SOURCING & PROCUREMENT POLICY 1. INTRODUCTION 1.1 Background Across the world, employees in many countries and functions are involved in sourcing goods and services from Vendors. It is important that the Vendors that ECCO sources from are reliable, highly competent, commercially competitive, and whose commercial terms and conditions comply with ECCO’s policies and standards, including, but not limited to, the ECCO Code of Conduct. In the sourcing and procurement processes, ECCO is exposed to the risk of corruption, bribery, and fraud. As per ECCO’s Corruption & Bribery Policy and Fraud Prevention Policy, these risks must be mitigated at all times. It is therefore essential to outline the overall policy on procurement and sourcing and enforce the implementation of such in the entire ECCO Group. 1.2 Purpose The Purpose of this Sourcing & Procurement Policy is to: • Ensure transparency of the sourcing and procurement processes. • Establish sound governance processes related to ECCO’s sourcing and procurement activities. • Obtain the desired quality of services, supplies, and works at the best possible price. 1.3 Scope This Policy applies to ECCO Sko A/S and any subsidiaries, and concerns all types of purchases of goods and services, without any limitation. 2. POLICY STATEMENTS 2.1 General Approval Principles All approvals according to this Policy shall be in accordance with the Chart of Authority (“COA”) applicable for the Legal Entity and must accordingly respect the four-eye principle and the segregation of duties. This means that the Purchaser and the approver cannot be the same person. In the event that the purchaser has a conflict of interest, he or she shall inform the approver, prior to requesting the approval. In the event that the approver has a conflict of interest, he or she cannot make the approval, and must refer the approval to their superior. A conflict of interest occurs any time an employee has a personal interest that could adversely influence the judgement, objectivity, or loyalty to the ECCO Group in conducting the business assignments. A personal interest could arise if the employee, or a person or company closely related to the employee, has an emotional, financial, or other strong interest or dependency in the Vendor, or with leading employees of the Vendor. 2.2 Procurement Authorisation Requirements Any purchase of goods or services shall be made by a Purchaser authorised to purchase the specific goods or services only after approval by a superior approver, in accordance with the COA applicable for the Legal Entity, and in compliance with this Policy. The Managing Director of the Legal Entity must ensure that clear procedures for sourcing and procuring goods or services 45
Share
Print
Download PDF file
