We work with suppliers who share our commitment to operating responsibly and adopt ethical work practices that positively impact the planet, our people and our communities. Empowered by our procurement platforms, our Procurement teams play a crucial role in performing due diligence checks on suppliers.
You can learn more about how we collaborate with our suppliers on pages 41-43 of the Responsible Business Report.
About our supply chain
Our corporate supply chains cover categories such as technology, office building and facilities management, and professional services, including marketing and communications, Human Resources and management consultancy.
Procurement of hotel goods and services required for building, opening, renovating and operating a hotel, such as energy, operating supplies and equipment, uniforms, food and beverage, furniture, fixtures and fittings and maintenance services, predominantly occurs at local hotel level and are purchased by our franchisees. In some key markets, the IHG Procurement team has created procurement programmes for certain key goods and services. Hotel owners and IHG-branded hotels can purchase from suppliers under centrally negotiated contracts in these markets, leveraging IHG’s system-wide scale.
Global supplier diversity
In 2022, we launched Engaging Partnerships through Inclusion and Collaboration (EPIC), our supplier diversity programme aimed at driving impact among under-represented supplier groups.
As a result of collective action in 2023, our total spend among diverse suppliers was $111 million, across North America, UK and Tier 2 reporting. Our aim is to improve the lives of 30 million people around the world and EPIC supports this goal by:
1) Positively impacting the economies of the communities around the world where we operate.
2) Identifying diverse organisations and creating equitable opportunities to grow their businesses.
3) Advocating for supplier diversity and removing barriers faced by small and diverse-owned businesses.
The role of responsible procurement
Our IHG Sustainable Supplier Questionnaire is mandatory for all new suppliers at the request for proposal (RFP) stage, helping us assess their environmental credentials. The questionnaire features sustainability-related questions regarding raw materials, manufacturing methods, transportation, and the product lifecycle, in addition to understanding practices surrounding carbon and energy, waste and water.
Procurement plays a key role in implementing key Journey to Tomorrow initiatives by working with internal stakeholders to identify the required supply chain solutions. For example, Procurement has provided critical support in selecting suppliers that can deliver energy conservation measures for existing and new build hotels.
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