The Fubon Financial Holdings e-Procurement System currently comprises about 710 an increase of 110 over the previous year, and growth of 18% includes suppliers which render various services ranging from building and remodeling, shared office facilities and equipment, gifts and complimentary items, printed items, and IT-related software and hardware solutions.
To ensure that supply partners understand and comply with the Company’s safety and ethical standards, a “Supplier Corporate Social Responsibility Code of Conduct” has been posted in the purchasing section for suppliers on Fubon Financial Holdings’ website. It commits suppliers to uphold workers’ rights and interests, human rights, occupational health and safety, and environmental protection and prohibits commissions or kickbacks. Suppliers are also asked to sign a “Supplier Standard of Conduct Pledge.” (100% of the suppliers registered in the electronic purchasing system have signed the pledge.)
Fubon also evaluates and records supplier performance and uses that as a reference when selecting suppliers for future jobs to maintain a high quality of service. Suppliers may be disciplined for poor performance by having their ratings lowered or being disqualified, while suppliers that perform at a consistently highquality level and are good corporate citizens have their ratings increased, leading to a closer relationship. CSR measures such as environmental and health and safety mechanisms are included as performance indicators in supplier evaluations as a way to get suppliers to share our CSR values and engage in sound environmental practices.
Open, Transparent Purchasing Mechanism
Suppliers are assessed and selected based on standard procedures, and an e-purchasing system has been established. Through the system, procurement information, including public notices of upcoming tenders, is openly posted on the Company’s official website, and qualified suppliers can use it to download documents, submit bids and quote prices. The result is an open, transparent process that allows each supplier’s bid to compete on an even playing field.
In 2018, Fubon Financial Holdings intends to launch a system for evaluating the sustainability of suppliers in which suppliers conduct a CSR self-assessment and written review, enabling the Company to identify CSR risks in suppliers and perform differentiated management. The Company will also make use of various methods such as educational training and on-site inspections to help suppliers increase their ability to engage in sustainability management.