What makes procurement sustainable? An expert from Grant Thornton explains

Dr. Balásfalvi-Kiss András

As a result of the unexpected events of the past few years, the evaluation and reconsidered management of the supply chain has become one of the priority issues for most company management. The organizations have not yet recovered from the events caused by the pandemic, which shocked the supply chains, but the Ukrainian conflict, the energy crisis, and the closure of the Suez Canal have already followed. Business decision-makers, purchasers, and category managers had to take previously unknown aspects into account in order to make the procurement process sustainable from a business perspective.

“The problems are amplified by the fact that in the past period, business partners have become distant from each other in many cases, the involvement of suppliers takes place without on-site visits and audits, and virtual relationships between customers and suppliers are common. On the other hand, if it turns out that a supplier violates human rights, does not comply with labor or IT security regulations, the company is exposed to an increasingly significant reputational, strategic and financial risk”

highlights dr. András Balásfalvi-Kiss, head of the ESG division of international business and tax consulting firm Grant Thornton