeholder (e.g. Accountability), business-led (e.g. Responsible Care), crosssector (e.g. Ceres principles) or sector-specific (e.g. Clean Clothes Campaign). No quantitative target on labor & human rights issues Company policy does not contain quantitative targets on labor and human rights issues. Quantitative objectives or targets on labor and human rights issues are considered as fundamental elements of comprehensive policy mechanism. They provide a monitoring framework that helps establish whether policy objectives are being met, and highlight the progress towards set goals. Some examples of specific targets on this topic include quantitative objectives on health & safety indicators (i.e. accident frequency and accident severity rates), quantitative objectives on percentage of employees trained on discrimination and quantitative objectives on number of employees covered by social benefits. As policy elements, targets can be expressed in absolute or relative terms and must have a valid future deadline (i.e. by 2020 we commit to train 100% of employees on discrimination). Page: 12/30

13 LABOR PRACTICES & HUMAN RIGHTS:ACTIONS Priority Strength or Weakness Additional Definition CAP Joint labor management health & safety committee in operation Training of relevant employees on health & safety risks and best working practices Disciplinary measures enforced on discrimination issues The company has implemented disciplinary measures on violations of the company's discrimination policies. Companies may establish formal procedures or mechanisms for dealing with policy violations, e.g. disciplinary measures, warning processes, up to conditions for employment termination. Specific measures on discrimination issues Monitoring of employee satisfaction Official measures to promote work-life balance The company has implemented working practices that acknowledge and aim to support the needs of staff in achieving a balance between their home and working lives. Examples of work life-balance measures include: the possibility to work from home, to work part time, flexible-time schedules, childcare facilities at work, in-house services. Employee health & safety detailed risk assessment Company specific health care program for employees The company has implemented a specific health care program for employees covering private medical treatment. Some examples of areas it could cover include drug treatment of cancer, health assessments, dental care, surgical procedures and treatment of conditions relating to alcohol and substance abuse. Active preventive measures for stress and noise Transparency (process & criteria communicated to all employees) on remuneration system Company-specific pension plan for employees Provision of skills development training The company has implemented vocational training and instruction, which include skills development training, education paid for in whole or in part by the company, with the goal to provide opportunities for career advancement (Source: Global Reporting Initiative G3). Measures to prevent on-site substance use The company has implemented measures to prevent on site substance abuse Some potential measures include the development of a substance abuse policy, training through websites, seminars, or a refresher course, testing programs and disciplinary measures. Page: 13/30

14 LABOR PRACTICES & HUMAN RIGHTS:RESULTS Priority Strength or Weakness Additional Definition CAP Basic reporting on labor practices & human rights issues There is some evidence of formal reporting on labor practices or human rights issues in the supporting documentation. It may include\ key performance indicators (KPIs), or statistical figures. However reporting elements may be limited in terms of quality or quantity, may not cover the main issues, or reporting is not regularly updated. Based on the information provided for the assessment, reporting does not cover a major portion of relevant issues (i.e. reporting is available for only 1 relevant issue). To improve the quality of reporting, KPIs could include injury rates, number of employees covered by social benefits, number of employees trained on discrimination, or the % of employees covered by collective bargaining agreement just to name a few. For more information on the specific labor and human rights related KPIs please refer to GRI G4 KPI list. Reports no lost-time accidents Reporting on number of average training hours per employee Page: 14/30

