integrated procurement process at Endesa graphic -> Requirements plan for Business Lines - Vendor rating system - Purchase request management - Tender process - Contract formalisation - Provision of service - Vendor raing


Main results in 2017:

1.887 millions of euros in purchases of materials and services. 5.548 suppliers provided services to ENDESA. 649 suppliers rated in last 4 years. 100% of the contractors in Spain and Portugal

In April 2017, the requirements regarding sustainability were updated in the process of classifying providers, which determines whether or not a supplier complies with the requirements to work with ENDESA. The new requirements are:

  • Assessment of compliance with Human Rights standards
  • Assessment of compliance with Environmental Standards
  • Assessment of compliance with Occupational Safety standards
% verifications that include aspects of sustainability in the supplier qualifcation process - Human rights: 2015 0%. 2016 0%. 2017 49%. Target 2020 100%. Environment : 2015 10%. 2016 15% 2017 69% Target 2020 100%

Within the process of evaluating the sustainability requirements, in-depth audits are expected to be carried out that may even include “on site” visits to verify compliance with the requirements demanded to work with Endesa.

This process is complemented through the Vendor Rating system, which is intended to monitor the performance of suppliers during the provision of service period. The score obtained in the process may serve as an incentive for future bidding processes and to maintain the contractual relations.

Through these systems (classifying suppliers and Vendor Rating), Endesa establishes a continuous dialogue with its suppliers and allows identifying opportunities for improvement, which require the implementation of action plans by the suppliers to maintain the classification, and therefore, to continue being a supplier for Endesa. These plans may incorporate actions intended to improve the environmental behaviour in the provision of service, to guarantee the strict compliance and respect for human rights or deploy safety management systems of its workers with the maximum rigour and excellence.