GRI Compliance / Environmental

Supplier Environmental Assessment 2016

For Management Response click here.

For Reporting Boundaries and Methodologies click here.

REFStatoDisclosureOur Response

GRI 308-01

Full Disclosure

New suppliers that were screened using environmental criteria

Percentage of new suppliers that were screened using environmental criteria

In the defence and security sectors Babcock takes a risk based approach to segment and establish the level of due diligence required for new suppliers based on their activities.

Suppliers in the strategic, key and preferred suppliers classifications complete a self-assessment process. Each supplier submission is subject to review & verification then refreshed at scheduled periods throughout the supplier relationship.

Environmental criteria is incorporated within the self-assessment process and by March 2022, c2376 suppliers have participated in the assessment process.

Babcock is actively developing the assessment process further as part of the Group P&SC functional strategy with completion scheduled by end of 2022. This will be the enabler to accurately report a group level percentage of new suppliers that were screened using environmental criteria.

GRI 308-02

No Disclosure

Negative environmental impacts in the supply chain and actions taken

  1. Number of suppliers assessed for environmental impacts.
  2. Number of suppliers identified as having significant actual and potential negative environmental impacts.
  3. Significant actual and potential negative environmental impacts identified in the supply chain.
  4. Percentage of suppliers identified as having significant actual and potential negative environmental impacts with which improvements were agreed upon as a result of assessment.
  5. Percentage of suppliers identified as having significant actual and potential negative environmental impacts with which relationships were terminated as a result of assessment, and why.

Babcock is actively working to enhance & develop the current business processes required to efficiently assess and identify negative environmental impacts as part of the Group P&SC functional strategy. Completion scheduled by end of 2022. This will be the enabler to accurately report on negative environment impacts and resulting improvement activities.

The due diligence processes adopted by our business units including supplier onboarding, supplier audits and supplier performance reports have not identified significant or potential environmental impacts.

In late 2021 Babcock developed a Sustainable Procurement Policy that identifies key sustainability themes based on the requirements and expectations of our interested parties. This is underpinned by our newly developed Sustainable Procurement Guideline which provides detailed requirements and is supported by our 3 year Sustainable Procurement Strategy. The business is also investing in organisational resource within P&SC to provide a dedicated team to deliver the strategy.

Environmental Impacts and action management is a core element of the strategy which will be rolled out during 2022.

Babcock have also invested in an AI Risk monitoring solution that will allow us to fully map our supply chain ecosystem, monitor activities and alert us when hidden risk is exposed in our sub-tier supply chain. This has been rolled out in Q1 2022.

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