Downstream Value Chain
Material impacts, risks and opportunities
WACKER as a reliable partner
Our customers want to work with suppliers that are reliable and show integrity. They require us to demonstrate that we support sustainable value chains that are especially free from child and forced labor. We have designed our business practices in a way that allows us to check the sustainability of our supply chain, minimize negative impacts and positively impact our value chain workers, We see this as an opportunity to be a preferred supplier for our customers. This also applies to other business partners such as banks and investors that likewise value the ethical business practices of their customers.
Strategy and governance
WACKER’s business strategy is centered around giving our business divisions leading competitive positions and around achieving sustainable actions. Proximity to our customers and sustainable practices at all stages in the value chain are the driving forces behind our growth. We have set our general strategic and operational targets for the period leading up to 2030 out in our SustainaBalance® sustainability strategy. To show our customers and business partners just how serious we are about these targets, we undergo an external assessment as a supplier to furnish evidence of our business practices. This assessment uses the same tools as those that we use to evaluate our own suppliers, meaning that they are an integral component of our business strategy.
Actions
As a TfS member, WACKER not only evaluates its suppliers in terms of sustainability, but also has its own performance as a supplier examined by EcoVadis in an external assessment. We achieved an overall rating of 77 points in the reporting year, which puts us in the top 4 percent of all companies assessed in our category. In sustainable procurement in particular, our score improved to 90 out of 100.
In addition, we are examined by way of social audits at our major production sites. Proceeding according to the SMETA (Sedex Members Ethical Trade Audit) or TfS process, auditors investigate issues such as working conditions, occupational health and safety, environmental management and corporate ethics. We make the results available to interested customers via TfS or in the Sedex database.
At the same time, TfS assessments enhance our standing with customers. EcoVadis ratings are recognized benchmarks that customers see positively. What is more, we want to generate opportunities with sustainable supply chains. We see added value for our customers in this process if we can show that we have taken action to minimize the risk of violations of children’s and human rights. We will continue to improve our efforts on an ongoing basis.
