ŠKODA AUTO is realigning its Purchasing; sustainability criteria will in the future play a decisive role in the procurement of materials and components. Following the circular-economy principle, the car manufacturer is placing even greater emphasis on recycled and recyclable raw materials, thus also meeting the needs and expectations of its customers.
“As the largest private-sector company in the Czech Republic and as a good corporate citizen, we want to set the benchmark in sustainability. We can only achieve this if we also consistently and holistically involve our partners in supply chain management right from the start. This is where our ‘NEW PROCUREMENT’ approach comes in: We’ll now be focussing much more on sustainability and the circular economy in Purchasing. In this context, we’ll also be exploring new business models and looking for new partners, for example from the start-up area.”
Karsten Schnake, Board Member for the ŠKODA AUTO brand’s Purchasing division
With the realignment in Purchasing, circular economy now plays a key role in the Czech car manufacturer’s procurement process alongside factors such as quality and cost efficiency. By comprehensively integrating its suppliers and systematically sourcing environmentally friendly, recycled and recyclable materials, the Purchasing division contributes to the achievement of ŠKODA AUTO’s sustainability goals.
The Czech car manufacturer strives to consistently minimise the environmental impact of its business activities. To this end, the company has established specific benchmarks as part of its NEXT LEVEL – ŠKODA STRATEGY 2030. ŠKODA AUTO is holistically involving its supplier partners along the entire process chain and supporting them in developing innovative solutions. Potential implementation in ongoing operations is then examined in the company’s Development, Design, Quality and Sales divisions. A specific example of this kind of innovative approach is the use of organic residues and natural materials as well as utilising biological raw materials from by-products in Production.
With its new approach to purchasing, ŠKODA AUTO is also responding to the changing demands and expectations of its customers, for whom sustainability is increasingly important.