SUPPLY CHAIN IMPACT TO THE GLOBAL ECONOMY

As a global company, we conduct our business operations with a diversity of suppliers, who provide a wide range of goods and services from all corners of the world

International shipping terminal

We recognize the importance of the supply chain and its impact on meeting the energy needs of the global economy, and we take responsibility for our role in it.

Much of our business success is a reflection of our relationships with our suppliers. We partner with suppliers based on:

Quality of their products and services

Reliability and competitiveness of price

Attention to detail and consistency for timeliness

Health, Safety and Environmental management processes

Long-range dedication to the energy industry and to the communities we serve

Ability to establish and maintain long term contractual agreements

By applying best practices to our supply chain approach, we help ensure a positive impact in the communities in which we operate: In 2020, on average 73% of our procurement spending went to local suppliers

We engage suppliers that comply with local laws, provide opportunities for locally sourced goods and services, and look to create opportunities for historically underrepresented groups. This is core to who we are and how we operate as a company.

We are committed to supporting local development in our operations through our supply chain.

Region

% of procurement spent to local suppliers

Central & South America
91%
Middle East
67%
Europe
83%

We ensure all of our suppliers meet or exceed our environmental, health, safety, and performance expectations

Our Supply Chain is governed by policies and procedures to ensure that all goods and services required are:

  • Procured in a fair and ethical manner
  • Comply with the legal, technical and socio-environmental and safety standards essential to successful operation
  • Follow mandatory anti-corruption due diligence through the FCPA as well as unsanctioned international boycott laws

We cultivate mutually beneficial relationships with a diverse supplier base

We are committed to the growth and success of diverse businesses in our global supply chain.

Compliance is a critical part of our operation and the management of our supply chain. We conduct consistent and planned audits with a select number of suppliers for contract compliance.

  • We regularly audit pricing, safety, drug and alcohol policy compliance, invoicing and third party supplier expenses
  • We proactively audit contract management practices to ensure contractual obligations are met

Suppliers not meeting our expectations may be subject to supplemental training and/or contractual remedies, including termination.