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With over 70 per cent of our manufacturing costs in our external supply chain, suppliers make a vital contribution to our performance. Rolls-Royce seeks to encourage suppliers to work openly and collaboratively with us on our continuous improvement journey. This means continuously looking for better ways of working together across the broad set of our activities, from the research and development stage, through product design, and into manufacturing and after sales. At all these stages we work closely with our suppliers to assure the quality and competitiveness of our products and that processes are sustainable.
Rolls-Royce carefully considers the balance between economic, social and environmental aspects in our global sourcing decisions. Suppliers are expected to fully comply with all our policies for the supply chain, including the Rolls-Royce Supplier Code of Conduct. This Code sets out the standard expected of our suppliers at all times. We expect our suppliers to be ethical, corporately responsible and to comply fully with local laws and regulations. Specifically, the code specifies our expectations in: