Mölnlycke Health Care: Leveraging Scalable Tools for Global Supply Chain ESG Risk Management
Mölnlycke is a world-leading medical technology company that specialises in sustainable solutions for wound care and surgical procedures. Mölnlycke products and solutions are used daily by hospitals, healthcare providers and patients in over 100 countries around the world.
The Challenge: Scaling Sustainability Across a Global Supply Chain
Mölnlycke is transforming their business to become a global leader in sustainable healthcare. Sustainability is a strategic priority, and the company recognises their ability as a global purchaser to positively influence environmental and social conduct in their supply chain. Mölnlycke is a signatory of the UN Global Compact and aims to reach Net Zero by latest 2050, with their near-term climate action targets validated by the Science Based Target Initiative in 2024. Partnering with suppliers is crucial to achieving Mölnlycke’s sustainability goals.
The Solution: Unlocking standardised data and assessments
Mölnlycke joined Sedex to leverage Sedex’s extensive scale, resources and tools for supply chain sustainability. These include, in particular, the Sedex Platform for sharing supply chain data and assessment results, and Sedex’s established risk-based methodology for tackling the complexity of sustainability issues across an international supply chain.
Results: Risk assessment on a global scale
While Mölnlycke is in their first year with Sedex, the partnership has already enabled significant progress:
- Risk assessment: Using Sedex’s risk assessment tools, Mölnlycke conducted a thorough ESG risk screening of their supplier base across approximately 16,000 suppliers in 80 countries. This was to identify suppliers in socially or environmentally high-risk contexts, based on sourcing countries and sectors.
- Audit programme: With insights from the risk assessment, Mölnlycke has developed an action plan to audit the suppliers identified as potentially exposed to high sustainability risks. This plan is crucial for proactive risk management and fostering improvements in sustainability practices.
“The Sedex membership is essential to align our definitions and methodology with reputable frameworks. Using Sedex, we screen all new and active suppliers to identify possible sustainability risks that suppliers might be exposed to, considering the country and sector where different commodities are sourced from.
Rebecka Zetterström, Procurement Sustainability Manager Mölnlycke
“This allows us to engage with the most relevant suppliers for risk management, identify areas for improvements and see if suppliers live up to our requirements regarding labour rights, health and safety, and the environment.”
Looking Ahead: Deepening visibility to drive sustainability goals
In the next phase of their programme, Mölnlycke will investigate suitable tools and practices for suppliers exposed to medium or low risk, alongside carrying out the audit programme for suppliers in higher-risk contexts. The Mölnlycke team will also look at the best way of capturing sustainability-related data beyond their direct suppliers, looking upstream in their supply chain to increasingly build visibility.
Mölnlycke’s collaboration with Sedex exemplifies how strategic partnerships can enhance sustainable sourcing practices. Through Sedex’s tools and support, Mölnlycke is strengthening their supply chain risk management, supporting their existing efforts to align with global sustainability standards and laws.
As Mölnlycke draws more data from deeper in their supply chain, the company will continue leveraging these insights for increasingly effective, accurate decision-making to drive their sustainability goals.
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