oerlikon

Long-term relationships between Oerlikon and its customers rely to a large extent on delivering top quality. By keeping an open dialogue with our customers we aim to continuously improve our quality and grow together with our customers, creating a common understanding and added value. Oerlikon understands quality as controlled processes, certifications, continuous improvements, and products and services that exceed customer expectations.

ISO certification

For a modern high-tech company such as Oerlikon, third-party quality and environmental management certifications have become an implicitness. Certification serves as a quality seal for customers and is an indication of good management practice. Consequently, all legal entities will be third-party certified according to ISO 9001 (Quality management) by the end of 2007. This includes the new facilities in China (Oerlikon Leybold Vacuum in Tianjin as well as Oerlikon Saurer in Suzhou).

Additionally, all units supplying the automotive industry have received the ISO 16949 certification, an extended certification focusing on the strict technological requirements of the automotive industry. In 2006 Oerlikon achieved the ISO14001 group certification (Environmental Management), including all our major operating units. True to the aspiration of "One Company" the Oerlikon management has decided that all future third-party certifications will be carried out in cooperation with one auditing partner, assuring uniformity.

In order to exceed its own quality standards, Oerlikon will install a corporate customer complaint management system in 2007, covering the whole organization. Here, the customer can file a complaint or a question of any nature, be it technical or order-based. Once a complaint is registered, corrective measures will be taken. We welcome our customers to report all questions or complaints, allowing us to offer satisfactory solutions.

Export control

Europe, several states in Asia and the USA in particular, have been engaged in introducing widely harmonized and continuously intensified export control regulations to counteract the efforts of various countries, to realize the acquisition programs for weapons of mass destruction. As a globally active supplier of vacuum technology, coating plants, space components, solutions and services, Oerlikon has the potential to supply customers in a wide range of industries. Although not producing weapons, experience has shown that especially vacuum technology is an indispensable medium for many state-of-the-art production processes, including weapons.

Consequently, recognizing its responsibility before the law and its customers, Oerlikon issued the Corporate Guidelines Governing Export Compliance. The following points are of particular importance:

• Oerlikon pledges its unequivocal and emphatic support for a policy of nonproliferation; this corporate goal has priority over commercial interest.
• All employees are obligated to actively participate towards achieving this corporate goal in their field of work.
• It is the duty of managing staff to ensure that employees have adequate knowledge of all relevant regulations, by means of trainings and access to regulations.
• In order to ascertain which countries and entities should be regarded as sensitive for the purpose of this policy, Oerlikon will maintain contact with the responsible agencies.
• If Oerlikon has continued concerns regarding the end use, it will terminate the transaction immediately.

During 2006 Oerlikon carried out a number of employee training events in Asia and Europe, as well as specialized training for the newly appointed regional Trade Control Managers. Given the responsibility to ensure uniformity and compliance with national and international laws, these managers will be the multipliers of the corporate directives. Access to up-todate information on laws and corporate procedures is assured by our Intranet. As a next step Oerlikon is implementing a new SAP product "Global Trade Service" facilitating the information exchange and supporting the efforts for compliance processes.

No doubt the key to success is the risk awareness of the employees. If the country of purchase or destination is defined as sensitive, or if the inquiry looks suspicious for other reasons, the case is reviewed by a member of the Corporate Trade Control. The review is thorough, including the involvement of the authorities if necessary. Accordingly, in 2007 Oerlikon will intensify the training for its employees primarily in sales/services, order management, and logistics to improve risk awareness among these crucial employee categories.

Fighting corruption

Believing in the idea of good governance, and recognizing corruption to be a main reason keeping certain economies from developing into democratic markets, Oerlikon endorses the UN Global Compact. Oerlikon pledges a pro-active approach against corrupt behavior on a corporate as well as public level. Oerlikon puts its trust in competing on an open and fair market, based on the quality of its products rather than by using unfair business practices for personal gain. Oerlikon does not use funds or assets for any unethical purpose or to purchase privileges or special benefits by any form of improper payment. Neither does Oerlikon engage in any direct or indirect payments, granting advantages to officials, civil servants, or other private or public decision-makers. Guidelines on this sensitive issue are integrated in the revised Corporate Code of Business Ethics and the new Code of Conduct, which will be released in 2007.