In many cases, Electrolux has higher requirements than the local legislation and practices in place, which means that we raise the bar for suppliers when we start auditing them.
Latin America and North America: The number of findings per audit at suppliers decreased from 12.78 to 9.73 between 2015 and 2016. This makes this part of the world best in class. Mexico had only 6.27 findings per audit and the largest improvement (82%) between initial and follow-up audit in 2016, which is far above the global average of 57%. In Brazil, an increased incidence of certain kinds of findings, such as those relating to health and safety, can be partially explained by the economic downturn in the country.
Europe, the Middle East and Africa: EMEA has seen a significant drop in supplier findings per audit from, 12.2 in 2015 to 10.01 in 2016. All types of findings have decreased. The improvement rate between the initial and follow-up audit of 59% remains unchanged from last year.
Asia Pacific: The findings per audit have improved slightly, but there is an increase in the number of certain kind of findings – for instance regarding compensation violations, as well as environmental management. We expect the findings to continue in 2017, as we are increasing our focus on suppliers in South East Asia.
This case study is related to our promise Improve sustainability in the supply chain