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Global corporations join forces to make supply chains fairer

1st Oct 2021 - 06:00
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Compass Group, SAP and Zurich Insurance Group are using their collective purchasing power to open up their supply chains to European social enterprises in an effort to contribute to a more inclusive and sustainable post-Covid recovery.

Social enterprises can be defined as ‘businesses which trade for a social purpose that reinvest or donate over half their profits to further this social or environmental mission’. They are an increasingly important part of the UK economy contributing £60 billion and employing two million people.

There was a record level of trade between corporate buyers and social enterprises in UK last year despite the Covid-19 pandemic.  

The trio of forward-thinking global corporations are now working together as part of the new pan-European pilot scheme which aims to make it easier for corporations to engage with social enterprise suppliers across the whole of the EU and Switzerland region.

A database of approved suppliers has already been launched, allowing the companies to connect with a growing number of recommended social enterprises across the 28 countries in the region.

Dominic Blakemore, group chief executive of Compass Group PLC, said: “Social procurement is a key plank of our Compass Group commitment to a sustainable future for all.

“Across many of our regions, in particular the UK and USA, we’re already seeing first-hand the powerful social impact we can drive for communities, clients, customers and colleagues through social enterprise partnerships.

“Now, we’re looking forward to expanding our work globally alongside the other founding members of the Social Enterprise UK Global Expansion group.”

Though social enterprises can be found in almost every country across the world, they are rising in prominence across Europe thanks to growing support from the European Commission.

Peter Holbrook, chief executive of Social Enterprise UK, added: “The global social enterprise movement is thriving, and on every continent social enterprises are taking on the biggest social and environmental problems and in many cases making key contributions to the Sustainable Development Goals.

“Procurement leaders at large businesses have really stepped up in the last few years to build social enterprises into their UK supply chains, and I am delighted to see that our corporate partners are now focusing on creating opportunities for social enterprises across Europe.”

Written by
Edward Waddell