The Śnieżka Group perceives its supply chain as an element of competitive advantage. The Group strives to cooperate with reliable and credible suppliers. The condition for conducting business activities, in addition to quality, price and timely delivery, is a responsible approach to sustainable development.
strategic suppliers,
key suppliers,
basic suppliers.
Strategic and key suppliers are responsible for approximately 80% of the purchasing budget. For this reason, these companies are subject to annual analysis regarding ESG involvement, compliance of the delivered products with the order and timeliness of deliveries.
The issue of cooperation with suppliers is regulated by Procurement policy and the Supplier Code of the Śnieżka Group adopted in FFiL Śnieżka SA and Śnieżka ToC. Adoption of the documents in other companies is scheduled for 2024.
The Procurement Policy systematizes the purchasing activities of the Śnieżka Group, considering economic and environmental issues, and is addressed to all companies comprising the Group. The policy also defines the main pillars in the purchasing area, and its provisions are supplemented by the Supplier Code.
In accordance with the Policy, the primary objective of procurement activities is to ensure proper operation of the Group, and the procurement process itself is perceived as a key element in promoting sustainable development in the supply chain. In its Procurement Policy, the Śnieżka Group undertakes to purchase and use raw materials and packaging with the required certificates for the production of its products and at the same time to support initiatives regarding the application of safe raw materials and the use of recycling technologies.
The scope of the Procurement Policy covers all Group expenses for external entities, and all companies are obliged to comply with it. The implementation of the Policy is subject to monitoring and compliance is supervised by the Purchasing Department of FFiL Śnieżka SA.
The values of the Śnieżka Group constitute the basis for activities related to the supervision of the supply chain and building lasting relationships with suppliers. The Group strives to do business with partners who understand and share the concern for sustainable development, and in their activities they aim at developing their practices in areas in which the Śnieżka Group also sets itself ambitious objectives.
In order to be abele to cooperate with the Śnieżka Group, each supplier is required to confirm the knowledge and compliance with the rules of the code of conduct, which are attached in a form of a document to each new agreement with suppliers. Suppliers are obliged to sign the acknowledgment of the Supplier Code, thus declaring their readiness to undertake ethical business activities.
The expectations towards suppliers included in the Supplier Code concern the following:
The Code applies to all suppliers, and the Śnieżka Group expects each contractor to provide its employees with the practices and principles described therein. The Group also provided contractors with a confidential channel for reporting violations of ethical principles, while committing to protect employees and business partners who disclose violations of the provisions of the Code.
The unit supervising compliance with the Supplier Code is the Management Board of FFiL Śnieżka SA.
In 2023, 34% of suppliers – strategic, key and basic – got familiar with the Supplier Code.
The Śnieżka Group has a diversified supply chain and cooperates with companies from Poland and abroad, mainly from European countries. The supplier market is monitored and the Group conducts a constant process of acquiring new contractors to optimize supply sources, reduce costs, shorten delivery times or acquire new technologies.
The Group purchases strategic raw materials from suppliers with significant production and development capabilities – while maintaining the optimal level of diversification, the important role of innovation, as well as taking into consideration economic, social and environmental aspects.
In accordance with the Procurement Policy, all suppliers are treated equally and each has the opportunity to present an offer in line with the purchasing specifications. The criteria for evaluating offers are also equal, and the Group analyzes:
The Śnieżka Group endeavours to periodically verify standards in the supply chain – therefore the organization has introduced a process of self-assessment of strategic and key suppliers as far as ESG issues are concerned, with particular emphasis on social and environmental issues. Both direct (raw materials) and indirect (services) suppliers were subject to the assessment in question. In 2023, 100% of suppliers (strategic and key) of FFiL Śnieżka SA received information and documents related to the self-assessment, and the surveys were completed by 61% of strategic and key suppliers. All of them fully or partially complied with ESG expectations and none of them had their contract terminated.
