ESG Objectives

Supplier Development

Measuring the performance of our suppliers against Key Performance Indicators (KPI’s) we strive to continually improve the sustainability of our supply base. Increasing the coverage of ESG assessments through our partner EcoVadis and engaging with suppliers through Improvement Action Plans we strive to shape and improve our supply base in the areas of Environment, Labour & Human Rights, Ethics & Sustainable Procurement. We continue the good progress made in FY20 with an increase of 17% of Procurement FY21 spend covered with EcoVadis assessments.

NSG suppliers’ spend weighted average score of 55 exceeds EcoVadis average for all companies measured;-

■ NSG Suppliers’ FY21 Overall Score Distribution
■ FY21 Supplier Spend Assessed by EcoVadis (% Annual Spend)

We pay particular attention to suppliers who potentially have a High Environmental Impact (HEI). Our aim is to ensure that these suppliers minimize their potentially negative impacts and work positively on environmental initiatives. 13 of our material categories, see chart below, fall within the sope of HEI, including wooden packaging, batch materials, waste management, contractors and chemicals. We expect that all suppliers in these categories have internationally recognized environmental certification such as ISO14001 or national equivalent and/or EcoVadis assessment. In the case of wooden packaging, paper and cardboard, we look for a recognized chain of custody (e.g. FSC or PEFC) in regard to the raw material supply.

■ HEI Compliance - FY21

NSG Buyers’ ESG Objectives

NSG Buyers are set SMART objectives in the ESG area, and are required to undertake annual training covering a variety of ESG topics.

■ Development of Buyers’ ESG Objectives
■ ESG Training in Procurement