Procurement Organization

The “Business Unit Air Tanks” business unit of Frauenthal Automotive is a multi-company unit with two plants featuring the necessary operating structures. Strategic management and procurement coordination is the responsibility of the Strategic Procurement Manager and individual strategic buyers who are responsible for the commodities groups.

The procurement organization thus consists of clearly focused units: the strategic responsible for both production sites and the operative procurement at individual sites. The strategic procurement team is responsible for securing important material groups, such as raw materials, energy, and operating accessories.

We want to systematically develop synergies and cost-reduction potential by combining required quantities and using global sourcing between the sites.

Operative procurement teams at sites are responsible for securing materials for day-to-day business, consistently with cooperation with the strategic buyers. They form a direct link between sites needs and our suppliers.

Supplier Code

The social and environmental responsibility of the company gradually extends to the choice of business partners, especially suppliers and service providers. Consequently, the strategic procurement management firmly established that in selecting and evaluation of suppliers, environmental and social considerations need to be taken into account in addition to the price, quality, and reliability of supplies.

From 12 October, 2011, the Frauenthal Group Code defines requirements for all the suppliers of goods, investment assets, and services. Ethical behaviour, respect for human rights, social-contractual work conditions, adherence to environmental standards, and use of management systems form the Code’s key points.

The principles contained in the Code reflect also the contents of the Frauenthal Group’s concepts and are based on the following international conventions and standards:

 

  • Principles of the United Nations (UN) Global Compacts
  • Guidelines for multinational companies of the Organization for Economic Co-operation and Development (OECD)
  • Agreements of the International Labour Organization (ILO)
  • The Charter for the Sustainable Development of the International Chamber of Commerce (ICC)
  • SA 8000 (Corporate Social Responsibility Standard)

The Frauenthal Group expects that its suppliers would promote compliance with the principles in their own supply chain.

Procurement

To develop and produce innovative and competitive products and services for our national and global customers requires a daily and high level of commitment and openness to new ideas from all the supply chain areas in every part of a business unit. To meet these requirements, we need efficient and reliable suppliers.

The proportion of bought raw materials and outputs is on average 50% of the Business Unit Air Tanks business unit’s turnover. In view of that, the success of the business depends greatly on the capabilities of our chosen suppliers

Your Perspective

That is why we are constantly looking for new, efficient suppliers who are willing to make a significant contribution to our business success. We offer our partners good growth prospects and long-term trust-based business relationship with a partner who has a solid market position.

Our partnership demands are high.

We expect:

  • Compliance with deadlines and flexibility
  • Responsibility for quality
  • Transparency and cost improvement
  • Appropriate environmental and social behaviour
  • Innovation of products and services
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