The supply process has a policy that establishes the corporate guidelines for managing the supply of goods and services in all the countries where we operate, regulating the stages of a purchase request and ensuring that the bidding processes are responsible, competitive and of mutual benefit, both for the supplier/ contractor and the company, according to the following aspects:
- Maximum cost efficiency through the development of negotiations that allow obtaining advantages of economies of scale
- Negotiations within a framework that ensures compliance with the Code of Ethics, the Free Competition Manual and CMPC’s corporate policies. The company operates and interacts with suppliers that contribute to the fulfilment of its sustainability policies and objectives
- Definition of an organizational structure to develop management of the supply of goods and services of the respective subsidiaries, ensuring adequate risk control and compliance with this policy, the rules and complementary procedures
- Purchase, receipt and payment processes corresponding to management of the supply of goods and services should be carried out exclusively through the SAP corporate system
- CMPC suppliers of goods and services should be evaluated periodically regarding compliance with quality specifications of the goods or services, delivery terms, risk management and other obligations of the respective contracts or purchase orders.
This policy has ESG objectives, which in the case of wood supply, are reflected in encouraging suppliers to get certified by prioritizing their volumes compared to other volumes from non-certified suppliers. Also, building good relationships with local suppliers.
Evaluations are carried out for each new supplier not yet registered, and annually for all those billing around MMUS$1/year.
Major risks measured in supplier evaluation are:
- Financial support
- Sole proprietors with exclusive billing to the company
- Labor accidents
- Failure to pay pensions to their workers
- Applicable certifications
- Conflict of interest
- Global crimes (human trafficking, terrorism, etc.).
- Environmental problems
Supplier verification is based on the items: financial analysis, fiscal regularity, mandatory records and technical evaluation. Suppliers with an overall score less than 60% (bad or very bad) in 2 consecutive years or 3 opportunities in 5 years, cannot be CMPC suppliers.
If you want to learn the details of our suppliers of goods and services, please visit Social Field/People/Suppliers of goods and services/