Responsible suppliers and contractors selection
We believe that the stable value chain and the effective stakeholder engagement are key to a company’s long-term sustainability. Therefore building stable and mutually beneficial cooperation with suppliers and contractors is ALROSA’s top priority.
As the UN Global Compact participant, ALROSA has made several strategic commitments to enhance sustainability across its operations, and specifically maintain responsible and transparent supply chain.
These commitments impose a high level of ALROSA’s responsibility for its impact on the socio-economic development and environmental well-being of the operating countries and regions. In this respect, ALROSA’s business partners are expected to adhere to high ethical standards of business conduct and to comply with applicable ALROSA's standards. By doing so, we strive to inspire our suppliers and contractors to boost their environmental, social, and governance performance.
What does responsible suppliers and сontractors selection mean?
ALROSA defined a set of measures to ensure responsible selection of suppliers and contractors as a part of a sustainable supply chain management system development aimed at choosing and obtaining goods, works, and services that meet ethical, safe, and responsible business conduct criteria.
Maintaining responsible supply chain is key to ensuring industry transparency and strengthening consumer trust for us. Adhering to responsible business conduct principles and providing complete and accurate information about the diamonds production at all steps of the value chain from geological exploration and diamond mining to sorting, cutting, and jewellery manufacturing is a top priority for the Company. ALROSA takes a proactive approach to developing a system of industry self-regulation and promoting best global business practices among its contractors, striving to ensure that its suppliers, contractors, and clients comply with the leading international and industry standards for responsible business conduct.
Why is this important?
ALROSA aims to promote best practices among its suppliers and contractors through the implementation of due diligence procedures by setting unified standards for responsible business conduct. Since many of our suppliers/contractors have their own supply chains and purchase materials from their suppliers/contractors, this approach would extend the positive effects of the company's implemented practices to a wide range of stakeholders.
Our suppliers/contractors should assess the impact of their activities and their partners on the environment and social spheres, and, where possible, take measures to limit or reduce potential negative impacts.
Our requirements and expectations
1) Recognition of ALROSA principles
The principles of responsible business conduct, adherence to which is mandatory for all ALROSA’s suppliers and contractors, are outlined in the following key documents:
ALROSA upholds the highest standards of corporate ethics and best business practices. Corporate ethics principles act as a framework for morality and self-control for the Сompany's employees and business partners. ALROSA's employees and business partners' conscientious behavior is only possible when they fulfill their duties based on high moral and ethical principles. The Company encourages its employees and business partners to acknowledge their responsibility for actions that do not comply with the provisions of the Corporate Code of Ethics.
More detailed information can be found in the Corporate Code of Ethics.
The Supplier Code of Conduct stipulates that legal compliance, safety, and environmental protection are indispensable conditions for the Company's activities, and are also applicable for Company’s business partners. The continuity and further development of successful business relations largely depend on a shared commitment to the principles of professional ethics and social responsibility. If the company becomes aware of any actions or circumstances that do not comply with the provisions of the Code, the company reserves the right to demand violations eliminating measures, including termination of the partnership.
More detailed information can be found in the Supplier Code of Conduct.
ALROSA incorporates the United Nations (UN) Sustainable Development Goals, the International Labour Organization (ILO) fundamental principles and rights in the field of labor, and applicable environmental protection, occupational health, and industrial safety legislation aimed at addressing significant economic, social, and environmental issues globally and in specific areas.
The Company defines principles, goals, and objectives regarding responsible business practices, focused on creating value for all stakeholders by achieving a balance between economic benefits and positive environmental and social impacts.
For more detailed information, please refer to the «Sustainability Policy» document.
Being the world’s largest diamond mining company, ALROSA fully supports national anti-corruption policy and principles, as well as the requirements and recommendations of international anti-corruption standards.
In this regard, ALROSA developed advanced corporate standards, a necessary regulatory framework and mechanisms for identifying corruption offenses.
Strategic interaction with its partners and the establishment of sustainable relationships are highly valued by ALROSA who maintain business relations in a conscientious and honest manner. The Company avoids or discourages corrupt practices, including those of business partners, and makes every effort to prevent them. To report corruption violations, ALROSA maintains a 24-hour Compliance Hotline.
ALROSA strives to spread best practices among partners and set unified standards for responsible business conduct.
For more detailed information, please refer to the «Anti-Corruption Policy» document.
ALROSA conducts procurement procedures in accordance with the Group’s Procurement Regulations and builds relationships with potential participants based on the principles of information transparency, equality, fairness, and transparency of procurement procedures.
The Company maintains a hotline that ensures complete confidentiality of information. To ensure equal rights for all participants everyone can call or write to it and report known negative facts.
For more detailed information, please refer to the «Rules for Non-Discriminatory Access of Suppliers to the Procurement of Goods, Works, and Services of the ALROSA».
By signing a contract following the procurement procedure, the counterparty confirms its familiarity with the principles and values of the Company and undertakes to adhere to these principles in the future.
Other policies of ALROSA related to sustainable development can be found at the following link.
2) Conducting self-assessment
The supplier is required to complete a self-assessment form on its sustainability practices upon submitting an application for participation in procurement procedures.
3) Providing information
After signing the agreement, the supplier is required to confirm information in completed self-assessment form by providing necessary documents upon request, and demonstrating adherence to ethical principles in its activities, including maintaining a safe and healthy environment, respecting human and labor rights, and minimizing environmental impact.
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Environmental policy