15 8. FAIR BUSINESS PRACTICES (FBP) The fair business practice theme focuses primarily on corruption and bribery issues, but also takes into account anti-competition and responsible marketing depending on the industry of operation. FAIR BUSINESS PRACTICES: SCORES CSR PERFORMANCE BENCHMARK DETAILED SCORE BENCHMARK Environment ENV 80 Labor Practices LAB 70 Fair Business Practices FBP 60 Sustainable Procurement SUP 60 WEIGHT of the Theme FB 1 out of 8 -> 12% of the global score Themes are weighted according the Corporate Social Responsibility (CSR) risks associated to the company industry of operation and country of operation(s). The theme weights influence the resulting overall score. This benchmark shows the company overall score in comparison to the scores of industry sector peers on the EcoVadis platform. The top and bottom 5% of performers are excluded to ensure statistical relevance. The theme benchmark is a more detailed comparison of the company s theme score in comparison to other companies operating within the same industry. NOTE: Benchmark is only activated when they are at least 3 suppliers to compare with. FAIR BUSINESS PRACTICES: ACTIVATED CRITERIA Non Activated Medium Importance High Importance Only in Risk countries Note: Not all 21 criteria are activated for every company and some criteria have more weight than others in the overall assessment. The weights for the criteria are determined based on the CSR risks faced by the company according to their industry of operation and their country of operation(s). FAIR BUSINESS PRACTICES: STRENGTH & WEAKNESSES Note: The number of alert signs or checks next to a strength or weakness does not represent the performance of the company; rather they indicate the level of importance of each individual strength and/or weakness This icon informs that the company has a Corrective Action Plan (CAP) in place associated to a particular weakness. The CAP is an interactive tool shared between suppliers and buyers. It helps to develop Actions to improve the supplier s CSR performance. Page: 15/30

16 FAIR BUSINESS PRACTICES:POLICIES Priority Strength or Weakness Additional Definition CAP Basic policies on anti-corruption & bribery The company has issued value statements, commitments, and/or operational objectives on anti-corruption and bribery issues, which either lack specificity at issue level, do not cover the major business ethics issues the company is confronted with, are not consolidated into a formalized policy document, or lack organizational elements (e.g. review process, dedicated responsibilities, scope of application). A standard anti coruption & bribery policy includes commitments and/or operational objectives on the main corruption & bribery risks the company faces. It is communicated to internal and external stakeholders through a formal dedicated document. A standard anti-corruption & bribery policy also contains qualitative objectives/commitments specific to those issues. The policy should also incorporate some of the following elements: scope of application, allocation of responsibilities, quantitative objectives, and review mechanisms. No endorsement of external CSR initiatives or principles (e.g. Global Compact) The company declares it is not a signatory or does not publicly adhere to any external CSR principles, charters, codes of conduct or international guidelines. There is no evidence of public adherence to an external CSR initiative or membership in a voluntary CSR initiative within the company's supporting documentation. Such initiatives can encompass many CSR issues (e.g. Global Compact principles), or focus on a single issue (e.g. Carbon Disclosure Project). They can be intergovernmental (e.g. OECD Guidelines for Multinational Enterprises), multi-stakeholder (e.g. Accountability), business-led (e.g. Responsible Care), crosssector (e.g. Ceres principles) or sector-specific (e.g. Clean Clothes Campaign). Policy on client data protection & privacy The company has issued a formal policy that integrates commitments and/or operational objectives on respect on data protection and privacy issues. There are at least qualitative objectives/commitments with specificities on the main issues. Data protection and privacy relates to areas that include building audit trails to ensure data protection, encrypting data on a hard disk drive, and training employees on data protection. The policy might also incorporate some of the following elements: scope of application, allocation of responsibilities, quantitative objectives, and review mechanisms. The policy is contained in a dedicated policy document or in a dedicated section of a larger purpose document such as a Code of Ethics/Conduct. Page: 16/30

