KAEFER
Harmonizes Global Due Diligence Framework

With IntegrityNext, the company implements a digital and scalable supply chain risk management process that can be applied locally across the group's subsidiaries.

 

Download summary

Industry Technical industrial services

Core business areas Insulation, access solutions, surface protection, passive fire protection, interior outfitting, electrical and mechanical services

Annual revenue €2.4 billion (2024)

Employees 33,000 (2024)

Headquarters Bremen, Germany

Supplier network >20,000 tier 1 suppliers

Annual procurement spend Approx. €1 billion (2024)

93%

response rate for supplier self-assessments

50%

of procurement spend assessed for risk - interim goal achieved well ahead of schedule

IntegrityNext has helped us implement a digital due diligence solution that can be managed globally and implemented locally – without placing extra strain on our on-site teams. It offers an efficient, intuitive process built on automation, standardization, and ease of use.

Erhard Dubs
Head of Corporate Strategy & ESG, KAEFER SE & Co. KG

How KAEFER Uses Our Platform

  • Main applications Supply chain due diligence to ensure compliance with legal requirements and meet customer expectations
  • Suppliers screened Approximately 1,000
  • Suppliers subject to self-assessments Approximately 900
  • Self-assessment response rate 93%

KAEFER Goals We Support

Due Diligence for Decentralized Use

Establish an efficient, global risk management process that can be seamlessly implemented across subsidiaries and business units.

Regulatory and Customer Requirements

Meet legal requirements – such as the German Supply Chain Act, the CSRD and CSDDD – while addressing increasing customer expectations around sustainable sourcing practices.

Supply Chain Transparency

Ensure comprehensive insights into the sustainability performance of critical suppliers through in-depth risk analysis.

Sustainable Supplier Management

Integrate sustainability criteria into core processes, including risk analysis, supplier selection, and onboarding.

Corporate Context

KAEFER, headquartered in Bremen, Germany, is a global provider of industrial services with core competencies in insulation, access solutions, surface protection, fire protection, interior outfitting, as well as electrical and mechanical services. The company serves a wide range of sectors including energy, oil and gas, shipbuilding, construction, chemicals, and pharmaceuticals.

 
Operating as a holding company with subsidiaries in over 30 countries, KAEFER balances centralized governance with local autonomy. While the holding company sets the strategic direction and defines overarching policies, the subsidiaries retain a substantial degree of independence in day-to-day operations.
 
KAEFER's international, diversified supplier network includes approximately 20,000 business partners – many of them small, specialized enterprises. Procurement is decentralized and conducted locally on a project-by-project basis. Key sourcing regions include Central and Western Europe, the Middle East, Southeast Asia, Australia, Brazil, and South Africa.
 
Amid growing regulatory requirements and increasing customer expectations around sustainability, this decentralized structure presented significant challenges. It became clear that a standardized, group-wide approach to risk management was needed – one that could be governed from the company’s headquarters in Bremen while remaining practical and applicable at the local level.
 
The following criteria were essential in selecting a suitable solution:  
 
  • Fully digital and highly automated process
  • Continuous development aligned with evolving legal frameworks and standards
  • Easy usability for both local teams and suppliers
  • Low entry barriers for suppliers, including free platform use, profile sharing with multiple customers, and standardized assessments
  • Pragmatic risk analysis that covers a broad range of topics while accounting for suppliers’ limited resources and expertise
Following a thorough evaluation, KAEFER chose the IntegrityNext platform. It met all relevant requirements while providing a future-proof, scalable solution for fulfilling key regulatory obligations across the group.
 

With IntegrityNext, we’ve gained clear sustainability insights across a significant share of our procurement spend – faster than planned and with high data quality. This not only ensures legal compliance but also strengthens our strategic position and enables us to proactively address risks.

Project Description

Key Stakeholders

The Corporate Strategy & ESG department at KAEFER’s headquarters oversees group-wide supply chain sustainability management, including a comprehensive risk management strategy. In this capacity, it works closely with global teams such as Human Resources (e.g. on human rights), Health, Safety & Environment (HSE), and Compliance.

