What is EcoVadis? – ESG PRO Ltd.

Discover EcoVadis, the premier global sustainability assessment platform. Learn from ESG Pro consultants how EcoVadis evaluates and enhances ESG.

What is EcoVadis™: A Comprehensive Overview

Established in 2007, EcoVadis operates as a collaborative, web-based platform designed to evaluate the sustainability performance of organisations worldwide. Its primary focus is on providing in-depth insights into the non-financial performance of companies, enabling stakeholders to better understand the sustainability practices of their suppliers. ESG Pro Limited are expert consultants to help your business pass the EcooVadis assessment with flying colours.

EcoVadis’ Sustainability Assessment Framework

EcoVadis’ evaluation framework assesses a company’s sustainability management system based on 21 sustainability criteria, categorised into four core areas:

1. Environment: This domain evaluates impacts from production processes, such as energy use, water management, biodiversity preservation, pollution (local and accidental), and greenhouse gas (GHG) emissions. It also considers the environmental consequences of product usage and end-of-life disposal.
2. Labour and Human Rights: This area examines workplace practices, including accident prevention, employee training, working conditions, and social dialogue. It also evaluates compliance with labour laws, diversity initiatives, and anti-discrimination measures.
3. Ethics: Focused on corporate integrity, this theme assesses measures against corruption, anti-competitive behaviours, and the organisation’s commitment to responsible information management.
4. Sustainable Procurement: This aspect looks at how companies ensure that their suppliers adhere to environmental and social standards.

Methodology and Foundational Principles

EcoVadis’ methodology is rooted in internationally recognised sustainability standards, such as:

• The Ten Principles of the UN Global Compact
• International Labour Organization (ILO) conventions
• Global Reporting Initiative (GRI) standards
• ISO 26000
• The CERES Roadmap
• The UN Guiding Principles on Business and Human Rights (Ruggie Framework)

Incorporating sustainability regulations from over 160 countries, the methodology adheres to seven guiding principles:

1. Evidence-Based: Companies must submit verifiable documents, such as reports and certifications, to support their claims.
2. Context Matters: The evaluation is tailored to account for sector-specific risks, geographic challenges, and company size.
3. Diversified Sources: External inputs, such as those from NGOs, trade unions, and third-party databases, are included in the assessment.
4. Leveraging Technology: EcoVadis employs advanced IT systems for scalability, learning, and process efficiency.
5. Expert Analysis: Submissions are reviewed by a global team of sustainability experts well-versed in best practices.
6. Transparency and Traceability: All documents are securely stored, ensuring transparency in scoring decisions.
7. Continuous Improvement: Feedback loops and advisory boards guide ongoing refinement of the assessment process.

The EcoVadis system evaluates sustainability practices across three key management layers: policies, actions, and results, using seven indicators: Policies (POLI), Endorsements (ENDO), Measures (MESU), Certifications (CERT), Deployment of Actions (COVE), Reporting (REPO), and 360° Watch Findings.

Who Uses EcoVadis?

EcoVadis’ assessment is open to all companies, excluding those in specific industries such as tobacco manufacturing, coal mining, weapons production, and aerospace manufacturing. Its users fall into two categories:

1. Client Companies: Procurement teams can request their suppliers to participate in EcoVadis assessments, enabling them to monitor and improve supply chain sustainability.
2. Suppliers: Rated suppliers can share their scorecards with clients and other businesses in the EcoVadis network, enhancing their market visibility while maintaining control over sensitive data.

EcoVadis’ network includes over 75,000 businesses, spanning more than 200 purchasing categories. Notable participants include industry giants like Verizon, Johnson & Johnson, Subway, Salesforce, and Renault-Nissan.

Assessment Scope: Group vs Subsidiary Level

EcoVadis allows assessments at multiple organisational levels, from parent companies to individual subsidiaries. Companies must ensure documentation comprehensively represents all relevant entities to achieve accurate scores. For example, a group-level assessment requires evidence covering all subsidiaries, whereas a subsidiary-level evaluation may focus on specific certifications.

