Investor Presentaiton
Partners
MANAGEMENT OF SUPPLY CHAIN
|G4-DMA: Environmental evaluation of suppliers, G4-DMA:
Evaluation of suppliers in labor practices, G4-DMA: Freedom
of association and collective bargaining, G4-DMA: Child
labor, G4-DMA: Forced or slave labor, G4-DMA: Evaluation of
suppliers in human rights, G4-DMA: Evaluation of suppliers in
societal impacts, G4-12|
Embraer's supply chain is divided into 1,200
direct suppliers, with which resources are
traded for the manufacturing of products,
and 3,000 indirect suppliers, who support
technical and administrative activities. The
relationship with this public is guided by the
Code of Ethics and Conduct (see page 18)
and goals are established in the Master
Sustainability Plan (see page 7).
Business partners are subject to risk as-
sessments that include monthly monitor-
ing of performance indicators, face-to-face
audits at contractor companies' plants and
the periodic assessment of environmental
impact surveys. In addition, all contracts
contain clauses regarding human rights
and labor as well as environmental laws.
This year, no significant negative impacts
were identified with regard to labor practic-
es in the supply chain. [G4-EN32, G4-EN33, G4-LA14,
G4-LA15, G4-HR1, G4-HR4, G4-HR5, G4-HR6, G4-HR10, G4-S09|
EVOLUTION
OF PDCA
IN 2016
$
Increase of 12% for
delivery volume and
increase of 12.4%
for billing.
Part numbers number
2014
2016 +10.1%
High risk suppliers
2014
2016 -83%
Direct employment
2014
2016 -2%
On-time deliveries
2014
2016 +7.7%
(97.2% of deliveries
made on-time)
AERONAUTICS CHAIN
DEVELOPMENT PROGRAM
(PDCA, IN PORTUGUESE)
In partnership with the Brazilian Industrial
Development Agency (ABDI, in Portuguese),
the PDCA seeks to improve all companies
involved in the direct supply of industrial
processes. The initiative was based on the
Excellence Management Model (MEG, in
Portuguese) of the National Quality Foun-
dation (FNQ, in Portuguese) and promoted
significant improvements related to service,
costs, quality and waste reduction.
EXCELLENCE IN
MANAGEMENT PROGRAM
(PEG, IN PORTUGUESE)
An initiative that aims to enable indirect
suppliers to continuously pursue excel-
lence, contributing to increased productivity
and technical improvement.
Companies - selected from risk mapping and
cost reduction opportunities - participate in
courses on lean management philosophy
and receive guidance for kaizen practices
(continuous performance improvement).
EVOLUTION OF
PEG IN 2016
3 classes
trained
600
17 projects
completed
14 goals
defined
231 measures
identified
32 hours of
training
-0-0-
28
More than
640 hours of
kaizens
Reduction of
169 days and
9 hours of
processes
Savings of
R$12 million
38
TAGENI
1.
IDENTIFICATION
OF SUPPLIERS
2
THEORETICAL
TRAINING
3_
KAIZENS
4
PRESENTATION
OF RESULTS
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