Translations

PROCTER and GAMBLE : environmental impact of themselves and of others

5. Fair Operating Practices

Responsible purchasing

Sector Industry

Year 2010

Country United States

Transmitter

Context

Procter & Gamble (P&G) is a multinational corporation with approximately 300 brands of consumer products ranging from beauty and grooming, health and well being, to household care under brand names such as Gillette, Crest, and Dawn.

P&G’s operations are varied and dependent on natural and man-made resources. Impacts on the environment can come from emissions, outsourcing of raw materials, and energy consumption to product transportation and afterlife. They recognize that keeping sustainability at the core of the company fuels innovation and strengthens results.

P&G has been ranked for 10 years running as one of the Global 100 Most Sustainable Corporations in the World by the Dow Jones Sustainability Group Index and was the Financial Times 2008/2009 Social Innovation Award for its work in shaping the new world of sustainable and socially responsible enterprises.

Objectives

To keep track of environmental sustainability of own activities as well as of suppliers.

APPROACH

P&G had put in place An Supplier Environmental Sustainability Scorecard for about 400 of its key suppliers in 30 countries. It will assess suppliers' total environmental footprint and encourage continued improvement by measuring energy use, water use, waste disposal, and greenhouse gas emissions on a year-to-year basis.

Their new Supplier Sustainability Board includes members from over 20 leading global suppliers and is charged with guiding the development of supplier-related Sustainability activities and goals. P&G also said it hoped that work done in developing the scorecard might lay the foundation for an industry standard. The scorecard will be a flexible and user friendly tool for suppliers to track their environmental performance. It will also promote a working discussion and determine common supply chain evaluation processes across all industries. The scorecard is specifically designed to focus on, and encourage, year-on-year improvement – “regardless of a supplier's total size or the current stage of its sustainability program.”

Go to this link to download the scorecard:
http://www.pgsupplier.com/environmental-sustainability-scorecard

CONTRIBUTION TO COMPANY PERFORMANCE

Enhance supply chain collaboration.
Encourage the sharing of ideas and capabilities to deliver more sustainable products and services to consumers.

Benefits

An improvement in the detection key environmental indicators for suppliers.