PAS 7000 Supplier Prequalification
Many companies concede the fact that they know only 15% of their suppliers well, while the remaining 85% - including factories, people and machinery – is unknown. In today’s fast moving world, this is a significant problem – particularly since supply chains are always evolving and increasing in complexity.
One example relates to the evolving quality landscape which -encompasses non-physical attributes such as environmental, social and ethical impacts, as well as integrity, security and organizational behaviour issues. Without the right system in place, organizations cannot mitigate damage-arising from poor supplier performance, environmental, natural disasters, cargo disruptions, breaches of labor laws and other unforeseen incidents.
What is PAS 7000?
PAS 7000 Supply Chain Risk Management-Supplier Prequalification addresses these concerns directly and ensures clarity and transparency across the supply chain. It is the first PAS (Publicly Available Specification) in this area and has been developed with a global audience in mind. With PAS 7000, you’ll be able to make informed decisions about whether or not to do business with potential supply chain partners now and in the future.
What are the benefits of PAS 7000?
- Increased Visibility: Provides insight into potential suppliers’ procedures and policies to ensure they align with corporate values and requirements before selection.
- Range of Topic Classifications: Includes a wide range of potentially relevant topic categories to assess supplier qualification in multiple focus areas, such as environmental management, supply chain security and business ethics.
- Cost Savings: Corporations are able to confidently select suppliers based on their compliance and alignment with mandatory requirements to mitigate the risk of a disruption occurring, and resulting financial loss.
- Holistic Risk Management: Helps mitigate potential risks and reputational damage.
The specification distinguishes between direct and indirect suppliers, while ensuring greater transparency and traceability of supplier identities, capacities and capabilities. In essence, PAS 7000 aims to mitigate supply chain reputational risk by asking: Who are they? Where are they? Can they be trusted?
Why BSI Supply Chain Solutions?
BSI offers multiple risk-based solutions and services to help your organization manage and analyze supplier compliance and risk utilizing PAS 7000 self-assessments, and on-site audits.
- The standard PAS 7000 questionnaire is preloaded into our Supplier Compliance Manager (SCM) solution to allow users to customize the self-assessment by adding additional categories, and pushing it to prospective suppliers worldwide.
- Organizations that are utilizing PAS 7000 for supplier prequalification can use SCREEN intelligence to actively monitor and identify high risk sourcing locations based on their area of concern.
- BSI’s Advisory Services can assist an organization in developing and implementing the PAS 7000 Supplier Prequalification Program, as well as identify any gaps in the current supplier management program.