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72nd Annual Report 2016-17
RELATIONSHIPWITH SUPPLY CHAIN PARTNERS
Initiatives on building sustainable relationships with our supply
chain partners
Jaguar Land Rover’s supply chain is complex and growing in line
with our international expansion
In FY 2017, TML has engaged with 105
top suppliers who have reported on their
environmental, social and governance
performance. In addition, we conducted
site assessment of 52 suppliers and the
combined performance is given below:
Our ‘Project Sankalp’ benefits bottom-of-the-
pyramid supplier partners in the areas
of quality, productivity and profitability
through capability building, elimination of
waste (rework, rejections, transit damages,
etc.) conservation of resources and a
better work environment thereby ensuring
business continuity.
Automobile companies have a complex
supply chain. The automobile supply chains
can be broadly classified into - Direct
Material Suppliers (auto components
fitted on vehicle) and Indirect Material
Suppliers (consumables such as paint,
pre-treatment chemicals gases, etc. used in
the manufacturing process as well as other
materials required for supporting processes).
The other key component of the automobile
value chain includes sales & marketing
and after sales service to ensure a superior
customer experience through dealers and
service touch points.
We engage with our channel partners as
well as suppliers very closely. We believe
partnering with our suppliers and dealers for
sharing knowledge and developing capacity,
will add to our cost efficiency and ensure an
enhanced customer experience.
27
ISO 14001 compliant
23
OHSAS 18001 compliant
8
ISO 14001- In process
5
OHSAS 18001 - In process
540322.54 GJ
Total energy consumption
95315.82 tCO
2
e
Scope 1 & Scope 2 emission
12
Lost Time Injury (LTI)
0
Fatalities
3
Suppliers using renewable energy
288980.26 m
3
Water consumption
83086.31 MT
Waste
7.5% female workers
Gender diversity
2
Incidents of non-compliance
(Legal compliance)
7
Employee unions at suppliers
25 suppliers
with near-miss monitoring
Around 72% of JLR’s suppliers participated
in the CDP Supply Chain survey in 2015-16,
which compares well with the CDP average
of 51%. The Carbon Disclosure Project (CDP)
Supply Chain programme is an important
global platform for engaging with suppliers
to help businesses decarbonise and
strengthen their own resilience.
JLR's UK supply chain has grown strongly,
matching its growth story. UK-sourced
components have increased to 50%, creating
GBP 3.5 billion per annum of additional UK
contracts, supporting 200,000 jobs
and taking its total annual manufacturing
spend with UK suppliers to more than
GBP 6.5 billion. In the last five years, JLR's
investment has generated more than 60,000
new jobs in the UK supply chain.