TfS Initiative

In 2018, ICL joined Together for Sustainability (TfS), a joint initiative and global network of 33 chemical companies, that has created the de-facto global standard for environmental, social and governance performance of chemical supply chains. The TfS program is based on the UN Global Compact and Responsible Care® principles. \

As pressure on natural resources increases and issues of social justice become more visible, stakeholders expect companies to promote sustainability not only within their own operations, but also with their suppliers. Large companies such as ICL, which interact with thousands of suppliers around the world, are expected to engage suppliers on sustainability issues and include sustainability considerations in their procurement decisions.

Key Facts

The TfS framework – TfS Assessments and TfS Audits – allows member companies to assess a number or parameters: environmental, labor, and human rights; suppliers’ ethical and sustainable procurement performance to drive and deliver tangible, measurable improvements; and their own sustainability performance.

TfS is a global initiative, that has extended its reach and impact in strategic growth areas through regional representation and strategic partnerships in Asia, North America, and South America.

Operating as a unique, member-driven organization and peer-to-peer network, TfS member companies are shaping the future of the chemical industry together.

TfS introduced its globally applicable framework and tools – TfS Assessments and TfS Audits – to create transparency into the sustainability performance of chemical companies and their suppliers, enabling them to collaborate and continuously improve performance. In addition, the CAP (corrective action plan) which delivers tangible, measurable improvements of suppliers’ and member companies’ sustainability performance.

Unique to the TfS Initiative, is that the results of TfS Assessments and TfS Audits are shared with all member companies, with the consent of the supplier.

By the end of 2021, ICL has approached 1015 suppliers.

ICL’s Sustainable Procurement Goals

To better achieve the goals of the initiative, all TfS member companies define their target suppliers’ group, and then track and report on designated KPIs regarding their supplier engagement.

In accordance with ICL’s sustainability vision for 2030, and the guiding principles derived from ICL’s TfS membership commitment, the ICL Procurement Program is based on well defined, measurable goals, guiding ICL’s activities and enabling its progress.

For -2021, ICL selected targeted suppliers’ group are strategic suppliers in terms of spend value and business criticality in areas of raw materials, logistics and packaging.

In 2021, ICL has achieved the following:

KPI 1 – 488 valid assessments in the supplier pool
KPI 2 – 270 new assessments & re-assessments in one calendar year
KPI 3 – 67% assessments improvement

for 2022, ICL has set the following targets:

KPI 1 – 480 valid assessments in the supplier pool (calculated on adjusted base line as more than 80 suppliers’ assessments will be expired after 3 years’ validity)
KPI 2 – 220 new assessments & re-assessments in one calendar year
KPI 3 – 60% assessments improvement

To support this process internally, TfS targets are cascaded down from ICL’s HQ Procurement to GSM level via Success Factors platform.

These three metrics ensure the continuity of the process. This includes maintaining a pool of suppliers with valid CSR assessments, and actively encouraging our suppliers to work on improvements, including:

Focus on improvement through Corrective Action Plans (CAP)
Drive Innovation through cooperation with our Suppliers

In 2022, ICL started to include EcoVadis sustainability assessment results in the tendering process, and in its purchasing pilot with the contractors and energy unit. This is a strong sign of ICL’s commitment to building a sustainable supply chain.

ICL’s EcoVadis Score

ICL (-like all TfS members) must adhere to the same standards as its suppliers. In 2021, ICL completed its third global EcoVadis assessment ranking among the top 5% of 75,000 globally ranked suppliers, and awarding ICL with a gold ranking. EcoVadis is considered a global leader in ranking sustainable practices of suppliers.