2023 UNIVERSAL REGISTRATION DOCUMENT

Percentage of revenue allocated to purchases

In 2023, VINCI continued rolling out its responsible purchasing approach, aiming to systematically take into account relevant workforce related, social, ethical and environmental factors when selecting its partners and at each stage in the purchasing process. The criteria for responsible purchasing and the various actions to take these criteria into account are set out in the Group’s responsible purchasing guide.

The governance for purchasing teams is structured to ensure that this responsible approach can be deployed at various levels within the Group:

• A VINCI Purchasing Committee is sponsored by an Executive Committee member, as the Group Purchasing Correspondent, and comprises the Group Purchasing Managers and VINCI representatives from the relevant functional lines (workforce related, social, environment, CSR, ethics and legal). The Group Purchasing Coordination Director acts as this committee’s coordinator and secretary. The committee meets four times a year and has a mission to define and oversee the implementation of the Group’s purchasing policy.
• The Purchasing Directors Committee implements the decisions taken by the VINCI Purchasing Committee. Made up of purchasing directors and managers from each of VINCI’s business lines and divisions, it is responsible for coordinating the various initiatives and actions across the business lines. The Group Purchasing Coordination Director is responsible for coordinating this committee and serves as its secretary.

In addition, dedicated cross-business structures are in place to support Group companies and operations:

• A Group Purchasing Coordination unit, which reports to the Group Purchasing Correspondent. It supports the operational teams and works closely with the functional teams concerned as well as the purchasing departments in the business lines and subsidiaries through an extensive network of buyers. The unit establishes framework agreements for approved suppliers in association with their local internal users and ensures that the Group’s purchasing guidelines are correctly applied by the business lines. Its mission also includes developing and maintaining the data consolidation and information sharing tools at Group level.
• Purchasing Pivot Clubs, set up in six French regions and the main countries where the Group operates, which are linked to the executive Pivot Clubs and whose role is to help improve purchasing synergies and to promote and implement the Group purchasing policy at local level.
• A Responsible Purchasing Committee, which supports the purchasing departments in the Group’s business lines and divisions and whose mission is to ensure that purchasing processes factor in sustainability aspects, while also overseeing cross-business projects or actions bringing together the purchasing teams and the teams focused on workforce-related, social and environmental issues and ethics. This committee is made up of purchasing directors and managers from each of VINCI’s business lines and divisions. The VINCI Responsible Purchasing Manager is responsible for coordinating this committee and serves as its secretary, in addition to liaising between the Group purchasing teams and the teams focused on CSR aspects (workforce-related, social and environmental issues and ethics).

2.2.2 Sustainable and long-lasting relationships with local suppliers and subcontractors

The Group has strong local roots in the countries where it operates thanks to its direct activities, as well as its purchases. Its extensive use of local suppliers and subcontractors is in line with the Group’s commitment to supporting sustainable socio-economic development across its regions. The Group is also committed to promoting balanced relationships with its suppliers and subcontractors over the long term, thanks in particular to constructive and continuous dialogue.

The study conducted by the sustainable development consultancy Utopies© in 2021 on the socio-economic impacts of VINCI’s activities in France found that direct Tier 1 suppliers make up the bulk of the supply chain for the Group’s Energy and Construction businesses as well as its Concessions business. For instance, in France, 59% of VINCI’s suppliers are Tier 1 for all categories of purchases combined, with this figure rising to 90% for suppliers in the building and public works sector.

At Group level, and on each of its projects, VINCI also promotes a partnership-based approach with its suppliers and develops close relationships with small and medium-sized enterprises (SMEs). The Utopies© study found that 49% of purchases across the Group and its business lines are placed with micro, small and medium-sized enterprises. Concerning the key purchasing categories for Group companies’ activities, such as temporary employment agencies or construction equipment hire firms, the Group’s strategy is based on approving a large number of local and regional partners in order to build a strong nationwide network and work with businesses that are deeply rooted in local economies. In its selection and bidding processes, the Group prefers suppliers with strong roots in their regions. Currently, 65% of the Group’s approved suppliers in France are SMEs with a nationwide footprint, and this is true for the Group’s network of local companies as well.

VINCI is committed to developing strong collaboration with its strategic partners. The Group believes that collaborative industry or business-specific initiatives are vital for establishing more virtuous and sustainable supply chains. In 2023, VINCI along with other members of the global coalition Business for Inclusive Growth (B4IG) created the Fair Recruitment Toolkit on Employers & Service Providers. This tool is presented in more detail in paragraph 4.3, “Duty of vigilance with regard to human rights”, pages 269 to 279.

VINCI is also committed to working with social integration structures, social enterprises, sheltered workshops and other organisations that specifically employ people with disabilities. Forty-three percent of VINCI’s approved temporary employment agencies are companies based throughout France whose mission includes promoting integration through temporary jobs. According to the socio-economic study carried out by Utopies©, VINCI places €40 million of purchases with organisations from the social and solidarity economy (SSE) in France, supporting social enterprises, integration organisations, regional employers’ groups formed throughout France to promote social integration through work and qualifications, etc. Alongside this, VINCI Insertion Emploi (ViE) has developed a new support service for the VINCI Autoroutes entities (programme management departments of Escota and ASF) to help with their socially responsible purchasing. This is a voluntary initiative by these subsidiaries, which take social commitments into account when they place their contracts (purchasing supplies, work, etc.), especially in terms of selecting partners or working with people on integration programmes, thus promoting collaboration with SSE organisations in each region.