Relations with suppliers

 

 

2011

2012

2013

Procurement by macro-class

(€ million)

32,586

31,811

32,814

- works

 

6,782

7,024

5,948

- services

 

15,990

15,283

20,047

- goods

 

6,743

5,449

5,200

- unidentifiable

 

3,071

4,055

1,620

Supplier concentration top 20

(%)

20

15

17

Suppliers used

(number)

31,878

32,621

34,848

Qualification cycles carried out during the year

 

26,936

31,991

46,913

- of which with negative results

(%)

13

6

9

Checks carried out following negative feedback and consequent actions taken

(number)

365

381

451

- suspensions

 

73

69

106

- revocations

 

56

53

9

- states of attention

 

236

259

336

In 2013, Eni’s total procurement valued €32.8 billion. The process of extending vendor management models (Assessment Process Level systems and training) to 4 foreign Countries has continued (in Angola, Congo, Tunisia and Pakistan). Suppliers are subjected to qualification and audit processes as well as performance assessment procedures and verification of corrective actions implemented. Monitoring of suppliers not yet in line with Eni standards (including sustainability requirements) has continued, with the production of monthly reports. In 2013, monitoring activities related in particular to four foreign enterprises and two Italian ones: Eni Gabon, Eni G&P France, Eni Indonesia, Eni Norge, Gela Refinery and Syndial. Communication initiatives were carried out to spread good practices and awareness of procurement issues overseas (in Pakistan, Mozambique, Norway and Angola) in addition to updates on sustainability topics for the personnel of associates at head office.

The status of initiatives encouraging the promotion of good practices in the supply chain management has been maintained. These include participation in the Carbon Disclosure Project Supply Chain, involving significant Eni suppliers; the IPIECA Supply Chain Task Force Working Group on the development of environmental topics and CSR in the supply chain; and participation in the Sustainable Supply Chain Working Group as part of Global Compact Network Italia.