The Supplier Code of Conduct was launched globally in Q2 2020 and is a key document to manage SHV Energy supplier relationships. It defines the behaviours expected from external third-party business suppliers, focusing on the SHV Energy core value areas of Safety, Integrity and Care for People and the Environment.
A Global Procurement strategy
One of the strategic pillars of Global Procurement is to promote Sustainable and Socially Responsible purchasing activities with all SHV Energy suppliers across the world.
For SHV Energy this means that choosing the best suited partner to work with shouldn’t only be based upon best price and quality but are also measured on the way they conduct business in an ethical, safe and sustainable way.
A collaborative approach from SHV Energy departments
Global Procurement partnered with Ethics & Compliance, Global Safety and Sustainability departments, to define the Supplier Code of Conduct. This included the expectation required from suppliers on what behaviour is acceptable and what constitutes non-acceptable behaviour. It also includes guidance on best-practice communication channels to assist the business relationship.
The document has been translated into all local languages and implemented by Procurement in the SHV Energy supplier registration process in Bravo/Jaggaer platform.
Since the launch of the Supplier Code of Conduct, all business units (BUs) have now taken steps to promote awareness of this document, engaging with the local suppliers to ensure the new Code is accepted.
SUPERGAS India supplier success
One of the BUs with successful engagement from suppliers is SUPERGAS India. Since the launch they have committed to ensure that all suppliers come on board, even though this involved reaching out to their vast supplier base. Some of these suppliers were new to this type of document and the pandemic situation added to the reach-out challenge.
Nevertheless, the project was successful and was supported by the new digital resources available. Tuhin Mitra, Head of Procurement of SUPERGAS India explained ‘We were able to the use of new digital technologies, like the SHVE Bravo Procurement platform, that allowed us implement the Supplier Code of Conduct online and allow continuous engagement with suppliers.’
With leadership support and sponsorship, they already have confirmation of acceptance from 200 suppliers, that represent almost 80% of the annual procurement placed, including the important strategic vendors.
During a recent meeting held with Bulk Transporters, Santanu Guha, SUPERGAS India CEO stressed the need for Ethics & Compliance, Safety and Sustainability and urged all transport representatives to visit the new Code of Conduct. The majority of the Bulk Transporters have accepted the Code online and will be reporting soon on the take-up from Cylinder Transporters. The team in India will continue to work towards the code of conduct acceptance and addressing the suppliers who fail to do so.
Global Procurement alignment towards a sustainable future
This was a very important step for SHV Energy Global Procurement, as the Code states how the global values should all be aligned and accepted by all BUs supplier partners. It will also act as a foundation to allow building other sustainable procurement practices, like supplier assessments, sustainable procurement KPIs and improvement programs.
The first of many steps, enable all BUs to with key partner suppliers to achieve SHV Energy sustainability goals!
“Since the launch of the Supplier Code of Conduct all business units have taken steps to promote its awareness across our supplier base”
Catarina Brito, Head of Procurement Excellence at SHV Energy, the Netherlands
“We feel deeply honoured in working with Supergas, who are equally ethical, purpose-driven and understand that suppliers are their partners.”
Satya Kela, Managing Director at M/S Satyasai Pressure Vessels Limited (LPG cylinder supplier to SUPERGAS)
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