Operating in a sustainable manner
Responsbile supply chain
At Metso, we focus on our core competencies and outsource many work phases to our suppliers. The outsourced work can consist of hazardous and risky activities. Outsourcing also decreases the environmental load of Metso’s operations, but emphasizes our responsibility for the environmental efficiency of our subcontractors and suppliers. We are aware of the risks and also of the opportunities when it comes to taking sustainability issues into account in our supply chain, and we continuously strive to develop better ways to train and assess our suppliers.
Supplier sustainability screening
To support our sustainability goals and to seize the opportunities sustainability presents, we need close interaction with our suppliers. Therefore, we focus on strengthening the collaboration with our key suppliers and encouraging them to improve their sustainability performance.
Metso’s Code of Conduct and sustainable development criteria for suppliers set the standards that we expect our suppliers to follow, and they are the starting point to any new or existing business relationships. We are in a process of developing a more systematic supplier sustainability follow-up tools and processes. We have issued guidelines and criteria for our suppliers to follow and and to encourage them to integrate sustainability throughout their own supply chains. Metso strives to ensure that our suppliers meet the sustainability criteria. This is done through contractual aspects, supplier self-assessments and audits.
A few years back we started building a more transparent supply chain carrying out a risk mapping of sustainability-related risks within our existing suppliers. By defining the risk level of our suppliers, we were able to focus on those suppliers with the highest potential risks in their operations. Based on risk screening and self-assessments, we decide if there is a need for third-party audits. We conduct a minimum of 15 third party sustainability audits yearly. Screening new suppliers is included in Procurement’s ongoing processes, and our target is to do sustainability screening for all the new suppliers in high risk areas. Based on the sustainability risk assessment of the new supplier, Procurement decides on the need for an in-depth audit and further actions. If the supplier is not able to fulfill our sustainability criteria and the cooperation in developing the supplier’s shortcomings is impossible, the supplier will be declined.
Statement on conflict minerals
Metso acknowledges increasing concern related to the human rights issues of sourcing ores and metals from areas of conflict. Metso is currently not affected by the conflict minerals regulations, and our products also do not affect our customers’ performance with regard to the regulations. Metso is nevertheless committed to conducting business in a sustainable manner and considering laws and regulations as only the absolute minimum. In line with our commitments, we do not knowingly source any materials that contribute to any human rights violations, and we expect the same behavior from our suppliers.
To clarify Metso’s position on conflict minerals, Metso has issued a public position statement related to conflict minerals.
In line with our commitments, we do not knowingly source any materials which contribute to any human rights violations, and we expect the same behavior from our suppliers. Metso acknowledges the increasing concern related to the human rights issues of sourcing ores and metals from conflict areas. The concern over conflict minerals has gained increased public attention following regulations published in the US and proposed in the EU.
Metso is currently not affected by the conflict minerals regulations. Apart from individual exceptions, our products do not either affect our customers’ performance with regards to the regulations.
Metso is aware of the complexity of the issue and according to our statement we, as many of our suppliers, cannot fully confirm the origin of all materials used in our products. We work continuously to better understand the issue and we are committed to helping our suppliers in determining the origin of the materials used in products sold to us.