Hermès // 2022 UNIVERSAL REGISTRATION DOCUMENT

2

CORPORATE SOCIAL RESPONSIBILITY AND NON ટ FINANCIAL PERFORMANCE COMMUNITIES: SUPPLIERS & PARTNERS

COMMUNITIES SUPPLIERS AND PARTNERS

Change 2021/2022

SDG

Objective

Indicators

2022 Results

SUPPORTING THE DEVELOPMENT AND EVOLUTION OF SUPPLIER PRACTICES TO PRESERVE KEY SAVOIR‑FAIRE AND SECURE SUPPLIES

19 years of trading for relationships with the top 50 direct suppliers. A relationship of almost 30 years with the silk supplier in Brazil. Among the longest supplier relationships: 65 years in textiles, 42 years in jewellery and leather An average of 25 days for supplier payments in France in 2021, compared to a general average of 43 days in France (according to the Banque de France) In 2022, €4,300 million were paid in advance of the contractual deadline by all the Group’s French entities in order to support the cash flow of partners 100% of the paper and cardboard used for orange boxes and bags is FSC‑certified 2 tanneries are LWG (Leather Working Group)-certified, and the process is underway for the other four 92% of direct purchasing suppliers have signed handbooks 1 and 2 736 suppliers (French and international) assessed by EcoVadis, with an average score of 55.3, compared to 44 for all assessments carried out by EcoVadis, i.e. an outperformance of 25% 75 audits carried out at tier 1 direct suppliers (spread over 100 production sites) and 78 performed at tier 2 direct suppliers, i.e. 16,000 hours of audit assignments 100% of Jewellery workshops are RJC‑certified

=

Average length of relationships with the top 50 direct suppliers

Create lasting relationships with our suppliers to promote long‑term action plans

=

Supplier payment terms in France

➚

Amount paid in advance of the contractual term

CO‑CREATING SUSTAINABLE DEVELOPMENT ACTION PLANS WITH OUR SUPPLIERS AND PARTNERS

=

=

Work with our suppliers to achieve the highest existing standards

% of suppliers that are part of certified supply chains

ENSURE THE APPLICATION OF OUR SOCIAL, ENVIRONMENTAL AND ETHICS REQUIREMENTS (DUTY OF CARE)

➚

Guarantee suppliers’ adherence to the Group’s CSR commitments

% of purchasing suppliers that have signed handbooks 1 and 2

Number of suppliers (French and international) assessed by EcoVadis and average score of suppliers by EcoVadis

➚

Monitor the CSR performance of suppliers

➚

Control the application of the Group’s requirements by all suppliers

Number of audits performed on direct suppliers

➚

Allow suppliers to report actions that do not comply with the Group’s codes

Opening of the H‑Alert! whistleblowing system to 100% of suppliers

Activation of an alert system

2022 UNIVERSAL REGISTRATION DOCUMENT HERMÈS INTERNATIONAL

184