The ABB Group buys parts and raw materials worth $18 billion a year from thousands of suppliers in 100 countries. Cost, quality and prompt delivery are key selection factors – and so are sustainability criteria.
All main suppliers are required to assess their sustainability performance using an ABB questionnaire. Suppliers must
identify the environmental aspects and the health and safety risks in the scope of their supply to ABB, including the roles of sub-suppliers. ABB favors suppliers who have implemented ISO 14001 environmental management systems and OHSAS 18001 or equivalent health and safety systems.
Selected suppliers are audited on criteria such as their health and safety record, and exposure to environmental and
social risks. Where necessary, ABB provides training to ensure that suppliers reach and maintain ABB’s sustainability
performance standards. Once accepted as main suppliers, they are subjected to continual monitoring of their sustainability performance.
ABB’s objective is to increase the number of sustainability Audits by 10 percent per year from 2007 to 2012. In some key supply markets, such as China and India, ABB has started an audit round to collect information on local practices and establish detailed priorities. Further discussions with stakeholders will help this process.