We understand sustainability as endeavoring to meet the needs of the current generation, but without compromising the opportunities open to future generations.
In addition to social progress and ecological balance, economic growth is also a mainstay of sustainable development.
With its four business areas, the ANDRITZ GROUP serves markets with long-term and sustained growth potentials. The Group's aim is to achieve market leadership in these markets and extend its current top position there. ANDRITZ intends to achieve this goal by offering the best technologies available on the market in each case and providing products and services that create sustained benefits for customers, society at large, and for the environment.
In procurement, ANDRITZ attaches great importance to qualification of sub-suppliers, who are scrutinized closely, not only in terms of quality, but also considering social and environmental aspects. The ANDRITZ GROUP buys the majority of its raw materials and other materials required in the regions where its own production sites are based. This means that ANDRITZ procures materials largely where production takes place. As a result, the company makes a significant contribution to local economic added value and to creating and retaining jobs. This policy also leads to shorter transport routes and reductions in CO2 emissions.
Supplier Code of Conduct
In order to broaden the scope of the Code of Business Conduct and Ethics, a Supplier Code of Conduct was published in 2015, defining the minimum requirements for sub-suppliers collaborating with the ANDRITZ GROUP. This is a fixed element of any contract and must be signed by suppliers as a sign of their assent and then returned. The content of the Supplier Code of Conduct was also added to all contracts that already existed before the Code was published and the contracts were updated accordingly.
In addition to organizational requirements and anchoring the compliance topic within the respective organization, the Code also contains certain requirements relating to human rights and working conditions, responsibility for the environment, integrity in business dealings, export controls, and handling data from third parties. Suppliers are instructed to report any breaches of the Code to ANDRITZ without delay. Depending on the severity of the violation, the measures implemented may go as far as ending the business relationship. In future, online training is to be provided.
The questionnaire used for supplier assessment was also extended on the basis of the Supplier Code of Conduct to cover the topics of compliance and sustainability. It must be completed by all existing and newly qualified suppliers. If the replies are not satisfactory, the Supplier Compliance and Sustainability department will draw up a catalog of measures together with the respective supplier to ensure compliance with the Code.
Another step towards a better and more comprehensive assessment of suppliers in terms of sustainability and compliance is the appointment of auditors – two for the time being – who will operate in India and Asia. The local supply chain will be reviewed in terms of human rights and fair working conditions,environmental responsibility, business integrity, export controls, and intellectual property rights in coordination with the Quality Group Function in these two regions; event-driven audits are triggered by defined risk parameters.
As a globally operating Group, ANDRITZ is subject to certain general and industry-specific risks. ANDRITZ has made it a priority to leverage measures of active risk management related to the nature of the industries and business transactions in which the company engages. A management steering committee focuses on the identification of major risks and the implementation of counter-measures if necessary.
The quality management system practiced at ANDRITZ is one of the core elements of our success in many areas. The definition of quality at ANDRITZ is not limited to the products, but extends to workplace safety and business process management through implementation of a Group-wide ERP/SAP system. The quality of suppliers is monitored as well. Continuous improvement and optimization in every key area is a core principle for ANDRITZ and integrated into the specific, continuous goal-setting processes.