Procurement principles

Strategy

1. Establishment of a professional procurement organization for the Axpo Group

2. Transparency and controlling based on KPI`s

3. Pooling and supplier reduction

4. Product and Services standardization

5. Development of cost-efficient supplier markets

Procurement principles

Determinant guiding ideas

  • We make sure in the sense of Total Cost of Ownership (TCO, that the procurement costs are sustainable reduced and the needed products and services are procured in the right quality and on-time
  • Corporate group optimum come first - than business, division or location optimum
  • Our communication and interaction is based on an open mindset, pro-activity and trust. We say what we do and we do what we say.
  • We are strictly following the standard corporate procurement and ordering process. The categories are managed by category managers on group level. Our supplier panel aligned with the business needs.
  • All our stakeholders (partner, internal customers, purchaser) are fully aware about our goals and expectations.

Markets

  • We are interacting on national and international supply markets and support actively the competition. We are consequently sourcing new innovative either national or international suppliers.
  • We enter into a commitment based on economic standpoints and reasons. Beside the price and the commercial conditions economic includes also key factors, which are linked with the procurement process (“TCO”), like fulfilment of our quality requirements and reliability.
  • We are supporting a sustainable relationship with our selected suppliers, it means a long-term relationship and a trustful risk and gain alliance (win-win).
  • The Axpo Code of Conduct is agreed with our suppliers and strictly followed.