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Impact from operations

Supplier and subcontractor management

ERM utilizes suppliers and subcontractors who exhibit the highest level of safety awareness, ethical behavior and quality of performance.

Key supplier and subcontractor attributes include:

  • Incorporating safe practices in all commercial decisions;
  • Exhibiting the highest level of integrity at all times and in all dealings;
  • Outstanding quality of work; and
  • Cost savings innovation.

To manage suppliers and subcontractors, we track and evaluate data from Avetta supply chain audits, our own Active Leadership Audit Program audits, and subcontractor qualification assessments.

Our Task Force on Critical and Operational Risk Management reviewed our subcontractor management systems, process, procedures, governance and safety culture. This helped us understand where gaps exist between what is written down, what is intended, and what is understood and implemented in practice, and the underlying reasons for these gaps.

As part of this effort, we asked 350 employees from all over the world who regularly use subcontractors for their views and ideas, and we also consulted with a number of subject matter experts who offered their assistance.

The Task Force identified a number of subcontractor-related activities that, if not properly planned and delivered, can result in serious risk to multiple stakeholder groups. In accordance with consolidated Task Force findings, we made several improvements to subcontractor management at ERM, including the launch of a comprehensive subcontractor policy and tools to support the implementation of the policy. Learn more about ERM’s global requirements for suppliers and subcontractors.