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Sustainable supply chain

Sustainable supply chain - Company

The Leonardo supply chain comprises over 11,000 companies worldwide that provide goods and services to all Group companies and contribute daily to the business’s competitiveness. This includes the major international players in Aerospace, Defence and Security (AD&S), which supply highly complex systems and subsystems, as well as many small and medium-sized enterprises (SMEs), which, through their technological specialisation, contribute to the development and success of the products.

In line with the Group's objectives and its Sustainability Plan, Leonardo is committed to building a robust, reliable supply chain within an innovative, integrated ecosystem that supports the social and economic development of the areas where the company operates.

Promoting supply chain sustainability and enhancing its competitiveness, while reducing ESG (Environmental, Social and Governance) risks, is a key objective embedded in every stage of collaboration with suppliers. Leonardo pursues this goal through a management model designed to build medium- to long-term partnerships with the most outstanding players in the supply chain.

12,5 BN

12,5 BN

the value of purchases of goods and services

64%

64%

value of purchases to revenues

81%

81%

of purchases related to domestic markets, with a supply chain of around 7,000 SMEs

100%

100%

suppliers that have accepted the Supplier Code of Conduct

Leonardo’s procurement of goods and services is concentrated in Italy, the United Kingdom, the United States and Poland – four domestic markets where Leonardo has fostered the development of entire industrial districts, supporting the social and economic growth of local areas and consistently engaging local suppliers, most of which are small and medium-sized enterprises (SMEs).

Proportion of domestic SMEs among all suppliers in the home country

 

 

 

2024 figures

 

To drive concrete improvements to the sustainability of the supply chain, Leonardo has defined a strategy based on the following pillars:

MEASURING

MEASURING

Understand the risks, impacts and ESG maturity level of suppliers in order to define targeted improvement initiatives, through dedicated assessments and by promoting the adoption of industry initiatives for the AD & S supply chain (IAEG-EcoVadis, JOSCAR).

ENGAGING

ENGAGING

Identify and engage relevant suppliers to share Leonardo's sustainability requirements and decarbonisation ambitions, analysing supply chain impacts and establishing a shared roadmap towards achieving the objectives.

SUPPORTING

SUPPORTING

Accelerate supplier skills development through training programmes, workshops and coaching activities, particularly in support of SMEs, with a focus on ESG risk management, operational efficiency and decarbonisation.

INCENTIVISING

INCENTIVISING

Implement an incentive system aimed at rewarding and stimulating the improvement of suppliers' sustainability performance and their contribution to achieving Leonardo's objectives.

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