Integrated Annual Report 2015
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Logistics and procurement

Two different logistics worlds

Geberit heavily centralised and integrated its logistics in Europe between 2005 and 2010, whereas the logistics organisation of the former Sanitec is decentralised and geared towards the needs of the various brands and regions. Sanitec's logistics organisation and reporting were already incorporated in Geberit's Group logistics in 2015.

Groundbreaking ceremony in Pfullendorf

The integrated logistics of the original Geberit, with a Logistics Centre in Pfullendorf in south Germany and central transport management as the interface between the plants, markets and transport service providers, enables resource-efficient transport solutions. Transport between the plants, for instance, is combined with customer deliveries. This reduces the number of empty kilometres and increases truck capacity utilisation. A cooperation is in place with six main transport service providers for land transport in Europe. These service providers regularly report to Geberit on their quality and environmental management systems – including the reduction of energy consumption and emissions.

With a view to future growth and the continued optimisation of existing logistics processes, the decision was made the previous year – irrespective of the Sanitec acquisition – to further expand the capacities of the Logistics Centre in Pfullendorf and invest around EUR 40 million in this by 2017. The groundbreaking ceremony for the extension was held as scheduled in the spring of 2015.

Sanitec suppliers integrated

The centrally organised Purchasing department looks after the procurement of raw materials as well as semi-finished and finished products for all production plants worldwide (except the USA), as well as the purchasing of external services for the Group. The central Purchasing department became even more important when the purchasing specialists of the former Sanitec were integrated. Once again, an uninterrupted supply of the requisite raw materials to all the plants could be guaranteed in the year under review.

All Geberit’s business partners and suppliers are obligated to maintain comprehensive standards. This applies to quality, socially responsible and healthy working conditions as well as environmental protection and the commitment to fair business practices. The basis for the cooperation is the  Code of Conduct for Suppliers. This Code is aligned with the principles of the United Nations Global Compact and is binding for every new supplier. The suppliers of the former Sanitec are also required to abide by these standards and, by the end of the reporting year, 38 of the 50 main suppliers had already signed the Code, bringing the number of suppliers that had signed the code to 868 by the end of 2015. This equates to more than 90% of the Geberit Group's purchasing volume.