Progress against 2009 actions and Agenda
Supplier Corporate, Social and Environmental Responsibility
Code of Conduct
We ensure that sustainable purchasing and responsible supply chain practices are implemented throughout our procurement process.
Suppliers to Cathay Pacific must provide clear, accurate and appropriate reporting of their progress toward achieving our Supplier Code of Conduct objectives. These include:
Legal and regulatory compliance
Environmental management
No use of forced and child labour
Appropriate compensation and working hours
Health and safety
No discrimination
Upholding human rights in the workplace
The highest standard of business ethics
Extending social responsibility to their subcontractors and service providers
Maintaining documentation and permitting our inspection
In 2009, we revised and published our Supplier Code of Conduct for all suppliers managed through our centralised purchasing process and we asked for their confirmation of compliance with its principles. This approach allows us to continue to communicate with our suppliers on sustainable development matters, serving to underline the importance of the issues for us. The approach further helps us to identify any ongoing instances of non-compliance or non-response by our suppliers.
As part of our usual supplier selection process, potential new suppliers must complete our questionnaire to confirm their compliance with the standards in our Supplier Code of Conduct. Whichever supplier is eventually selected, they will be contractually committed to conform to our social and environmental standards from that point onwards.
We are currently developing a programme to roll-out the Supplier Code of Conduct requirements to the rest of our network. Responsibility for managing the roll-out will be devolved to local Cathay Pacific management and a local version of the centralised database will be developed as part of this process.
Some of our suppliers may need our support in achieving the standards required by our Supplier Code of Conduct. For these suppliers we will consider the possibility of phased in adoption of our standards. We will also consider the degree of impact on our business reputation if a supplier is unable to fully comply with our requirements. We began to implement a programme of compliance checking visits in December 2009 with a selected supplier and will expand on this in 2010. We also continued our assessment via the compliance checking form.
Our sustainable purchasing management approach
We aim to ensure that all purchasing practices are governed by the highest professional and ethical standards. Our Airline Purchasing and Aircraft Trading Department manage most of the purchasing requirements for both Cathay Pacific and Dragonair. Our Purchasing Ethics Policy outlines our expectations from our purchasing staff, including compliance with anti-bribery regulations. Our approach on sustainable procurement has been to encourage our suppliers to improve on their sustainability practices through capacity building and sharing knowledge and best practice.