Supply chain

Mekonomen Group mainly purchases spare parts and accessories from the large European suppliers in the automotive industry. By being a customer of major and recognised suppliers, we benefit from the strict environmental, health and safety and quality requirements already exercised by these players.

Product quality
Quality forms the basis of Mekonomen Group’s offering. We mainly purchase spare parts from the same suppliers that serve the car makers. We set high standards on documentation that ensures the level of quality and that the product is an original part or of equivalent quality. For all spare parts, the concept of quality encompasses the parameters: material, design, function, durability and health and safety. Spare parts made of metal are also covered by parameters such as rust proofing and density. Furthermore the quality assurance for these products takes place through the follow-up of complaints, warranty claims and measurement of frequently returned items. Suppliers that deviate from the rules have to present corrective actions and demonstrate an improved trend. We also conduct our own and independent tests to guarantee continued quality compliance. Our own tests are done in the Group’s testing laboratory in Poland, which Mekonomen Group owns together with the Polish car part company Inter Cars.

ProMeister spare parts
In the development of our own brands, we ourselves assume a greater responsibility for the quality assurance of the products. Our own spare part brand ProMeister stands for premium quality, which means that we choose suppliers with high levels of quality.
In all factories that manufacture ProMeister spare parts, internal audits take place to ensure that they comply with legal requirements, quality requirements and the UN Global Compact. The product range also comprises the industry’s longest warranty period – five years.

Risks and risk assessment in the supply chain
Purchases of the product range under our own brands ProMeister (spare parts) and Carwise (accessories) largely take place from Europe. The percentage of purchases made through direct imports from Asia is below 10 per cent of the total purchasing volume. The Group has a well-developed range of spare parts and accessories for more than 9,000 car models. We stock more than 60,000 items in our wholesale inventory and through contract suppliers have access to another 500,000 items. In order to provide the broad range of parts that our customers demand, Mekonomen Group does business with a large number of suppliers.
To monitor compliance of the large number of suppliers to the UN Global Compact, the Group has introduced a risk assessment process where particular focus is placed on the supplier’s that are deemed to constitute the largest sustainability risks. In the supply chain, direct purchases from small and medium-sized enterprises in Asia make up the largest risk.
Mekonomen Group has a purchasing office in Hong Kong to be present closer to the production in Asia and develops the product range under our own brands. Through the purchasing office, internal audits are also conducted in the suppliers’ factories.

Compliance with the UN Global Compact
For the past two years, all new supplier agreements contain a clause on compliance to the UN Global Compact. The work of updating already existing agreements is continuously under way. Today, suppliers that account for 90 per cent of spare part sales have agreed to compliance to the UN Global Compact, or have presented an equivalent code of conduct of their own that matches these principles.

Anti-corruption
Although the risk is considered higher in certain markets and certain industries, corruption is not geographically limited. Mekonomen Group applies zero tolerance. Today, we make purchases from markets where corruption is a well-known problem, which requires that we actively distance ourselves from these practices. Through a central purchasing organisation that secures all major purchasing agreements for our three Group companies, we have better control over suppliers and the flow of products. Our supplier agreements contain clauses that include anti-corruption by referring to the United Nations Global Compact. In 2015, Mekonomen had no reported cases of corruption.

ProMeister

Own spare parts assortment with the industry’s longest warranty, 5 years.