The Bank and Group Vendors evaluation is being held through three main pillars:
1) Evaluation during bid evaluations/ tenders, using specific model and weights.
2) Evaluation per project, where project managers evaluate the vendor during the project and also at the end, by creating specific vendor profiles that cover the full range of services offered.
3) Annual vendor evaluation where the overall Vendor – Group relationship is presented to the Management.
For the above there is a common Supplier evaluation process, applied throughout the Eurobank Group, and also an integrated evaluation platform that includes as default, green criteria as well.
The methodology applied is the same for all vendors and it is conducted by a number of evaluators coming from the Business Units involved and the Group IT (regarding IT equipment supplies), who are the main recipients of goods and services supplied by the Bank.
More specifically, the Bank in 2019 conducted evaluation for IT suppliers, consulting services, technical services and construction projects, as well as for other goods and services, adding for quality reasons and risk management specific indicators which count:
a) the degree of dependence of suppliers from the Bank in relation with their total turnover and
b) the degree of dependence of the Bank from its suppliers in relation with their total turnover in the Organization
The Bank implements in a fully electronic way the whole cycle of supplies, integrating the payment circuit for effective management of all the supply requests. Through the uniform evaluation platform of suppliers, the Bank evaluates both quantitatively and qualitatively its suppliers. It counts and weighs all the basic financial data from the balance sheets of suppliers, while it completes the evaluation with qualitative elements through specific targeted questionnaires to specialized evaluators.
The questionnaires cover the whole scope of the relationship with the respective supplier, in matters of commercial, contractual etc., as well as in matters of wider response, sensitivity and support of the needs of the Bank, within the framework of business ethics and corporate responsibility.
In addition, both in the Request For Proposals issued by Eurobank for conducting tender evaluations and also in the context of its contractual relationship with the cooperating suppliers, particular reference is made by indicating specific terms, to comply with environmental legislation and labor legislation in order to preserve employment and insurance conditions of the working staff who offer services for the Group.
For transparency reasons and assurance of interests the “Due Diligence Process of New Supplier Integration in the Bank” has been configured and is under review and enrichment in order to be aligned with the Sustainability and Climate Change Strategy. Based on the above procedure, the new supplier is called to both submit published balance sheets and all the necessary financial data in depth of three years, and to inform the Bank concerning the legal form of the company, as well as for its beneficial owners and legal representatives.
This Framework, that is covering all phases of the procurement cycle (RFP, supplier evaluations, contracts), is institutionally protected by the Group Procurement Policy. The goal is the improvement of the cooperation framework with the suppliers at a business level and the maximization of the benefit for the Group, not only at a cost level, but also at the quality of goods and services, under the greater goal of formation of new data in the whole market.
Moreover, the Bank runs an e-invoicing program and has agreed with specific suppliers to invoice in electronic way with data that inform directly its central ERP, saving time and paper consumption.
Under the same framework, e-auctions are held through the Ariba marketplace system for specific types of goods and services, thus maximizing both the economic benefit and effectiveness, improving the environmental footprint, saving paper consumption from the submission of economic and technical tenders.
Meanwhile, the established Group Procurement Policy ensures the compliance and protection of the Policy both in relation with the necessity of supply and the containment of operational cost.