Around 81 percent of our purchasing volume is produced in Europe.
This underlines our efforts to prioritise geographically close purchase sources, in order to keep transport distances low and gain flexibility.
This assessment is based on manufacturer statements for around 84 percent of our purchasing volume.
A survey of all individual items is currently not possible due to the large quantity of data and the high number of suppliers.
A monitoring system is currently being developed.
In order to avoid potential risks in the supply chain, and to guarantee our obligation to supply our customers, we have developed a framework for monitoring the supply chain in collaboration with the INPACS strategic purchasing.
During the reporting period and also in previous years, there has been no evidence of an infringement of the code of conduct in our delivery chain, although there is no full transparency.
The purpose of monitoring the supply chain is to check that our code of conduct is being observed.
It is not possible to eliminate all risks. Through the continuous monitoring of suppliers, we are however in a position to make precautionary arrangements at an early stage if necessary, or to initiate measures.
The process of monitoring the supply chain begins with a risk analysis, on the basis of which the suppliers which present a potential risk from our perspective are pre-selected.
The suppliers with the highest risk levels are first audited.
They fill out a pre-audit questionnaire in order to provide information on production sites, product ranges, sales activities, certifications and turnover, among other things.
An on-site audit is then conducted using a standardised audit form.
This is conducted by experienced INPACS and/or igefa staff, or by igefa members who are located near the production site.
In this way, not only are journeys saved, but the members are also involved in the process and made aware of the related topics.
In the production site audit, the production, quality assurance, local conditions on site and ethical standards are examined in particular.
This audit process has only recently been developed, and the budget required for the purpose was approved at the start of 2017.
This gives us clarity over the ethical and environmental conditions during production.
On the other hand, hidden error sources and cost drivers can be identified and removed.