RELATÓRIO ANUAL / 2022 ABOUT FIT FOR GROWTH & ESG INNOVATION BUSINESS SUSUSSTTAINABILAINABILITITYY EMBRAER FINANCIAL PERFORMANCE UNIT INDICINDICAATTORORS S MANAGEMENT OF RISKS ASSOCIATED WITH THE USE OF CRITICAL MATERIALS (RT-AE-440a.1.) Embraer has a vast and complex supply chain across the world. Critical suppliers are identi昀椀ed by means of two important matrices whose combined results allow Embraer to de昀椀ne the best strategy to evaluate and monitor potential risks: EXTERNAL RISK MONITORING Risk Assessment Tools Risk assessment tools allow Embraer to cover risk analysis, 1. STRATEGIC MATRIX: Following the same concept of the Kraljic Matrix, our su- evaluation, and control with a holistic approach in different ppliers are classi昀椀ed according to the complexity of products and services pro- criteria, such as: vided to Embraer, as well as the total expenditure during the contract’s validity. That information is combined with the level of impact on Embraer’s business. The result is the identi昀椀cation of the critical and strategic suppliers. • Natural hazards • Engineering 2. RISK MATRIX: This matrix provides a two-dimensional picture which better • Geopolitical and economical risks • Post-sales estimates the supplier’s vulnerability versus the impact on Embraer’s business. Embraer can identify the critical suppliers which will require more control. • Financial, business-related • Manufacturing 3. CONTRACTS: Embraer guarantees to its suppliers the ful昀椀lment of the proces- • Environment/health/safety • Supply Chain ses of risk analysis and environmental and health requirements, through clauses based on the company’s Code of Ethics and Conduct; such clauses de昀椀ne the • Quality supplier’s obligation of abiding by the sector’s speci昀椀c laws, as well as of com- plying with environmental standards and human rights regulations. 122