Sustainable supply chain
06

Sustainable supply chain

Driving sustainability through procurement

Our long-term partnerships with suppliers are supported by a robust management system to ensure that business relationships are aligned with all applicable laws and the highest standards for business ethics, health, safety and environmental protection, from the supply of raw materials to transportation and distribution services.

Our suppliers are a central part of our sustainability strategy. We aim to collaborate with our off-site processors, custom manufacturers and over 3,000 suppliers to drive sustainability improvements. We evaluate our suppliers using the independent EcoVadis rating on a broad range of topics, including environmental management systems, human rights and sustainable procurement practices.

This is helping us to understand risks and opportunities in our supply chain, find opportunities for collaboration, and ensure that our supplier base understands our business and sustainability strategy. The share of 2024 supplier spend that was covered by sustainability assessments has risen to 71%, up from 62% for 2023. Our intent is to reach 80% of relevant spend by the end of 2025. 

We have integrated sustainability criteria into key procurement processes and continue to engage key suppliers to drive improvements. Product carbon footprint data is requested as part of our tendering process and we have collected data for over 50% of raw material suppliers by volume. We are working with our suppliers to improve the quality and coverage of data through regular steering team meetings and business performance reviews.

Managing upstream environmental impacts

We are working to continuously improve our understanding of upstream environmental impacts, strengthen our product life cycle assessments and gain more visibility over our scope 3 carbon footprint.

This will act as a basis to drive further collaborations to reduce negative environmental impacts in our supply chain, develop more sustainable products, optimise our production processes, and even establish new business models. 

For example, in 2024, we started using new intermediate bulk containers for our shipments in Europe. These containers have an inner layer which is made from recycled plastic, reducing the carbon footprint of each container by 6.8kg.

We expect this to result in CO2 emissions savings of approximately 50 tons annually.

Efficient transportation and logistics

Our Transportation Management System is designed to streamline the shipping of our products and components, providing visibility into day-to-day transportation operations, compliance and documentation, and ensuring timely delivery of freight and goods. It also allows us to monitor and improve the carbon footprint associated with our global supply chain operations. As a result, we have increased focus on different supply models including payload optimisations and switching 
to more sustainable forms of transportation to reduce
carbon emissions.

Safeguarding human
rights in our supply chain

Infineum supports the protection of and respects universal human rights, including but not limited to those of our colleagues, the communities in which we operate, and the parties with whom we do business, and condemns human rights abuses of any kind.

We believe that human trafficking, moderm slavery, and all other humanitarian crimes should not be tolerated in any part of our business or supply chain. 

In this regard, we endeavour to ensure that our company and supply chain adhere to the highest ethical standards, and that our contractors are treated fairly.

Our Code of Conduct sets out our position on human rights and modern slavery through our Statement on Human Rights and Modern Slavery, to which Infineum colleagues and suppliers are expected to adhere at all times.

Our expectations for suppliers to adopt and maintain a similar approach to human rights and modern slavery is clearly communicated via our Supplier Code of Conduct and online Supplier Portal, as well as through annual written reminders.