Responsible procurement policy
Implement the supplier approach
This action plan helps structure supplier management effectively, ensuring that supplier relationships contribute positively to the organization's overall objectives.
1. Needs and Objectives Analysis:
- Procurement Needs Assessment: Identify specific needs in terms of raw materials, products or services required by the organization.
- Supplier Approach Objective Definition: Establish clear objectives for supplier management (cost reduction, quality improvement, delivery times, etc.).
2. Supplier Management Criteria Selection:
- Selection Criteria Development: Define criteria for evaluating and choosing suppliers, such as quality, costs, reliability, ethical practices, and sustainability.
- Procurement Policy Development: Write a policy that guides the selection, evaluation and management of suppliers in line with the organization's objectives.
3. Supplier Identification and Evaluation:
- Search for potential suppliers: Identify potential suppliers based on established criteria.
- Evaluation and selection: Evaluate suppliers based on defined criteria, by conducting audits, visits, or performance evaluations.
4. Establishment of supplier relationship management:
- Contract negotiation: Negotiate contracts with suppliers by specifying conditions, payment terms, and performance requirements.
- Establishment of partnerships: Develop partnership relationships with suppliers to improve collaboration and communication.
5. Supplier performance management:
- Definition of performance indicators: Establish KPIs to measure supplier performance, such as quality, delivery times, and compliance.
- Regular monitoring and evaluation: Establish a system to monitor and evaluate supplier performance on an ongoing basis.
6. Supplier Risk Management:
- Risk Identification: Identify potential supplier risks, such as supply chain disruptions or compliance issues.
- Risk Management Plan: Develop contingency plans to minimize the impacts of identified risks.
7. Procurement Process Optimization:
- Automation and Digitalization: Implement digital tools to automate and optimize procurement processes, such as purchasing and supplier management systems.
- Continuous Improvement: Regularly review and improve procurement processes to increase efficiency and reduce costs.
8. Staff Training and Awareness:
- Team Training: Train internal teams on supplier management practices, tools used, and procurement policies.
- Awareness of Best Practices: Raise awareness among staff on best practices in supplier relationship management.
9. Communication and collaboration:
- Establishment of communication channels: Ensure open and effective communication channels between the organization and its suppliers.
- Regular meetings: Organize regular meetings with suppliers to discuss performance, opportunities for improvement, and potential problems.
10. Evaluation and adjustment of the supplier approach:
- Periodic review: Conduct periodic reviews of the supplier approach to ensure that it meets the organization's objectives.
- Adjustment of strategies: Adapt supplier management strategies based on the results of the evaluation and market developments.