Benefits of EcoVadis

EcoVadis offers several advantages, particularly through its dynamic scorecards, which classify performance into five levels: insufficient, beginner, intermediate, advanced, and leader. These assessments provide actionable insights, enabling companies to prioritise improvement areas and focus on high-impact actions. Additionally, a dedicated Carbon Scorecard has been introduced to assess carbon performance.

The platform also includes a Corrective Action Plan (CAP) tool, which helps companies address weak points in their sustainability practices. Companies scoring below 47 are advised to prioritise 5–10 improvement actions recommended by the system.

EcoVadis Assessment Process

The EcoVadis evaluation consists of four key phases:

1. Registration: Companies create a profile, providing details about their operations and contact information.
2. Questionnaire Completion: A customised questionnaire is generated based on the company’s sector, size, and geographic scope. Submissions can be made in multiple languages, though English is preferred.
3. Expert Review: EcoVadis’ analysts evaluate responses and supporting documents, complemented by external resources, including media and NGO reports. The 360° Watch Findings integrate AI and human analysis to identify relevant sustainability issues.
4. Results Publication: Scores are shared with the company via an online platform, along with recommendations for improvement.

Scoring and Recognition

Companies receive a weighted score out of 100, reflecting their sustainability strategy and performance. Scoring incorporates policies (25%), actions (40%), and results (35%). Based on percentile rankings, companies may earn medals:

• Platinum: Top 1% (score 78–100)
• Gold: Top 5% (score 70–77)
• Silver: Top 25% (score 59–69)
• Bronze: Top 50% (score 50–58)

Medals recognise excellence but require theme scores above specific thresholds.

Preparing for Assessment

To maximise scores, companies should:

• Submit comprehensive, verified documents.
• Assign departmental responsibilities for each theme.
• Utilise EcoVadis’ guidelines and webinars to understand requirements.

Premium customers can access the EcoVadis Academy, an e-learning platform offering courses in five languages to support sustainability improvements.

Reassessment and Continuous Improvement

Companies can initiate reassessments after 12 months or when required by partners. Reviewing previous scorecards and implementing corrective actions is critical for better outcomes in subsequent evaluations.

By leveraging EcoVadis, organisations can enhance their sustainability practices, strengthen supply chain transparency, and demonstrate commitment to corporate social responsibility.

Tips for Achieving Optimal Scores in EcoVadis Assessments

To excel in EcoVadis evaluations, companies must approach the assessment process with a clear strategy and thorough preparation. Key elements to focus on include:

1. Comprehensive Documentation:
   All submitted documents should be authentic and contain essential identifiers, such as the company name, logo, implementation date, and review date. While EcoVadis accepts documents in any language, it is recommended to use one of the platform’s preferred languages, particularly English, to streamline the review process.
2. Established Policies:
   Sustainability policies should clearly outline both qualitative and quantitative objectives. Importantly, these policies should predate the assessment by at least three months to demonstrate genuine commitment. EcoVadis recognises policies as valid for up to eight years, ensuring they remain relevant for future evaluations.
3. Evidence of Actions:
   Documents supporting implemented actions must detail their purpose and demonstrate how they mitigate specific risks. Like policies, action-related documents are valid for eight years.
4. Results and Key Performance Indicators (KPIs):
   The validity of reported KPIs is limited to two years, necessitating regular updates to ensure accuracy. Effective reporting demonstrates measurable progress and reinforces a company’s commitment to continuous improvement.
5. Document Submission Limits:
   EcoVadis allows a maximum of 55 document uploads per assessment. Companies should prioritise submitting well-organised, high-quality documents to make the most of this limit.

Reassessment: Improving Sustainability Scores

When preparing for reassessment, companies should:

• Carefully review recommendations and guidance provided in their previous scorecard.
• Develop a comprehensive progress report detailing corrective actions taken since the last evaluation.
• Focus on high-priority areas identified in the Corrective Action Plan (CAP) to address gaps effectively.

