Supplier Sustainability

To Arconic Suppliers:

Sustainability within our procurement function means selecting materials and services that consider the environmental, social, and economic impact in evaluating total cost. It is building relationships with suppliers who behave in a responsible and sustainable manner.

As a part of Arconic’s continuing commitment to sustainable business practices, we expect our suppliers, contractors and others with whom we conduct business to comply with our Supplier Standards.

As an important business partner, you play an integral role in helping us achieve our business conduct and sustainability goals. Your adherence to these standards is fundamental to our success.

The following describes the 4 pillars of Arconic’s Supplier Sustainability Program:

1. Communicate Expectations

Our Supplier Standards, as communicated on purchase orders and in our contract terms and conditions, outline the key values which we expect suppliers to uphold and share with others in their supply chain:

Conduct business with ethics and integrity
Operate in an environmentally responsible and efficient manner
Partner to increase efficiencies in processes, technologies, ideas and products
Uphold the human rights of all individuals
Commit to continual improvement and excellence

2. Assess Supplier

Annually, we assess the maturity level of our suppliers as Leading, Active, Lagging, or Emerging through a Supplier Sustainability Questionnaire that focuses on these areas:

Labor, community and business practices
Sustainability
EHS Management Systems
Environment
Health and Safety

Suppliers are chosen to participate based on factors that includes annual spend threshold, sustainability risk criteria, and their prior maturity level rating.

3. Develop and Educate Supplier

Based on the maturity level rating assessed by the Supplier Sustainability Questionnaire, we share results and discuss opportunities for improvement.

4. Monitor Progress

It is our expectation that a supplier’s maturity level should improve over time. Suppliers that do not improve could risk losing Arconic business in the future.

Additional information regarding Arconic’s Sustainability Program can be found in the Sustainability Report.