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Sustainability Assessment Requirements

Assessing Supplier Sustainability Performance

At Hitachi Energy, a sustainable supply chain is essential to long-term value creation for customers, communities, and the environment. Supplier sustainability assessments help us identify, manage, and mitigate environmental, social, ethical, and governance risks across our global supplier base.

These assessments form part of our responsible sourcing strategy and supplier lifecycle management. Using a risk-based approach defined by Hitachi Energy’s Supply Sustainability function, suppliers are categorized by sustainability risk profile. Suppliers with elevated risks are invited to complete the EcoVadis Sustainability Assessment, which evaluates performance across environment, labor and human rights, ethics, and sustainable procurement.

Through this process, suppliers provide information and evidence on how sustainability is managed within their organization. EcoVadis independently reviews the evidence and provides a scorecard highlighting strengths, improvement areas, and industry benchmarks.

Hitachi Energy reviews the results and engages with suppliers to address identified risks and improvement opportunities. Where required, suppliers develop corrective action plans and implement measures to strengthen sustainability performance, with progress monitored through ongoing collaboration.

The process follows a structured flow

Step 1

Risk Screening

Step 2

Risk Categorization

Step 3

EcoVadis Assessment

Step 4

Results Review

Step 5

Corrective Actions and Improvement

Step 6

Continuous Monitoring and Supplier Development

EcoVadis is a widely recognized sustainability assessment platform based on internationally recognized frameworks, enabling consistent and objective supplier evaluation. As sustainability regulations and stakeholder expectations evolve, these assessments improve transparency, support due diligence and reporting requirements, and promote responsible business conduct.