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Explaining the SAQ (Self-Assessment Questionnaire)! What kind of sustainable procurement will be required in the future?

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What is a SAQ? What is its purpose and role?

SAQ stands for Self-Assessment Questionnaire, and is a questionnaire used to self-assess the status of a company's sustainability and ESG (Environment, Social, Governance)-related initiatives.
The purpose of this initiative is for suppliers to assess their own ESG-related activity and report the results in order to fulfill their accountability to stakeholders and business partners. This self-assessment is used to Confirm activity such as consideration for the environment, respect for human rights, and improvement of working conditions, and serves as a guideline for companies to develop sustainable business.

The Importance of SAQ in Sustainable Procurement

Companies want sustainable supply chains

SAQ plays an important role in sustainable procurement. Sustainable procurement is an initiative whereby companies consider not only quality and price, but also environmental protection and social responsibility when procuring products and raw materials. In this process, SAQ serves as a means for suppliers to understand the level of their own ESG-related activity and share that information with their business partners. This allows buyers to evaluate their suppliers' efforts toward social responsibility and achieve more sustainable procurement. It is also used as a tool to share a common vision and aim for mutual growth through relationship building between companies and suppliers and understanding business risks based on the SAQ evaluation results.

For Procurement and ESG Departments
Dataseed SAQ
Supplier ESG evaluation digital transformation solution for building a sustainable supply chain
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SAQ Key Components and Evaluation Criteria

Main Questions

The SAQ includes assessment items such as:

Environment (CO2 emission reduction, waste management, Energy use)
Working environment (safety and health, working hours, fair wages)
Human rights (prohibition of forced labor and child labor, respect for diversity)

Specifically, the assessment will cover contributions to sustainable local communities, initiatives for responsible business activity, etc. Through these questions, companies will self-assess each element of CSR and confirm the extent to which they are fulfilling their responsibilities.

Evaluation methods and criteria

SAQs are assessed based on pre-defined criteria that are often based on industry-wide standards or guidelines. For example, a company may be assessed on how well it implements its corporate social responsibility initiatives based on the “ Guidelines for Responsible Business Conduct .” Each question may also be assigned a specific score, providing a numerical indication of how well the company meets the criteria.
Through this evaluation process, companies can objectively assess the status of their ESG-related initiatives and identify concrete directions for improvement.

Examples of sustainable procurement using SAQ

There are an increasing number of cases where companies are actually introducing SAQ and promoting sustainable procurement.
For example, a major Manufacturing company uses SAQ to evaluate the CSR efforts of its suppliers and supports improvement activity of the suppliers through regular audits. Some industry groups have also introduced a common SAQ, and by establishing standard questions and evaluation criteria, they are promoting awareness of social responsibility among a wide range of suppliers.
These efforts will ultimately lead to greater contributions to local communities, greater respect for human rights, and greater accountability to society.

[ Click here for a collection of corporate SAQ usage cases]

For Procurement and ESG Departments
Dataseed SAQ
Supplier ESG evaluation digital transformation solution for building a sustainable supply chain
View Details

SAQ Implementation Issue and Solutions

Themes

In general, companies that face the following Issue are likely to be able to utilize SAQs:

The administrative burden of requesting and answering questionnaires from a large number of supplier companies is heavy
I don't know how to properly evaluate supplier risks in my business
I don't understand the appropriateness of communicating with suppliers to eliminate risks based on their evaluation scores.

Solution

There are some practical solutions to ensure a smooth implementation of the SAQ.

Use a simple self-checklist
It is effective to use a "self-checklist" that summarizes the SAQ in a simple and realistic range. For example, common SAQs have been developed by several industry groups, and are provided in an easy-to-use format and used by many companies.
Close communication with suppliers
It is also important to strengthen communication with suppliers, who are important stakeholders in sustainable procurement, and ensure that they fully understand the purpose and significance of SAQ.
Introducing digital tools
Utilizing AI analysis and automation tools enables efficient data management.

Ensuring transparency of evaluation criteria and building trust with stakeholders through a shared sustainability vision will contribute to realizing sustainable procurement.

Looking forward: SAQ evolution and digitization

SAQ has been used by many companies as a means of self-assessment of ESG-related activity. SAQ is expected to further develop in the future as technology evolves and globalization progresses. In particular, automation using digital technology and analysis using AI will enable more efficient and accurate CSR evaluation. In addition, the components of SAQ will evolve while incorporating standards and criteria from various countries and industries, and will be required to meet the needs of a wider variety of stakeholders.

It is expected that this will further promote sustainable procurement and help companies fulfill their social responsibilities.

Zeroboard offers Dataseed SAQ, a cloud Service that streamlines the collection and management of SAQs (Self-Assessment Questionnaires) from buyers to suppliers.

Buyers can design questions and analyze results, while suppliers can Save past responses and check evaluation trends, improving Improved Work Efficiency at the same time. We can also support suppliers in taking action to improve their performance, helping to build sustainable business relationships.

For Procurement and ESG Departments
Dataseed SAQ
Supplier ESG evaluation digital transformation solution for building a sustainable supply chain
View Details