Knif Innkjøp Policy for sustainable Business Practices2024

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Policy for sustainable Business Practices Knif Innkjøp

Board resolution March 12th. 2024

Introduction

The customers and the owners of Knif are non-profit organisations founded on idealism. Therefore, it is especially important that Knif Innkjøp work according to sustainable business practices that respect people, social conditions, and the environment.

Sustainable business practices are a prerequisite for sustainable development and lie at the balance point between people, the environment, and the economy1 . Sustainable development satisfies the needs of the present without compromising the ability of future generations to meet their own needs2 .

Requirements for Our Own Busniess

Knif Innkjøp offers procurement agreements for goods and services which our members purchase directly from our partners. Knif Innkjøp acknowledges that our business practices can have a potential negative impact on people, social conditions, biodiversity and the environment. At the same time, we see our potential to contribute to positive development in these supply chains. Based on this, we have developed the following principles and requirements for our own business:

• Conducting due diligence

As a member of Ethical Trade Norway, we commit to actively working with due diligence for sustainable business practices3. This means: conducting our own risk assessments of negative impact on people, social conditions, the environment and biodiversity, and stopping, preventing, and mitigating such impact. Where the supplier is responsible for the negative impact/damage, the supplier is also responsible for recovery. The measures are monitored and assessed for their impact and communicated to those affected. We expect our suppliers and partners to follow the same approach.

The minimum standard we are obliged to follow ourselves, and is set as a minimum requirement for suppliers and partners, is detailed in "Guidelines for Partners and Suppliers to Knif Purchasing" and "Principles for Sustainable Business Practices (Code of Conduct)". This covers forced labor/slavery, unionization and collective bargaining, child labor, discrimination, harsh treatment, HSE, wages, working hours, regular employment, marginalized populations, environment, corruption, animal welfare, and governance-systems for follow-up.

1 «Triple bottom line», John Elkington 1994

2 «Our common future», World Commission on Environment and Development (Brundtlandkommisjonen) 1987

3 UN OHCHR, Guiding Principles on Business and Human Rights (UNGP)”, 2011; OECD, «Due Diligence Guidance for Responsible Business Conduct», 2018

Knif Innkjøp AS, Storgata 33A, 0184 Oslo

• Responsible procurement practices

Knif Innkjøp considers responsible procurement practices as one of our most important tools to promote sustainable business practices. We adapt our own procurement practices and advise members who use our procurement agreements, to promote strengthening, not undermining, suppliers' ability to meet the requirements to ensure good conditions for people, social conditions, and the environment.

• Supplier development and partnership

Knif Innkjøp prioritize suppliers that demonstrate a particular willingness and ability to facilitate positive development for people, social conditions, and the environment in the supply chain. In Knif, we set a number of minimum requirements for our suppliers and partners that are formulated in a separate Code of Conduct. This forms the basis for our dialogue with suppliers and partners about conditions in the supply chains.

• Ownership Companies where Knif Innkjøp are majority shareholders shall have their own sustainabilitiy strategies and action plans. In companies where we are minority shareholders, we will use our voice and voting rights to promote strategies and action plans.

• Anti-corruption

Knif Innkjøp, including all employees, shall never offer or receive illegal or undue monetary gifts or other compensations to achieve business or private advantages for ourselves or benefits for customers, agents, or suppliers. Anti-corruption in the supply chains is part of our Code of Conduct and is followed up in our work with due diligence, risk assessment of, and dialogue with suppliers and partners.

• Free unionization and worker representation

Knif Innkjøp supports the right to free unionization and other forms of democratically elected worker representation. We shall influence our partners to involve worker representatives and other relevant stakeholders in the work with sustainable business practices.

• Countries under trade boycott

Knif Innkjøp, including our suppliers and partners, shall avoid trade partners that have activities in countries subjected to trade boycotts by the UN and/or Norwegian authorities.

Anchoring

This policy document has been approved by the board of Knif Innkjøp AS, and forms the basis for our sustainability work. Further, this is operationalized through our strategic plan and action plans. The sustainability work is reported to the board, the general assembly, and in the annual report to Ethical Trade Norway as part of our membership.

Knif Innkjøp AS, Storgata 33A, 0184 Oslo

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