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Suppliers’ sustainability Incorporation of ESG criteria within the procurement process.

For the Poste Italiane Group, promoting responsible supply chain management is primarily synonymous with the sustainability, functionality and traceability of procurement. The Company bases its procurement processes on pre-contractual and contractual relations geared towards full compliance with legality and transparency, by monitoring compliance with current regulations and corporate directives regarding aspects such as quality, worker protection and environmental standards, starting from supplier qualification
procedures.
The path mapped out in the procurement process also includes ESG issues, involving investigation of suppliers’ possession of specific requirements via sustainability audits.
The Poste Italiane Group requires its suppliers - including any subcontractors, and their partners – to formally accept the guiding ethical and social principles and obligations regarding conduct set out in the Code of Ethics, the Poste Italiane Group’s Integrated Policy and the Human Rights Protection Policy, which, as of January 2019, became an integral part of the contractual relationship.
 

Integrated Group Procurement Model

 

 
With the aim of ensuring a selection of products and suppliers able to guarantee the best environmental performance, the Green Procurement function was established in December 2019. With a view to the continuous integration of sustainability aspects into the company’s strategy and organisation, the new function has the responsibility of:
ensuring the definition and adoption of sustainability requirements to be integrated into the technical assessment criteria for the identification of suppliers operating in accordance with the ESG principles adopted by the Group;
ensuring the identification of specific performance indicators on sustainable development issues related to procurement processes in order to monitor the degree of sustainability of the entire supply chain, with related reporting;
implementing the verification processes aimed at ensuring compliance with internal and external regulatory provisions in the procurement sector.
 

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