Analysis

B&Q's new supplier grading system

B&Q's suppliers are graded according to their response to a questionnaire, the outcome of environmental audits and additional correspondence. The grades are used by B&Q's buyers to judge the liability or opportunity each supplier represents to its business. Those supplying environmentally sensitive products, such as solid mahogany or peat products, and who have gained a poor grade may find themselves delisted. No supplier has yet been awarded the A grade. A Supplier has an ongoing environmental management programme which identifies and addresses all significant issues. Supplier takes a proactive stance on environmental issues and presents B&Q with real opportunities. B Supplier has taken action, including production of a policy, which convinces us that they have identified all the major issues relevant to them and are owning them and managing them effectively. Opportunities may be raised for B&Q. C Supplier's policy is really only a mission statement which fails to convince us that they are aware of the issues. Any action taken is piecemeal and reactive. No detailed targets or action plans. D Supplier's response essentially justifies the status quo. No policy and no action being taken, although they are likely to plead concern for the environment. Key issues should be addressed to improve supplier's grade. E Supplier exposes B&Q to severe liability - immediate action is required to address key issues if supplier is to continue to supply B&Q. F Fail. No response given.

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