Purchasing policy

Key central principles of our purchasing policy

The focus of our partnerships is on the regular exchange of information with our suppliers; as part of this, we place particular value on creativity, reliability, and innovation.

We rely on highly motivated suppliers and service providers who have a high degree of quality and cost awareness.

As part of our corporate responsibility, we are expressly committed to our suppliers safeguarding human rights and adhering to working standards in the manufacture of products and the provision of services.

We and our suppliers guarantee that neither discrimination nor forced or child labor is tolerated.

Our suppliers confirm that no corruption or bribery is tolerated or permitted in any way, shape, or form.

Environmental protection and energy efficiency are integral to our choice of supplier.

Distributed purchasing structure

The companies in the Phoenix Contact Group have independent purchasing departments.

This distributed purchasing structure enables an extremely close collaboration with technical areas, in particular during the development phases of new products.

Overarching procurement activities are bundled into a lead buyer organization in a purchasing network that is active globally.

Lead buyer concept

Thanks to a commodity group management system, introduced worldwide, the Phoenix Contact Group is able to consolidate similar products and their suppliers.

As part of this, the lead buyer takes on overarching tasks for the commodity groups within their area of responsibility:

• Market research
• Contractual arrangements
• Demand pooling
• Use of synergies with suppliers and commodity groups
• Definition of strategies and goals
• Agreement on logistical concepts

Our supplier requirements

To ensure successful collaboration and customer satisfaction, we expect our suppliers to:

• Be reliable and service-oriented
• Be innovative and creative
• Prices at world market level
• Exhibit quality awareness
• Adhere to deadlines and be flexible
• Trade ethically
• Provide support when implementing technical solutions
• Offer technically advanced, competitive, and energy-efficient manufacturing processes and products
• Show interest in a long-term business relationship
• Have the ability to use special logistical concepts
• Be independent