“Camelot should feel very proud of this achievement. We were initially very impressed with the strength of their established CSR practices within the supply chain and their flexible working arrangements with internal customers.”
Michael Campbell, Director of Business Development at CIPS (incl. photo)
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We want to hear what you have to say. At any point in this report you can comment on what is being said on any of our corporate responsibility issues.
Suppliers
Maintaining a close relationship with our suppliers remains fundamental to the success of the National Lottery and Camelot.
We want our suppliers to benefit from their relationship with us and believe they are more likely to do so if we really understand their needs, priorities and concerns. We want to make our relationship with them a trusted one and we aim to act with integrity at all times.
Our supply chain commitments are set out in our purchasing and tendering policy which obliges us to meet high social, ethical and environmental standards in dealing with suppliers. It also commits us to working with suppliers to help them improve their own standards.
We have about 800 suppliers - most of them based in the UK. Within the constraints of a seven-year licence, it's important that suppliers do not become over-reliant on us. We therefore stipulate in our purchasing policy principles that we aim to not account for more than 20% of a supplier's turnover.
To meet this provision, we have set ourselves a target of making sure that no more than 10% of suppliers rely on us for more than 20% of sales. Up to 2005/06 we consistently met this target, with average scores of around 7%.
In 2006/07 we overshot the target. In total, 12.4% of suppliers said that Camelot's business represented 20% or above of their sales, an increase of about five percentage points on the previous year. We believe the increase was primarily down to an increased number of independent consultants responding to our survey.
Our work with suppliers was recognised during the year when we became one of only 70 companies worldwide to receive certification to the Chartered Institute of Purchasing and Supply (CIPS). This prestigious accreditation recognises excellent performance in purchasing policies and procedures.