Responsible Business Report 2019

Supply Chain

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Highlights

Supplier Code of Conduct
13
Launched in 2019 and translated into 13 local languages including Thai, Vietnamese, Korean and Bahasa Malaysia.
Compliance training
+16,000
Core Corporate Compliance training courses are available on U+ and were completed over 16,000 times in 2019.
Modern slavery awareness
1,947
Training about Modern Slavery Awareness has been rolled out and 1,947 colleagues undertook the course in 2019.
Supplier audits
23
A total of 23 audits were carried out in 2019, of which 11 were Critical Suppliers.
Our Supply Chain

The supply of products to our global business units is managed through the Group Procurement team, who review the annual global spend for major businesses and track suppliers by category, country of manufacture and annual spend. The Company has two factories in the UK, which manufacture hardware and consumable products for the global business, and an in-house Workwear company which supplies garments and flat linen to the French Workwear business.

We purchase a wide variety of preparations for the control of pests, hardware and equipment such as rodent traps, insect light traps and bird protection devices which are designed internally and either manufactured in-house or sourced externally from specialist suppliers. Spend in Initial Hygiene includes washroom equipment such as soap dispensers, feminine hygiene units and consumables such as soap and paper. Liquid consumables for these dispensers are mainly manufactured at the Rentokil initial Supplies (RIS) factory, while sourcing of paper products is from certificated suppliers which are optimised by global location.

Our Approach

The majority of the revenue earned by our business is through route-based service activities carried out by full-time employees of the Company and therefore under our direct control.

The products used in the performance of these services make up between 5% and 15% of the service cost, depending on the business category. These products are sourced through our own dedicated supply chain from suppliers who are robustly audited before being commissioned, and regularly thereafter on a risk-based frequency.

The key elements of Rentokil Initial’s Supply Chain Management are product quality, service delivery, and delivered cost. Sustainability of supply is assured through the robust implementation of governance procedures.

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We strive to maintain the highest standards of ethical behaviour and governance compliance, and recognise our responsibility to manage our business and supply chains to identify and alleviate any potential or actual human rights violations, including modern slavery.
Brian Webb | Group Operations Excellence Director
Rentokil Initial plc
Policies, Procedures and Training Relating to Modern Slavery

Rentokil Initial plc and its subsidiaries are committed to acting in accordance with the law in every country in which we trade. Our companies and employees also operate under a number of policies to ensure a high standard of social, governance and ethical compliance, of which the cornerstone is the Code of Conduct. All policies are available internally on the Company’s intranet with key policies placed on the Company’s website.

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Main Areas for Product Supply

Supply Chain expenditure covers capital investment (rental equipment) and consumables in the three strategic categories of Pest Control, Hygiene, and Protect & Enhance. The latter includes the global Ambius business, Workwear in France and UK Property Care.

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Supplier Management

In all sourcing decisions, compliance with Rentokil Initial standards for a responsible and sustainable business approach is used as a go/no-go gate rather than as a weighting factor for decision-making. Once the relationship has been established, suppliers are audited on a prescribed frequency based on their performance trend and level of risk. The risk assessment considers manufacturing location, product criticality, supplier reliability, management capability and previous audit results, and varies from a one-year to four-year audit cycle. We classify our suppliers as Critical, Major and Local for the purposes of audit, compliance and management control.

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Assessment of Risk and Audits

Audits of critical and major suppliers are conducted by a Product Quality Manager against the Rentokil Initial Supplier Management Standard (re-issued in 2019), which specifies the required standards of product quality, regulatory compliance, factory management and delivery performance as well as adherence to environmental, social and governance standards. The audits start with two sections which focus on CSR and modern slavery, (a) within the factory concerned, and (b) through the supply chain into the factory.

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Building a Sustainable Supply Chain

Developing a collaborative supplier base is central to the Company’s supply chain strategy.

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Our Responsible Business

Environment

Find out more about our seven environmental work streams, our 2019 performance and ambitions.

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Workplace

Find out more about our workplace and diversity programmes, our 2019 performance and future ambitions.

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Governance

Find out more about how we manage and encourage the right culture across our business.

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