Sustainable supply chain targets and actions

action plan 2019-2021

Targets	Main actions
We develop sustainable procurement practices globally 100% of new direct suppliers go through supplier approval process 40 supplier sustainability audits conducted per year	Continue supplier sustainability audits while ensuring high quality audit follow-up process Continue to increase traceability in supply chain Develop carbon footprint calculation of our supply chain Make guidelines for sustainable purchasing of logistics services Implement sustainability gates and guidance in site works purchasing
We support selected key suppliers to meet the level of sustainability expected by Valmet 100% of selected key suppliers engaged	Implement sustainability engagement program for key suppliers globally Launch sustainability e-learning for key suppliers to increase awareness of Valmet’s Sustainable Supply Chain Policy requirements Set CO2 reduction targets to highest emitting direct suppliers

Main achievements in 2018

84% of new direct suppliers went through the supplier approval process and were automatically screened for sustainability
Indirect key suppliers and new indirect suppliers included in supplier approval process
52 supplier sustainability audits conducted by Valmet with a third-party auditor
Sustainability program for key suppliers launched covering 100% of the key suppliers in China