Journey to a Sustainable Supply Chain

As a large, publicly-listed organisation, we’re legally required to comply with ASX Corporate Governance principles. We participate in ethical and responsible decision-making; we safeguard the integrity of our accounts; we respect the rights of shareholders; and we recognise and manage risk in our business.
 
These same rules don't require us to have a Corporate Social Responsibility (CSR) policy. And they don’t require us to have a sustainable supply chain.
 
But we do. 
 
We’ve been following our own code of ethics to assist suppliers and our clients in their journey to becoming more environmentally, socially and ethically responsible.
 
The Importance of Sustainable Supply Chain

There’s huge risk if we don’t adapt to environmental, social and ethical concerns. We risk losing our good name if we don’t embrace sustainable business practices.
 
As a distribution company, we have a responsibility to take a leading role, to make a difference in the way we approach our supply chain – and this impacts on our customers, who also want to know that we’re doing the right thing. Our customers are on the same journey as us, so it’s important that we make our supply chain easier, cost-effective and sustainable.
 
Becoming a CSR company involved changing some of our own, internal practices. We had to create a sustainable supply chain, which meant collaborating with suppliers to increase efficiency and competitiveness. And we had to work effectively with sales channels and customers to educate them about the importance of delivering sustainable products and services.
 
Once upon a time, our customers focused on the ‘environmental friendliness’ of products – they wanted to know about recycled content, and recycling at end-of-life. Now they want to know where the product is sourced from – whether it’s sourced ethically, as well as environmentally-responsibly.
 
At the same time, price is still an issue. That means we need to be commercially competitive as well as remaining consistent with our own sustainability values. This is where the management of our supply chain becomes very critical to the success of the company.
 
Suppliers play a key role in helping us build a sustainable supply chain. Because of our size and position, we can ask our suppliers to source the best products to allow our customers to make the right decision for the environment.  We are committed to working with our suppliers to achieve this aim. If manufacturers encounter difficulties with our requests, rather than walk away, we’ll try and assist and educate them. But we must remain aware of cultural differences; manufacturers from developing countries may not see our values as valid in their country.  There is no simple solution, but we must manage the inherent risks of sourcing from these countries.
 
Right now, about 75 per cent of goods purchased for resale are sourced from suppliers who have signed our Ethical Sourcing Policy, which promotes humane labour and environmental practices.
 
Offering Sustainable Options

We introduced a range of ‘EarthSaver’ branded products in 1998, and today, these products can only be made by suppliers who have signed the Corporate Express Ethical Sourcing Policy. They must also meet at least one of the following criteria:
 
  • They must not harm the environment while in use
  • They must contain at least 20 per cent of recycled materials in the original manufacture
  • They must be manufactured to ISO14001 or other equivalent environmental management systems
  • And/or they must have at least 70 per cent recyclable or biodegradable content when they reach their end of life.
 
We now have around 400 products in the EarthSaver range, including EXP toner cartridges and locally-made Task Chairs. We also offer environmentally-friendly disposal of old IT assets, as well as the collection of used toner cartridges for recycling. And our Fairtrade products help farmers in Third World countries ensure they receive a fair price for their produce.
 
Making a Difference

As an industry leader, we’re committed to making a difference by what we do ourselves.
 
Internally, the senior management ‘Corporate Social Responsibility’ committee is supported by a state-based employee initiative known as ‘GreenXpress’. The committee has been charged with implementing various CSR initiatives and overseeing the company’s commitment to all its programs.
 
We’re a signatory to the National Packaging Covenant, an initiative by the government and industry leaders to reduce the environmental effects of packaging on the environment.
 
We minimise waste by selecting the correct sized carton for each order; re-using or recycling packaging whenever possible; and using the most environmentally economical form of packaging possible.
 
Our new distribution centre at Erskine Park is the benchmark for innovative and cost-effective logistics solutions with a strong focus on environmental performance.
 
We’re a founding member of the Buy Recycled Business Alliance (BRBA), Cartridge Rescue (formerly The Recycling Centre), and Paper Round, as well as a member of Greenfleet Australia.
 
We’re currently working on an action plan for Greenhouse Challenge Plus, which will be submitted to the Australian Greenhouse Office to reduce business-related greenhouse emissions.