Management of Contractors and Suppliers

4.1 Evaluate and select Contractors and Suppliers based on their experience, organizational structure, financial capacity, performance in terms of HSE (Health, Safety and Environment) and the staff’s capability taking into account operational risks and quality standards.

4.2 Contractually set the scope of Supply, the relevant boundary conditions, the responsibility of appointing competent Staff, and the Requirements of SHE and property security1, as well as others that may be applicable.

4.3 Define the roles and responsibilities within the Organization, Contractor or Supplier, and third parties involved, in order to manage the relation between them in accordance with the applicable procedures.

4.4 Regularly conduct monitoring activities, before and during the execution of projects, in order to verify the understanding of and the level of progress and compliance with the scope of procurement and all applicable Requirements; identify the need to supplement, adjust or redefine Requirements; and disseminate the expected results.

4.5 Verify that the employees, equipment and infrastructure of the Contractor and the Suppliers appointed to areas under the operational control of the Company comply with all of the company’s internal Requirements.

4.6 Place special emphasis on verifying the adequate supervision of Contractors’ and Suppliers’ seasonal, short-term or higher-ranking employees involved in Company operations.

4.7 Promote quality meetings at pre-determined regular intervals to monitor and assess Contractors’ and Suppliers’ Performance, resolve the identified deficiencies and instances of non-compliance, and promote feedback as the basis for continuous improvement.