Supply chain
Building a responsible supply chain
Our statement
“We recognize that the impacts of the products and services that we buy are as important as the impacts of the products and services that we sell. That’s why it is essential that we work with our suppliers to build a responsible supply chain that supports the sustainability of our operations.”
Balan Nair, Executive Vice President and Chief Technology Officer, Liberty Global - Champion for Supply Chain
Why it matters
Running a responsible business means taking ownership of the impacts of the products and services that we source, equally to those that we sell. Our internal and external customers all expect businesses to work with their suppliers to make sure that the social and environmental impacts of the products and services they buy are managed appropriately, while remaining competitive and treating suppliers fairly and with respect.
Like all other businesses, our supply chain is increasingly global. We buy products, skills and services from the countries where we operate, and from other countries where we do not have a commercial presence. In 2009, we worked with hundreds of contracted suppliers and strive to manage these relationships in a responsible manner.
What we are doing
We have begun extending the assessment of our new and existing suppliers to also include assessing how responsibly they are producing goods and services we buy. With this in mind, in 2009 we began carrying out a risk analysis and mapping exercise to identify our current supply footprint. We are initially targeting approximately 20 suppliers, which account for almost 60% of our capital expenditure. By focusing our efforts on these suppliers, we can most effectively learn to build a responsible supply chain.
In assessing new suppliers, our affiliates such as UPC, VTR and Telenet have already begun inserting language into strategic RFPs (Request for Proposal), ensuring that we integrate environmental, social and ethical criteria into the vendor selection process. In 2010, we will formally begin to integrate our CR principles with all our top suppliers.