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Morris Geissler and Calin Moldovean, Intertek9th Annual Chemical/Petrochemical Strategic Sourcing SummitAmsterdam, 5 March 2014
Your Innovation. Your Success
Sustainable. Your Market Connect
Mitigate Risk. Our Mission
www.intertek.com2
R&D Performance Performance
Issues/Returns/ Recalls
Certification -Compliance
(Tech, Env, Social)
Production Distribution
End user
Supply/Value Chain
Intertek – Strategic Support for the Supply/Value Chain
Training
Advisory
Certification
Auditing
InspectionOutsourcing
QualityAssurance
Testing
CSR
www.intertek.com3
Intertek - Our extensive global network
• FTSE 100 company in the Support
Services sector
• Market capitalisation over £5 billion
• Revenue generation of over
£2.0 billion in 2012
100More than
countries
1,000More than
laboratories
and offices
35,000people
over
www.intertek.com4
Challenges
Innovation in compliance with regulations
Expertise, competencies and capabilities
Fixed cost of technical and regulatory facilities
Material- and Product-Stewardship
Faster and effective market introduction
Innovation
www.intertek.com5
Challenges
Respond to global compliance demands
Risk Validation of Products and Processes
Sustainability
Material and product Stewardship
Volunteer sustainability in your value proposition
Evaluate Health and safety solutions
www.intertek.com6
Challenges
Make decisions on data not on thought bubbles
Risk Mitigation
IP and confidentiality protected
Transfer intangible fixed cost into demand
Do a reliability check
Benchmark risk against ROI
www.intertek.com7
Partnership development through procurement
Buyer Supplier
Buyer / Account manager
BuyerSupplier
Internal organization
Relationship manager
From “Butterfly”Leveraging
To “Diamond”
Collaboration
www.intertek.com8
• Strategic Programs
• Value Creation by complementarity or added value• Development of joint initiatives
• Team: Customers & Supplier
• Supplier and data management platforms
• Define Improvement Projects to meet strategic
objectives• Plan Improvement Actions
• KPI Review meetings supported by supplier data
• Execution of actions / Projects
• Selecting the right expertise and tools/platforms• Global footprint in execution
Partnership Development Model
www.intertek.com9
How can a reliable partner help?
It allows you to innovate
Helps you to focus
Mitigates your risks
www.intertek.com10
They asked for Support from a Third Party…
10
www.intertek.com11
Innovation Case study: Regulatory Compliance Support
gComply: web-based reference of 70,000+ regulations across 175 countries.
News and Issue Management: Daily early warning for scientific
and regulatory events. Track substances, flag events and push info to others.
gComply Plus: Rule-based Red Light/Green Light compliance analysis and
reporting system; Can integrate with a company’s ERP and PLM systems for formulation checking.
Document Management: Manages all compliance documents
including questionnaires, certificates, MSDSs, lab results etc. and enables gap
analysis to identify missing or out-of-date documents. Provides a clear view of your supply chain.
www.intertek.com12
Innovation Case study: „usage of new antimicrobial for food packaging“ pilot scale study
Project included:- Pilot plant processing- Mechanical
characterization- Consultancy- Food contact compliance
study
‘Safety first’ also for lab scale experiments
• Interpretation of available safety data
• Discussions with client
• Documentation of precaution
measures
• Evaluations of experiments
• Share experiences
Lab scale compounding
www.intertek.com13 13
Car ComponentRaw
MaterialRequirement
Case Study - Raw Material Selection Automotive Application
Market analyses
of local
Materials
Prototyping using
standard specimen or mass production
injection-mold
Sampling
&
Testing
Certification
& Recommendation
Selection &
processability Manufacturing
Outsourced
1 approvedmaterial
1,000 compounds
www.intertek.com14
Intertek delivers structure and transparency
Intertek delivers structure and transparency
Risk Mitigation – a Complete Solution
The next generation in Supply Chain Risk Management Services
• Supply Chain Data Analysis and Monitoring
• Supply Chain Traceability
• Predictive Risk Modelling
• Business Continuity Management
• Quality, Environmental and Health & Safety Risk Management
• Anti- Counterfeiting Monitoring
• Customised Assessments
www.intertek.com15
Supplier Risk Management Platform – Best Practice
Risk IdentificationVerification Services
Supplier OnboardingData Cleansing
ProgramManagement
Capacity Building
• Business Qualification
• Systems Qualification
• Training
An Integrated Partnership Approach with an External Service Provider
www.intertek.com16
Case Study – Industry Partnership TfS
Together for Sustainability (TfS) – “An audit for one is an audit for all”
• Founded in 2011 by six procurement officers in the German Chemical Industry
• Purpose to develop and implement a global audit program to assess and improve sustainability practices within the supply chains of the chemical industry
• Assessment results and sustainability monitoring services available on a common sustainability monitoring platform.
