Electronic Industry Code of Conduct. Steve Viera Supplier Corporate Responsibility Manager May 19, 2011
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1 Electronic Industry Code of Conduct Steve Viera Supplier Corporate Responsibility Manager May 19,
2 Why Demonstrate EICC (Code) Compliance? Complete supply chain reputational risk mitigation is the new reality for our industry. Recession boosts global human trafficking.the State Department's annual Trafficking in Persons Report also says trafficking has increased in Africa and slaps six African nations on a blacklist of countries not meeting the minimum standard of combating trafficking..the report cites the International Labor Organization, which estimates that at least 12.3 million adults and children are victims of forced labor, bonded labor and sex slavery each year. Silicon Sweatshops 20 November 2009 goodelectronics.org Jonathan Adams and Kathleen E. McLaughlin Hourly wages below a dollar. Firings with no notice. Indifferent bosses. Labor brokers that leech away months of a worker's hard-earned wages. A corporate shell game that leaves no one responsible. Such conditions are widespread at the contract factories cranking out some of the most popular gadgets on the holiday season s gift lists, according to labor rights activists and workers interviewed by GlobalPost.. The Conversation: Congo and Your Computer ABC News with Diane Sawyer, June 29, 2010 Reputation is no longer a substitute for data 2
3 Electronic Industry Code of Conduct/ Citizenship Coalition (EICC) Founded in 2004 to create a sector code of conduct and means for efficient / consistent implementation By working together, the industry can reduce potential code/audit proliferation, leverage resources, and make progress faster than solo-efforts A vector of positive change for Technology firms to embrace and drive the effort 3
4 EICC is: Electronic Industry Code of Conduct/ Citizenship Coalition (EICC) A Code of Conduct a minimum standard of expectation for the electronics industry and its supplier network A coalition or collective of many large electronic industry companies working to implement a Code of Conduct ( CofC or Code ) via the methodology A methodology not only the collection of thoughts on the CofC, but creation of the methods and tools by which it is to be implemented The Code is intended to apply to all companies in the electronics and computer supply chain, These are the minimum expectations that will be followed by all EICC member companies and delivered to their supply chains. EICC URL: 4
5 EICC Code of Conduct Elements Freely Chosen Employment Child Labor Avoidance Working Hours Wages and Benefits Humane Treatment Non-Discrimination Freedom of Association Permits & Reporting Pollution Prevention Hazardous Substances Wastewater Solid Waste Air Emissions Product Content Occupational Safety Emergency Preparedness Occupational Injury & Illness Industrial Hygiene Physically Demanding Work Machine Safeguarding Dormitory & Canteen A management systems approach drives sustainable solutions Business Integrity No Improper Advantage Disclosure of Information Intellectual Property Fair Competition Protection of Identity Community Engagement 5
6 6
7 7 Supplier Risk Assessment Process
8 8 Supplier Risk Assessment 1 (RA1)
9 Supplier Risk Assessment 2 (RA2) Scorecard for:company Name Date Corporate Questionnaire was Completed:Date Date Facility Questionnaire was Completed:Date Corporate Section Overall Score: 0.00% Facility Section Overall Score: 0.00% Section Score Section Score CL1-Management Accountability for Labor and Ethics 0.00% FL2-Management Accountability and History 0.00% CL2-Company Labor/Ethics Policy and Procedures 0.00% FL3-Labour and Ethics Policy and Procedures 0.00% CL3-Labor/Ethics Management System Status 0.00% FL4-Freely Chosen Employment 0.00% CL4-Labor/Ethics Management System Elements 0.00% FL5-Child Labor Avoidance 0.00% CH1-Management Accountability and History for HS and E 0.00% FL6-Working Hours 0.00% CH2-Health, Safety and Environmental Policy and Procedures 0.00% FL7-Wages And Benefits 0.00% CH3-HS and E Management System Status 0.00% FL8-Humane Treatment 0.00% CH4-HS and E Management System Elements 0.00% FL9-Non-Discrimination 0.00% FL10-Freedom Of Association 0.00% FL11-Ethical Business Practices 0.00% FL12-Labor/Ethics Management System Status 0.00% FL13-Labor/Ethics Management System Elements 0.00% FH2-Management Accountability and History for HS and E 0.00% FH3-Health, Safety and Environment Policy and Procedures 0.00% FH4-Occupational Safety and Machine Safeguarding 0.00% FH5-Emergency Preparedness 0.00% FH6-Occupational Injury/ Illness and Physically Demanding Work 0.00% FH7-Industrial Hygiene 0.00% FH8-Living Conditions 0.00% FH9-Environmental Permits 0.00% FH10-Pollution Prevention 0.00% FH11-Hazardous Substances 0.00% FH12-Wastewater and Solid Waste (Non-Hazardous Waste) 0.00% FH13-Airborne Emissions 0.00% FH14-Product Content 0.00% FH15-Facility HS and E Management System Status 0.00% FH16-HS and E Management System Elements 0.00% 9
10 Supplier Risk Assessment 2 (RA2)- Services Scorecard for: Date Corporate Questionnaire was Completed: Date Facility Questionnaire was Completed: Company Name Date Date Services Overall Score: 0.00% S2-Business Ethics S3-Labor Management S4-Health & Safety S5-Environmental Protection S6-Management Controlled Approach Section Score 0.00% 0.00% 0.00% 0.00% 0.00% 10
11 Supplier Risk Assessment 3 (RA3/On-site Audit) The RA3 is an EICC validated audit(s) conducted at the supplier s facility Key components: Covers all sections of the EICC Code, risk is based on % compliance and/or critical areas It is a single credible process where each facility is audited using a common set of tools Internal Stakeholders Notification Supplier Notification EICC Guidance Document Facilities Demographics Pre-audit Checklist Auditor Capability and Quality Auditor Selection Pre-audit Communication Common Audit Audit Checklist Audit Questions Scoring Audit Report 11
12 Copyright 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.
13 Copyright 2009 Intel Corporation. All rights reserved. Intel and the Intel logo are trademarks or registered trademarks of Intel Corporation or its subsidiaries in the United States and other countries. *Other names and brands may be claimed as the property of others.
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