A Code of Conduct provides effective rules for our suppliers. Today, our acoustic panels are already made of sustainable wood and cement which is produced according to strict environmental requirements. Our Code of Conduct enables us to systematically focus on all major suppliers and achieve a sustainable purchasing policy throughout the supply chain.
Work in practice
In order to ensure a structured approach to supply chain management, we have brought together our purchasing functions. In practice, we have divided the company’s 100 biggest suppliers into types and categorised them according to sales volumes. Our ambition is that 90 per cent of the product-related suppliers which account for 90 per cent of total purchases will have signed our Code of Conduct by 2013 at the latest.
Everything rests on dialogue
At Troldtekt, we are continually categorising our suppliers into three risk groups according to their strategic significance and the risk of them breaching the guidelines. The suppliers in the low-risk group are asked to sign our Code of Conduct.
The medium-risk group is asked to submit a self-evaluation form, while the high-risk group is also likely to receive a visit from Troldtekt. At the moment, 95 per cent of our product-related suppliers are in the low-risk group, 5 per cent are in the medium-risk group while there are none in the high-risk group. Should conditions change for existing suppliers, or if we start using suppliers who fall into the high-risk group, our basic premise is that we want to continue collaborating with these suppliers; through dialogue, we will seek to encourage the companies to raise their standards.
Code of Conduct for Troldtekt A/S
At Troldtekt, we ask our suppliers to sign our Code of Conduct whereby they commit to meeting international standards in relation to: