Supplier sustainable business practices

Janssen uses quite some external suppliers. The Johnson & Johnson (J&J) Standards for Responsible External Supply prescribe minimum requirements that must be met with regard to dealing with these suppliers. The J&J Healthy Future 2015 objectives also set specific requirements such as that all our priority suppliers must report publicly about 2 or more sustainability objectives by 2015.
The process means that we can define our final minimum expectations for our suppliers. We prioritize our suppliers in 3 segments based on objective criteria. We carry out an audit among our priority suppliers with regard to this priority based on the consideration of risk factors before we sign or renew contracts. Suppliers are given a score based on these audits. The findings from the audits are converted into a plan of action by Janssen and the company monitors its progress.
Janssen works in partnership with EcoVadis for specific audits. EcoVadis is a company that specializes in assessing corporate sustainability profiles. Suppliers are assessed based on 21 criteria that include environmental (for example, used materials), social (for example, working conditions) and ethical (for example corruption and human rights) aspects.
Janssen does not simply impose requirements, but also assists suppliers to meet the set of expectations. The company shares knowledge and experience to arrive at sustainable partnerships.
The objectives set for 2013 were attained. These included, for example, that more than 60% of priority suppliers confirm that they have at least 2 or more publicly reported sustainability objectives, that more than 50% of priority suppliers invest in programs to make sure that energy consumption is lower and that more than 95% of procurement assistants follow human right training.