Responsible procurement is about finding more sustainable ways to source goods and services, but it’s also so much more than that. It’s a key component of a smart, resilient business strategy that delivers long-term value.

Across the chemical industry – and the business world more broadly – regulatory landscapes are shifting, while customer calls for transparency are becoming louder. This, compounded by recent disruptions to global supply chains, is underscoring the need for stronger, more sustainable supply networks.

Against this evolving backdrop, proactively developing responsible procurement practices represents a strategic differentiator for chemical companies seeking to remain competitive. As an organisation dedicated to advancing sustainable, transparent and future-proof chemical supply chains, Together for Sustainability (TfS) plays a key role in supporting those practices.

Responsibility as a competitive advantage

Responsible procurement is an important thread that ties business performance to sustainability – helping companies reduce risk, unlock value and support the net-zero transition. But pursuing responsible practices can deliver results well beyond social and environmental sustainability too. In fact, businesses that invested in supply chain resilience achieved average revenue growth of 23% between 2018 and 2023, compared to the 15% growth experienced by their peers. What’s more, by uncovering inefficiencies, these practices can also produce cost savings, with the World Economic Forum suggesting procurement costs could be reduced by 9–16%.

And the results are not just fiscal. By prioritising responsible sourcing, chemical companies can enhance their credibility and reputation among customers and partners while pre-emptively aligning with evolving global regulations.

“A recent insights study we performed across customers in the Electronics, Healthcare and Life Science industries has highlighted the critical importance – and decision-making differentiator – of our ability to demonstrate reduced carbon emissions and enhanced transparency in our supply chains. In response, we are advancing our Sustainable Procurement Strategy by incorporating these priorities as integral parts into our procurement practices and leveraging data-driven solutions, such as those provided by TfS. This approach will not only meet evolving ESG requirements, but also strengthen our company’s competitive advantage.”

Dr. Verena Buback, Head of Procurement Excellence and Sustainability at Merck KGaA Darmstadt, Germany and Co-Chair of the TfS Scope 3 GHG emissions programme

A trusted partner in sustainable supply chains

TfS is a well-established and trusted initiative – guided by leaders from across the global chemicals industry and designed to support businesses of all sizes, wherever they are on their responsible procurement journey. By offering practical resources and shared frameworks, TfS helps companies take concrete steps to implement responsible procurement practices. TfS members gain access to these resources and trainings, while also benefiting from – and contributing to – reliable sustainability data that supports more informed and responsible sourcing decisions. Suppliers benefit from shared evaluation processes that reduce audit fatigue and duplication, while tailored guidance enhances their sustainability performance.

Practical tools to advance sustainable sourcing

TfS empowers suppliers and buyers with the scalable, credible tools they need to advance responsible practices. The TfS global supplier engagement programme sets a common standard for driving responsibility across chemical supply chains. It helps suppliers advance their practices through two key tools: TfS Assessments and TfS Audits.

TfS Assessments provide a comprehensive review of suppliers’ performance across areas such as environment, labour and human rights, ethics and sustainable procurement. Complementing these are TfS Audits, carried out on-site by trusted TfS-approved auditors to provide a factory-level view of responsible practices that goes beyond document-based assessments.

In 2024, 14,000 supplier assessments and audits were performed; 65% of suppliers improved after reassessments and 88% after audits, supported by targeted training, development and ongoing guidance.

Alongside Assessment and Audit tools, TfS delivers other resources designed to highlight supply-chain impacts and help chemical companies make informed procurement decisions.

Today, only 30% of chemical firms track and report Scope 3 emissions, highlighting a gap in current insight. TfS’ Scope 3 Greenhouse Gas (GHG) Emissions Programme addresses this by providing standardised guidance and digital tools that bring transparency to companies’ Scope 3 emissions and their value chain footprint.

The Product Carbon Footprint (PCF) Guideline provides an industry-specific method for calculating cradle-to-gate emissions for products and services, while TfS’ PCF Exchange solution enables practical, collaborative emissions data exchange. Aligned with the WBCSD’s PACT initiative and implemented through the SiGREEN platform, the Exchange solution is a secure, scalable data-sharing platform that enables more targeted and efficient decarbonisation strategies.

From compliance to value creation

No longer just a nice to have, responsible procurement is a strategic imperative for driving long-term performance, growth and resilience. With TfS, chemical companies can unlock access to the practical tools, shared knowledge and trusted partnerships they need to future-proof their supply chains.

Discover how TfS’ practical tools and proven solutions can help your company implement responsible procurement and enhance supplier performance. Explore this website to help you start – or accelerate – your responsible procurement journey.