This site uses cookies to store information on your computer. Learn more x

Our Suppliers

Engaging with our suppliers

DSM has an ongoing dialogue with its suppliers in order to drive the business agenda on topics related to Climate Change, Nutrition and the Circular Economy. The company engages in joint initiatives with suppliers to reap environmental benefits in the value chain, such as projects in packaging, logistics and reducing raw materials and carbon emissions.
Engaging with our suppliers

Carbon emission reductions

Carbon emissions are an important topic of dialogue and opportunity for improvements.

The DSM sourcing team responsible for physical distribution investigates suppliers’ footprints in road haulage, shipping and the packaging involved to explore opportunities for improvement. This is done as part of DSM’s CO2 Emission Reduction Initiative, which succeeds the Green Tender Initiative that began in 2012 with the aim of achieving a 20% reduction in emissions associated with logistics and packaging.

Carbon emission reductions in physical distribution

Since 2012, over 30% of our global spend on physical distribution has been covered by the Green Tender Initiative. The cumulative CO2 emission reduction compared to 2010 reached 15% at the end of 2015, the latest reporting period.

GHG impact in sourcing

DSM considers GHG impact in its global sourcing selection process. Based on the insights of an LCA for the supply of nitrogen, DSM can assess the impact of scope 2 and 3 GHG emissions for each supply option. This has enabled a sourcing process that includes supply guarantee, quality and cost, as well as GHG impact.

For example, the DSM Dyneema plant in Heerlen, the Netherlands, has been able to reduce 42% of the annual GHG emissions associated with its supply of nitrogen.

Process improvement for production of vitamin E

Production processes

In another initiative, DSM's scientists and suppliers delivered a process improvement for the production of vitamin E. This new process not only results in the use of fewer raw materials, which in turn enables an annual reduction of 800 tons of CO2-equivalent emissions, but also improves the commercial agreement with the supplier, demonstrating that sustainability can be a real business driver for DSM.

Sustainable supply chains China

DSM has run the ‘China Triple P Supplier Engagement and Capability Building’ project since 2013. The project, which aims to engage suppliers to jointly create a more sustainable supply chain in China, is run in partnership with Solidaridad, a global non-governmental organization specialized in sustainability audits.

Participating Chinese suppliers are provided with the knowledge, experience and tools to set up their own supplier sustainability programs. Phase 2 of the project was successfully executed from July 2014 to August 2015, when sustainability, productivity and human rights experts organized workshops and offered in-house technical support to factories interested in making genuine improvements.

Solidaridad website

The project supported DSM’s suppliers with their own SHE programs, energy efficiency improvements and footprint reductions, as well as communications between employees and management. In this phase, approximately each €1,000 invested by DSM triggered initiatives that resulted in an estimated €60,000 in efficiency improvements at the participating suppliers. The five participating suppliers completed 38 improvement projects.