Embedding ESG Criteria into Supplier Selection and Evaluation Systems

Author : Yuliia Zorina

Abstract :In the context of the transformation of the global economic paradigm and the growing demands for transparency in corporate behavior, the integration of non-financial criteria-particularly Environmental, Social, and Governance (ESG) factors-into the strategic procurement planning process has become not only a marker of an enterprise’s ethical maturity but also a determinant of its long-term competitiveness. The article substantiates a methodological approach to integrating ESG criteria into supplier selection and evaluation processes for both corporate and public supply chains. It underscores the increasing importance of non-financial indicators for business resilience and compliance with evolving regulatory demands. Crucially, the study emphasizes leveraging advanced digital technologies, including artificial intelligence, machine learning algorithms, and natural language processing (NLP). These tools are vital for automating the assessment of supplier ESG profiles, thereby enhancing objectivity and reducing human error. The article outlines a comprehensive, multi-level ESG integration architecture, detailing its application across tender documentation, contracts, and dynamic supplier rating systems. This approach transforms traditional procurement into a strategically sustainable process, enabling proactive risk management and fostering greater transparency throughout the supply chain

Keywords :Integrating ESG Criteria into Strategic Supplier Selection and Evaluation

Conference Name :World Conference on Supply Chain Management and Business (WCSCMB-25)

Conference Place Kranj, Slovenia

Conference Date 4th Sep 2025