Suppliers have a significant impact on Freeport-McMoRan’s operations and costs. Supplier relationships are key to Freeport-McMoRan’s success. Freeport-McMoRan’s Global Supply Chain manages strategic and high profile commodities and services on a global, regional, and / or local basis.

Freeport-McMoRan commits to conduct all business:

• in a fair and reasonable manner
• with high integrity
• utilizing best available data for decision making enabling accountability
• driving innovation and creativity
• fostering open and honest communications

Commodity Listing

For information on Freeport-McMoRan’s top commodities, please review the Commodity Management area.

Supplier Requirements

We seek to establish mutually beneficial, long-term relationships with Suppliers who demonstrate their commitment to our Supplier Code of Conduct, which is based on our company’s Principles of Business Conduct.   Suppliers are expected to abide by the laws of the countries in which they operate and conduct business according to the Code, even if local customs or practices differ from standards in the Code.

New and existing business partners may be asked to complete an online questionnaire focused on issues of anti-corruption, international trade controls, and human rights compliance via the Freeport Compliance eXchange (FCeX) online due diligence compliance platform.  Completion of the questionnaire enables FCX and its affiliates to conduct supplier-specific risk assessments to ensure our company and those with which we work operate in compliance with relevant U.S. and international laws. Business partners who have received a request to complete a questionnaire should refer to the instructions contained in the automated email message sent by FCeX.  FCeX is available in multiple languages.  For further information, please contact FCX Compliance by email.

Freeport-McMoRan utilizes suppliers who exhibit the highest level of safety awareness, ethical behavior and quality of performance. Key attributes include:

• incorporating safety in all commercial decisions;
• exhibiting the highest level of integrity at all times and in all dealings;
• quality of work; 
• on-time delivery; and
• cost savings innovation.  

        
To get information on becoming a Supplier, please reach out to the appropriate individual noted in the supply chain contacts page.

FCX Compliance Line

The FCX Compliance Line is available 24 hours a day, seven days a week to report incidents or other concerns that raise legal or ethical concerns.  Suppliers can remain anonymous but must identify themselves as a Supplier.

For questions about the Code, to discuss issues or to report a concern: 

• Review company polices available on fcx.com 
• Contact your local Contract Administrator or Buyer
• Contact your corporate Commodity Manager 
• Email the FCX Global Compliance team
• Fill out the FCX Compliance Line form
• Contact the FCX Compliance Line: 

Freeport-McMoRan Global Supply Chain has developed a unique initiative called the “Hourglass”.

Examining The Supply Chain Process

The Hourglass approach requires Freeport-McMoRan and its suppliers to jointly examine the supply chain process from

• operational need identification to
• supplier material purchase and production to
• material and service delivery to
• payment settlement. 

Working Together to Reduce Waste and Increase Profit

The objectives are to understand each business and all related activities that impact both companies. The intent is not to shift costs but rather to seek out opportunities that jointly eliminate waste and inefficiencies, creating shared savings and greater profitability for both companies. This strategic relationship focuses heavily on using data to make better business decisions.

The Hourglass Model illustrates Freeport-McMoRan’s total supply chain cost to Freeport-McMoRan, including the negotiated contractual pricing (the narrowest point) to supplier and Freeport-McMoRan costs that occur before, during, and after need identification. Some of the business processes and costs analyzed in the Hourglass project are represented in the boxes in the upper and lower triangles of the Hourglass. These processes and costs include:

• planning
• sourcing
• emergency ordering
• order fulfillment
• freight & shipping
• stock-out process
• component failure tracking
• receiving & inventory management
• invoicing & billing
• warranty management
• payment processing 

A typical Hourglass project will analyze two to three of these supplier and Freeport-McMoRan processes/costs areas.