Sustainable Supply Policy
As ERDOĞANLAR, we fulfill our business responsibilities under the “Sustainable Supply Chain” perspective and strive to spread a similar approach and perspective to all our suppliers and stakeholders.
1. We set long-term goals in our Supply Chain strategies and take an approach that produces and pioneers solutions to sustainability challenges. We act with the awareness that all of these are approaches that ensure the continuity and longevity of our success. We act in accordance with Universal Law Rules and global ethical values.
2. As ERDOĞANLAR, we work with suppliers that invest in the knowledge and equipment of their employees, and we encourage our business partners to invest in this direction. We expect both our own employees and our suppliers’ employees to adopt sustainable development principles in their daily work and to think and act accordingly in the decisions they make. Social diversity and richness and lifelong education are essential in every step we take.
3. Our company; It ensures that our suppliers provide a healthy working environment for their employees, support occupational health and safety practices, and focus their priorities on these points. ERDOĞANLAR does not hesitate to provide the necessary information and equipment to any stakeholder who may ask for support in this regard, on the contrary, it takes supportive steps.
4. Within the scope of our Supplier Diversity Policy; We are committed to increasing the number of suppliers from women and underrepresented groups around the world and commit to five key actions.
- As a company, we aim to purchase at least 5% of the products we supply worldwide and in Turkey from minority and/or women-owned businesses.
- If women and other underrepresented suppliers cannot be found due to inequality, we will ask certain suppliers to submit a transparent diversity action plan as a qualification criterion in order to receive the opportunity to do business with us.
- We will make it easier for women and other underrepresented suppliers to work with the Erdogans by shortening payment periods and reducing contractual obligations. Underrepresented suppliers are small-time suppliers who may face obstacles when working with organizations that may prevent them from winning or even competing for business. We are committed to eliminating these barriers by providing underrepresented suppliers with an equal opportunity to do business with us.
- We will collaborate with like-minded organizations and diversity action groups, the National Council for Minority Supplier Development, to further support women and underrepresented suppliers with credit programs and investments in our own and other networks.
- We promise to create a supplier development programme for women and other underrepresented groups. As a start, we will select 5 suppliers to whom we will offer trainings and pilot projects every year through this programme and contribute to their development.
5. As ERDOĞANLAR, we procure all products and services with the aim of adding value to our company. In our procurement strategies, we prioritise companies that offer innovative solutions, strive to protect natural resources, invest in technology with the aim of continuous improvement, take steps in harmony with human health and the environment, are fair to their employees on every platform, target sustainability and corporate social responsibility policies, have international certificates or have initiated the necessary work to obtain these certificates. In order to determine all these criteria, we utilise internal and external audit services.
6. As ERDOĞANLAR, our “Environment and Energy Policy” serves as a guideline while carrying out purchasing transactions. In this context;
- We direct our suppliers towards environmentally friendly technologies and renewable energy sources; In this way, we direct them to activities that prevent air, soil, water and image pollution.
- We encourage our suppliers to engage in waste minimisation activities and to use recycled materials.
- We prefer products that do not carry chemical risks and use less hazardous substances in purchased materials.
- We encourage our suppliers to tackle the climate crisis by taking into account climate-related risks and opportunities, and to engage in activities to contribute to the transition to a carbon economy and the production of materials with low embedded emissions.
- We monitor the compliance and performance of our suppliers with legal regulations in the field of environment and energy.
7. As ERDOĞANLAR, we work in coordination with technical units in order to prefer works that will contribute to our company in terms of high efficiency and effectiveness in all procurement transactions. We consider all technical evaluations primarily on the basis of “Efficiency” in order to prefer products that will minimise the consumption of critical resources such as water and energy.
8. ERDOĞANLAR endeavours to extend the above principles to all business processes in order to realise its Sustainable Responsible Purchasing targets and to ensure the continuous development of these targets. While realising all these, ensuring “Transparent and Accurate Communication” with suppliers, taking targets in the same direction with all business partners and regularly following the developments in the world are the issues that are taken into consideration in the steps taken.
9. ERDOĞANLAR accepts the 10 Principles of the UN Global Compact and oversees the implementation of these principles in its entire supply chain.
(https://www.globalcompactturkiye.org/10-ilke/)
We refer to RMI’s holistic approach of the RESPONSIBLE MICA INITIATIVE®, which aims to mobilise the supply chain to eliminate child labour in India’s mica mines through traceability efforts and community building activities.
10. Conflict Minerals Policiy
In line with its sustainability goals, Erdoğanlar Aluminum aims to use raw materials, semi-finished products, products and services that are least harmful to humans, the environment and nature.
As Erdoğanlar, we are committed to refrain from any actions that contribute to the financing of conflict and to comply with the relevant United Nations sanctions resolutions or local laws implementing these resolutions, if any, and to support our suppliers and business partners to comply with the same issues. In this context, Erdoğanlar is committed to become a member of RMI (Responsible Minerals Initiative) in 2024 in order to support the industrial approach and contribute to global responsible purchasing activities.
In this context;
Suppliers must comply with controlled substance and product content specifications and all applicable laws prohibiting or restricting the use, content or handling of certain substances, including RoHS, WEEE, Reach, California prop.65 and all other similar laws. Suppliers shall provide Erdoğanlar Aluminium with all information and official notices, including but not limited to the above.
Erdoğanlar undertake not to purchase products containing “conflict minerals” (tin, tantalum, tungsten and gold) from any entity with direct or indirect financial disputes in the Democratic Republic of Congo or neighboring countries.
Suppliers: are obliged to conduct an adequate assessment of their supply chains to evaluate whether the products sold or supplied to Erdoğanlar contain tin, tantalum, tungsten or gold, and if so, to determine whether or to what extent these metals are obtained from conflict-free smelters. The results of these evaluations will be communicated to the Erdoğans and they will undertake to be “Conflict-Free” so that any such metal will only be sourced from conflict-free smelters.
Erdoğanlar complies with the “OECD Compliance Guidelines for Responsible Supply Chains for Mining in Conflict-Affected and High-Risk Areas” to establish a responsible supply chain from mine to final product and to conduct due diligence and incorporates the five-step action plan described in the OECD Principles into its management system. The five-step action plan includes the following items;
- Establishing strong company management systems
- Identification and assessment of risks in the supply chain
- Designing and implementing a strategy that can respond to identified risks
- Auditing of smelter/refinery company practices by independent third parties
- Annual reporting of supply chain compliance activities
In order to identify risks in the supply chain, we require our suppliers to complete and submit a Conflict Minerals Reporting Template (CMRT) created by RMI. By completing the CMRT, our suppliers share conflict mineral information on the products or parts they ship and a list of the smelters they work with.