The second part of our operational sustainable business goals concerns responsible sourcing. Under goal 4, we aim to improve sustainable business practices in our supply chains. Through collaboration, we will ensure full compliance with our minimum standards from strategic Tier 1 suppliers.
This due diligence is not new to us but it is the first time we have framed it as a formal sustainability goal, with clear measures to show our progress. Our goal is to achieve compliance among 100% of our Tier 1 strategic suppliers by 2025.
Supplier sustainability assessment
We procure goods and services globally and our supply chains are multi-tiered. Supply failure is a principal risk and monitoring and understanding the risk is challenging but essential. Some of our strategic raw materials are available from only a limited number of countries.
The term ‘conflict minerals’ refers to tin, tungsten, tantalum and gold which originated from the Democratic Republic of Congo (DRC) and surrounding countries.
Our conflict minerals due diligence process is based on the Organization for Economic Co-operation and Development (OECD) Guidelines and includes keeping records that enable us to track the suppliers of all the raw materials we use and identify which smelter the conflict minerals came from. We are working towards being compliant with the new European Union Conflict Mineral Regulation, which was enacted in July 2017, ahead of the January 2021 deadline.
We only use material from refiners and smelters which conform to the Responsible Minerals Assurance Process (RMAP) assessment protocols and are listed on the RMI (Responsible Minerals Initiative) database. We have identified over 150 3TG smelters across all tiers of our supply chain and 100% are currently listed as conformant with the RMAP process.
You can read more about responsible sourcing and conflict minerals in our Annual Report.