Source Locally and Sell Nationally16th May 2007Kevin Swoffer

SALSA Scheme Consultant

Agenda

• Background• Benefits• How it works

Partners

Sponsorship

Background• self regulatory Standards have been successfully introduced into

the food industry for over ten years• meetings were held in July 2004 and July 2005 with a number of

interested parties following requests from companies such as Asda and Selfridges to develop a standard for small suppliers

• series of meetings in late 2005 lead to a joint venture between the British Hospitality Association (BHA), British Retail Consortium (BRC), Food and Drink Federation (FDF) and National Farmers Union (NFU)

• DEFRA, SBS and FSA support• meeting with Jon Bell Chief Executive FSA Jan 2006• ‘The work of the incidents taskforce and its quick wins subgroup

has identified the importance of having standards that cover the whole food chain. We all recognise the need for further work on the storage and distribution sector and the importance of bringing small businesses into the fold. I would be delighted to support the development of initiatives in these areas.’

Fundamentals

• product safety • product legality• supplier’s and buyer’s due diligence

Interested Parties

• Retailers• Food Service• Food Manufacturers• Farmers• Small Business Service• Food Standards Agency• DEFRA• Food From Britain

• NHS• Food Technology Centres• CIEH• IFST• Improve• Forum of Private Business• University of Salford

The Vision (Initial Stakeholders)

• a ‘scheme’ and not a ‘standard’• must be ‘added value’ to small business• minimal costs within a controlled

framework• managed by a professional competent

body• if possible, provide additional services to

small business

The Vision• the scheme owners would ensure the means for the scheme owners would ensure the means for

suppliers to obtain technical advicesuppliers to obtain technical advice• the scheme would provide the route to funding of the scheme would provide the route to funding of

SME’s for such activities as training, purchase of SME’s for such activities as training, purchase of publications and technical supportpublications and technical support

• the scheme would allow technical networking and the scheme would allow technical networking and knowledge exchangeknowledge exchange

• given the need for start-up support, the scheme given the need for start-up support, the scheme should become self-funding through reasonable should become self-funding through reasonable fees, within a defined time period and a cost fees, within a defined time period and a cost controlled structurecontrolled structure

The Vision• the scheme would provide an assessment of a the scheme would provide an assessment of a

supplier’s premises, systems and procedures supplier’s premises, systems and procedures to evaluate if there are any critical food safety to evaluate if there are any critical food safety concerns concerns

• the assessment would be undertaken by the assessment would be undertaken by recognised, locally based assessors who would recognised, locally based assessors who would have to demonstrate their competence have to demonstrate their competence according to agreed criteriaaccording to agreed criteria

• unlike certification scheme the assessor could unlike certification scheme the assessor could provide advice and guidance to the supplierprovide advice and guidance to the supplier

• the scheme should be recognised by key the scheme should be recognised by key industry bodies who would be signatories to industry bodies who would be signatories to the scheme and support it through stakeholder the scheme and support it through stakeholder “governance” meetings“governance” meetings

Scheme Structure and Prerequisites

• independently owned and governed by industry partners and managed on a ‘not for profit’ basis but must be self funding

• a robust assessment accepted by national buyers from the different purchasing sectors

• a professional assessment performed by a credible body of independent auditors who can provide technical guidance

• a low cost and affordable assessment and approval process for small and local suppliers

• continued technical support of scheme participants

Scottish Pilot Areas

Shetland Islands

Isle of Arran

Dumfries & Galloway

• Rural

• Small Businesses

• Quality Products

• Little or no experience of Quality Assurance

Pilot Supplier Selection

Range of Suppliers

• 3 bakeries• 1 cheese producer• 2 dairy (milk & ice cream)• 3 chocolate producers• 1 preserves manufacturer• 1 smokehouse (fish)• 1 brewery• 1 abattoir• 1 flavoured salts / mustards

Benefits• the scheme would be ‘owned’ by industry bodies the scheme would be ‘owned’ by industry bodies

who will utilise the Scheme, rather than who will utilise the Scheme, rather than commercial businesses who simply evaluate and commercial businesses who simply evaluate and have no interest in the development and have no interest in the development and improvement of suppliers improvement of suppliers

• the scheme will allow small food product and the scheme will allow small food product and ingredient manufacturers to provide assurance of ingredient manufacturers to provide assurance of food safety, and thus increase their access to food safety, and thus increase their access to larger customers larger customers

• the scheme will assist larger companies in the scheme will assist larger companies in providing confidence to work with small, local providing confidence to work with small, local suppliers; necessary to fulfilling the requirements suppliers; necessary to fulfilling the requirements of the Government’s Sustainability strategy and its of the Government’s Sustainability strategy and its Public Sector Procurement InitiativePublic Sector Procurement Initiative

• the scheme would help fulfil the increasing the scheme would help fulfil the increasing demand by consumers for local and regional demand by consumers for local and regional produce and food products produce and food products

