Our supplier relationship management (SRM) approach enables us to manage suppliers effectively, promoting strong governance practices, while enabling us to focus on our most critical suppliers to maximize value and reduce risks in our supply chain.
The SRM approach encompasses a clear strategy and process, defined supplier segmentation, clear roles and accountabilities, effective tools and resources, and a commitment to continuous improvement from Syngenta and our suppliers. It enables us to identify our most important suppliers from a supply chain that includes more than 1,000 global tier 1 suppliers for active ingredients, raw materials, intermediates and co-formulants.
The process begins with an analysis of our supplier base using filters such as spend, business impact, and single source situations. To segment and identify key suppliers each organization is then rated on a number of criteria such as technical fit, operational fit, location, health, safety, environmental and quality (HSEQ) standards, financial health of the organization, strategic alignment with our business, trust, and people retention and management.
We establish continuous improvement plans and risk management dashboards for all key suppliers, as well as providing additional management support where appropriate, such as assignment of supplier leads and key account managers. Additional support for suppliers can include HSE training or upstream sourcing assistance.
Syngenta benefits from strong relationships with key suppliers and we often strive to form strategic partnerships with suppliers for multiple sourcing projects.