Some suppliers with the same name because they belong to the same multinational but different company names and different market (for example Europe vs Brazil) have been counted as single companies and not as a single supplier. This choice was made in consideration of the considerable differences in context, currency and strategies.
The number of suppliers in 2021 has grown compared to 2020 also due to considerable market instability which has led to the need for diversification, to which the group has responded by selecting new ones.

Strategic services include:

• selections
• rework and repairing
• tool calibration and laboratory tests
• sequencing

The selection of suppliers is entrusted to the strategic purchasing department which, in order to prevent any risk in terms of supply, performs an initial assessment where the following aspects are analyzed:

• financial stability
• suitability of available resources, including people and infrastructure
• turnover in the automotive sector
• logistic process

In line with the principles of sustainability, preference is given to those suppliers who show a consistent approach to ethical standards. For this reason, the strategic purchasing management requires all suppliers to adopt a code of ethics governing matters such as respect for human rights and anti-corruption measures, as well as an ISO 9001 certified quality management system.

Moreover, the adoption of management systems for health and safety (ISO 45001) and environmental (ISO 14001) is a preferential feature in the selection of partners. In addition, all new suppliers (not imposed by customers) of outsourced processes (e.g. stamping, assembly and painting) are selected by PSC taking into account also environmental criteria.

Suppliers are then required to demonstrate the implementation of those measures that can improve the quality of products and/or processes, the establishment of training courses for internal staff and the development of appropriate methods for managing their suppliers.

All companies that supply raw materials and components are required to enter the final information on their elementary composition directly on the IMDS. This will respect the European Directive on end-of-life vehicles (DIR 2000/53/EC) and its subsequent amendments.

If the customer has contractually defined a list of designated suppliers (the so-called “imposed suppliers”), the material or product to be used for the production is purchased from such entities. In any case, this category is also subject to monitoring, unless otherwise specified in a contractual agreement with the customer.

Finally, it should be noted that a business intelligence tool is active, adopted in 2017, which aims to promote maximum transparency and traceability of the purchase process.

During the reporting year, there were no organizational changes in the supply chain.