17 FAIR BUSINESS PRACTICES:ACTIONS Priority Strength or Weakness Additional Definition CAP Web-based or in-person training program on main business ethics issues Disciplinary measures enforced on business ethics issues The company has implemented disciplinary measures on violations of the company's business ethics policies. Employees can report on violations of the company business ethics policy (e.g. on corruption, conflict of interest, anticompetitive practices) through anonymous and secure communication channels. In addition, disciplinary measures are outlined (e.g. warnings, suspensions, including termination). Measures to protect customer or client data from unauthorized access or disclosure Specific approval procedure for sensitive transactions (e.g. gifts, travel) The company has implemented a verification process for sensitive transactions. Sensitive transactions involve payments and cash transfers particularly for operations exposed to high risk of corruption and bribery. Some examples are: gifts, entertainment and travel, new investments. Whistleblowing procedure on corruption & bribery issues in place The company has implemented a formal whistle blowing procedure which encourages employees (and external stakeholders) to report potential violations of the company's corruption and bribery policies. Employees can report on areas such as violations of the company's corruption and bribery policies (e.g. on gift giving, conflict of interest, fraud, corruption) through anonymous and secure communication channels. Page: 17/30

18 9. SUSTAINABLE PROCUREMENT (SUP) The sustainable procurement theme focuses on both social and environmental issues within the company supply chain. SUSTAINABLE PROCUREMENT: SCORES CSR PERFORMANCE BENCHMARK DETAILED SCORE BENCHMARK Environment ENV 80 Labor Practices LAB 70 Fair Business Practices FBP 60 Sustainable Procurement SUP 60 WEIGHT of the Theme SUP 1 out of 8 -> 12% of the global score Themes are weighted according the Corporate Social Responsibility (CSR) risks associated to the company industry of operation and country of operation(s). The theme weights influence the resulting overall score. This benchmark shows the company overall score in comparison to the scores of industry sector peers on the EcoVadis platform. The top and bottom 5% of performers are excluded to ensure statistical relevance. The theme benchmark is a more detailed comparison of the company s theme score in comparison to other companies operating within the same industry. NOTE: Benchmark is only activated when they are at least 3 suppliers to compare with. SUSTAINABLE PROCUREMENT: ACTIVATED CRITERIA Non Activated Medium Importance High Importance Only in Risk countries Note: Not all 21 criteria are activated for every company and some criteria have more weight than others in the overall assessment. The weights for the criteria are determined based on the CSR risks faced by the company according to their industry of operation and their country of operation(s). SUSTAINABLE PROCUREMENT: STRENGTH & WEAKNESSES Note: The number of alert signs or checks next to a strength or weakness does not represent the performance of the company; rather they indicate the level of importance of each individual strength and/or weakness This icon informs that the company has a Corrective Action Plan (CAP) in place associated to a particular weakness. The CAP is an interactive tool shared between suppliers and buyers. It helps to develop Actions to improve the supplier s CSR performance. Page: 18/30

19 SUSTAINABLE PROCUREMENT:POLICIES Priority Strength or Weakness Additional Definition CAP No supporting documentation or only basic sustainable procurement policy on environmental issues The company has either no supporting documentation on environmental issues in the supply chain, or only provided evidence of basic policy statements that lack clear commitment to performance improvement. A standard sustainable procurement policy on environmental issues in the supply chain includes commitments and/or operational objectives designed to improve performance or mitigate risk. It is communicated to internal and external stakeholders through a formal dedicated document. Sustainable procurement policies on social issues The company has issued formal policies that integrate commitments and/or operational objectives on the main social issues it is confronted with in its supply chain. The importance of issues covered by the policies may vary according to the industry or sector. It is contained in a formal policy document (i.e. CSR Procurement Guidelines). There are at least qualitative objectives/commitments with specificities on the main issue areas. The policies might also incorporate some of the following elements: scope of application, allocation of responsibilities, quantitative objectives (i.e. number of suppliers audited or certified), and review mechanisms. A comprehensive policy covers both environmental and social issues in the supply chain. It includes formal mechanisms to communicate, review and amend policy and describes a clear allocation of responsibilities as well as quantative targets (i.e. planned KPIs). Page: 19/30

20 SUSTAINABLE PROCUREMENT:ACTIONS Priority Strength or Weakness Additional Definition CAP On-site audits of suppliers on environmental or social issues The company's supporting documentation demonstrates evidence of on-site supplier audits on environmental and/ or social issues through audit reports or third party audit certificates. Evidence of internal/external on site audits is recent enough (i.e. less than 12 months). Audits can be announced or unannounced and are systematically conducted at least for suppliers most exposed to CSR risks. External audits are carried out by credible third party auditors and recognized environmental and/or social auditing standards are utilized (e.g. SMETA, EICC). Audits are directly conducted via field visits, i.e. on the suppliers' operational sites and/or business premises. Regular supplier assessment (e.g. questionnaire) on environmental or social practices The company demonstrates evidence of supplier CSR assessments (in-house, 3rd party, or self-assessments) through checklists or questionnaires to verify compliance with its own predefined set of CSR requirements. CSR assessment questionnaires can be in house driven or supported by a third-party organization, and include questions on environmental (including regulatory issues), social and ethical issues. CSR assessment can also consist in checklists, online forms Assessment can be conducted by the client, a reliable third party, or by the supplier itself. Integration of environmental, social and health & safety criteria when purchasing products Environmental, social and health & safety criteria are formally described as an integral part of the selection process in product procurement. CSR criteria can be integrated in calls for tenders to ensure that the environmental and social impact of the purchased product is minimized. Some potential examples of such criteria include ecolabels, detailed product characteristics, external third party certifications (FSC, PEFC, ISO 14001), CSR performance scores. Integration of environmental or social factors when purchasing services Environmental or social factors are systematically taken into consideration during the the selection process of suppliers of services. Suppliers could be asked to demonstrate their pro active measures that go beyond regulatory compliance or certification such as ISO14001 or OHSAS They could also be asked to disclose their performance or score on CSR or health and safety or environment management assessments. Some specific topics such as control of child labor, use of ecolabelled products, detailed product characteritics could also be covered. Integration of social or environmental clauses into supplier contracts The company's contractual agreements with subcontractors systematically contain a binding clause that requires those suppliers to comply with international CSR standards or to demonstrate a proactive CSR approach. Such contract clauses can contain defined measures that the client can impose in case CSR clauses are not respected (e.g. contract termination). Some specific issues covered in supplier contracts can include child labor, conflict minerals, REACH and RoHS. Page: 20/30

21 10. The 360 WATCH: stakeholders' information 360º WATCH. 12/2015 No records found for this company on Compliance Database 06/2015 Logistics-ecological: PGM logistics delivers the goods with zero emissions (IT) PGM Logistics, the first beverage distribution company operating in Bergamo with 100% electric vehicles, will handle the logistics of Heineken Italy for the area under its jurisdiction. The 360 is a web based tool to collect stakeholders insight on a company s CSR approach and impacts. A corporate stakeholder is a party that can affect or be affected by the actions of the company and the achievement of its objectives (i.e. employees, clients, suppliers). Note: If a strength or weakness is activated on the 360, this is an indicator that the 360 has had an impact on the score. Only legitimate stakeholder sources are selected: Governmental organizations (i.e. government environmental protection administrations, anti-trust agencies, customers protection agencies) CSR networks and initiatives Trade unions and employers organizations International organizations (i.e. UN, ILO, UNEP, ) NGO s (i.e. Greenpeace, Clean Clothes Campaign, Transparency international, UFC, ) Research institutes and reputable press (CSR Asia, Blacksmith Institute, ) Page: 21/30

22 11. SPECIFIC COMMENTS Specific comments are key points which indicate some specific characteristics of the company CSR evaluation and will help to better understand the company s performance. Since the last evaluation, the overall score has increased thanks to the implementation of additional measures. Since the last evaluation, the overall score has increased thanks to the publication of additional CSR reporting. The company is not included in any compliance-related watch lists or sanction lists. Page: 22/30

23 MORE INFORMATION For more information, please refer to our website ( where you can also connect to the EcoVadis platform. If you have any questions or problems, do not hesitate to contact us: By at: By phone : +33 (0) Provided under contract for exclusive use of subscriber: - 22/01/2016 This assessment is valid for 12 months only. Page: 23/30

