Business Partner

Promoting sustainable business models through responsible purchasing practices

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Ancillary companies and supplier network ​


The Group relies on the contribution of more than 6,700 businesses located in more than 15 countries throughout the world to carry out its own activities. These provide essential goods and services for Brembo’s industrial processes


Brembo pursues an international development strategy with a central focus on the local area and a commitment to create stable relations with local communities. This is proved by the high percentage of purchases received from local suppliers in the same country where the Group operates, equal to 88% of purchases.


 

 

Promoting sustainable business models through responsible purchasing practices​


For Brembo, supply chain management​ is a priority and is essential to ensuring responsible supplies, with a focus on environmental protection and the rights of workers and local communities. Over the years, the Group has established a structured supplier management process that seeks to promote the development of stable relations with its partners, as well as ensuring continuous innovation and improved quality and sustainability throughout the industry. 


This process is structured into three main phases: ​


 

1. Clear communication of the standards that Brembo expects from its business partners in terms of product and service quality, respect for human rights and employee protection and, more generally, attention to ESG issues. 

Furthermore, in this step suppliers are required to adopt the Supplier Code of Conduct​ which summarises the guidelines set out in the Group’s sustainability policy, the rules and principles that Brembo’s suppliers are required to uphold.


2. Assessment of suppliers’ capacity to meet technical specifications and requirements both during the qualification phase through the completion of a pre-assessment questionnaire (includes a CSR section, intended to assess aspects relating to safeguard workers’ rights, counter corruption and minimise the risks for the environment) and during the business relationship. 

In 2018, Brembo issued the Procedure for Managing CSR Audits, which defines the procedures for selecting suppliers involved in audits, the processes for managing third party-audits, related follow-ups and any corrective actions. The parameters for selecting suppliers involved in CSR audits are: the country of origin of the supplies, the turnover with the Brembo Group and the type of production process. 

The objective of the third-party assessment is to identify critical issues affecting areas such as: working conditions, related remuneration and working hours, health, safety and the environment. 

The Supplier is required, for each non-conformity reported, to develop corrective action plans, which are then monitored by Brembo using the same third-party assessment body. ​


3. Supporting suppliers in their continuous improvement activities of their performances and in the strengthening of the ability to innovate. 

The Group promotes opportunities for supplier development, through collaborative initiatives that encourage direct discussion and the sharing of best practice. ​


 

Engagement and awareness raising​


In the area of supply chain engagement and transparency, the main surveys conducted in 2021 were: 

• the Engagement Survey “Materiality Matrix”, which saw the participation of 173 relevant suppliers; 

Engagement Survey “Conflict Minerals”: conducted on a panel of 200 relevant suppliers with a response rate of 90%; in 2021 suppliers belonging to the Friction Materials, Raw Materials and Mechatronics product categories were also involved in the Conflict Minerals Survey as these components are potentially at risk of using these materials; 

Engagement Survey “Cobalt”: unlike the Conflict ​​​Minerals Survey, for the analysis of Cobalt use in Brembo components, the product categories that use this material in the production process were defined and the suppliers belonging to these categories involved. The survey was conducted on 96 suppliers with a redemption rate of 93%. 


The Purchasing GCF together with the CSR GCF has created an area dedicated to sustainability available on the home page of the Brembo Supplier Portal to encourage effective communication, share best practices and develop ​greater sensitivity to sustainability issues through detailed thematic reports, such as sharing a brochure dedicated to Conflict Minerals and another one to Cobalt.

With a view to raising awareness of the importance of sustainability issues, during 2021 the CSR team organised a training course, which saw the participation of the entire Purchasing function located in China and India.​


 

 

 

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Brembo S.p.A. | P.IVA 00222620163

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