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University of Vaasa - Vaasan yliopisto

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Table 6 Review Categories and Results<br />

FURTHER ANALYSIS OF SURVEY<br />

Category A - BCS 3<br />

Accredited Environmental Management<br />

1 System used by focal company – ISO 14<br />

001 or EMAS?<br />

In-house EMS. Own code <strong>of</strong> conduct;<br />

expect suppliers to meet own standards.<br />

2<br />

Own supplier quality partnership system<br />

including a biodiversity element?<br />

3 ISO 14001 required in supply chain - 1st or<br />

2 nd Tier?<br />

Acorn or BS8555 recommended to<br />

4<br />

suppliers?<br />

Obligation for a supplier to require<br />

5 biodiversity criteria from their own<br />

suppliers?<br />

Red<br />

Zon<br />

e (6)<br />

Amber<br />

Zone<br />

(6)<br />

Green<br />

Zone<br />

(7)<br />

Total<br />

(19)<br />

5 6 7 18<br />

5 6 6 17<br />

2 2 4 8<br />

2 0 0 2<br />

0 1 2 3<br />

661<br />

The results also show that with one exception, each <strong>of</strong> these 19 companies employed<br />

an accredited EMS such as ISO14001 or EMAS. Nevertheless the one nonaccredited<br />

company operated its own in-house system. In fact a total <strong>of</strong> 17<br />

companies had internal systems, which contained specific biodiversity elements and<br />

involved, amongst other things, working in partnership with suppliers. These inhouse<br />

systems are <strong>of</strong>ten based on ISO 14001 and tailored either to the industrial<br />

sector the company operates in, or to a type <strong>of</strong> product.<br />

Strategic suppliers are <strong>of</strong>ten expected to comply with the company EMS via a due<br />

diligence process. Various titles for such processes are used, for example,<br />

Responsible Care Management (ACC, 2007), Electronic Industry Code <strong>of</strong> Conduct<br />

(HP, 2009), Vendor Code <strong>of</strong> Conduct, Supplier Relationship Management,<br />

Responsible Sourcing Standards, Supplier Management and Assessment Systems,<br />

Supplier Ethical Data Exchange (SEDEX, 2009) and Global Compact Sustainable<br />

Supplier Management System (GC, 2003). However, only 8 <strong>of</strong> the 19 companies<br />

required their first or second tier suppliers to adopt accredited EMS systems.<br />

Interestingly four <strong>of</strong> these eight cases were low risk (green zone) companies.<br />

Therefore in the majority <strong>of</strong> cases, the requirement <strong>of</strong> focal companies for suppliers<br />

to have accredited EMSs may currently be viewed as too restrictive in terms <strong>of</strong><br />

supplier sourcing. The operation <strong>of</strong> purchaser-supplier partnerships and contractual<br />

agreements or assurances may be more workable solutions in the current business<br />

climate.<br />

The results indicated an upward trend in red risk zone focal companies requiring ISO<br />

14001 by a staged approach, through Acorn (IEMA, 2009) or BS8555 (BSi, 2009).<br />

Overall the data are too sparse, with a total <strong>of</strong> only 2 companies reporting across all 3<br />

Risk Zones, for any meaningful conclusion to be drawn however. The overall (crosszone)<br />

indication is that encouragement to start a staged approach to achieving ISO<br />

14001 is not widely recommended to suppliers.

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