4.3 Looking forward
The 2024 reporting cycle marks a key step in KGON’s continued implementation of its obligations under §4 of the Norwegian Transparency Act. With the introduction of the digital monitoring tool Prewave, we have begun operationalising a more structured and proactive approach to supply chain due diligence. Although this was the first year, by implementing a digital monitoring tool, we now have a stronger foundation to build on. In 2025, our priority will be to expand the scope and effectiveness of our due diligence activities, as required by the Transparency Act. This includes extending Prewave coverage to additional suppliers, particularly those with indirect exposure to raw materials, or those operating in regions with known human rights risks. Our initial focus was on 65 key suppliers, but we intend to gradually scale this coverage to better reflect the breadth of our supplier base. We will also work closely with the procurement team to embed ESG risk awareness into daily procurement workflows. This includes integrating Prewave alerts and risk indicators into supplier review processes, equipping buyers with training on how to interpret ESG risk data, and using it to support procurement decisions. The goal is to move from a reactive model of compliance toward a more proactive approach, where transparency and risk awareness become part of how we manage all supplier relationships. A second focus area is improving supplier engagement and response rates. In 2024, 50% of surveyed suppliers completed our questionnaire. To improve this, we will start engaging suppliers earlier in the procurement process and provide clearer expectations about what information will be required as part of onboarding. Internally, we will formalise escalation protocols for suppliers who either fail to respond or are flagged by Prewave for potential concerns. These protocols will include how and when to reach out, criteria for escalation to management, and guidance for tracking resolution over time. Lastly, we will begin benchmarking year-on-year performance, now that we have an initial dataset. This will allow us to monitor progress over time, identify patterns, and prioritise improvements and efforts where needed. We also intend to share relevant insights across the wid - er Kubota Group to contribute to group-level learning and improvement in ESG practices. Over time, our aim is for responsible sourcing to become a consistent and measurable part of our supplier management approach, not only to meet legal requirements, but to ensure that the products and services we rely on are sourced in a way that respects the safety and rights of all workers in our supply chain.
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Kverneland AS Contact information: Website: https://ien.kvernelandgroup.com/ Mail and inquiries: esg.transparency@kvernelandgroup.com Address: Plogfabrikkvegen 1, Klepp Stasjon, Norway
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