Responsible Management

We know that the procurement of goods and services for our operations generates impacts on the Company, the economies where the procurements are made, and the environment. This is why our supply chain is committed to generating value by considering our suppliers and their workers, our neighbors and the economies of the areas we operate in, with particular emphasis on environmental protection.

Selection and evaluation of suppliers

Our policies and procedures have been designed to encourage the participation of multiple suppliers, promote healthy competition and obtain the best technical-commercial proposal for the required good or service. The process is based on selection criteria that include legal, technical, environmental, labor and occupational health and safety aspects, which can be expanded on a case-by-case basis. In 2023, aspects of circular economy, Human Rights, sustainability and equality policies were included in the selection criteria of some processes.

Sustainability approach in supplier management

Our commitment to sustainability extends to our suppliers.

• We have an internal framework that monitors and oversees the incorporation of sustainability into supplier management
• We continually review procurement practices to ensure alignment with our Supplier Code of Conduct
• We train our buyers and other internal stakeholders on their roles in incorporating sustainability into supplier management

In the event that a supplier does not meet the minimum sustainability requirements within a set timeframe, it could be excluded from procurement process invitations.

Contracting with local suppliers

Through our commitment to generating value for our stakeholders and to the development of the territories where we operate, we established guidelines for the local procurement of goods and services.

Hiring by service providers

The suppliers that provide us with services hire or employ personnel locally, regionally and nationally, creating job opportunities in the places where we operate. Hires are classified as skilled or unskilled according to their profiles.

Labor management

In Colombia we are supported by a consulting company specialized in labor matters that every month compiles information about contractors in the operation through an application called ARCO, an administrative and accounting software for comprehensive management that has a specific module for human talent.