Ethical Performance
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P&G scorecard will keep tabs on suppliers

June 2010

A suppliers’ environmental scorecard has been introduced by the world’s largest household goods company, which hopes it will be the first step towards an industry standard.

Procter & Gamble, which markets more than 300 branded products, has created the new rating process in an attempt to measure, improve and reward the performance of its largest suppliers. Under the new regime the company will rate suppliers from a range of information they provide annually – in the hope of encouraging improvements on a year-on-year basis.

The scores, ranging from five (‘far exceeds expectations’) to one (‘far below expectations’), will be calculated mainly from statistical information on ten issues, including energy usage, waste disposal and greenhouse gas emissions.

The scorecard, which can be viewed by all suppliers, relies on existing measurement standards such as protocols from the World Resources Institute and the World Business Council for Sustainable Development.
The first deadline for information from participating suppliers is 1 July.

Procter & Gamble | Global | Supply Chain Ethics

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