Ethics and Best Practice
Supplier relationship management is governed by different policies and protocols to guarantee that solid, lasting and beneficial relationships are built throughout the Bank's supply chain. The most important are:
- Supplier Selection and Management Policy
- Banco de Chile Supplier Code of Conduct
- Risk Prevention Regulations for Contractors and Subcontractors
- Complaint Channel
- Cybersecurity Regulations for Suppliers
Supplier Code of Conduct
In 2022, Banco de Chile implemented its Supplier Code of Conduct, disseminating and monitoring proper understanding and compliance. To this end, it updated the sole supplier form and enhanced the accreditation process by incorporating the SAP-ARIBA purchasing platform to digitize the required documentation.
The code establishes 8 fundamental principles:
- Compliance with the law
- Commitment to uphold human rights
- Commitment to caring for the environment
- Crime prevention using complaint channels
- Asset laundering prevention
- Conflict of interest prevention
- Protection of free competition
- Confidentiality of information
Complaint Channel
Created for any person or supplier to make a formal complaint. For this purpose, the following e-mail addresses have been set up: proveedores@bancochile.cl and denunciasley20393@bancochile.cl, where information is received for objective, impartial and confidential analysis. During this period no complaints were received at these email addresses.
Supplier assessment
Supplier Selection Stages
The process begins with accreditation of the company to verify various legal, commercial, financial and labor aspects. If accredited, they can participate in tenders and submit quotes. Next, prior to awarding the job and/or contract, the criticality of the service is determined on the basis of business continuity, information security, financial results, legal and reputational risk.
The Bank considers additional factors when assessing service outsourcing, related to customer impact, concentration levels and country risk (for foreign suppliers).
Procurement center of excellence
In 2022, the Bank achieved its objective of centralizing all of its procurement processes through the SAP-ARIBA platform, a co-configured tool with elements specific to the Bank's management.
Key Figures
- 97% of the budget was spent on local suppliers
- The average payment term to non-SMEs suppliers was reduced from 16 to 14 days
- 10-day average payment term for ProPyme Seal suppliers
