Elekta firmly believes in fair trade and honest competition based on integrity, product quality, price and customer service. This Policy sets out how Elekta shall compete vigorously and fairly in full compliance with competition or antitrust laws as well as the rules surrounding public procurement or public tender processes. The policy is designed to enhance and provide further guidance to the standards of conduct regarding the way we should behave in the marketplace as set out in the Elekta Code of Conduct.
The main purpose of competition laws is to protect and foster the efficient operation of a free market by assuring the preservation of competition among companies at all levels of trade. Competition laws thus prohibit agreements, practices and conduct which have a damaging effect on competition, such as agreement between competitors or abuse of market power, both of which can lead to a decrease in business efficiency, restrict innovation and technical development and may lead to higher prices or lower quality or output on the market.
Similarly, public procurement laws are designed to protect open and fair competition with focus on the public marketplace. and to ensure equitable and fair distribution of information without the public buyers getting inappropriately influenced in their decision-making.
Failure to comply with competition or public procurement rules may have severe consequences for Elekta or its employees. It could result in loss of business, substantial fines, reputational damage and in some cases, imprisonment.
In principle, any discussions and/or Agreements with a competitor to Elekta, or even discussions, are prohibited where they pertain to the following subjects:
Exchange of information and meetings with competitors
The mere exchange of information with a competitor could be unlawful, if it may influence the independent determination of a competitor’s commercial policies or strategies. For example, information regarding sales quantities, prices, cost structure, price changes or discounts and other trading conditions or credit terms, or information relating to individual customers and/or suppliers. Never discuss with competitors any other company-specific business plan, market initiatives or market share data and any other confidential information.
Meetings with competitors should only occur for legitimate reasons and only where strictly necessary. Before an Elekta Professional attends a meeting with competitors, they should ensure there is a clear agenda and a logical rationale for the meeting.
Elekta’s participation in trade associations is legitimate, but all Elekta Professionals must ensure that their conduct at trade associations is legal and that the meetings are not a forum for collusion or exchanging of sensitive information such as mentioned previously.
There are certain practices or trading terms with our suppliers, distributors or customers that could harm competition and thus be illegal under competition laws (always contact the compliance or legal department), such as:
A company with such a strong market position that it is able to determine its commercial strategies (particularly pricing) without concern for the reaction of competitors, purchasers, suppliers or customers, is considered “dominant”. In the US, such a position is called having “monopoly power”. High market shares held over time can indicate dominance. If Elekta is deemed dominant in a market, the following are examples of a practices that could be abusive and unlawful:
Authorities, such as the police or competition authorities, enforce the laws regulating fair competition and public tenders and regularly conduct investigations of companies to detect illegal behavior. Such investigations may often begin with an unannounced inspection of the company’s premises, known as a “dawn raid”. In the event of a dawn raid, all Elekta Professionals must follow our detailed Dawn Raid Instructions and Checklist, referenced herein.
Mergers and acquisitions, such as the sale of any Elekta assets or shares, purchase of a third-party business (whether assets or shares), or establishment of a joint venture relationship, are conducted according to Elekta’s M&A Process, which requires Elekta’s Legal Function’s involvement at an early stage.
The general purpose of public procurement rules is to encourage open competition in public market. A public buyer must never get inappropriately influenced in their decision-making during a public tender, and it is strictly forbidden to offer or promise to a public buyer in a tender process any kind of value or benefit, in order to induce, facilitate or remunerate their decision or the fulfillment of an act of their office.
To ensure the above, a public procurement /tender process must be carried out in accordance with the following:
In a public procurement /tender process, do not do the following: