CASE STUDY / AIB
ADVERT / TECHNOLOGY
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BEYOND FINANCIAL GAINS: ACHIEVING INCREASED SUSTAINABILITY, BOOSTED BRAND VALUE AND THE FEEL-GOOD FACTOR
Signing up to these commitments is now an entry- level requirement to work with AIB. “We’re insisting on it,” says Kellett. “We want to know about any sustainability initiatives within the supply chain and ask them to confirm they are adopting our code in line with our aspirations. They also give us ideas, which we feed into our internal sustainability team. “The supply chain is happy to show and share stories and good advice that they are driving through their own business. They also want to promote their commitment to sustainability and we’ve seen big improvements in this area.” He says, for example, a food supplier to its larger locations has shared the journey of the coffee beans it sources from South America, while its print management supplier has shared how many trees it has planted and details of investments into the communities it works with. He says staff have responded well to these changes. “Sustainability is now a formal part of our supplier evaluation process and it requires proper evidence. When it comes to supplier selection, it could be a dealbreaker.”
The AIB board wants its business to be a leader in sustainability within the financial services sector. Over the past few years it has invested in wind projects, launched a €5 billion climate action fund and created a green mortgage but wants to go much further. To achieve this, it is clear it requires third party operators to align with this strategy. CEO Colin Hunt introduced the Responsible Supplier Code at a virtual sustainability event in October last year attended by more than 200 suppliers. Commitments in the code span human rights and modern slavery; health, safety and welfare; doing business responsibly and sustainably; and inclusion and diversity. “We pledge to Do More,” said Hunt. “We want to lead Ireland’s transition to become a low-carbon economy.” He said ‘Sustainable Communities’ had been added as the fifth pillar in AIB’s three-year group strategy for 2020-2022, which meant challenging themselves to deliver “meaningful social and economic value to customers and communities.” “We want to focus on meeting the needs of the present without compromising the ability of future generations in meeting their needs…We want to do business with suppliers that have the same values.”
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STATE OF FLUX
2021 GLOBAL SRM RESEARCH REPORT
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