LKAB's Supplier Handbook version 1.7 has been released. One change that has now been introduced is that, in new and renegotiated contracts, LKAB allows a maximum of only two tiers of subcontractors.
"The reason for this change is that we want to improve our work with respect to the work environment," says Caroline Wiss, purchasing manager at LKAB.
Communication among all parties is improved if there are fewer tiers of subcontractors.
"The shorter the distance between parties, the better the dialogue with our suppliers or contractors and subcontractors. This allows us greater possibilities for working more effectively with work-environment and safety-culture issues together with contractors and suppliers. We see that the demands we place on how we work with work environment disappear if there are too many tiers," says Caroline Wiss.
In practice, the same contractors can continue to work with LKAB. The difference is that companies must organize themselves in a different way.
"Primary contractors may hire at most two levels of subcontractors. This means that they must have more directly subordinate subcontractors. The first tier must take greater responsibility," says Caroline Wiss.
Other amendments to LKAB's Supplier Handbook refer to the updated Supplier Code of Conduct, traffic violations, emergency telephone numbers and management of emissions.
The Supplier Handbook is available on the supplier page, https://www.lkab.com/en/supplier/