The reassessment process provides an opportunity for companies to showcase their progress and achieve improved scores, demonstrating their dedication to sustainability practices.

The Value of EcoVadis for Businesses

EcoVadis is more than a rating platform; it is a strategic tool that enhances a company’s marketability and operational transparency. By participating in EcoVadis assessments, businesses can:

1. Strengthen Supplier Relationships:
   Transparent sustainability practices foster trust and collaboration within the supply chain.
2. Increase Market Opportunities:
   Sharing EcoVadis scores with partners can open doors to new business opportunities and strengthen relationships with existing clients.
3. Drive Continuous Improvement:
   EcoVadis’ structured approach to sustainability evaluation enables organisations to identify weaknesses and implement effective corrective measures.
4. Enhance Reputation:
   High scores and EcoVadis medals signal a company’s commitment to corporate social responsibility, appealing to investors, customers, and other stakeholders.

Certification Validity and Subscriptions

EcoVadis scorecards are valid for 12 months. While companies retain access to expired scorecards, they must renew their assessments to publicly share updated results. Subscription costs range from €350 to €6,500 annually, depending on company size. The subscription covers:

• Access to the EcoVadis platform.
• Comprehensive sustainability assessments.
• Tools to share and analyse performance metrics.

A Global Standard for Sustainability Monitoring

As organisations worldwide face increasing pressure to adopt sustainable practices, EcoVadis has established itself as a leader in sustainability assessments. Its robust methodology, expert analysis, and actionable insights provide companies with the tools to excel in a competitive, sustainability-focused marketplace.

By embracing EcoVadis, businesses not only comply with global sustainability standards but also position themselves as leaders in the transition to a more ethical and environmentally conscious future.

EcoVadis in Context: Why It Matters

The EcoVadis platform aligns with the growing global emphasis on sustainability, as companies, governments, and stakeholders increasingly demand accountability in environmental, social, and governance (ESG) practices. Its comprehensive evaluation system offers significant benefits that extend beyond mere compliance.

For Suppliers: A Strategic Advantage

Suppliers participating in EcoVadis assessments gain a competitive edge in a crowded marketplace. By demonstrating strong sustainability credentials, suppliers can:

• Enhance Business Opportunities: Sharing EcoVadis scorecards with potential clients showcases a commitment to responsible practices, increasing the likelihood of forming partnerships with organisations prioritising ESG.
• Build Trust: Transparent reporting bolsters credibility, fostering stronger relationships with business partners and stakeholders.
• Streamline Improvements: The Corrective Action Plan tool provides a clear roadmap for addressing deficiencies, enabling suppliers to systematically improve their sustainability performance.

For Clients: Supply Chain Oversight

For procurement teams, EcoVadis is an invaluable resource for monitoring supplier performance. Its features allow client companies to:

• Evaluate Risks: With its focus on policies, actions, and results, EcoVadis helps identify potential risks in the supply chain, such as non-compliance with environmental regulations or labour standards.
• Encourage Supplier Growth: By tracking improvement areas and facilitating ongoing dialogue, clients can help suppliers align with their sustainability goals.
• Meet Regulatory Demands: As governments implement stricter ESG reporting requirements, EcoVadis supports compliance by providing verified, evidence-based assessments.

Supporting Global Sustainability Goals

EcoVadis’ methodology is designed to align with international frameworks, making it a crucial tool for companies aiming to support global sustainability initiatives. By adhering to standards like the UN Global Compact, the ILO conventions, and the Ruggie Framework, EcoVadis enables businesses to:

• Advance the United Nations Sustainable Development Goals (SDGs): Through its focus on labour rights, environmental impact, and ethical governance, EcoVadis helps companies contribute to specific SDGs, such as responsible consumption and production (Goal 12) and climate action (Goal 13).
• Promote Responsible Business Practices: By encouraging continuous improvement, the platform fosters a culture of accountability and transparency across industries.

