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  • 2017 Corporate Responsibility Report

Supplier relationships

The percentage of audited procurement volume decreased slightly from 36% in the previous year to 33% in 2017. At the same time, the percentage of procurement volume covered by E-TASC img stabilized at 43 percent. A supplier prequalification process via the Supplier Management Portal (SMP) took place for 64% of the procurement volume in 2017, compared with 63% in the previous year. Prequalification is mandatory for all suppliers for which we anticipate an order volume of more than 100,000 euros. In 2017, all suppliers whose qualifications had expired or were still pending or not yet completed were asked to complete the qualification once again. This allowed us to increase the number of qualified suppliers. The share of procurement volume obtained from developing and emerging markets remains steady at 1.0%. 

Reporting against standards

The Sustainable Procurement ESG img  KPI img  together with information about our strategic approach fully covers the GRI 414-1 (Supplier Social Assessment) GRI indicators. We also comply with criterion 17 (Human Rights) of the German Sustainability Code. The KPI  is also relevant for the EFFAS indicator (V28-04) and for criteria 1 (Opportunities and Risks), 3 (Sustainability Goals), 4 (Value Added Chain) and 6 (Rules and Processes) of the German Sustainability Code. It is also used for reporting in accordance with the Global Compact  Principles 1 (Supporting and respecting human rights), 2 (No complicity in human rights abuses) and 5 (Effective Abolition of Child Labor).