

45
A SUSTAINABLE
SUPPLY CHAIN
Prysmian devotes the utmost attention
and rigour to selection of its suppliers,
from an economic, ethical and
environmental point of view.
Once again in 2015, Prysmian implemented
many initiatives not only to strengthen its
commitment to sustainability and ensure
the quality of materials purchased but also
to verify environmental and social aspects.
The supplier qualification process begins
with responses to a questionnaire, possibly
followed up with further enquiry. During
2015, a total of 9 audits were conducted
at European and American suppliers, and
only in one case was an improvement plan
necessary, resulting in a shift of the related
purchases to other suppliers.
A specific section on sustainability was
included in the questionnaire in 2015. The
questionnaire is part of the “Supplier Quality
Assurance” Operating Procedure, which
requires suppliers to certify the existence of
a specific corporate policy, of mechanisms
that guarantee its implementation and any
third-party certifications.
Suppliers are selected via a formal process
based on an economic and financial
analysis, which includes data about the
risk of dependency or their technical and
technological capabilities and skills.
In order to monitor the sustainability of
the supply chain, the Group also analyses
all associated risks and opportunities.
Prysmian carried out an internal review of
key suppliers during 2014, assessing them
against a number of sustainability criteria.
This review covered about 51%of the Group’s
purchases.
Constant attention to quality
During 2015, as part of its vendor
management of base metal suppliers,
Prysmian undertook a full mapping of all
rod suppliers at Group level.
In fact, Prysmian considers base metals to
haveaparticularlysignificantenvironmental
impact throughout the production cycle,
from extraction, to greenhouse gas
emissions and the consumption of energy
at the refining stage, through to rod
production.
The Group has required 47 wire rod suppliers,
representing about 80% of the total volume
of metal purchased, to complete a self-
assessment questionnaire to investigate
a number of aspects: integrity, fair trade,
conflict of interest, human and labour rights,
use of rawmaterials and energy, greenhouse
gas emissions, water consumption and
related risks. The responses were analysed
by an independent body specialising in
sustainability audit. None of the major
base metals suppliers with whom Prysmian
has renewed its business relationship for
2016 presents impediments in terms of
sustainability.
Base Metals impact
under control
Positive supplier
self-assessment