Future Prospects for EcoVadis

As sustainability becomes an integral aspect of corporate strategy, the role of EcoVadis is expected to grow. Key trends shaping its future include:

• Increased Adoption: With more companies recognising the value of ESG performance, EcoVadis’ network is likely to expand, connecting businesses across diverse industries.
• Enhanced Tools and Metrics: The platform continues to evolve, integrating advanced technologies like artificial intelligence to improve the accuracy and efficiency of assessments.
• Sector-Specific Solutions: Tailored methodologies for high-risk sectors, such as manufacturing and mining, will further enhance the platform’s relevance.

The EcoVadis Call to Action for Businesses

For organisations seeking to thrive in a sustainability-focused economy, EcoVadis offers a pathway to excellence. Its comprehensive evaluation process, robust methodology, and actionable insights provide the foundation for meaningful change.

By committing to EcoVadis assessments, companies can:

• Strengthen their ESG framework, ensuring alignment with international standards.
• Build resilient supply chains, capable of adapting to evolving regulatory and market demands.
• Foster innovation and growth, leveraging sustainability as a driver of competitive advantage.

In a world where sustainability is no longer optional, EcoVadis equips businesses with the tools they need to lead the way toward a more ethical, transparent, and environmentally responsible future.

Embracing EcoVadis: A Holistic Sustainability Approach

EcoVadis is more than a tool for assessment—it represents a holistic framework for embedding sustainability into every aspect of business operations. By leveraging its methodologies and insights, companies can move beyond compliance to foster a culture of innovation, accountability, and sustainable growth.

Integrating Sustainability into Corporate Strategy

To maximise the value of EcoVadis, organisations should integrate its principles into their long-term corporate strategies. This requires a commitment to:

1. Policy Development: Establishing clear, actionable policies aligned with EcoVadis’ sustainability themes ensures a strong foundation for future assessments. These policies should address specific risks and opportunities within the organisation’s industry and geographic footprint.
2. Operational Excellence: Implementing effective sustainability actions is critical to translating policies into measurable outcomes. Companies must focus on tangible initiatives, such as reducing carbon emissions, improving labour conditions, and ensuring ethical procurement practices.
3. Transparent Reporting: Regularly monitoring and reporting results not only demonstrates accountability but also strengthens stakeholder confidence. EcoVadis’ scorecards provide an effective platform for sharing progress with investors, partners, and customers.

Building a Culture of Continuous Improvement

EcoVadis encourages organisations to adopt a mindset of continuous improvement. To achieve this, companies can:

• Set Clear Goals: Define specific, time-bound objectives for each sustainability theme. These goals should be ambitious yet achievable, reflecting the company’s commitment to progress.
• Engage Stakeholders: Foster collaboration across departments, suppliers, and external partners to drive collective action on sustainability initiatives.
• Leverage Feedback: Use insights from EcoVadis assessments to refine strategies and prioritise high-impact areas for improvement.

Expanding the Impact of EcoVadis

EcoVadis’ influence extends far beyond individual organisations. By connecting businesses across its network, the platform facilitates a collaborative approach to addressing global sustainability challenges. This collective effort is crucial for:

1. Scaling Positive Impact: As more companies participate in EcoVadis assessments, the cumulative effect on supply chain transparency and sustainability becomes increasingly significant.
2. Driving Industry-Wide Change: By benchmarking performance and sharing best practices, EcoVadis helps raise the bar for sustainability across industries.
3. Advancing Global Goals: EcoVadis aligns with international frameworks to support systemic change, contributing to a more equitable and sustainable global economy.

Preparing for the Future of Sustainability

The business landscape is rapidly evolving, with ESG considerations becoming central to decision-making. To stay ahead, companies must proactively adapt to emerging trends and challenges, including:

• Regulatory Changes: Governments around the world are implementing stricter ESG reporting requirements. EcoVadis provides the tools and insights needed to meet these demands effectively.
• Consumer Expectations: Today’s consumers increasingly prioritise ethical and sustainable products. A strong EcoVadis score enhances brand reputation and aligns with consumer values.
• Investor Priorities: Investors are paying closer attention to ESG performance, recognising its link to long-term financial stability. EcoVadis assessments help companies demonstrate their commitment to sustainability, attracting capital and fostering trust.

