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Procurement

Excellent Supplier Awards

Overview & Benefits

Every year, PPG recognizes an elite group of outstanding suppliers whose performance has consistently exceeded requirements with our highest level award, the Excellent Supplier Award. 

  • We purchase more than $9 billion of goods and services worldwide each year through thousands of suppliers
  • We rely on our suppliers to be a critical strategic resource in enabling us to meet present and future requirements of our own customers
  • We rate our suppliers on both qualitative and quantitative criteria, which are supported by evaluations from the business and employees who utilize the products and services
  • We recognize those with outstanding performance on a both a global and regional scale

The program serves as an enabler for suppliers to commit to continuous improvement and foster strong partnerships.  

Scope

The Excellent Supplier Award program applies to Procurement’s global supply base, which includes Direct (Raw Materials), Indirect, Logistics, and Energy.

Nominations are submitted within the first quarter of the year, and awards are distributed to supplier by the end of the second quarter.

The top Global and/or Regional suppliers will receive an award for one of the three categories: 

Competitive Advantage & Value Supplier contributes to PPG’s success through outstanding efforts that create value, generate savings, and establish a competitive advantage
 
Sustainability Supplier demonstrates world-class sustainability practices, innovates and develops new products requiring less intensive material and energy consumption, and leverages their strengths to meet PPG’s sustainability goals
Supplier Diversity Supplier meets the diverse criteria (small business, or business owned by a veteran, minority, woman, etc.) and provides quality products or services that deliver value to PPG

Suppliers are rated and evaluated based on quantitative and qualitative criteria which includes, but is not limited to: 

  • Commercial Value – Price, terms, transportation, inventory management, competitiveness, and capability to meet the needs of PPG and our customers
  • Delivery – On-time, accurate, and complete
  • Documentation – Proper and accurate labeling, shipping documentation, and invoicing.  This includes all Safety, Health, and Environmental information requested by PPG or necessary to comply with any laws
  • Quality – Conformance of materials and services to specifications and standards with minimum variability and with all required documentation supporting the conformance
  • Value Add – Additional value and continuous improvement provided to PPG, either tracked formally or informally
  • Compliance – Regulatory, price, environmental, etc.; including mitigating risks for PPG
  • Innovation – New or improved ideas and methods; assists PPG in developing new products or services
  • Responsiveness - Quality and timeliness, including special emergencies, of any requested action             
  • Service – Proactive (vs. reactive), high value account management, customer service, etc.
  • Sustainability – Demonstrated commitment to sustainable operations and initiatives in support of their customers, communities, and employees

Roles & Responsibilities

The program roles and responsibilities span internal functions and well as our external customers and stakeholders. 

  • PPG Businesses and Functions
    • Determine potential candidates and/or support/confirm supplier nominations made by Procurement
  • Procurement Center of Excellence
    • Overall program management:  create nomination form, compile results for Procurement Leadership review, award ordering
  • Procurement Leadership Team
    • Champion program
    • Final supplier selection
  • Procurement Category Management (Global Category Managers)
    • Nominate suppliers with support and approval from key Business/Function stakeholders
    • Provide winning suppliers with award and letter

Goals & Success Factors

  • Demonstrates PPG commitment to partnership with our suppliers
  • Recognizes supplier efforts and contributions to PPG success
  • Promotes the importance around value, sustainability, and supplier diversity that are critical to PPG

Additional References