Purchasing strategy
Patria Group’s purchasing strategy defines purchasing cooperation at both Group and Business Unit level.
Patria Group’s customer projects require the management and control of, and competencies in, sourcing processes at various levels, from the tender invitation phase to the end of the service life cycle.
The task of Patria Group’s purchasing is to promote Patria’s competitiveness and improve its profit and productivity while supporting Business Units. The Group cooperation, joint purchase volumes are exploited, overlapping work reduced and operating methods standardised.
Business Units are independently responsible for the administration of core purchases specific to business operations, while catering for possible synergy gains. Group synergies are exploited in core purchases separately defined as packages covering the entire Group or two or more Business Units. These are controlled at group level.
Common purchases are implemented in compliance with contracts at Patria level.
Business Units are responsible for operative purchases, ordering and recall. Operative purchasing is standardised and streamlined at Group level.
Patria's purchasing team, which is managed at Group level and includes the purchase coordinators of various Business Units, is responsible for the implementation of Patria Group’s purchasing strategy. The team’s task is to promote, coordinate, unify and develop Patria’s purchasing operations and ensure the availability of the necessary resources and competences, while abiding by common rules, contracts and processes.
Patria Group and its Business Units cooperate with suppliers whose operational reliability, quality and price trends form an attractive package from a financial perspective, while catering for risk management and security issues. If necessary, suppliers are expected to split the risk and take more extensive responsibility for the management of the supplier chain.
Patria Group and its Business Units actively seek and invite tenders from the most competitive suppliers while taking account of demands related to offsets and possibilities introduced by EADS. Patria aims at long-term co-operation agreements and operational development in cooperation with its major suppliers, while combining the products and services of smaller and occasional suppliers into larger entities.
Supplier efficiency, reliability and partnerships are monitored at Patria using jointly developed indicators.
The development of purchasing productivity is monitored using business and Group-level indicators, and compared to other operators in the industry in order to ensure continuous development.