2.2. Assessment of the suppliers' sustainability practices: results
In the reporting year, the Company conducted a pilot assessment of selected largest suppliersLargest external suppliers of the Group’s Russian assets in terms of payment amounts in 2022. of goods, works and services. The selection accounting for around 14% of total procurement by the Group's Russian business units including the suppliers of materials and equipment, as well as service suppliers (80% and 20%, respectively). All suppliers filled out the questionnaire.
Questionnaire section | Assessment results |
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Environmental protection |
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Human rights |
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Occupational health and safety (OHS) |
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Corporate governance |
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As most of the surveyed suppliers are private companies, regulatory requirements and stakeholder expectations with respect to their non‑financial reporting are lower as compared to public companies. Even though there are no mandatory requirements, survey results confirm their fairly high maturity as regards environmental protection, social responsibility, and corporate governance (ESG).
In 2024, after reviewing the pilot survey results, the Company will focus on expanding the pool of surveyed suppliers. Going forward, Nornickel plans to develop the Questionnaire by improving its structure and questions based on the pilot results, regulatory recommendations, and rating agency expectations.