RAI and its operating companies hold their suppliers to the same high standards to which they hold themselves. Suppliers are required to comply with applicable laws and regulations, and are expected to go above and beyond what is required in their environmental and social practices. We are committed to working with suppliers to encourage responsible and sustainable practices through a variety of mechanisms.
In 2015, we completed a third-party environmental materiality assessment to determine where our largest environmental impacts lie. Not surprisingly, we found the significant majority of our environmental impacts occur in the supply chain and with our tobacco growers and suppliers.
Goals and Leadership
RAI and its subsidiaries strive to minimize the negative environmental and social impacts in our supply chain. We work with our suppliers to ensure they comply with applicable laws and adhere to responsible practices. This collaborative effort helps us achieve our mutual sustainability objectives.
The executive vice president of operations for R.J. Reynolds Tobacco Company and executive vice president of public affairs for Reynolds American Inc. (RAI) are ultimately responsible for RAI’s supply chain management and goals. The R.J. Reynolds procurement department has service agreements with each RAI operating company, enabling an integrated, comprehensive supply chain management system. Executives from procurement, along with corporate sustainability and commercial equity, collaborate to develop, coordinate and execute programs to achieve company-wide goals and targets, including:
- Actively engaging with our supply chain partners and sharing best practices to identify and reduce environmental impacts; and
- Broadening our companies’ engagement with diverse suppliers.
Each of our operating companies offers a Supplier Procurement Guide, with which suppliers must comply. Our guidelines, for which suppliers are screened during the onboarding process, and against which we conduct periodic audits, cover a range of environmental, social and governance factors (ESG), including:
Programs and Priorities
RAI is proud of the efforts to promote responsibility in its operating companies’ supply chains. Suppliers are truly our partners — working with us to identify improvement opportunities within our companies and sharing best practices and policies.