Supplier integrity reviews assist mining companies in assessing whether suppliers and contractors present financial, reputational, operational or integrity risks.
Mining operations often rely on contractors for critical services. Weak supplier screening can expose operations to fraud, regulatory concerns, safety risks, reputational damage and operational disruption.
A supplier integrity review may consider company registration, directors, ownership, adverse media, litigation indicators, employee links, related-party indicators, financial red flags and operational capability.
Reviews should be risk-based. Critical suppliers, high-value contracts and sensitive operational services require more detailed checks than low-risk appointments.
Common red flags include recently registered entities, unclear ownership, shared addresses, links to employees, adverse media, inconsistent documentation and sudden changes in directors or banking details.
Supplier integrity reviews should not be treated as a tick-box process. They should be used to support decision-making, risk mitigation and ongoing monitoring.
Effective supplier integrity reviews help protect procurement processes, reduce fraud exposure and strengthen accountability in mining operations.
Author: Adrian van Straaten, CFE | IAFCI