• Supplier scorecard automatically visible to all TfS member companies
• Intertek is one of the four approved global auditing & monitoring firms
www.intertek.com17
Business Continuity
� Ensure organizations can quickly and effectively deal with a
significant business disruption
� Minimize revenue loss, enabling organizations to maintain market share and continued investor confidence
� Establish appropriate management practices and good corporate governance
� Proactively handle potential risks and protect the
organizations brand and reputation
� Promote due diligence and overall awareness of potential risks
� Document an overall view of the organizations risk appetite
thus becoming more focused and efficient
� Making the organization more resilient and capable of serving clients during time of crisis
By partnering with Intertek you can leverage the knowledge and expertise of one of the most experienced certification bodies in the industry
By partnering with Intertek you can leverage the knowledge and expertise of one of the most experienced certification bodies in the industry
Leverage our extensive expertise in ISO 22301 and related standards
Leverage our extensive expertise in ISO 22301 and related standards
Business Benefits
www.intertek.com18
Workplace Conditions Assessment 5 modules:
1-Labor2-Hours & Wages3-Health and Safety4-Management Systems5-Environment
Workplace Conditions Assessment 5 modules:
1-Labor2-Hours & Wages3-Health and Safety4-Management Systems5-Environment
Business Benefits
• Measuring and improving working conditions
• Better decision making supported by real time
data with data mining across industry sectors
and country benchmark
• Flexible program to accommodate different company requirements such as corporate
governance and business integrity
• Community sharing program to reduce audit
fatigue
• Greater transparency and trust with WCA
being used or accepted by more than 80
global buyers
Workplace Conditions Assessment
www.intertek.com19
Think Green Initiative
Business Benefits
• Provide greater visibility through environmental commitment and performance
• Reducing environmental footprint and costs.
• Improving material efficiency through better resource management including recycling, reuse of materials, and waste reduction.
• Acquiring sustainable business practices.
Think Green Initiative includes:
2 basic assessment modules-Environmental Legal compliance-Environmental Management System
6 individual assessment modules-Water-Air Emissions-Energy-Sustainable Production-Noise Emissions-Hazardous materials, equipment and waste
Think Green Initiative includes:
2 basic assessment modules-Environmental Legal compliance-Environmental Management System
6 individual assessment modules-Water-Air Emissions-Energy-Sustainable Production-Noise Emissions-Hazardous materials, equipment and waste
www.intertek.com20
Performance Benchmark
•By global
•By country
•By industry
�Water & wastewater
�Energy
�Cost savings
�Air pollutants
�Solid waste
�Hazardous chemicals
Sustainability Data collection•High Performance
•Medium Performance
•Low Performance
•Very Low Performance
Performance Rating
Provide knowledge and insights into environmental performance and
sustainable practices
Case study: Think Green Initiative
www.intertek.com21
Good Practice
Factory 1 Factory 2 Factory 3 Factory 4
Energy
Efficiency
/Renewable
Energy =
Cost Savings
RMB2,521,440
$365,426 RMB120,000
$17,931RMB 943,426
$140,496
Rp.1,872,000,000
$187,200
Recycle heat from
air pressed generator and
reuse in dyeing
process
Solar heating
system for dormitory showers
Ro system for
Nickel recycling
Energy saving
bulbs
Good Practice Factory 1 Factory 2
Resources &
Material
Efficiency
Recycling of wastewater Raw material usage
efficiency improvement
Achieved 0.7%recycling rate
Achieved 8%solid waste reduction rate
Cost Savings through Good Practices
www.intertek.com22
Managing and reducing hazardous chemicals throughout your supply chain :
Comprehensive chemical management program
� Identify the source of hazardous chemicals
� Educate & train employees
� Implement a plan for reduction
� Demonstrate effective results
Managing and reducing hazardous chemicals throughout your supply chain :
Comprehensive chemical management program
� Identify the source of hazardous chemicals
� Educate & train employees
� Implement a plan for reduction
� Demonstrate effective results
Environmental Chemical Management
Business Benefits
• Provide greater visibility through environmental commitment and performance
• Leveraging insights for green production and sustainable purchasing.
• Achieving good corporate governance and preferred supplier status.
• Demonstrating commitment and robust ‘green’
credentials to stakeholders
www.intertek.com23
Customised Outsourced Assessment Services
Can you see through?Can you see through?
Business Benefits
• Create better suppliers based on a continuous
improvement approach
• Increase facility compliance through our
qualification programs
• Provide 2nd party audit for client specific
programs, 3rd party certifications, as well as training and capacity building options for suppliers
• Accredited to all major international auditing
standards
www.intertek.com24
Supply Chain Control – Managing Data & Risk
� Who exactly are my suppliers?
� How many direct vs. in-direct?
� My level of traceability/ trust?
� Pre-qualified for tender?
� How can I find more buyers?
� How can I register as a supplier?
� Where can I establish a trusted profile?
SuppliersBuyers
Where can I find the answers?
www.intertek.com25
Find Your Perfect Match - - TradeGood
Genuine buyersSourcing needsCompliance needsRisk and Due diligence needs
Genuine and qualified suppliersBusiness informationCapacity and capabilitiesCompliance performance
www.intertek.com26
IntertekSupply Chain
Support
Global & Responsive
New-market presence;
Fast services, locally;100 countries
Knowledge
Focused in each supply chain area &
industry
Assurance
Greater visibility & control; Integrating
multiple services
End-to-end presence
Support across the entire
chain; Innovative quality solutions
Independent view
On risk; Different angle to developer
From Quality Control to Quality Confidence
www.intertek.com27
Intertek Value Proposition
Meeting global
regulatory compliance
Meeting environmental
health and safety
standards
Meeting the sustainability
agenda
Providing solutions to manage your supply chain
Support in innovation enabling
swift market response
On demand supply of
technical and regulatory resources
www.intertek.com28
Valued Quality. Delivered.