Over the past ten years, we have continually refined our methods, tools and techniques to promote compliance in our supply chain. The principal cornerstones of our management approach are described below.
Standards and guidelines We have had a supplier code of conduct for more than ten years ¨C the latest version is our Workplace Standards. Based on extensive experience of applying the Standards, we have produced guidelines for our suppliers, which help us to work together to find solutions to problems in the workplace.
Capacity building and outreachWe train our suppliers so they understand the importance of establishing and maintaining management systems and open lines of communication with those concerned about how they operate, such as government officials, local communities or the workers themselves.
Monitoring and verification We have a dedicated team of auditors, which monitors suppliers¡¯ performance against our Standards. We also value independent monitoring by third parties because it helps us to improve how we work and adds credibility to our programme. So in 1999 we joined the Fair Labor Association (FLA) in the United States, which is a non-profit organisation dedicated to improving working conditions in factories around the world. By working cooperatively with companies, NGOs and universities, the FLA developed a workplace code of conduct based on International Labour Organization standards, and appoints accredited inspectors to conduct unannounced factory visits and check if suppliers are meeting the standards.
Rating We audit our suppliers against our Standards and rate them according to their performance. We use an innovative way to rate the supplier on its ability to deliver fair, healthy and environmentally sound workplace conditions in an effective manner.
Sourcing decision Rating results are incorporated in the overall supplier rating that informs our decision of which suppliers to use. |