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16 April 2013 | Adam Leach
Pirelli has rewarded nine of its global suppliers for making significant contributions to help the company meet its strategic goals.
The tyre manufacturer, which supplies tyres to Formula One racing, rewarded the work of six raw materials suppliers, one components supplier, an IT solutions provider and the firm responsible for printing the famous Pirelli Calendar with the Supplier Award 2013 this month. The recipients were all judged to have delivered against sustainability, quality, level of service, speed innovation, cost, and global presence.
Speaking to SM, Luigi Staccoli, chief procurement officer at Pirelli, explained with the company focusing more on the higher end of the market, getting premium service from suppliers is of great importance.
“Pirelli is moving more and more into the premium tyre market, so we are relying on premium suppliers to perform. We decided to reward their efforts by recognising them with the award,” he said.
He explained the awards have also inspired competition among the suppliers that have yet to be recognised, with enquiries from vendors asking what they need to do to get one. When asked what other means of motivating suppliers the company had found successful, Staccoli said giving vendors longer term commitments and confidence in business stability had proved successful.
Stacolli explained due to its small size relative to competitors such as Michelin and Goodyear the company is more focused on supplier quality over quantity: “We don’t need all the suppliers, we need the right suppliers,” he said.