Benefits• the scheme will discourage the the scheme will discourage the

proliferation of similar Standardsproliferation of similar Standards• the scheme could be the route to the scheme could be the route to

supportive funding and a means to supportive funding and a means to measure the effectiveness of funded measure the effectiveness of funded projectsprojects

• possible recognition of the scheme outside possible recognition of the scheme outside the UK would provide confidence to the UK would provide confidence to overseas customersoverseas customers

Supplier joins SALSA scheme online

Self-assessment against Standard

Auditor submits online report to SALSA

On-site closing meeting and agree action plan

Supplier submits confirmed actions to SALSA within 28

days

Confirmed actions not submitted to SALSA

Operations within 28 Days

Report only issued Approval not granted

Evidence assessed with no clarification required

Clarification or evidence of actions required

Report and Certificate issued by SALSA

Approval granted by SALSA

SALSA Audit in accordance with required frequency

SALSA review clarification or evidence

SALSA Approval Process

SALSA contacts supplier and initial advice provided

Supplier contacts mentor for assistance (optional)

Supplier prepares for approval audit

Auditor conducts SALSA approval audit

Mentor support visits (optional)

Actions or evidence inadequate

Auditor changes audit to mentoring visit

Supplier applies for approval audit online

SALSA allocates auditor who contacts supplier to arrange

audit

SALSA assess report and actions

Process Steps

• application and registration• self assessment• mentoring (optional)• assessment• certification• continued membership

Scheme operation

• IFST appointed as scheme operator • fixed pricing policy• 100% web based• register of trained SALSA auditors and

mentors• central allocation of audits• must meet different stakeholder needs

Pricing Policy for Suppliers

• £450 plus VAT• inclusive of local travel expenses• includes access to web based information

and resources• includes cost of one audit, report,

publication of certificate and entry into approved suppliers directory

Supplier Application• supplier application completed on-line• application checked by SALSA operations• SALSA operations allocate most local

auditor with correct scope• auditor accepts within 48-hours or re-

allocated to next suitable auditor• supplier notified of appointed auditor and

to expect direct contact

Following Application• Supplier provided with user name,

password and initial advice on• how to confirm readiness• access to guidance• self-assessment• use of mentors• possible funding sources

• Auditor provided with unique job reference and suppliers application

• assesses readiness and arranges audit date or• advises on support resources available

Support resources Following application review, the supplier

may be advised by the auditor to perform a self-assessment refer to on-line resources seek support from a SALSA approved mentor refer to possible funding sources

Auditor will arrange the audit to suit supplier after advice on the above has been given

Auditors will be kept informed of various buyer policies and conditions

Audit Performance• Standard duration on-site audit will be one half

day• Auditor records findings on checklist and assesses

level of performance prior to exit meeting• Auditor raises and discusses items for action or

improvement and prepares an action plan with supplier

• Auditor and supplier sign action plan as an agreement

Supplier Approval

• SALSA operations make approval decision based on auditor’s recommendation and returned action plan

• if approved, certificate of approval is issued to supplier• Supplier information entered into ‘approved’ directory with

details of audit date and downloadable certificate• if not approved, no certificate is issued and no entry in the

‘approved’ directory• Suppliers not approved at the initial audit must re-apply• Supplier is given further advice by SALSA operations

regarding further support and resources available

Audit Standard

developed from the existing standards e.g. Safer Food Better Business, CookSafe, EU Food Hygiene Regulations Guidance and the BRC Food Standard

evolved throughout the trial process positive feedback from suppliers on

‘language’ and understanding associated detailed guidance is thought to

be beneficial by suppliers

Audit Standard

controls HACCP and management system documentation premises

Detailed Guidance supporting the Standard

Governance

• Contractual Joint Venture between BHA, BRC, FDF and NFU

• Governance Council chaired by Lady Sylvia Jay

Governance Council

Members• Chair – Lady Jay• BHA• BRC• FDF• NFU

Observers• FSA• DEFRA• SBS/DTI• IMPROVEAd Hoc• IFST• SFQC• Experts

Current Status • Governance Council and constitutional agreements- in Governance Council and constitutional agreements- in

placeplace• the formation of the Institute of Food Science and the formation of the Institute of Food Science and

Technology (IFST) Panel for the registration of Technology (IFST) Panel for the registration of Professional Food Auditors and Mentors- in placeProfessional Food Auditors and Mentors- in place

• the recognition and management of auditors and the recognition and management of auditors and mentors – in place mentors – in place

• the development and trial of a common audit standard - the development and trial of a common audit standard - in placein place

• the development of a common assessment protocol- in the development of a common assessment protocol- in placeplace

• public launch at IFE in March 2007 (19-21 March)public launch at IFE in March 2007 (19-21 March)• SALSA website in operationSALSA website in operation• promotion of the scheme promotion of the scheme • formation of the Technical Advisory Committee formation of the Technical Advisory Committee

www.salsafood.co.ukHelp Line – 01295 724 248