Sustainable procurement
Code of Conduct for Suppliers
We have set ourselves strict ethical rules that guide us in all our business activities. We expect our product and service suppliers ‒ who are recruited locally for preference ‒ to abide by the same standards as we do. When selecting suppliers, we assess not only their economic performance but also their ecological, social and ethical sustainability.
Our Code of Conduct sets the standards for taking responsibility for people and the environment that govern these business relationships. It is based on the principles set out in the UN Global Compact and by the International Labour Organisation (ILO).
Procedural guideline on supplier management
The procedural guideline on supplier management govern the standards, criteria and assessment parameters used in Aareal Bank supplier management activities. We deliberately impose high quality requirements on our authorised suppliers. Besides complying with all the necessary environmental requirements, the guidelines also consider other key points such as the supplier’s market position, the quality of the goods and services, price and delivery performance, the quality of commercial procedures, and adherence to deadlines and volume targets. The individual aspects are assessed on a regular basis by the responsible units concerned (e.g. the purchasing and the divisions).
Regular supplier assessments
We conduct in-house evaluations to determine whether suppliers comply with these requirements. Since 2013, our supplier valuation scheme has also focused to a greater extent on social standards, including health and safety at work, in addition to environmental issues. It is used for new suppliers and for our annual reviews of current key suppliers.
Human Rights and Environmental Policy Statement
Aareal Bank is aware of its responsibilities under the Supply Chain Due Diligence Act (LkSG). The Human Rights and Environmental Policy statement is the overarching document for Aareal Bank's human rights strategy and sets out how Aareal Bank, as a globally active company, fulfills its responsibility to protect human and environmental rights within its sphere of influence.
Back in 2012, Aareal Bank's Management Board publicly committed itself to respecting and upholding human rights by signing the United Nations' “UN Global Compact.” The UN Global Compact is regarded worldwide as the largest and most important initiative for ensuring responsible corporate governance. The ten principles listed therein, covering the areas of human rights, labor standards, environmental protection, and anti-corruption, have been promoted in our business processes for many years. We also adhere to fundamental charters and initiatives such as the Universal Declaration of Human Rights, the conventions of the International Labor Organization (ILO), and the OECD Guidelines for Multinational Enterprises. With regard to the ten principles of the UN Global Compact, Aareal Bank focuses on the first six principles listed therein. These explicitly require companies to fulfill their responsibility to protect human rights and to take measures to prevent human rights violations, both direct and indirect. They also address some of the internationally recognized human rights, such as freedom of association, the prohibition of forced and child labor, and the prohibition of discrimination. Since 2024, we have been taking various measures to implement human rights and environmental due diligence obligations under the LkSG in our own business area and in our supply chain. The Management Board of Aareal Bank has also appointed a Human Rights Officer to monitor due diligence obligations under the LkSG. The Human Rights Officer is supported in his work by the Compliance Organization.
Human rights and environmental protection in our supply chain
Aareal Bank assumes its responsibility according to the German Act on Corporate Due Diligence Obligations in Supply Chains (LkSG). If you have specific evidence of human rights or environmental risks at Aareal Bank or at one of our suppliers, please report them.
You will find detailed information in the instruction below:
