In order to sustain the relationship with vendors, the following actions have been taken:

  • Training of vendors on safety and environment

  • Refresher training on SA 8000 to contractors

  • Distribution of pamphlets to contractor workmen about the rights and privileges by contractor cell

  • Vendor Meet, chaired by the Senior Management Team to create awareness on safety and environment.

  • Involvement of suppliers under “People Development Programme” in the Steering Committee/ Programme Committee & Organizing Committee for the “Labour Training Center”.

  • Training on basic attitude and safety/environment orientation to labour/supervisors/contractors.

  • “On line” data generation and analysis for the contractor performance on price, quality, delivery, safety/ environment on ERP (SAP).

  • Development and incorporation of safety/environment criterion in service entry by Works agencies on ERP (SAP).

  • Using safety/environment data integrated to Safety Rating to control future business with Tata Steel.

  • Tripartite initiative with vendor, ICICI Bank & Tata Steel for “Vendor Financing with ICICI BANK” on a WIN-WIN process. This improves the working capital for a vendor. Additional bankers are being considered to create more value in the process.

  • A new initiative called Supplier Value Management programme ensures a cross-functional approach to building relationships with internal customers and suppliers.

The Procurement Division has also created a “single window” to address vendor’s issues. It is a call center based on the Supplier Relationship Management (SRP) concept, designed to address all concerns related to vendors. It is IT enabled and basically addresses concerns/grievances related to payment/changes like E Initiatives etc. for all suppliers.

The Ethics Counsellor & Procurement Division closely monitor adherence to the Tata Steel Code of Conduct by suppliers. Defaulters are penalized as per the norms laid out.

Steps taken by Tata Steel towards social organizations and SSI units for sustainability- in case of social organizations and small-scale industry units, raw materials are issued to the vendors on a ‘conversion’ basis for the supply of finished goods, spares, and consumables. This will help reduce the burden of ‘working capital’ management of these small units. As a social responsibility initiative, social organizations and small-scale industries are patronized by giving them preference when placing orders, which otherwise can be serviced by larger units.

Employees training on relevant aspects of human rights (HR8)
Human Rights issues are covered during training imparted to the employees on the Code of Conduct. The Jamshedpur Works of Tata Steel is a SA-8000 Certified unit. Human rights issues are covered through SA-8000 training under the following topics:

  • No child labour

  • No forced labour

  • Health & Safety of employees

  • Free form of association and collective bargaining

  • No discrimination

  • Fair disciplinary practices

  • Working hours and remuneration as per rules

  • Management systems

175 employees were trained in SA 8000 programme during 2005-06. The employees so trained have been facilitating implementation of SA 8000 and related human right aspects in the Company.

NON DISCRIMINATION
Non discrimination (HR4)
Tata Code of Conduct emphasizes equal opportunities and non-discrimination. The Human Resource Policy of Tata Steel lays stress on recognizing people as the primary source for its competitiveness. The organization is committed to equal opportunities for attracting best available talent and ensuring a cosmopolitan workforce. The quality of life of its employees, developing their talent and maximizing their productivity, and also ensuring transparency, fairness and equity in all its dealings with the employees, is another component of the organization’s HR Policy. Tata Steel has created a position of an Ethics Counsellor to monitor any discrimination in its activities, services and products. The concerns monitored and resolved by the Ethics Counsellor during in the last three years are presented in”Bribery & Corruption (SO2).
  

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