Sustainable Supply Chain

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Work, environment, health and safety in the supply chain
 
Benetton Group is committed to the promotion and respect of human rights and the environment.
 
The Benetton Group Code of Conduct is applied to all suppliers and subcontractors, and to anyone who wishes to work with the Group. This Code of Conduct is based on respect for human rights and protection of the environment.
 
It is through this Code of Conduct that Benetton Group applies the relevant international laws and regulations, with particular reference to the UN’s Guidelines on Businesses and Human Rights, dated June 2011, and the EU’s Communication for an Updated Strategy on the Social Responsibilities of Businesses, dated October 2011.
 


 
The Responsible Management of the Supply Chain
Management of the supply chain is a key aspect for the business activities of Benetton Group.
 
Starting from selection and qualification, the relationship with suppliers is based on principles and criteria of product quality and competitiveness, of transparency and respect for social, ethical and environmental principles. Further, to ensure compliance with the principles set out in the Group Code of Conduct, Benetton has developed a check list and it has implemented a CSR audit program that extends periodically to all manufacturers of finished garments. The timespan between the assessments may vary from a minimum of six months to a maximum of two years, depending on the results achieved and the necessity to adopt corrective actions. The audits – which are all unannounced – are performed by internationally recognized external audit firms and are then checked for coherence also internally.
 

 
Risk assessment of human rights impacts
In collaboration with the multi-stakeholder organisation, Valore Sociale, Benetton Group has developed a procedure for risk assessment, designed to work with the principal international, regional and national tools in the field. This aims at redefining corporate business plans through the integration of human rights risk assessments, and the application of any necessary corrective measures.
 
Benetton Group has applied the risk assessment procedure to examine, during a pilot phase that began in 2011, 25 of its suppliers based in India, identified on the basis of their level of compliance with the company’s Code of Conduct. From this stemmed the “Responsible Traceability 2011” project, the objectives of which were:

  • to verify the traceability of the relevant Indian suppliers, through the construction of a tree of suppliers and subcontractors;
  • to perform a qualitative analysis of the portfolio of identified suppliers and subcontractors, starting with the results obtained by the risk assessment, based on the Code of Conduct and the standards established by Valore Sociale.
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