Renewable Supply Chain Energy Systems
Supply Chain in focus Actively present and producing in 18 countries worldwide, SBM Offshore also works with suppliers from 37 countries. The Company’s principal suppliers are mainly located in Europe, the United States, Singapore and Brazil; 26% of the Company’s volume of business in procured deliverables or services in 2010 has been achieved with developing countries.
Vendor Relationship Management Suppliers are selected upon compliance with the industry standards and market conditions. The Company’s VRM portal is publicly listing the documents required to enter the pre qualification process hence needed for the evaluation of the supplier and proposed equipment. 1. Standard Vendor Qualification Questionnaire 2. ISO certifications 3. Quality manual 4. HSE manual 5. Reference lists 6. Organization charts (company and group) 7. Brochures, company profile, products descriptions, etc. 8. All QA documentation (SQR forms, CAR’s, audit, etc.)
VRM product pre qualification confirms that SBM Offshore may start business with the vendors for selected equipment or services. Vendors have been approved as potential candidates to work with the Company. Through the Vendor Relationship Management (VRM) internet portal, the Company manages an internal vendor pre qualification process. The Company standards, such as business ethics and insurances, are covered in the Special Terms & Conditions. Those are systematically sent to vendors or suppliers from the bidding stage onwards for each and every project. Compliance with the Company’s Code of Conduct is mandatory for suppliers, their subcontractors and agents. During 2010, the Company audited 60 of its suppliers using a product classification system ranking from A (main suppliers, such as construction yards) to D (less critical equipment or service). All Vendors supplying A to C products are submitted to a quality process and A and B criticalities are audited every 3 years. 114 corrective action reports were issued in 2010 following these audits.
86
SBM Offshore – Sustainability Report 2010
The prequalified vendors for equipment or services are then referenced in the Supply Chain system tool as approved suppliers. In December 2010, more than 11,000 products or services had been referenced.