Procurement and value chain
Supplier management
- Our regularly procured production material is divided into approx 40 different product groups.
- Our supplier relationships are established for the long term, with an average of 18.5 years.
- Each year, we record the total greenhouse gas emissions of our purchased parts and try to positively influence this.
Supplier evaluation
- We use a sustainability criteria to evaluate suppliers. No new orders will be awarded to suppliers who do not meet the minimum score for sustainability.
- SME friendly: in addition to certificates, we also honour uncertified, individual sustainability measures.
Our stated goals are long-term partnerships with preferred suppliers who want to work with us in the long run.
Dual risk approach
- With more than 1,400 suppliers and over 9,000 items, there is a high level of complexity.
- Geographical risk avoidance approach:
We source approximately 54.93% of our purchased parts from within Germany, and another 20,63% originate within the EU. More than 75% of our purchased parts are manufactured in the EU (as of July 2020) – we consider non-European products to have a higher risk probability. - Certificate-based risk avoidance approach:
Among the things we take into consideration when selecting suppliers are: Ethical standards as well as environmental and energy certificates.
Preferred supplier
- Important strategic suppliers
- Long-term partnership
- Audits
- Joint further development of the value chain
- The expansion of our preferred suppliers is among the most important goals in supplier management.