In an effort to involve suppliers more closely in its corporate responsibility programme, PSA has worked with 14 of its largest suppliers to encourage them to apply PSA’s social and environmental standards.
The 14 suppliers account for more than a quarter of PSA’s total annual procurement and represent a purchasing volume of more than EUR7.5bn.
According to Therese Martinet, PSA’s director for environment and sustainable development, social and environmental criteria are now a key purchasing criteria for buyers to take into account.
“If a supplier does not meet our requirements we don’t exclude them, but we do work with them to help them improve,” said Martinet, speaking exclusively to just-auto earlier this year.
In a statement announcing the pledge initiative, PSA said it intends to make compliance with its social and environmental requirements a core component of its purchasing policy, alongside quality, deadlines and costs.
The agreement was signed less than a month after the 14 suppliers were first briefed by Jean-Philippe Collin, vice president of purchasing, Jean-Luc Vergne, vice president of human resources, and Thérèse Martinet.
In a second phase, all of the group’s 9,000 current suppliers, as well as future suppliers, will officially pledge their support by signing the agreement, which is posted on the group’s B2B web portal. They will also ensure that their own suppliers embrace the initiative, in accordance with the principles of extended business values. Deployment should be completed by the end of 2007.
The agreement comprises 13 commitments, including implementation of an environmental quality management system, promotion and respect of human rights, elimination of all forms of forced or compulsory labour, respect for employee health and safety, and the eradication of discrimination in the workplace.