Our Program
One Single Assessment Approach Based on Complementary Tools
To consistently evaluate the suppliers' ethical, social, and environmental practices, a fully integrated assessment approach was implemented in 2008. This approach combines 3 complementary tools: suppliers risk assessments including CR aspects, CR ratings managed by EcoVadis, and on-site CR evaluations as part of our supplier quality audits and dedicated in-depth in-the-field CR audits.
Alcatel-Lucent CR in Purchasing Assessment Approach
Suppliers Risk Assessments
A risk assessment is performed to assess the business risks of new supplier. The assessment integrates a CR section that aims at determining the level of risk associated with a given supplier, based on its type of activity, location, among others. If the level of risk related to CR is significant, a CR assessment is launched to ensure that the supplier CR practices meet Alcatel-Lucent standards.
EcoVadis CR ratings
Alcatel-Lucent CR ratings are performed by EcoVadis, a company specialized in Sustainable Supply Management solutions. The EcoVadis rating is determined by a CR expert team, who combines the answers to questionnaire and supporting documentation provided by suppliers with independently obtained and analyzed public third party information, as well as risk factors mapped per industrial sector/country. The EcoVadis rating system presents assessment results according to internationally recognized standards such as GRI G3 / Global Compact.
The EcoVadis rating system focuses on the social, ethical, environmental and health & safety approach of suppliers in their own practices, as well as in the management of their supply chain. It aims at verifying conformity to international and national standards.
Example of EcoVadis Supplier Scorecard
The EcoVadis rating system provides simple and reliable supplier CR scorecards. Combined with Alcatel-Lucent suppliers management processes, it enables improved communication of sustainability performance to buyers and suppliers. The EcoVadis CR assessments bring expert external evaluations to Alcatel-Lucent, therefore enriching Alcatel-Lucent overall approach and providing a clear external referential for the assessments.
The EcoVadis solution is a point of reference available within the industry. The assessment results can be shared with all EcoVadis platform member companies, enabling suppliers to capitalize on a single CR assessment available to different customers.
The EcoVadis rating system also enables Alcatel-Lucent to focus its internal resources on the development of improvement plans. Alcatel-Lucent works cooperatively with suppliers to help them improve CR performance. Straightforward monitoring and jointly-developed improvement plans work effectively with advanced suppliers. More thorough CR information is provided to those who fail to understand the critical importance of CR.
In-the-field CR Evaluations as Part of Quality Audits
CR criteria are a standard element in supplier quality audits led at a supplier facility, in order to combine in-the-field observed elements with EcoVadis assessment. In-the-field evaluations enable to check the CR practices at site level whereas EcoVadis assessments target the CR approach of suppliers at Corporate level. Dedicated trainings, performed by an external company, are organized to train the supplier quality auditors to perform in-the-field CR evaluations. Supplier quality audit results are shared with the CR Purchasing team to follow up on any gap, refine assessment and focus on improvement areas. Should there be any below-satisfactory findings, corrective actions are requested of the supplier.
Dedicated CR Audits
Dedicated CR audits are organized to assess CR practices of suppliers through detailed and thorough on-site audits. The CR audits target either strategic suppliers whose activity is considered at risk on particular CR elements or suppliers for which some risks were identified during the questionnaire based assessment and require in-the-field verification.
Alcatel-Lucent on-site CR audits are managed by SGS, the world's leading inspection, verification, testing and certification company. SGS is qualified to carry out social audits for major international initiatives such as SA 8000. The audit referential is based on the EcoVadis platform structure, to ensure consistency between SGS audits and EcoVadis CR ratings. Whenever possible, Alcatel-Lucent buyers/CR experts attend the audits as observers. A systematic follow-up of all audit findings, as identified by the auditors, is taken care of by the CR Purchasing team, working directly with suppliers for closure.
