Camelot has brought in the Chartered Institute of Purchasing and Supply
to analyse its supply chain practices as part of the UK National
Lottery operator’s efforts to improve the social and environmental
impacts of its procurement policies.
‘We want to make sure
from an industry peer group that our policies, approaches and outputs
are among the best within the UK,’ said Stephen Day, Camelot’s head of
supplier development.
At present Camelot examines new
suppliers to ensure that they conform to its statement of corporate
principles. Its procurement team meets the main suppliers at least
twice a year, as well as making occasional site visits.
Camelot does not write social or environmental clauses into
its supplier contracts, but the practice is becoming more common, and
Cadbury Schweppes, one of Camelot’s large shareholders, now makes use
of them.
Contracts are usually scrutinized at the beginning and end of
a relationship. ‘Keeping that relationship alive and dynamic through
dialogue is the most important thing to do in my opinion’, said Day.
An
important feature of that dialogue is Camelot’s annual supplier
relationship survey. Last year 97 per cent of suppliers were
‘satisfied’ with their overall relationship with the lottery provider
and one in six said their environmental and social performance had
improved as a result of continuing dialogue with the company. Camelot
spends 80 per cent of its £200million ($350m) annual procurement budget
with 170 main suppliers.