Responsible procurement at Heidelberg Materials

Global Virtual Supplier Day 2024

Heidelberg Materials currently has more than 130,000 suppliers and business partners globally, and a spend of 17 billion euros (2023). Ninety percent of all goods and services are sourced locally in more than 50 countries. In addition to operational excellence, one of the main topics we discuss with our suppliers is sustainability and mutual adherence of stringent ESG criteria. In addition to a strong focus on human rights, our vision for a sustainable supply chain also means that we call upon our suppliers to commit to reducing greenhouse gases. Together with our business partners, Heidelberg Materials is already driving various innovative CO₂ reduction projects and initiatives (e.g. in cement and clinker production and transport) to address climate change.

As part of our Responsible Procurement Initiative, we are proactively and regularly reaching out to suppliers– not only at bilateral meetings, but also through virtual supplier days on the topic of sustainability, which are very well received.

Working towards supplier compliance for a more sustainable, responsible future

Health and safety, responsible water usage and fair wages in the supply chain were in the focus of Heidelberg Materials‘ Global Virtual Supplier Day 2024, with a specific focus on suppliers from Africa & Mediterranean-Western Asia. In her presentation, Chief Sustainability Officer and Managing Board member Dr. Katharina Beumelburg emphasized the importance of sustainability in the supply chain. 

As a leading company in the heavy building materials industry, we understand the importance of developing strong relationships with our suppliers. Ensuring that our partners are aligned with our sustainability commitments is not just beneficial – it's essential. 

Her message was complemented by presentations from the CPO, Daniel Köstl, and the Head of Compliance and Data Protection, Dr. Silviya Yankova, as well as a best practice presentation from a supplier.

The KPI by which Heidelberg Materials measures progress on the journey towards a sustainable supply chain is the “Supplier Sustainability Performance Rate,” which represents the percentage of critical supplier spend with an externally confirmed green ESG rating. Heidelberg Materials aims to achieve an ESG Supplier Sustainability Performance Rate of 80% by 2030. In 2023, the rate was already at 53%. Trusting business partnerships based on full transparency are essential for seamless cooperation and sustainable operational performance.