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HP Global Citizenship Report  >  Supply chain responsibility  >  Approach

Sourcing


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FY07 Global Citizenship Report

» Introduction
» Global citizenship at HP
» Ethics and compliance
» Supply chain responsibility
» Performance
» Audit results
» About HP’s supply chain
» Approach
» Governance
» Sourcing
» Standards
» Assessing conformance
» Collaboration
» Third-party audits
» Case studies
» Goals
» Perspective
» Supplier diversity
» Climate and energy
» Product reuse and recycling
» Product innovation
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» Social investment
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Integrating supplier SER into HP's sourcing function

For HP's supplier social and environmental responsibility program to succeed, HP's procurement teams must understand SER issues and consider them in day-to-day sourcing decisions. Our supplier relationship managers (SRMs) complete six courses, as well as refresher training, on our supplier SER program.

HP's Procurement Management Process (PMP) defines how our procurement organizations worldwide manage suppliers. The PMP's business objective is to identify and assess suppliers for their ability to meet HP's needs by evaluating risk and applying HP's sourcing strategy consistently.

Supply chain SER is included in the Supplier Evaluation, Contract Development and Execution Management phases of the PMP. Compliance with our Procurement Management Process is audited internally and by external organizations that certify HP's quality system (ISO 9000).

We use a High-Performance Supplier Scorecard to evaluate and improve overall supplier performance. The scorecard has five equally weighted performance categories, including Business, which has an SER sub-category. The other categories are Cost, Quality, Supply and Technology. The scorecard rating system supports HP's commitment to continual improvement toward full conformance with the Electronic Industry Code of Conduct by ranking a supplier's management capacity as well as specific conformance issues. Scorecards are reviewed regularly to identify issues or trends to prioritize. HP also has a reverse scorecard process, where the supplier rates us as a customer on our order and supplier management process.

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