Supplier Award 2017

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Supplier Performance measurement and evaluation is an important part of our supplier relationship management. Criteria for the evaluation were explained on our Supplier Day in November 2016. Throughout the 2017 we were measuring performance of all our direct material suppliers. Now we are proud to have the results of this process and share them with you to be proud of yourself too.

2017 AWARD CRITERIA

For 2017, we are using our evaluation system aligned with strategic needs for fair supplier awarding. Formula of suppliers’ performance evaluation is based on suppliers’ performance evaluation on 4 dimensions:

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1. QUALITY

In terms of quality, suppliers are evaluated fairly and justly as different components have defined corresponding Line Rejection Rate (LRR) standards. Quantity and severity of quality complaints (NCM) are also important factor of evaluation.

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2. SERVICE LEVEL

Supplier delivery lead time (speed) and service quality become very important under flexible customer demand forecast.

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3. SUSTAINABILITY

Sustainability score is based on self-assessment results, giving overview of supplier´s acting in three dimensions:

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4. JOINT COOPERATION

Important inputs for Supplier cooperation are remarked on Supplier Feedbacks, where procurement specialist evaluating criteria in three levels: Outstanding, Average and Need to Improve.

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