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Procurement Landscape Current Suppliers Ethical Practices Quality
Parameters Entry Barriers
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With over 300 diverse products in the FMCG, Healthcare and Ayurveda segments, Dabur has a huge global network of suppliers and vendors, purchasing roughly 7,000 items with an annual procurement bill of over Rs 500 crore. The Central Planning and Procurement Division (CPPD) is responsible for purchase operations at Dabur, acting in coordination with the Production and Marketing Divisions.
In this huge operation we have maintained an environment of total transparency and better governance so that we get the best products at optimum costs. We constantly gear ourselves to challenges through
quality checks and cost reduction tools.
Quality checks
- Strict Vendor Certification guidelines to ensure quality and reliable service;
- Regular testing and technical analysis of commodities;
- Maintaining supplier diversity through a dual system of centralised procurement for bulk commodities and decentralised purchases for greater flexibility.
Cost reductions
- Better forecasting of market trends to optimise purchases;
- Hedging forward markets to gain a price advantage and reduce inventories;
- Implementing Supplier Relationship Management (SRM) to build effective communication between Dabur and its suppliers and thereby improve supply chain management;
- Incorporating next generation techniques like E-Procurement
under an agreement with FreeMarkets Inc (Nasdaq: FMKT) to execute online markets. This will help Dabur access a growing pool of certified suppliers, give better market knowledge and increase price transparency.
We value long-term business relationships and expect basic norms of good governance and ethical practices from our partners. The people we are looking for should be able to:
- Offer competitive rates;
- Follow our quality guidelines;
- Have well set out distribution chain for uninterrupted supply;
- Safeguard against interference or blockades from competitors;
- Are willing to abide by contractual obligations at all times.
To be a certified vendor for Dabur, you can view the detailed guidelines and
entry barriers followed by the Company. You can also download the
Vendor Certification Form from our site.
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