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ESG Report

Supply chain management

Supply chain management

C47. How is social value creation considered when procuring goods and services?

Our social value policy and procedures are undergoing full review this year so that we can harness a more strategic approach to delivery, which is aligned with our Fair Foundations approach and can channel the substantial value
we create into lasting social change.

The case study below demonstrates our desire to channel our social value contributions towards strategic place-based investments which have a long-term positive impact on communities.

Working together

A new partnership brings affordable food hubs to the North East


We've been working in partnership with social housing provider Gentoo Group and North Tyneside Council to help award-winning mobile food club The Bread and Butter Thing to launch a number of new hubs across the North East.

The hubs offer regular, affordable provisions of food and toiletries for people in low-income households, in five new locations across the region.

The first of the new hubs, funded with £25,000 from Karbon’s Unlocking Social Value pot, opened at Stobhill Community Centre in Morpeth, giving local residents the opportunity to sign up and gain access to an average of £35 worth of items, including fresh fruit and veg, fridge favourites and cupboard staples, for £7.50 a week.

The Bread and Butter Thing, which was founded in Manchester in 2016, works with manufacturers, retailers and the hospitality industry to redistribute food surplus to people who need it the most. Its community vans regularly redistribute over 100 tonnes of food a week to almost 80 community locations.

Mark Game, The Bread and Butter Thing Chief Executive said:

"I’m delighted to be able to bring our affordable food clubs to new areas in the region – especially now when rising costs of living are forcing people on low incomes to make stark choices between heating and eating. Our members tell us that over 80% of them have previously had to skip meals to feed their families. By using The Bread and Butter Thing, most save at least £25 a week on their food budgets with the added benefits of better quality and a bigger variety of food. This leads to healthier lifestyles and puts money back in people’s pockets. When visiting our hubs, they can also access other support services and get a warm welcome.”

C48. How is environmental impact considered when procuring goods and services?

Each contract we procure is subject to an Environmental Impact Assessment and during the tendering process, we ask suppliers to provide their Environmental Policy, along with answering a dedicated environmental question:

“Demonstrate your organisation’s approach to environmental sustainability. Include measures taken by your organisation to achieve environmental sustainability, and compliance with relevant regulations, legislation and standards.”

We adapt the weighting of this question depending on the tender, using higher weightings for environmentally associated work.

We aim to maintain an inventory of the least environmentally impactful housing components, captured in our House Design Specification (HDS), which will establish a formal catalogue of the most efficient components and house types. The HDS is supported by an integrated system of data analytics incorporating each of our asset, finance and repairs, and maintenance systems which work together to track the lifecycle costs and performance of all housing components. As well as cost and longevity, all components are assessed in terms of:

  • origination from sustainable resources
  • ozone depletion characteristics
  • energy efficiency.

We also recognise the opportunity to deliver environmental impact as a means of social value and have recently adopted the TOMs (Themes and Outcome Measures) social value framework, which gives suppliers the option to commit: “time, funds and in-kind contributions for environmental conservation and sustainable ecosystem management.”

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