In our sourcing operations we embrace the Group’s vision and mission and its Code of Ethics’ rules
, and follow a set of Group-wide principles to select goods and services that serve as guidelines in our daily activities as we interact with external Suppliers.
In addition to the commitment to conduct business with integrity, openness, and respect for universal human rights and core labour principles throughout our operations, our purchasing staff are guided by four main global principles for strategic sourcing:
More Total Value
The decision to introduce a new Supplier in our Vendor List and/or to award a contract is made on the basis of best total value offered to supply the requested goods or services.
Cost leadership can only be achieved through careful attention to several important key factors such as total cost of ownership, quality of supplied goods or performed services, Supplier responsiveness and account service, flexibility, speed of time-to-market, localized supply, Supplier willingness to share information and know-how as well as risk, and to provide resources.
More Competition and Collaboration
A proper blend of competition and collaboration is our approach towards managing our Supplier relationships. We do believe that a win-win business relationship is not a purely theoretical situation and can be achieved even through healthy competition which encourages innovation and efficiency from our supply base.
Balance between competition and collaboration is driven by different factors: for example, business circumstances, supply market dynamics, Supplier capability and compatibility with WAMGROUP.
More Long-term and New Suppliers
We highly value long-term relationships with our Suppliers. In order to succeed in today’s highly competitive market, we constantly look for new suppliers who are able to offer superior value. If new Suppliers prove themselves able to provide higher total value than the current ones, they will get a chance to work with our Group following a qualification process.
More Continuous improvement
Continuous improvement is a key aspect for our Group which involves our Supply Chain too. Our Suppliers have to continuously establish efficiency improvement practices to identify and implement initiatives in order to increase the total value of their supply.