Final Thoughts: The EcoVadis Advantage

In a world where sustainability is a critical measure of success, EcoVadis offers a comprehensive, scalable solution for evaluating and improving ESG performance. By participating in EcoVadis assessments, companies not only enhance their own practices but also contribute to a broader movement toward a more sustainable future.

Whether you are a supplier seeking to gain a competitive edge, a client aiming to build a responsible supply chain, or a company looking to align with global sustainability standards, EcoVadis provides the tools, insights, and framework needed to achieve your goals. Through its commitment to transparency, continuous improvement, and collaboration, EcoVadis empowers organisations to lead the way in driving meaningful, lasting change.

Ready to Elevate Your ESG Performance?

At ESG Pro, we specialise in guiding organisations through the complexities of sustainability certifications and ESG ratings, including EcoVadis, B Corp, GRI, SASB, and CSRD. Since 2016, our global team of experts has helped businesses like yours achieve their sustainability goals with precision, professionalism, and an unbeatable value.

Our in-house team includes sustainability lawyers, GHG carbon emissions consultants, graphic designers, and a full suite of specialists—all working together to provide comprehensive, tailored solutions for your ESG journey. From crafting policies to compiling compelling documentation, we ensure every detail is expertly handled so you can focus on what matters most: making a meaningful impact.

With ESG Pro, you’re not just ticking boxes—you’re setting a benchmark for sustainability excellence, and we’ll make sure you get there at highly competitive rates.

📅 Book a meeting now to speak directly with one of our ESG experts. Let’s turn your sustainability ambitions into measurable results—starting today! Click here to schedule your consultation.

Your Partner for EcoVadis and ESG Success

ESG Pro Limited stands out as the premier ESG and sustainability partner for businesses of all sizes, both within the UK and internationally. With a deep understanding of the Environmental, Social, and Governance (ESG) framework, ESG Pro helps businesses integrate sustainable practices into their core operations, ensuring long-term resilience and positive impact. Their tailored solutions enable companies to address critical environmental challenges, enhance social responsibility, and maintain robust governance standards, positioning them for success in a rapidly evolving global market.

• Customised ESG Strategies: ESG Pro offers bespoke ESG strategies that align with each business’s unique goals and industry requirements.
• Global Reach with Local Expertise: With experience in both UK and international markets, ESG Pro delivers insights and solutions that are globally informed but locally relevant.
• Sustainability Leadership: ESG Pro helps businesses become sustainability leaders by adopting practices that reduce their environmental impact and enhance their social contributions.

In addition to strategy development, ESG Pro provides comprehensive services that ensure effective implementation and measurable outcomes. From risk assessment and reporting to stakeholder engagement and compliance, ESG Pro equips businesses with the tools and guidance they need to navigate the complexities of ESG integration. This holistic approach not only helps companies meet regulatory requirements but also strengthens their reputation, attracts investment, and drives long-term growth.

• End-to-End ESG Implementation: ESG Pro supports businesses through every stage of ESG integration, from planning to execution and continuous improvement, even for B Corp and CSRD.
• Compliance and Reporting Expertise: ESG Pro ensures that companies meet regulatory requirements and communicate their ESG performance transparently to stakeholders.
• Stakeholder Engagement and Collaboration: ESG Pro fosters meaningful engagement with stakeholders, enhancing relationships and building trust in the business’s sustainability efforts.

Humperdinck lectures on ESG, Risk, Supply Chain, and Net Zero and both Kingston University and UCL (University College, London). He leads the daily operations at ESG Pro and specialises in matters of corporate governance. Humperdinck hails from Bermuda, has twice sailed the Atlantic solo, and recently devoted a few years to fighting poachers in Kenya. Writing about business matters, he’s a published author, and his articles have been published in The Times, The Telegraph and various business journals internationally.