AIS is committed to cooperating with partners throughout its value chain and maintaining long-term relationships
while considering sustainability and the creation of value for its products and services that meet the
expectations of all its stakeholders. Towards this, the company engages in policies and strategies for
procurement aimed at maintaining its competitiveness and standards for collaboration with business partners
while also prioritizing economic, environmental, social, and governance matters. These policies direct all AIS
operations, including those of new and existing business partners and are the basis for the following code of
ethics:
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Fair Procurement
Ethical business practices, transparency, auditability, anti-corruption practices, and strict legal and regulatory compliance are emphasized as well as consideration towards social responsibilities, labor treatment, human rights, and sustainable partnerships.
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Green Procurement
Environmental requirements are used as criteria for auction and preferences for all product and service categories.
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Distribution Channel Quality Control Standards
Evaluation of the quality of distribution channels is undertaken with different standards applied in accordance to the capability of main partner channels as to control the quality and service standard of each channel. Evaluation includes:
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Conditions for selecting large scale distributors
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Code of Ethics declared for all business partners
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Guidelines for distributor operations
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Benchmarks for measuring sales and service quality
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Supply chain risk evaluation and risk management processes
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On-site inspections of crucial partners or partners presenting social and environmental risks material to AIS operations
Partner Selection and Sustainability Risk Assessment
Determined to work with partners, AIS engages in an evaluation process of partners and risk assessments as appropriate throughout the lifecycle of its partnerships. Assessment begins with an overview of the partner’s sustainability and an evaluation of their material business, social, and environmental operations.
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Preliminary Screening
Newly registered partners have their fundamental environmental, social, and governance information evaluated and are also assessed in terms of conflict of interest, corruption and fraud history and compliance with the AIS Code of Ethics.
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Pre-Procurement Screening
Prior to procurement from key partners, AIS thoroughly screens their governance, corruption and fraud history, labor and human rights practices, workplace safety and health, and environmental practices. AIS includes a Code of Ethics as standard in its partnership contracts along with requirements that pertain specifically to the partner.
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Annual Audit and Evaluation
Annual sustainability evaluations are undertaken for all partners using a survey, site visits, observations of key proceedings, and an independently carried out evaluation of the partner’s understanding of the AIS Code of Ethics. Tier 1 partners are also asked to communicate sustainable business practices to Tier 2 partners.
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Remedial Action and Follow-Up
Following a ranking and scoring of partners based on risk evaluations, partners with high risk in the area of sustainability are required to compile an approved risk mitigation plan and timeline ensuring identified risks will be minimized to acceptable parameters. Regular follow-up and inspections are undertaken to ensure proper management of the sustainability risk.
