Correct Purchasing

Prevent. Detect. Respond.

Do.

Involve Procurement in any sourcing and purchasing activity as early as possible.
Consider an adequate number of competitive quotations per demand/tender.
Ensure the selection criteria of a tender are transparent for all suppliers.
Compare offers from suppliers not only based on purchasing price, but also taking into account potential follow-up costs and quality factors such as proof of quality and delivery reliability (e.g. Total Cost of Ownership method).
Ensure a comprehensibly formulated and transparently documented sourcing decision, so that a third party can understand the decision making process later on as well; especially in case of single source decisions and in case that a specific supplier is requested by our customer, e.g. by comparison of alternative offers, plausible/ functional reasoning.
Ensure the correct approval and signature authorization.
Require the supplier to accept Siemens’ Code of Conduct for Suppliers.
Use templates provided by Legal for orders and contracts with suppliers and consult with Legal in case of any deviation.
Accurately specify in the order in the contract the services or goods to be delivered by the supplier (subject, quantity etc.) as well as remuneration, delivery and payment terms.
Check and document the correct office and delivery address, as well as the bank details of the supplier.
Report any signs that suppliers of Siemens might have agreed on a bid rigging/market sharing/cartel scheme.

Do not choose suppliers based on personal preferences.
Do not bypass the defined purchasing processes or fail to involve your responsible procurement function (Maverick buying).
Do not allow suppliers to promise any personal benefits to you in connection with your work in Siemens.
Do not offer any personal benefits to the employee of a supplier in exchange for favorable supply conditions.
Do not sign any contracts with suppliers or release any orders to suppliers outside the applicable Siemens regulations.
Do not split purchasing volumes or order volumes to circumvent the threshold of your signature authorization.
Do not allow suppliers to disguise their company structure.
Do not accept any use of anonymous payment methods for payments to suppliers (e.g. cash payments or payments to numbered bank accounts).
Do not accept invoices from suppliers that lack an exact description of services provided, or that do not match the contract/ the order.
Do not enter into any cooperation with a third party in the procurement processes (e.g. bench marking, the formation of purchasing groups and alliances) if you are not sure that there are no antitrust issues.