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EcoVadis: 80% of Tier 1 Suppliers Have No Process for Managing Sustainability Risks in Their Own Supply Chains

Companies in tier 1 supply chains are making progress on climate goals and human rights inside their own operations. Move one tier deeper into the supply chain and that progress stalls. 

Four out of five (80%) companies rated by EcoVadis have no documented process for identifying or managing sustainability risks within their own supply chains. Seventy-three percent have no Scope 3 upstream emissions reporting and 77% have no downstream tracking. Only 2% have an external grievance mechanism that workers deeper in the supply chain can actually use to flag human rights violations. There is also a transparency bottleneck, with fewer than 1% reporting granular, decision-grade sustainability data to buyer organizations.

These figures come from the 10th edition of the EcoVadis Sustainability Ratings Index, drawn from nearly 200,000 scorecards of the more than 100,000 companies rated globally between 2021 and 2025.

EcoVadis: 80% of Tier 1 Suppliers Have No Process for Managing Sustainability Risks in Their Own Sup

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