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KONE 2015 | SUSTAINABILITY REPORT
SUPPLY CHAIN
4 5
Strategic suppliers with
ISO 9001 certification:
97%
Strategic suppliers with
ISO 14001 certification:
93%
Strategic suppliers audited:
100%
All our new suppliers
must sign KONE’s Supplier
Code of Conduct.
freely associate and bargain collectively in
compliance with all applicable laws.
Health and Safety
– Provision of a safe and
healthy environment to employees; availability
of appropriate health and safety information,
training, and equipment for employees; active
pursuit of safety programs covering at least
human safety, emergency preparedness,
and exposure to dangerous chemicals and
biological substances; ensuring that employees
are not working under the influence of alcohol
or illegal drugs while working for KONE.
Environment
– Efforts to reduce the impact
on the environment from operations and
products; compliance with environmental
laws and regulations and obtaining necessary
environmental permits; monitoring, controlling,
and treating appropriately wastewater, air
emissions, and other waste; taking a systematic
approach to considering environmental aspects;
adhering to any applicable laws and regulations
and KONE requirements regarding the
prohibition or restriction of specific substances.
IPR and publicity
– Compliance with laws
and international treaties on intellectual
property rights; refraining from publication of
cooperation with KONE or utilizing of KONE
trademarks without permission.
Monitoring
– Monitoring of compliance with
the KONE Supplier Code of Conduct; provision
of documentation upon request to KONE;
right of KONE to audit the supplier in case
of a suspected breach of the Supplier Code
of Conduct; active communication of non-
compliance towards KONE.
The complete KONE Supplier Code of Conduct
can be read at:
www.kone.com/suppliers.Assessing supplier performance
We monitor the performance of the main
suppliers of our direct production materials
through a monthly KPI measurement and
follow-up process. We also run a supplier
scorecard system. This system evaluates key
suppliers of direct materials as well as main
installation subcontractors within our country
organizations. The scorecards combine
quantitative and qualitative performance
criteria, including quality and safety, cost
competitiveness, logistics and responsiveness,
technical competence and quality maturity.
We regularly discuss performance evaluations
with our suppliers. When their performance
does not meet our expectations, we initiate
corrective actions or development projects
and conduct follow-ups.
Supplier Excellence Certification
KONE’s Supplier Excellence Certification
Program assesses key suppliers’ sites. Examined
aspects include environmental and quality
management systems, performance scorecards,
and supplier audit results. ISO 14001 and
ISO 9001 compliance are also assessed. We
aim to maintain a supply-base that complies
with international quality and environmental
standards as well as those of KONE.
In 2015, 97% of our strategic supplier
factories were ISO 9001 certified and 93%
of them had ISO 14001 certification. We
expect all our key suppliers’ factories to attain
Supplier Excellence Certification.