The department also coordinates group-wide adherence to supply chain due diligence obligations, in collaboration with local procurement teams. This involves conducting risk assessments and defining adequate preventive measures, for example KAEFER’s global Supplier Code of Conduct.

Operational implementation is decentralized and carried out by KAEFER’s subsidiaries. Local Supply Chain Sustainability Officers send out questionnaires to suppliers, track responses, and maintain close contact with business partners.

Currently, 25 employees regularly use the IntegrityNext platform, including ESG experts at the company’s headquarters, local procurement professionals, and sustainability officers.

Roll-Out

KAEFER initially performed an internal, category-based risk analysis, targeting critical subcontractors and selected key material suppliers. The analysis focused on topics such as occupational health and safety, fair wages, and forced labor.

The most relevant suppliers are uploaded to the IntegrityNext platform, where they undergo an automated country and industry risk screening. They must also complete five standardized questionnaires required by the German Supply Chain Act, covering human and labor rights, occupational health and safety, environmental protection, anti-corruption, and supply chain responsibility.

Implementation followed a step-by-step pilot approach: In each country, a small group of suppliers was at first assessed via the platform to build operational experience. The number of suppliers under scrutiny was then gradually expanded.

KAEFER also uses the IntegrityNext Action Tool to initiate targeted corrective measures when supplier information or performance is insufficient. In addition, the tool supports structured documentation and follow-up processes, such as compliance reporting.

Key Outcomes

Global Due Diligence Process – Local Application

With the help of IntegrityNext, KAEFER implemented a global due diligence process that is executed locally by its largely independent subsidiaries. Centralized governance and oversight ensure group-wide consistency while supporting close collaboration with local teams.

Targeted Analysis of Strategic Suppliers

As part of the risk assessment, the majority of strategically relevant suppliers were systematically evaluated. The interim goal of analyzing at least 50% of the annual procurement spend was achieved significantly ahead of schedule. Supplier coverage will continue to be increased over time.

Efficiency Gains and High Data Quality

By deploying the IntegrityNext platform, KAEFER established an efficient, digital process for assessing hundreds of suppliers. Implementation was largely automated and standardized, ensuring high data quality and contributing to an outstanding 93% response rate for self-assessments.

Synergies Through Centralized Governance

The implementation of a global, harmonized risk management framework delivered measurable efficiency gains and cost savings. It allowed KAEFER to streamline tasks and eliminate redundant efforts – especially in the area of risk analysis. In parallel, subject matter expertise was centralized, creating a group-wide hub for operational support, knowledge sharing, and the transfer of best practices.

The IntegrityNext platform has enabled us to unlock synergies between headquarters and subsidiaries that had previously gone untapped. By centralizing information, processes, and actions, we’ve increased scalability, enhanced efficiency, and reduced the duplication of tasks.

Future Outlook

KAEFER plans to further strengthen and expand its sustainable supply chain management efforts in the coming years:

Reinforcing Supplier Engagement

Collaboration with high-priority suppliers will be intensified to gain a better understanding of risks, implement targeted improvements, and provide tailored support.

Improving Supply Chain Transparency

As the number of assessed suppliers continues to grow, greater emphasis will be placed on tier 2 suppliers, ensuring optimal preparation for the upcoming Corporate Sustainability Due Diligence Directive (CSDDD) and other regulatory regimes.

Tracking Scope 3 Emissions

Collecting emissions data from suppliers is expected to become a key area of focus, laying the foundation for more comprehensive climate data management.

Embedding Sustainability into Supplier Management

Environmental and social criteria will be integrated more systematically into supplier selection, onboarding, and performance evaluation processes.

Free Demo

Feeling Inspired by KAEFER's Success Story?

Speak with our team and find out how IntegrityNext can take your sustainable procurement efforts to the next level.

✔ Streamline and scale your due diligence process with digital tools

✔ Ensure compliance with regulatory requirements

✔ Enhance data quality and unlock synergies across your organization