The following is a list of typical questions or issues your suppliers may have for you when you discuss the new ESG requirements CBRE is implementing, along with suggested responses. 

  •         Supplier does not want to commit to ESG requirements: 

Choosing not to commit to CBRE’s ESG requirements would go against CBRE’s net zero commitment for 2040, our Supplier Cide of Conduct, our ESG contract clause, and our client’s expectations. 
This creates ESG risk for CBRE and its clients – for example, this could lead to CBRE needing to pay extra to offset emissions associated with your activity and your product/service. This would lead to

a higher cost of business with you as a vendor and will endanger a longer-term relationship with your organisation. 

  •         Supplier does not want to sign up to EcoVadis or the sustainability assessment platform: 

EcoVadis is an easy way for you to start on your sustainability journey, giving you and your clients visibility over your ESG maturity and risks. If you are already underway in your sustainability journey, EcoVadis would help you benchmark your organisation against other suppliers and competitors. 

CBRE uses Ecovadis assessments of our suppliers as the baseline of supplier sustainability journey. We require our suppliers to build up to date profiles in EcoVadis so that we can advise our clients that

we are working on making sure we have a more sustainable supply chain with lower risks and is more fit for purpose.

  •         Supplier does not want to pay to sign up to EcoVadis:

We understand there is a small cost associated with signing up, but this will help you better align with our sustainability journey and objectives, which means we would be able to continue doing business with you. EcoVadis is fast becoming an industry standard, with many of your large existing or potential clients using the platform – so the effort you put into building your profile for CBRE can be leveraged for other business relationships. ·

       

            Supplier does not understand what scope 1, 2 and/or 3 emissions are:

A company’s GHG emissions is generally classified into three “scopes”

  •            Supplier does not meet one or more of the required ESG KPIs (e.g., supplier does not have a Modern Slavery commitment):
  •  Scope 1:  Direct emissions from Supplier owned or controlled sources (e.g., emissions that are emitted on-site or by vehicles owned or    controlled).
  •   Scope 2:  Indirect emissions from the generation of purchased energy (e.g., energy).
  •  Scope 3:  All other indirect emissions not included in Scope 1 and 2 that occur in the value chain of the Supplier, including both upstream and downstream emissions. (e.g., all emissions generated suppliers, middle-men, and consumers of a product or service that aren’t accounted for in the first two scopes). This includes emissions associated with purchased goods and services, capital goods, transportation and distribution, waste generated in operations, business travel, employee commute, leased assets, processing of sold products, use of sold products, end-of-life treatment of sold products, franchises, and investments.

We understand that you may be at the beginning of your sustainability journey, and therefore you do not currently meet this requirement. CBRE encourages all our suppliers to disclose plans to develop [KPI] to meet the requirement by next year. In the interim, please provide us with a declaration of conformity (written self-claim) on this subject/those subjects.

CBRE is building resources to assist you to build out a full suite of ESG policies and processes that meet our expectations. Please engage with our ESG sustainability team to find out more. Procurement managers should provide equal opportunities for improvement and education on behalf of the supplier. If suppliers do not comply or refuse to collaborate and/or comply after their issues have been addressed (see FAQS above), procurement managers may be required to terminate or choose not to renew expiring contracts and seek alternative suppliers.

 

EVC Integration

FAQ

ESG Digital Playbook 

FAQ - What to do if your supplier has any issues or queries?

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