Deutsche Bank is making significant strides in enhancing the sustainability of its supply chain. It has announced that all suppliers engaging with the bank are now required to obtain a vendor sustainability rating from EcoVadis or another approved agency.
Each year, Deutsche Bank invests over €8 billion in products and services from external vendors. Starting in July, suppliers will need to demonstrate their environmental, social, and governance (ESG) credentials for any new or renewed contracts exceeding €500,000 annually.
To comply, suppliers must first register with EcoVadis, which evaluates them and assigns a score out of 100, highlighting areas for improvement. Beginning in 2023, the bank will only enter into high-value contracts with vendors who achieve a minimum of 25 points on this scale.
Jörg Eigendorf, Head of Sustainability at Deutsche Bank, stated, “Our Global Procurement initiatives exemplify our transition from ambition to tangible impact through collaboration with our vendors to enhance our entire value chain. This initiative marks a pivotal step toward progressively improving the sustainability of our operations.”