EcoVadis Network Impact Report Showcases Progress on Environmental & Social KPIs and Metrics from 40,000 Business Sustainability Ratings
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ESG Performance Insights from Ratings Covering $2.6 Trillion in Procurement Spend Mark Acceleration of Positive Actions & Improvement Across the EcoVadis Network
EcoVadis is reporting on the sustainable business practices being adopted by the 100,000+ companies with a sustainability rating in its network and the key metrics quantifying the positive social and environmental outcomes of these efforts. Nearly 1,000 enterprise customers are now using the EcoVadis platform to manage their value chain sustainability, expanding the total global procurement spend covered by EcoVadis Ratings to more than $2.6 trillion. These insights and more, mapped across EcoVadis’ model for generating impact, are revealed in the sustainability ratings provider’s third annual Network Impact Report.
COP27 highlighted the need for stronger collaboration on key sustainability issues such as corporate net-zero action. This year’s Network Impact Report shows how EcoVadis’ Impact Model is enabling companies to collaborate closely with their trading partners on sustainability to build transparency, drive tangible improvement and scale positive impact throughout value chains.
The Impact Model consists of three phases: First, multinational buyers and private equity firms invite their trading partners to be rated by EcoVadis and leverage the insights to embed sustainability into their procurement or investment strategies. Then, rated companies use their scorecard results and the EcoVadis platform to improve their ESG management systems and adopt sustainable best practices. Finally, EcoVadis enables companies to track and report the outcomes of this process, helping both requesting and rated companies fine-tune their approach and scale their efforts.
“Businesses understand that despite ongoing supply chain, macro-economic and regulatory challenges, transforming commitments into immediate action is crucial for long-term resilience and success,” said Pierre-François Thaler, Co-founder and Co-CEO of EcoVadis. “The acceleration in positive actions across our network shows how our customers are extending beyond their risk and compliance foundations to make progress toward positively impacting society and the planet.”
EcoVadis published 40,000 scorecards in 2022, of which 48% were for companies new to the network. This brings the total companies rated by EcoVadis to 107,000, representing more than 90 million workers across global supply chains. EcoVadis has collected nearly 14 million data points on the performance of its network across 38 key sustainability metrics.
See related article: Crowley Partners with EcoVadis for a More Transparent, Sustainable Value Chain
This edition of the Network Impact Report shows how companies can improve their sustainability performance in a quantifiable way. Selected best practices that companies adopted for the first time in 2022 include:
- 2,653 companies implemented reuse/recycling actions (25% increase over 2021)
- 1,422 companies implemented water recycling actions (124% increase over 2021)
Health & Safety:
- 5,779 companies provided personal protective equipment (53% increase over 2021)
- 4,588 companies trained employees on health and safety (65% increase over 2021)
Diversity, Equity & Inclusion:
- 13,483 companies developed policies on diversity, equity and inclusion (updated in 2021*)
- 3,237 companies implemented actions to promote diversity (39% increase over 2021)
Additionally, EcoVadis’ Carbon Action Module provides companies with deeper insights into their carbon performance. The 23,000 carbon maturity scorecards generated through the Module in 2022 reveal the following:
- 10,482 companies implemented policies on energy and GHG emissions (updated in 2021*)
- 5,244 companies reported on energy consumption (44% increase over 2021)
- 4,389 companies reported on GHG emissions (56% increase over 2021)