A recent article posted to Supply Chain Digital “raises the point that all companies need to see evidence of suppliers’ own manufacturing and sourcing practices, particularly in health and safety, quality assurance and ethics.”
Due to the risks involved, retailers, associations and others are increasingly refining supplier requirements. Organizations wanting to sell products to these companies must ensure their suppliers meet code of conduct or other specific standards. Walmart is certainly one of the largest companies that comes to mind here and has changed the landscape of supplier compliance in many ways. When qualifying suppliers to Walmart sourcing standards, audits are performed that address global security, social responsibility and general quality management systems. An example preparation audit report performed for a potential Walmart supplier can be found here.