24 APPENDIX : CATEGORY PROFILE A Category Profile offers practical insights into the key sustainability issues which are applicable to the company industry of operation. It provides a link to major regulations, sector initiatives, and eco-labels. The company industry of operation has been determined based on International Standard Industrial Classification of All Economic Activities (ISIC), which is a compilation of all global economic activities published by the United Nations Statistical Commission. The International Standard Industrial Classification of All Economic Activities (ISIC) main purpose is to provide a set of activity categories that can be utilized for the collection and reporting of statistics according to such activities. International Standard Industrial Classification of All Economic Activities, Rev.4, United Nations, New York, 2008 It is possible that a company has operations in more than one category, but EcoVadis classifies companies based on their main area of operation. Page: 24/30

25 CRITERIA ACTIVATION BY THEME: Each category faces specific CSR issues and risks based on their industry of operation. The below chart shows the criteria activated for the company category name : Other transportation support activities. Environment Energy Consumption & GHG Water Biodiversity Local Pollution Materials, Chemicals & Waste Product Use Product End-of-Life Customers Health & Safety Sustainable Consumption Labor Practices Employee Health & Safety Working Conditions Social Dialog Career Management & Training Child & Forced Labor Discrimination Fundamental Human Rights Fair Business Practices Corruption & Bribery Anti-competitive Practices Responsible Marketing Sustainable Procurement Suppliers & Environment Suppliers & Social Non Activated Medium Importance High Importance Only in Risk countries Noteworthy Practices KEY CSR ISSUES This section shows a qualitative explanation of the key CSR issues and risk pertaining to Other transportation support activities. Key CSR Issues ENVIRONMENT Energy Consumption & GHG Definition: Energy consumption (e.g. electricity, fuel, renewable energies) used during operations and transport. Greenhouse gases direct and indirect emissions including CO2, CH4, N2O, HFC, PFC and SF6. Also includes production of renewable energy by the company. Sectorial issues: At a global level, the movement of freight accounts for roughly a third of all the energy consumed by transport (IPCC, 2007). World wide, 33% of trade related emissions come from international transport(1). Direct emissions from other transportation and support activities do not contribute a significant amount towards this global total. However, the indirect GHG emissions from this sector are very significant. Other transportation service activities can be seen as being at the top of the logistics pyramid, therefore having great influence over the governance and efficiencies along the chain of transportation activities. The main impact on energy consumption companies working in this sector can make is through the consolidation or freight which allows maximum space to be utilized in each shipment(2). The monitoring of CO2 emissions ensures transparency and sets the foundation for reduction management(3). Specifically, companies can reduce their C02 output using less intensive options such as rail and shipping as well as managing internal energy consumption by choosing alternative, renewable technologies for company buildings and warehouses, for example. Materials, Chemicals & Waste Definition: Consumption of all types of raw materials and chemicals. Non-hazardous and hazardous waste generated from operations. Also includes air emissions other than GHG (e.g. SOx, NOx). Sectorial issues: Support transport activities normally consume a certain amount of resources as well as producing a variety of waste. Companies in this sector use paper as their primary working material. Other inputs include use of chemicals (for cleaning and hygienic purposes), use of paper, plastics for packaging, wooden pallets, cardboard boxes and other office IT. All those inputs will ultimately impact the environment through resource depletion and waste generation whether hazardous or non-hazardous. In order to to mitigate those impacts, companies in this sector may take action by shifting more and more to digital forms of communication and/or using recycled paper for office use, train employees about efficient use of paper, implementation of waste management policy such as reducing, reusing and recycling. Sustainable Consumption Definition: Programs implemented to promote the sustainable consumption of their own products or services among their customer base. This criteria includes the positive/negative indirect impacts of the use of products and services. Sectorial issues: Many consumers in the countries of the Organisation for Economic Co-operation and Development (OECD) are becoming increasingly sensitive and aware about environmental sustainability. Consumption levels and environmental footprints are already high and achieving sustainable consumption requires substantial improvements in resource use and waste management. A Deloitte study found that consumer behavior is still principally dictated by price, quality and convenience, rather than by origin of products and sustainability content. Page: 25/30

