tools to assess supply chain risks and engage suppliers on improvements rachel wilshaw, ethical...
TRANSCRIPT
Tools to assess supply chain risks and engage suppliers on improvements
Rachel Wilshaw, Ethical Trade Manager
Laura Hancock, Ethical Purchasing Officer
The scope of Oxfam’s purchasing
MarketingTradingInternational
Development
Humanitarian
Campaigns and Policy
Finance and IS
HR
Labour issues in global supply chains
• In the Bangladesh garment industry, only 25% waged workers have contracts
• In the Moroccan agriculture industry, only 20% of waged workers earn the legal minimum wage
• In the Thailand shrimp industry, 40% migrant workers regularly work shifts >12 hours.
• Across 98 manufacturing sites assessed by Impactt, child labour was found in 25% cases.
Traditional audits miss significant labour issues
• A factory Oxfam wanted to source from ‘passed’ a commercial audit but a ‘forensic’ audit found child labour, wages below minimum and faked records
Oxfam Purchasing Flow Chart
Oxfam tool to decide audit approach with a supplier
Engaging suppliers: Supplier Day workshop on ethical purchasing
Engaging suppliers: new Oxfam GB global centre
• New build offices in Oxford
• Major procurement and ethical purchasing challenge– Complex supply chain– Labour issues new to
industry• Dialogue with contractors
at selection stage• Joint assessments of with
sustainability consultants
Oxfam recommendations for Better work in better supply chains
1. Better job security2. Better relations between management
and workers 3. Better purchasing practices4. Smarter audit programme and support
for government regulation5. Work with others6. Be transparent
www.oxfam.org.uk/business