Our procurement structure has three levels: global, regional and local. Global procurement includes all categories where suppliers are operating on a global level – for example, major mining companies. We have several regional procurement platforms, which ensure our regional sourcing activities are as efficient as possible. The local procurement level uses global or regional contracts, or sources from local partners.
Our shipping and logistics service supports our steel and mining operations, and is an integral part of our entire supply chain, helping to deliver raw materials to our plants around the world and our steel products to our customers. We aim to offer a competitive advantage by generating value for our plants and excellent customer service for all stakeholders.
As a major buyer of goods and services, ArcelorMittal plays a significant role in economies all over the world. Providing efficient and reliable services to our internal customers is key to our success and reputation in this area.
We firmly believe that our long-term growth is linked directly to our wider commitment to the communities in which we work, our employees and the environment. As the leader in all major global steel markets around the world, we believe we have a responsibility to drive sustainability in our industry.
Our responsible sourcing program is fundamental to this aim and forms a key part of our supply chain strategy. The scale of ArcelorMittal’s supply chain means we can make a significant contribution to raising social and environmental standards in our supply chain, which will have a wider impact on sourcing practices in the industry as a whole.
To this end, we have embedded sustainability principles into our general contracts, and set out clear expectations in the areas of safety, health, employee relations and the environment. We do through a collaborative process of supplier evaluations, including the integration of responsible sourcing criteria in our annual supplier performance monitoring system. We also require our suppliers to comply with all the relevant laws and regulations.