Vendor management

In Chr. Hansen we want to ensure the best possible purchase conditions regarding cost efficiency.

Vendor cycle

Through strategic sourcing and co-operation with our vendors we conduct responsible supply chain management concerning product safety and product security as well as corporate social responsibility.

We prefer vendors that adhere to the same principles for business conduct as we do.

Vendors approval Open Close

Prior to doing business with any vendor of products and services intended for consumer use, we perform a vendor approval. It is based on a self-assessment which all new potential vendors are asked to perform accompanied by relevant documents (policies, certificates, etc.).

The self-assessment covers three main themes:

1. Main vendor information

  • General company information
  • Financial strength
  • Competitiveness and price/cost transparency

2. CSR (Corporate social responsibility)

  • Responsibility related management system and reporting
  • Environmental issues and compliance
  • Human rights & labor standards, incl. child labor
  • Health & Safety issues
  • Anti-corruption

3. Quality assurance programs (Vendors of direct materials only)

  • Quality & Food Safety management systems (Food GMP and HACCP)
  • Traceability
  • Legal compliance
  • Based on the self-assessment, a total score is automatically calculated, as a basis for the recommendation for approval.

Performance, quality & responsibility Open Close

Where relevant, we carry out vendor audits to assess the vendors’ ability to live up to our criteria.

Vendor performance management

  • Once approval has been initiated, it is essential for Chr. Hansen to keep track of vendors’ performance and  progress to ensure that they live up to the prevailing criteria at all times. The vendors’ performance is monitored  and evaluated regularly to make sure the requirements are met on a continuous basis. Where and when relevant we conduct audits.

Vendor first, then product

  • Our vendor approval process is separated from the approval of new raw materials. This means that in principle vendors are approved irrespective of the products they supply to us. As a responsible company we want  to ensure that we do not buy products, however suitable they may be, from a vendor who does not live up to our demands in terms of Quality and Corporate Social Responsibility.

Our vendor approval process Open Close

Product and consumer safety is critical to Chr. Hansen as a vendor to the food and life science industries world-wide.

A trustworthy and global vendor platform

Our vendor approval system, which extends the quality and risk assessment of the supply chain to also include Corporate Social Responsibilities (CSR) issues, ensures a uniform global approach to vendor approval based on state-of-the-art information technology.

Our strategy is to create a trustworthy and global vendor platform.

CSR & supplier guiding principles Open Close

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