We work closely with our suppliers to collect accurate and up-to-date information about their environmental, social and governance practices and performance.
We have an e-Contractor List Management System in place that is integrated with our vendor requisition process in Hong Kong and Mainland China. This automated platform facilitates supplier selection, management, and performance analysis and allows for timely updates of supplier information.
In order for new suppliers to be included on this list of approved contractors, they must first complete self-assessment questionnaires to confirm that they have appropriate policies and systems in place to comply with our SCoC. We monitor the compliance status of suppliers on our approved contractors list on an ongoing basis. In addition to requesting regular self-assessments, we may also undertake supplier site visits, request that our suppliers obtain independent certification in accordance with internationally recognised standards, and submit environmental and health and safety management plans for our internal review.
In 2019, we refined our performance management system for technical services providers. Any non-compliance or malpractice in the areas of health and safety, environment, procurement, quality and site management will be recorded and the service provider will be subject to disciplinary action.
We also conducted a risk assessment of our top 25 critical suppliers, by highest procurement spending in 2019, in order to confirm their compliance with our SCoC. These top 25 critical suppliers are based in Hong Kong, Mainland China and the U.S.A.
According to our findings, none of these suppliers were considered “high risk” under our Enterprise Risk Management System (“ERM System”).