A year in review Economic / Governance Environment Social Appendix Responsible sourcing & traceability convey information about the raw materials and services we A strong network of responsible suppliers allows us to both Material topic definition source, as well as their transformation throughout the value mitigate the risks inherent in our supply chain and respond to Responsible sourcing & traceability chain. This helps to ensure good practices and respect for increased consumer demand for more sustainable, healthier, Fostering compliance with high standards in health, people and the environment in supply chains. differentiated products. Sourcing materials in ways that safety, social, environmental and business integrity in the preserve the environment and stimulate the development and way we source. Understanding the supply chain and Beyond these considerations, and as detailed in the previous wellbeing of the communities that provide them is a critical tracing the provenance of raw materials we use from their chapter, we are committed to respecting human rights element of our business. These activities permit us to assure origin to the final formulation. wherever we do business. We strive to make a positive impact customers about the provenance of raw materials and their on the communities in which we are present and we recognise production. It also shows that we adhere to responsible supply Purpose pillars that we have an important obligation to contribute to chain practices, allowing us to reduce our environmental and CREATIONS NATURE PEOPLE COMMUNITIES preserving the environment and the planet’s biodiversity for social impact. future generations. Boundary Disclosure 103 – 1, 102 – 9 • Givaudan EXPLANATION OF THE MATERIAL • Suppliers TOPIC AND ITS BOUNDARY Givaudan spends more than CHF 3.8 billion per year sourcing Disclosure 103 – 2, 103 – 3 11,000 different raw materials and indirect materials and MANAGEMENT APPROACH services from across the globe. With over 3,000 raw material Givaudan is a purpose-driven company and our approach to suppliers in more than 100 countries and 13,000 additional the topic of sourcing is embedded in these guiding principles. global partners supplying indirect materials and services, Raw materials Sourcing is an integral part of our purpose: indeed, one of our procurement and the supply chain are strategic to Givaudan’s purpose ambitions is to source all materials and services in a responsible and shared growth. way that protects people and planet by 2030. Moreover, We source >11,000 different raw Givaudan has set an ambition to become a certified Responsibly managing supply chains at this scale is complex, B Corporation (B Corp), a designation reflecting the highest but we are committed to working with our suppliers for materials in countries standards of responsible sourcing. > 100 greater transparency and to improve practices in the areas of health and safety, environmental, social and business integrity. Supplier management The first in the flavours and fragrances industry to publish a Responsible sourcing is an active and conscious commitment specific policy in 2016, Givaudan has always been a leader in by Givaudan to consider social and environmental aspects responsible sourcing, traceability and transparency, helping us when managing the relationships with, and performance of, 3,000 raw material suppliers to meet customer, consumer and environmental needs and suppliers. This means that we will ensure our business practices expectations. Our Responsible Sourcing Policy, available on our – both within our business and across our supply chain, from 13,000indirect Materials website, details the principles and standards that we require all farm to our Company – do not have a negative impact but & Services suppliers 16,000 suppliers to meet. Suppliers are defined as anyone, foster positive impacts on people and the environment. individual or company, who supplies us with any goods or Traceability is also a critical concern. We must gather and services. It includes any primary producers of raw materials, 108 Givaudan — 2021 GRI Sustainability Report