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ESG-Related Purchasing Activities Are Conducted by 62% of Companies

Companies face the responsibility for their suppliers’ ESG compliance under the European Commission’s directive. Technological systems supporting sustainable purchasing and ESG goals are crucial, yet only 13% of firms have complete tech implementation. The new Corporate Sustainability Due Diligence Directive is anticipated to significantly impact traditional purchasing activities.




The impact that ESG factors have on global supply chains is critical, as 50% of environmental emissions are generated in these sectors. This is why European legislation, and soon also Spanish legislation, is becoming increasingly strict in terms of the obligation for companies to exercise ESG actions and responsibilities to alleviate this problem.

This has led to the fact that more and more companies are focusing on compliance with these parameters. In fact, 62% already carry out activities in the purchasing area related to ESG aspects, as can be seen in the latest study carried out by Fullstep.

The study also shows that, although 74% of the sample thinks that the level of activity in sustainable purchasing is still at average values, there is the conviction that the activities currently carried out are an important lever for the implementation by the management.

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15% of companies have developed systems for setting, measuring and monitoring ESG objectives

The European Commission has established that companies will be responsible for any failure or non-compliance of their suppliers with ESG aspects. This is why betting on technological systems that help companies to have a model capable of establishing a complete analysis and control of objectives will be a key lever to go on the path of regulatory compliance.

However, the survey shows that this is one of the most critical points, as only 13% of companies have a complete technological implementation of sustainable purchasing processes throughout the value chain. And only 15% have developed systems for setting, measuring and controlling objectives.

The level of activity in sustainable purchasing is still at average values in Spanish companies, although there is a medium-high level of knowledge of the implications of the directive on purchasing activity in those with more than 1,000 employees.

76% of companies believe that the European ESG directive will have a high impact on supplier management

Moreover, for 61% of companies, the new European directive on sustainability in the supply chain, Corporate Sustainability Due Diligence Directive (CSDD), will have a high impact on traditional purchasing activities, reaching 76% in terms of supplier base management. The handicap lies at the budgetary level and at the level of certification.

Sectors such as Industry, Services and Construction show a greater knowledge of the Directive and a higher degree of applicability of ESG factors, as well as a higher level of certification and greater involvement of their suppliers in sustainable purchasing processes. However, when it comes to carrying out activities, it is Industry and Health and Pharma that show the greatest dynamism.

51% of the companies consider that specialized external support is necessary.

Having control over parameters such as the origin of products, manufacturing materials, or knowing what happens once they are used is essential for purchasing departments to comply with strict ESG principles throughout their sphere of influence, both internally and externally.

Despite the fact that companies consider that there is a medium-high level of internal knowledge to carry out the transition, more than half of the companies consider that specialized external support is necessary to carry it out.

Integrating technology at the service of ESG objectives has become one of the key points at a business level for generating value, obtaining a competitive and differentiating advantage in the current market and for regulatory compliance.


(Featured image by Mathieu Stern via Unsplash)

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First published in Digital360. A third-party contributor translated and adapted the article from the original. In case of discrepancy, the original will prevail.

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Jeremy Whannell loves writing about the great outdoors, business ventures and tech giants, cryptocurrencies, marijuana stocks, and other investment topics. His proficiency in internet culture rivals his obsession with artificial intelligence and gaming developments. A biker and nature enthusiast, he prefers working and writing out in the wild over an afternoon in a coffee shop.