26 LABOR PRACTICES Employee Health & Safety Definition: Deals with health and safety issues encountered by employees at work i.e. during operations and transport. Includes both physiological and psychological issues arising from, among others, dangerous equipment, work practices and hazardous substance. Sectorial issues: The accident frequency rate in 2012 for transport activities in France for instance was 29.6 with a severity rate of 1.9 and is higher than the average of other activities(4). Main risks come from transportation and support activities related to road accidents, handling of hazardous and heavy lifting in warehouses or during transport. Also hazards that pose threats to physical safety of workers include mechanical/machine hazards, electrical hazards, ergonomic hazards such as repetitive motion, awkward posture and excessive force; or risk of a work-related motor vehicle accident. Measures to monitor employees driving practices, awareness/training, work related risk analysis of employees on health and safety issues or use of personal protective equipments can minimize the health and safety risks for employees. Working Conditions Definition: Deals with working hours, remunerations and social benefits granted to employees. Sectorial issues: Transportation and logistics companies pay lower wages than companies in many other industries. That is the case all over the world. The Global Wage Report from the ILO lists transport as one of the main sectors where low-wage employment is concentrated (5). Within the transportation and support sector, there are significant variations in salary levels differing between the job sectors. In this multifaceted industry, job profiles range from pilots and seafarers to truckers and rail drivers, freight forwarding agent, customer agents, etc. The working conditions vary enormously, and so do the corresponding wages and benefits. Companies will need to accurately allocate compensation levels and benefits for both men and women. Some measures might include: holiday pay, health insurance, competitive salary compared to others in the industry and outstanding pension scheme, among others. Implemented, these can to improve employees work/life balance by reducing the consequences the job has on their life outside of work. Social Dialog Definition: Deals with structured social dialogue i.e. social dialog deployed through recognized employee representatives and collective bargaining. Sectorial issues: Disputes resulting from poor labor relations can have serious detrimental effects on the sector. This can either be a caused by individual suppliers or it can escalate to national issues, for example when ports and harbors are blocked or closed. For instance, poor labor relations at French ports have made Antwerp (Belgium), into France's largest port(6). However, companies through their own procurement and internal best practices can mitigate many of these risks(7). Also, a structured communication system with unions is one of the measures that can be implemented. Career Management & Training Definition: Deals with main career stages i.e. recruitment, evaluation, training and management of layoffs. Sectorial issues: Persons working in freight forwarding and other transportation support services have to comply with a range of national and international regulations and laws covering a wide range of topics, ranging from dangerous goods to tariffs/taxes(8). Both training and review are essential to ensure governance and competencies in this area. Several national and international accredited schemes and professional Institutes exist and there are a range of International standards and training options available with which companies can foster their commitment and invest in training and development of their employees. Discrimination Definition: Deals with discrimination issues at work. Discrimination is defined as different treatment given to people in hiring, remuneration, training, promotion, termination; based on race, national origin, religion, disability, gender, sexual orientation, union membership, political affiliation or age. Sectorial issues: In line with UN Global compact, businesses should uphold eliminate discrimination in respect to employment and occupation. Many companies foster diversity by adhering to strict internal policy on discrimination and by ensuring that all employment decisions are made without regard to race, color, ethnicity, national origin, sex, sexual orientation, age, religion, disability, or other status protected by law. Discrimination based on gender is most widespread. More particularly in the freight transport and support sector the men/women ratio is widely unbalanced. The percentage of women in global forwarding and third party logistic companies has significantly increased in the recent years but discrimination lawsuits are still being registered(9). Sectoral initiatives were created to address this particular issue. Fundamental Human Rights Page: 26/30