106

Contract value by location 1, 2 No. of suppliers by location 1, 2

SUPPLIER TyPE by gEOgRAPHICAL SCOPE

1 Segment v suppliers are excluded (outside the scope of purchasing management). 2 The reported information refers to purchases made by the Purchasing and Contracting Department, excluding purchases of crude oil and other raw materials.

Another commitment in 2017 was to create plans to encourage local procure- ment. We carried out a process to iden- tify and assess candidate local suppliers, looking to the impact of local procure- ment on the Company, so as to identify contracts that could be managed locally.

As one such plans, in Colombia we imple- mented a specific programme to reinforce local suppliers in one of the areas where we operate. We conducted research on

local enterprises to assess their maturity and ability to supply goods and services. by doing this we identified supplies and services that could be contracted locally, and created a methodology that can be extended to other locations. Thanks to this programme, 55 local business people in the Caracara (Colombia) area trained and graduated. In 2017, the project was extended to the Casanare area in Colom- bia, and has also been replicated in Peru.

SPAIN 50% LOCAL SUPPLIERS 1,2

GLObAL 28% LOCAL SUPPLIERS 1,2

28% Local

18% Local

57% Non-local

66% Non-local

6% Locally established

25% Locally established

CHAPTER 5 Cepsa in 2017