Sustainability

Guidance for Suppliers

We share the responsibility to continuously raise standards and improve performance in this key sector in Indonesia.

GAR wants to work with you to understand what support we can best provide to help you adopt sustainable and responsible practices.

Our customers, shareholders, stakeholders, and the media are interested in how we run our own plantations and the production activities in our supply chain. Through collaboration with our suppliers, we can better address their concerns and improve the perception of our industry. Your support in this endeavour is crucial.

Why traceability and transparency matter

Global trends

Growing concerns over responsible and sustainable practices (environmental practices, social & community engagement, industrial relations and workplace practices, protection of human rights) are a reality. Stakeholders have higher expectations and new, improved standards now require us to demonstrate meaningful improvements on the ground.

Company policy

Our company requires all our suppliers to comply with the GAR Social and Environmental Policy (GSEP).

Market demands

Sustainability is a major decision driver for most of our international customers in Europe and the US. By 2020, palm oil companies entering the European markets, for instance, are expected to reach 100% Certified Sustainable Palm Oil (Foodnavigator.com, 2015).

Government requirement

The Government of Indonesia has made it mandatory for all our suppliers to comply with ISPO certification standards.

5 steps to improve sustainable practices

There is value in learning from each other. Together we identify opportunities for improvement and agree on a set of actions to continuously improve our policies, methods and practices, and standard operating procedures.

The 5 steps in our engagement with you:

Step 1 – Learn and share value of sustainable practices

We will share our practices and lessons with you, so we all can learn and improve our practices.

Step 2 – Demonstrate transparency

We report on our sustainability journey via our online Sustainability Dashboard. We appreciate your cooperation to voluntarily share information on where you are today and the opportunities for improvement based on your own assessment.

Step 3 – Build capacity

Our specialists will assist you whether you need training, educational materials, or if you need support to meet ISPO certification/requirements. In fact, you may find useful materials here.

Step 4 – Run transformation programmes

Develop scheduled action plans with concrete steps for immediate improvements that will enable you to progress in your sustainable practices.

Step 5 – Get constructive feedback

Get constructive feedback from our specialists regarding the implementation of your action plans. GAR will work with you to document case studies, lessons learned and success stories on your transformation programmes, and share them more broadly to stakeholders to improve the perception of the Indonesian palm oil industry.

Support programmes and services

GAR offers various types of support programmes and services:

Broad education

  • SMARTSEED (Social and Environmental Excellence Development):
    SMARTSEED is an annual supplier forum, where our suppliers and relevant industry stakeholders are invited to discuss sustainability issues in the palm oil industry and share best practices. SMARTSEED helps our suppliers to increase their general awareness about responsible practices in the industry, and network with other stakeholders.
  • 24-hour supplier support contact via email: suppliers can ask questions about or ask for support in implementing GAR’s sustainability policy through support@sinarmas-agri.com
  • GAR’s Transformation Toolkits: supplier self-assessments, templates, forms, references, videos, benchmarks, etc. are available here

Deep engagement

  • SMART STAR (Supplier Training for Action Request):
    SMART STAR is a private training provided based on a supplier’s request. It is a single-session training based on one focus area and can be carried out at our office or at the supplier’s preferred location.
  • SMART SPOT (Sustainable Palm Oil Training):
    SMART SPOT is a theme-based training initiated by us, involving several suppliers facing similar issues and/or are in the same region. It often also involves others stakeholders like government groups and non-governmental organisations (NGOs). SMART SPOT’s multi-party approach is helpful in coming up with joint solutions for issues through group discussions.
  • Collaboration for Transformation (CFT):
    CFT is an in-depth training programme based on priority issues from our internal assessment of a supplier. It involves multiple intensive workshops with one supplier on how to go about reshaping their practices to become more sustainable. CFT is carried out at the supplier’s location with several visits during the duration of the programme.

Grievance handling and support

We help our suppliers who are involved or have been named in a grievance by external stakeholders. Depending on the circumstances of the case, our assistance can range from spatial analyses, site visits and development of remedial action plans.