Supplier Management

A long-lasting partnership between Infineon and our suppliers is vitally important for future business development. Our procurement capability and the competitiveness of our suppliers are strategic core elements of our company.

Only by working together with our suppliers to optimize the entire value chain we will be able to secure a distinct competitive advantage in the future.

For the reasons mentioned above, we have adopted a holistic, company-wide supplier-management approach.


Infineon will concentrate on its most important suppliers and develop/maintain strategic alliances with key suppliers.

Goals of Supplier Management are:

• The management of our suppliers, based on the total cost of the relationship
• The concentration of procurement volume on the best suppliers
• The decrease in procurement costs and increase in supplier performance (e.g. quality, on time delivery)
• The improvement of co-operation
• The optimization of the entire value chain in collaboration with our suppliers

We at Infineon strongly believe that we can only succeed if our suppliers, who play a vital role in the whole development and manufacturing process, also give their best. For this purpose, Infineon´s most important suppliers are carefully evaluated.

The Supplier Evaluation process measures the performance and efficiency of suppliers using standard Infineon-wide criteria.

Suppliers are evaluated world-wide. The individual results in each evaluation category are weighted and aggregated to provide an overall result for each supplier. On the basis of these results, the supplier is placed into one of the three standard performance classes that have been defined across Infineon: