Sustainability Guidelines for Vendor Relations · 2021. 7. 27. · We attract and recruit the...
Transcript of Sustainability Guidelines for Vendor Relations · 2021. 7. 27. · We attract and recruit the...
Sustainability Guidelines for Vendor RelationsSustainability Guidelines for Vendor Relations
P&G Sustainability
Guidelines for
Vendor Relations
ADear Business Partners —
At Procter & Gamble, thefoundation of our vendor selection guidelines is based on our Purpose, Core Values and Principles.
These key elements are of utmost importance for proper business conductand respect for all individuals in the quest for common prosperity.
This publication reaffirms the following commitments, what we expect from ourvendors and what our vendors can expectfrom us.
P&G is committed to providing productsand services of superior quality and valueto the world’s consumers. While P&Gcompetes hard to achieve leadership andbusiness success, it is vital for vendors to understand that the Company is concerned not only with results, but withhow those results are achieved. We willnever condone nor tolerate efforts oractivities to achieve results through illegalor unethical dealings anywhere in the world.
We operate within the spirit and letter of the law and maintain high ethicalstandards wherever we conduct business.We expect all our vendors to conducttheir business with the same high standards. We will actively seek businessrelationships with vendors who share our
values and promote the application ofthese high standards among those withwhom they do business.
Likewise, P&G always seeks to treat vendors honestly, ethically and fairly. We believe that any relationship worksbest when a foundation of trust existsbetween the parties. By treating vendorshonestly, ethically and fairly, we do ourpart in building that foundation. We do this not only because it is the rightthing to do, but also because it can helpstrengthen our results by making us, our business and our Company moreattractive to our vendors.
A.G. LafleyPresident andChief Executive
John E. PepperChairman of the Board
<1>
CEO and ChairmanLetter
S u s t a i n a b i l i t y G u i d e l i n e s f o r V e n d o r R e l a t i o n s
P P&G Statement of Purpose
We will provide products and services of superior quality and value thatimprove the lives of the
world’s consumers.
As a result, consumers willreward us with leadership
sales, profit and value creation, allowing our people,
our shareholders, and thecommunities in which we live
and work to prosper.
P&G’s guidelines for business conduct
f low from our Purpose, Core Values
and Principles. Our Purpose is focused
on improving the lives of our consumers.
P&G has been built through the character of
its people. That character is ref lected in the
Company’s Core Values, which have been
fundamental to our success for more than
160 years. Our continued success depends
on each one of us doing our part to uphold
these values in our day-to-day work and in
all the decisions we make, as ref lected in our
operating principles. These principles f low
from our Purpose and Core Values.
<2>
Introduction
S u s t a i n a b i l i t y G u i d e l i n e s f o r V e n d o r R e l a t i o n s
P & G P e o p l eWe attract and recruit the finest people in
the world. We build our organization from
within, promoting and rewarding people
without regard to any difference unrelated to
performance. We act on the conviction that
the men and women of Procter & Gamble will
always be our most important asset.
L e a d e r s h i pWe are all leaders in our area of responsibility,
with a deep commitment to deliver leadership
results. We have a clear vision of where we
are going. We focus our resources to achieve
leadership objectives and strategies. We
develop the capability to deliver our strategies
and eliminate organizational barriers.
O w n e r s h i pWe accept personal accountability to meet the
business needs, improve our systems and help
others improve their effectiveness. We all act
like owners, treating the Company’s assets as
our own and behaving with the Company’s
long-term success in mind.
I n t e g r i t yWe always try to do the right thing. We are
honest and straightforward with each other. We
operate within the letter and spirit of the law.
We uphold the values and principles of P&G in
every action and decision. We are data-based
and intellectually honest in advocating
proposals, including recognizing risks.
P a s s i o n f o r W i n n i n gWe are determined to be the best at doing
what matters most. We have a healthy
dissatisfaction with the status quo. We have
a compelling desire to improve and to win in
the marketplace.
T r u s tWe respect our P&G colleagues, customers,
consumers and treat them as we want to be
treated. We have confidence in each other’s
capabilities and intentions. We believe that
people work best when there is a foundation
of trust.
<3>
PeopleLeadership
Integrity Passion forWinning
Trust
Ownership
P&G Core ValuesP&G is its people and the Core Values by which they live.
P&G PrinciplesThese are the Principles and
supporting behavior which flowfrom our Purpose and Core Values.
W e S h o w R e s p e c t f o r A l lI n d i v i d u a l sWe believe that all individuals can and want
to contribute to their fullest potential.
We value differences.
We inspire and enable people to achieve
high expectations, standards and
challenging goals.
We are honest with people about
their performance.
T h e I n t e r e s t s o f t h eC o m p a n y a n d t h eI n d i v i d u a l a r e I n s e p a r a b l eWe believe that doing what is right for the
business with integrity will lead to mutual
success for both the Company and the
individual. Our quest for mutual success
ties us together.
We encourage stock ownership and
ownership behavior.
W e a r e S t r a t e g i c a l l yF o c u s e d i n O u r W o r kWe operate against clearly articulated and
aligned objectives and strategies.
We only do work and only ask for work that
adds value to the business.
We simplify, standardize and streamline our
current work whenever possible.
I n n o v a t i o n i s t h eC o r n e r s t o n e o f O u rS u c c e s sWe place great value on big, new consumer
innovations.
We challenge convention and reinvent the
way we do business to better win in
the marketplace.
W e a r e E x t e r n a l l y F o c u s e dWe develop superior understanding of
consumers and their needs.
We create and deliver products, packaging
and concepts that build winning
brand equities.
We develop close, mutually productive
relationships with our customers and
our suppliers.
We are good corporate citizens.
W e V a l u e P e r s o n a lM a s t e r yWe believe it is the responsibility of all
individuals to continually develop
themselves and others.
We encourage and expect outstanding
technical mastery and executional
excellence.
W e S e e k t o b e t h e B e s tWe strive to be the best in all areas of
strategic importance to the Company.
We benchmark our performance rigorously
versus the very best internally
and externally.
We learn from both our successes and
our failures.
M u t u a l I n t e r d e p e n d e n c yi s a W a y o f L i f eWe work together with confidence and trust
across functions, sectors, categories
and geographies.
We take pride in results from reapplying
others’ ideas.
We build superior relationships with all the
parties who contribute to fulfilling our
Corporate Purpose, including our
customers, suppliers, universities
and governments.
<4>
LegalComplianceP&G is committed to legal
compliance wherever it conducts
business. We expect our vendors to
comply with all applicable laws of
their country, including laws relating
to employment, discrimination,
environment, and health and
safety. Vendors who knowingly
violate laws or have repeated
problems conforming to them
will not receive our business.
Human RightsP&G supports universal human rights,
particularly those of our employees;
the communities within which we
operate; and the parties with whom
we do business. In our business award
decisions, we will continue to place
substantial value upon incumbent and
potential vendors who consistently
respect basic human rights.
<5>
Guidelines forVendor Selection
S u s t a i n a b i l i t y G u i d e l i n e s f o r V e n d o r R e l a t i o n s
Employment PracticesP&G utilizes fair employment practices, as
well as strives to provide a safe, healthful and
productive work environment for its employees.
The Company expects vendors to also maintain
fair employment practices, specifically...
C h i l d L a b o r a n d F o r c e d L a b o rP&G does not use child* or forced labor in any
of our global operations or facilities, and we
expect suppliers or contractors with whom we do
business to uphold the same standards. More
specifically, we will not conduct business with
vendors employing child, prison, indentured or
bonded labor, or using corporal punishment or
other forms of mental and physical coercion as
a form of discipline.
W o r k i n g C o n d i t i o n sP&G expects vendors to
conduct their business without
unacceptable worker treatment
such as harassment,
discrimination, physical or
mental punishment, or other
forms of abuse.
W a g e a n d H o u r P r a c t i c e sP&G pays employees a competitive wage, as
benchmarked with other leading companies.
Consistent with our principle of valuing
personal mastery, we reward employees for
improving their skills and capabilities. At a
minimum, we expect our vendors to comply
with all applicable wage and hour laws, and
rules and regulations, including minimum
wage, overtime and maximum hours.
H e a l t h a n d S a f e t yP&G commits to providing a clean, safe and
incident-free work environment. We expect
vendors to provide a safe work environment,
to prevent accidents and injury, and to
minimize exposure to health risks.
E n v i r o n m e n tP&G improves the environmental quality of
our operations and our products. We strive
to do business with vendors who share our
concerns for and commitment to preserving
the environment. At a minimum, vendors
must meet all current, applicable
environmental rules, regulations and laws
in their countries.
D a t a P r i v a c yP&G believes in protecting the privacy of
personal information. We strive to treat
information provided by an individual as that
individual’s, which has been entrusted to
P&G. We inform people about the use and
handling of data they provide us. We follow
all pertinent data privacy laws and
regulations. When other companies are
handling personally identifiable data as our
agents, we require them to abide by our
privacy practices as they relate to the data.
<6>
* In the absence of any national or local law, we will define “child” as less than 15 years of age. If local minimum age law is set below 15 years of age, but is in accordance with developing country exceptions under International Labor Organization (ILO) Convention 138, the lower age will apply.
Should a pattern of violation of these
principles become known to the Company
and not be corrected, we will discontinue the
business relationship.
Ethical Treatment of VendorsOur vendors are valued partners in the
success of our business. Our relationships with
them must be
characterized by
honesty and
fairness. Suppliers
are selected on a
competitive basis
based on total
value, which includes quality, service,
technology and price. Terms and conditions
defining our relationship with suppliers are
communicated early in the vendor selection
process and agreements to such terms and
conditions, or any acceptable modifications,
are reached before work begins. Included in
these standard terms and conditions are
P&G’s policies regarding payment terms,
confidentiality, the use of intellectual property,
and labor practice expectations.
We are guided by the following:
� We tell the truth. We do not intentionally
mislead others.
� We do not take advantage of honest
vendor errors.
� We treat proprietary vendor information in
a confidential manner.
� We do not reveal a vendor’s pricing,
technology, or other information without
prior written permission.
� We resolve issues, claims and disputes on a
factual and fair basis.
Gifts, Entertainmentand GratuitiesWe conduct our business on the basis of the
superior value of goods and services we buy
and sell. Our policy on gifts, entertainment
and gratuities is designed to preserve and
maintain P&G’s reputation as a global
enterprise that acts with integrity and
bases decisions only on legitimate business
considerations. Receiving gifts, entertainment
or other gratuities from people with whom we
do business is generally not acceptable,
because doing so could imply an obligation
on the part of the Company and potentially
pose a conflict of interest.
<7>
Guidelines forVendor Treatment
S u s t a i n a b i l i t y G u i d e l i n e s f o r V e n d o r R e l a t i o n s
<8>
Notes
S u s t a i n a b i l i t y G u i d e l i n e s f o r V e n d o r R e l a t i o n s
Thank you for your efforts in support of P&G’s values and guidelines.
For further information, please contact:Corporate PurchasesThe Procter & Gamble Company1 Procter & Gamble PlazaCincinnati, Ohio 45202
www.pg.com
www.pg.com
The Procter & Gamble Company1 Procter & Gamble PlazaCincinnati, Ohio 452020009-6001
12/00Printed in the U.S.A.
This publication was printed on 10 percentpost-consumer recycled paper.