Hankook Tire aims for win-win business management solutions with its subcontractors based on transparent and fair cooperation that can give rise to sustainable growth and development.
Good products and services begin with high-quality raw materials and parts. Therefore, the quality of our suppliers has a decisive effect on our competitiveness.
Risk & Opportunity
We are clearly aware that our product competitiveness can be strengthened when suppliers are committed to sustainability management. Ensuring transparent and fair transactions and making efforts for improving competitiveness mutually will drive the shared growth and development of both Hankook Tire and our suppliers.
Future Plans and Outlook
We intend to build a follow-up process after the evaluation on suppliers’ CSR and promote systematic management and monitoring system beyond just feedbacks in order to increase their performances in ESG (Environment, Social and Governance). Benchmarks of best practices will also be carried out to set up eco-friendly purchasing policies and action plans.
Progress of Health and safety
Hankook Tire’s declaration on its win-win business strategy with suppliers, management responsibility, and governance
Hankook Tire pursues co-prosperity with its suppliers on the basis of transparent and fair relationships.
Management Responsibility and Governance
- • Chaired by: Purchasing Department Director
- • Supervised by: Purchasing Planning Team
- • Members: Purchasing Team 1 & 2, Raw Material Development Team, Global Quality Assurance Team, Engineering-related Teams
Interviews of an individual directly related to Hankook Tire’s win-win business strategy with suppliers
Jai Hoon Chung, President, U1 Glotech
Firstly, I would like to express my profound gratitude for the opportunity to attend HAnKOOK PARTneR’s Day held by Hankook Tire in September 2014. The gathering was extremely unique in that it was the only one that had been held in the Korean rubber industry, let alone the tire industry, that had ever invited suppliers. This truly unprecedented event was a significant occasion that demonstrated Hankook Tire’s commitment to win-win partnerships and shared growth with its suppliers. I am deeply grateful to know that Hankook Tire consistently goes the extra mile to look out for its suppliers. What especially impressed me about the event was that Hankook Tire shared its management strategy and future facility expansion plans as well as its future vision for actualizing such plans. As a supplier of raw materials, it’s only natural that I am deeply interested in future fluctuations in the demand for our materials. This, of course, partially explains why I found the gathering particularly informative and meaningful. Once again, I’d like to thank Hankook Tire for sharing its future growth vision and plans. All in all, the event was a roaring success. However, I did regret one thing: I would hope to create a more relaxed and natural atmosphere in the future so that those who share the same table could mingle more freely. It is my sincere hope that this event will evolve into a festival for both Hankook Tire and its suppliers so as to pursue even greater shared growth.
HANKOOK TIRE says The 2014 HANKOOK PARTneR’s Day created an invaluable opportunity for us to communicate and share our management strategy and vision with our suppliers. We will ensure that this event continues to serve as a venue for genu-ine shared growth by strengthening win-win partnerships with our suppliers and by expanding mutual exchange among partici-pating suppliers.
2015 major achievements and accomplishments
2015 Achievements● Completed ◐ Partially Completed ○ Not Completed
2015 Achievements Code Key Managerial Issues Goals Achievements Completion SC1 Supplier management and relations policy Set up purchasing policies for the development of local communities
- Managed the percentage of purchasing from regions where production sites are located
● Promote co-prosperity through communication with suppliers (new)
- Held the PARTNER’s Day for natural rubber suppliers
● SC2 Establishment of ethics in purchasing Disseminate ethics management to suppliers
- Figured out how many suppliers have the code of ethics
● SC3 Improvement of suppliers’ ESG Review the evaluation methods for selecting new suppliers
- Adopted the CSR evaluation results in selecting suppliers
- Enacted and amended regulations for selecting suppliers
● Expand the scope of suppliers subject to CSR evaluation and review additional evaluation items
- Expanded the scope of suppliers subject to CSR evaluation
- Added CSR evaluation items
● Establish a feedback process following supplier CSR evaluations and monitor improvements
- Provided suppliers with feedbacks on CSR evaluation results through GHePS
2016 plans and relevant office
2016 Plans Code Key Managerial Issues Commitments Key Index Deadline Team in Charge SC1 Supplier management and supplier relations policies Grasp the current situation to build green sourcing policies Benchmark of best practices Sep. Purchasing Planning Team SC2 Establishment of ethics in purchasing Disseminate ethics management to suppliers Dissemination of the code of ethics Apr. Purchasing Planning Team SC3 Improvement of suppliers’ ESG Enhance supports for suppliers’ sustainability management Expansion of evaluation targets Jul. Purchasing Planning Team Enhance corrective action and follow-up process after the evaluation on suppliers’ CSR Monitoring of improvements Year-round Purchasing Planning Team, Purchasing Team 1 & 2 Request the setup of BCP (Business Continuity Planning) to critical suppliers Establishment of plans by step Oct. Purchasing Planning Team