Environmental Performance of Suppliers
An increasing number of businesses in today's corporate world not only pay great attention to their own environmental impacts and responsibilities and improve the knowledge of their employees by having them attend NEBOSH Environmental Certificate courses for example, but are also increasingly concerned with the environmental conduct of their suppliers.
This is because purchasing supplies or materials from a company can be seen as an endorsement of that particular organisation. If it comes to light that they are heavy polluters or have other negative issues which tarnish their image such as a poor health and safety record, inadequate working conditions or low rates of pay for employees, consumers will question why the larger company is doing business with them. Large companies are often associated with these smaller suppliers when negative publicity surrounds them, and being seen to endorse or encourage such behaviour will have a detrimental knock-on effect to their own reputation and brand image.
Not only are current suppliers subjected to scrutiny of their environmental performance, but potential suppliers too are likely to have their environmental credentials assessed by the procurement policies of the large organisation's purchasing department. So even if the smaller company does not feel like their current level of operations warrant much time and attention to be devoted to addressing their environmental impact, they may be missing out (often unknowingly) on large new orders which they may have gotten had they addressed and reduced their adverse effect upon the surrounding environment.