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Responsibility in our value chain

Ragn-Sells has an extensive value chain, with suppliers, business partners and customers involved in our daily operations. Given our business, who we are and where we operate, we often play a crucial part in other actors’ value chain, both as a customer and as a supplier. This, in contrary to other more conventional businesses, makes our value chain extensive and puts a demand on us to act as a responsible business partner in everything we do. 

From downstream to upstream

In order to act as a responsible business partner, we need to identify and be aware of any potential risks, both downstream and upstream. In our downstream activities, involvement with other actors, whether local or global, could potentially involve risks, such as non-compliance and deviations from environmental, social and economic laws and regulations. In our upstream flows, risks include poor working conditions for entrepreneurs, hired transporters and workers at the sites of our suppliers and customers.


The 2018 adaptation and implementation of Rang-Sells’ Supplier Code of Conduct laid a solid foundation for risk mitigation and our continuous efforts for a sustainable value chain during 2019
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Material brought back into society

Bringing material back into society is at the very heart of our operations. To succeed with this operation, we sell the collected material to recycling facilities, or, alternatively, to intermediaries that deliver the material to recycling. Our unit Recyclables are certified according to ISO 9001 and ISO 14001, and sold on a global market to actors such as paper mills, plastic- or metal industries, who utilize the materials in their production processes. Other customers include energy companies, who use the waste products to produce electricity and district heating. Our customers primarily operate in Scandinavia and Northern Europe, but a smaller number are also found in Asia. 

Our department Ragn-Sells Recyclables is not only in charge of the sales of our waste material. They also monitor the requirements of the Supplier Code of Conduct, for example, by providing internal trainings and performing audits.

During 2020, Ragn-Sells Recyclables primarily will continue performing audits at high risk suppliers. 

Procurement

Most of Ragn-Sells’ purchases are made within the areas of transport performed by sub-contractors (hired transporters), vehicles and equipment for the operational plants, and fuel. Through our Supplier Code of Conduct, we strive to harmonise our procurement processes, including the requirements placed upon suppliers and sub-contractors and how these are followed up.   

We recognize that an important risk area is poor working conditions for hired transporters and entrepreneurs working at Ragn-Sells sites. We strive to minimize these risks through audits, site visits and self-assessments. We also require our subcontractors to provide their valid permits, tax certifications and other required documents, to ensure that they perform work according to applicable legislation. 

All our suppliers must have an approved agreement and undergo and sign a supplier assessment.

This supplier assessment includes a screening towards environment-, quality-, safety- and GDRP requirements, along with Ragn-Sells’ Supplier Code of Conduct. When entering a partnership with Ragn-Sells, the contract manager should regularly monitor incoming deviations and complaints, pay attention to their level of severity from an environmental perspective, health & safety perspective and potential effect on the customer. If a deviation or a complaint is observed, this can be reported to Ragn-Sells Sustainability department, where the incident is followed-up based on the specific situation and circumstances. 

During 2019, audits were carried out at downstream business partners, based on risk assessments covering the geographical area, material type, treatment type and any known details about the customer. The actions performed to reduce risks within the value chain were also applied to the actors used to transport the materials to the waste receivers. During 2019, 11 percent of our critical downstream customers were self-assessed for Supplier Code of Conduct requirements and 4 percent downstream customers were audited, of which none resulted in terminated relationships. During an audit, the contract manager decides the outcome of an incident, such as corrective actions, price adjustments, penalties or early termination of agreements.  

Upstream business partners partake in self-assessments. Based on the results found through these assessments, our different suppliers are grouped based on risk category. Further, if it seems like the supplier is not fulfilling contracts or the Supplier Code of Conduct, the supplier is audited. 

During 2020, Ragn-Sells Recyclables primarily will continue performing audits at high risk suppliers. 

We have to think in a totally new way

How circular economy works at its best  

In a circular economy we don’t deplete our resources. Instead, they are used again and again in an eternal loop. For hundreds of years, we have lived in a linear society. We have taken resources from the ground, made things out of them, and thrown them away when we don’t need them anymore. But we can’t go on like that. The earth has less and less to give. The hunt for raw materials costs more and more energy as reserves decline. This changes the climate, and if nothing happens, earth will become a difficult place to live.