Creating a sustainable business
SEB has a strong ambition to contribute to sustainable growth. For us, it's of vital importance that we have close relationships and interact with all our stakeholders, also our suppliers.
We are convinced that having suppliers with high performance as regards environmental, social and ethical aspects creates greater values for us as well as for our suppliers. Sustainable business is about being here for the long run.
In our Supplier Code of Conduct we express the importance of having a sustainable supply chain and what we expect from our suppliers. The Supplier Code of Conduct is based on SEB's group-wide Code of Business Conduct.
Sustainability risk assessment model
To identify the sustainability risks among our suppliers, SEB starts with an initial assessment. The sustainability risk level for each supplier is determined by country, industry sector and business criticality (SEB spend with supplier, outsourcing, etcetera).
The risk levels for specific countries and industry sector are provided to SEB by an external partner with extensive expertise on the subject. Suppliers identified in the initial supplier risk assessment as having a potential increased risk level, will be further scrutinized in an enhanced assessment.
SEB makes a first screening through our internal risk model. It covers over 90 per cent of our suppliers spend. The next level is a supplier screening through EcoVadis. Human Rights, Environment and Labor rights, among others are included as criteria in this process and covers about 55 per cent of our annual spend.
Our largest suppliers are mainly within Professional services, Facility management, Information technology and Banking services. These are mostly global and Nordic/ Baltic regional companies.
SEB is using EcoVadis sustainability monitoring platform for managing assessment and rating of our suppliers. The EcoVadis platform combines sustainability assessment expertise and data management tools which will allow for our suppliers to demonstrate their sustainability best practices. The target is to increase the average sustainability rating in the supplier community that delivers products and services to SEB.
The result from the monitoring will be used by SEB as an important input in the supplier selection, but also for measuring and developing current suppliers' sustainability performance. For current suppliers, SEB will identify the suppliers scoring the best results and promote the use of these suppliers. Top rated suppliers will be published on SEB's web page for Supply Chain Management. For suppliers that receive low rating, SEB will support the supplier in driving a positive development of the scoring, with the ambition to improve the rating year to year.