Typical interactions companies can have with their suppliers
Many companies, specially the global ones, outsource substantial work to suppliers at varied level.
Typical of these being suppliers at local level, regional level, national level and global level

What should be discussed in these brief meetings
Assessments and audits
Business continuity plans or shift in business locations due to emergencies like local community unrest or natural disasters
Product design, quality and safety
Sustainable packaging
Supply chain risk mitigation
Cost-saving opportunities
Supplier diversity initiatives
Partnership in local citizenship activities

Benefits of these meetings
Robust and reliable supply chain
Alignment on ethical, human rights and environmental expectations

NIKE
NIKE has significantly upgraded the materials rating tool embedded in the indexes and is calling the new tool the Nike Materials Sustainability Index (Nike MSI).

One major improvement in the Nike MSI is that it rates material vendors in addition to materials themselves, providing strong incentives for the vendors to become more environmentally sustainable. NIKE scores material vendors on criteria such as whether they are complying with the Restricted Substance List (RSL) testing requirements and the Nike Water Program requirements; if they take part in materials certification processes, such as the Global Recycle Standard; and whether they have ISO 14001 certification or operate out of certified “green” buildings. Rating higher on these types of criteria will increase a vendor’s overall Nike MSI score.

NIKE has collaborated with and trained material vendors to familiarize them with the new Nike MSI. As of the end of FY11, NIKE had trained approximately 500 vendors.

HINDALCO
A case study of how Hindalco, an Aditya Birla Group Company is engaging with its suppliers

Hindalco engagement with Suppliers and Service Providers
Interaction with Vendors through focused meetings, Perception by top management, Vendor meets, Stores inventory, Contract Review with suppliers & Service Provider;
Monthly interactions on identification of areas for improvement;
Vendor rating, Consolidation of requirements of group units on common items vis-à-vis suppliers capability and needs, requirement of Strategic Project Purchases.Important issue identified Policy advocacy, sector sustainability

Important issue identified
Labour management relationship, code of conduct, responsible sourcing

Key stakeholder engagement activities in the reporting period (2010-11)
Navigation plans, Vendor performance analysis on Quality, delivery, service, transportation rates
Consolidation of common items requirements / pricing/ location etc.
Analysis of Project Contract / Vendor analysis
Novelis is in the process of implementing a new Supplier Code of Conduct

BPCL, India
BPCL has a wide distribution of suppliers across India.
Wedded to its values of ‘Integrity in Thought and Action’, BPCL took a significant step in its quest to enhance transparency and good governance by signing the Integrity Pact Program (IPP) with Transparency International India on 10th January, 2008. IEMs have also been appointed to oversee the process of implementation and presentations have been made to a cross section of vendors (contractors/suppliers) in various SBUs/Entities to familiarize them with the Program.

Reliance Industries Ltd.
Through a focus on local suppliers and regular supplier meetings, RIL has been successful in helping suppliers plan their production on the basis of assured sales. In addition to lowering their business risks, the company has successfully reduced its inventories of hazardous materials. An example of supplier development is the TEAL case