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Pirelli Suppliers Handbook

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Pirelli Suppliers Handbook 1 1 PREFACE ......................................................................................................................................................... 4 2 HOW TO USE THIS HANDBOOK ...................................................................................................................... 5 3 PIRELLI AT A GLANCE ..................................................................................................................................... 6 3.1 COMPANY PROFILE ............................................................................................................................................ 6 4 PIRELLI PROCUREMENT .................................................................................................................................. 8 4.1 MISSION .......................................................................................................................................................... 8 4.2 PURCHASING CATEGORIES ................................................................................................................................... 8 4.3 GENERAL TERMS & CONDITIONS .......................................................................................................................... 9 4.4 INTELLECTUAL PROPERTY ..................................................................................................................................... 9 5 PIRELLI SUATAINABILITY MODEL AND POLICIES ............................................................................................. 9 6 PIRELLI ENTERPRISE RISK MANAGEMENT .................................................................................................... 10 7 PIRELLI REQUIREMENTS TO SUPPLIERS ........................................................................................................ 11 7.1 QUALITY ........................................................................................................................................................ 12 7.2 HEALTH, SAFETY AND ENVIRONMENT .................................................................................................................. 12 7.2.1 Health, Safety and Environment Requirements (EHSERs) ................................................................... 13 7.2.1.1 Law compliance & Subcontractors................................................................................................................... 13 7.2.1.2 HSE Management Systems & Environmental data .......................................................................................... 13 7.2.1.3 Prohibited Materials, MSDS, Packaging & Labelling ........................................................................................ 14 7.2.1.4 Equipment Supply ............................................................................................................................................ 15 7.2.2 Green Purchasing guidelines ............................................................................................................... 15 7.3 LABOUR AND HUMAN RIGHTS ............................................................................................................................ 15 7.4 CONFLICT MINERALS ........................................................................................................................................ 16 7.5 BUSINESS INTEGRITY ........................................................................................................................................ 17 7.6 BUSINESS CONTINUITY MANAGEMENT : RISK PREVENTION ...................................................................................... 18 7.7 SUMMARY TABLE BY PURCHASING CATEGORY ....................................................................................................... 18 8 PIRELLI SUPPLIER RELATIONSHIP MANAGEMENT ......................................................................................... 20 8.1 PARTNERSHIP APPROACH .................................................................................................................................. 21 8.1.1 Continuous Improvement .................................................................................................................... 21 8.1.2 Innovation ........................................................................................................................................... 21 8.2 SOURCING PROCESS ......................................................................................................................................... 22 8.2.1 STEP 1: Sourcing .................................................................................................................................. 23 8.2.2 STEP 2: Tender .................................................................................................................................... 24 8.2.3 STEP 3: Qualification ........................................................................................................................... 24 8.2.4 STEP 3: Product Homologation ........................................................................................................... 25 8.2.5 STEP 4: Contracting ............................................................................................................................. 26 8.2.6 STEP 5: Order Management ................................................................................................................ 26 8.2.7 STEP 6: Invoicing ................................................................................................................................ 27 8.3 RELATIONSHIP ENABLERS ................................................................................................................................... 27 8.3.1 Pirelli Supplier Portal ........................................................................................................................... 27 8.3.2 Audit .................................................................................................................................................... 28 8.3.3 Vendor Rating ..................................................................................................................................... 29 8.3.3.1 Score Card ........................................................................................................................................................ 29 8.3.4 Award ............................................................................................................................................ 30 2 9 APPENDIX .................................................................................................................................................... 32 9.1 PIRELLI DETAILED PROCESS FOR SUPPLIER /FACTORY SOURCING RAW MATERIALS ........................................................ 32 9.2 PIRELLI DETAILED PROCESS FOR SUPPLIER SOURCING EQUIPMENT ............................................................................. 33 9.3 GLOSSARY ....................................................................................................................................................... 34 Revision History Issue 1.0 – September 2014: First emission of Supplier Handbook Issue 2.0 –May 2017: updated §8.2.4 Product Homologation, §8.3.2 Audit and §9.3 Glossary with regards to the transition from ISO/TS 16949 to IATF 16949 foreseen by 1st October 2018. 3 1 PREFACE Pirelli’s vision is expressed by the will to change the driving experience by constantly challenging the boundaries of tyre technology, style and sustainability, pioneering technologies and setting trends in communities across the world. Pirelli is synonymous with quality, reliability, strong emotions and the ultimate in performance. It is in the high tech and superior performance segment of the high-end market where Pirelli has, over the years, built its leadership. To reach a sustainable long-term value, we want to establish and develop close and long-term relationships with our suppliers, who have to share the same aspirations for innovation, high quality, sustainable products and processes. We want to be recognized as an enterprise that inspires trust and respect and that creates value both for our partners and for ourselves, taking fully into account the importance of fulfilling our strict environmental, social and economic requirements to achieve a strong and long lasting competitive edge. This Supplier Handbook has been designed to provide our suppliers with a clear statement of our Principles and Values, Managerial Approach, Requirements and Conduct to be consulted and complied with. The content of the Supplier Handbook must be held as the guidelines for every business relationship with the Pirelli Group, becoming an integral part of each purchasing agreement concerning goods and/or services. By promoting a deep orientation towards first-class quality levels and complying with high ethical and environmental standards, our Purchasing Department provides a useful interface for our suppliers, who we consider essential enablers of continuous improvement, progress and with whom we want to share excellent performance. We master the challenge to deliver performance. Milan, May 2017 Pierluigi de Cancellis Vice President Purchasing 4 2 HOW TO USE THIS HANDBOOK The Supplier Handbook represents the official requirements manual released by the Pirelli Group : http://www.pirelli.com/asset/index.php?idelement=94005 The
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