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FCC receives 2012 Ariba Excellence Award


FCC receives 2012 Ariba Excellence Award

FCC receives 2012 Ariba Excellence Award

FCC received the Procurement Effectiveness distinction for its procurement and e-commerce model at the 2012 Ariba Excellence Awards. With these awards, Ariba distinguishes the most innovative companies in the area of e-commerce. The independent jury, comprising representatives from accredited firms specialised in the field, selected the winners from Ariba's database of 1,500 companies worldwide, among them 18 of the Fortune 20 and more than half of the Fortune 100. Other 2012 winners were General Motors, Sodexo, Dell, McDonald's, United Airlines and Auchan (Alcampo). These awards have been granted since 2010, and winners in previous editions included HP, Johnson & Johnson, Caterpillar and AstraZeneca.

FCC is the first Spanish company to receive this prestigious award, which comes at an especially important time when Spanish business is being called into question. For more information:

FCC's procurement model
FCC's Procurement Model is based on: a) the Procurement Department, a global unit based at the parent company (FCC SA); b) processes focused on shared decisions taken by the Procurement Board; and c) an advanced e-commerce tool for the entire supply chain, which ranges from request for quotes through to invoicing and is integrated with FCC's accounting and payment management system.

This is a structural solution which ensures integrity in relations with suppliers and subcontractors and enhances procurement and supply chain efficiency. It leverages the procurement synergies and capacities to create value for FCC businesses by selecting the most competitive suppliers, while also being designed in accordance with FCC's ethical principles.

These include competition and equal opportunities, teamwork between the Business Units and the Procurement Department, transparency in processes and in decision-making, objectivity and consensus among all parties involved in a procurement, and mutual compliance with contract conditions.
FCC is the first Spanish company in its sector, and one of the first in the world, to implement such a sweeping transformation of its procurement and supply chain.

The change is being implemented gradually and across the board. Initially implemented for large procurements, the threshold is being gradually reduced, and end-to-end electronic processing is being implemented, from the request for quotes through to invoicing by the selected suppliers. According to Juan Carlos Montejano, Head of Procurement, as FCC improves supplier and sub-contractor conditions, it is also sharing more efficient processes with them and facilitating contract compliance.

To date, over 1.7 billion euro in procurements have been processed by the new system, attaining an average 12% improvement in price, and 2,457 companies have registered in FCC's online supplier database.

With a view to extending social responsibility and integrity principles throughout the supply chain, all contracts with suppliers and sub-contractors include a clause which requires compliance with FCC's Code of Ethics. Suppliers and sub-contractors of FCC also undertake to adhere to the Ten Principles of the United Nations Global Compact.