Supply Chain Capacity Building
We're committed to working with our supplier partners and their factories to help them develop the capability to improve working conditions by investing in education, training and operational efficiencies. In 2012, we created our Supply Chain Capacity Building (SCCB) program, which brought together established training modules (Orange School Program, Supplier Development Program and Supplier Round Table) and newly developed modules (Factory Audit Orientation and Violation Correction Training) into a well-rounded collection of instructional curriculum.
The SCCB program components vary from half-day group training sessions to several months of one-on-one engagement with suppliers and factories. Topics range from Responsible Sourcing orientation to managing issues that are regionally specific to developing systems that encompass many facilities within a supplier's manufacturing base.
SCCB is an integral part of our overall strategy to effect continuous and sustainable improvement within the facilities that produce our merchandise.
Factory Audit Orientation
Factory Audit Orientation is a training program that prepares new factories and associated suppliers for participation in the Responsible Sourcing program through training in the following areas:
- Walmart's Standards for Suppliers
- Social and environmental compliance
- Fire safety standards and requirements
- Chemical and machine safety
- Dormitory and canteen standards
- Audit scope and factory disclosure
- Factory audit process, results and consequences
- Country- and region-specific trends, laws and best practices
- Effective corrective action plan development
Violation Correction Training
Factories with higher-risk observations are requested to attend Violation Correction Training so they can gain a better understanding of the Walmart Responsible Sourcing program requirements and Standards for Suppliers. The training addresses common trends related to social and environmental compliance, while focusing on topics based on relevance to the attending factory location or industry. Factories become equipped through root cause analysis and corrective action plan development to remedy potential violations and work toward achieving acceptable audit ratings.
Orange School Program
Supplier Development Program
Through our Supplier Development Program (SDP), Walmart has committed to work proactively with our supplier partners to help them improve standards and manage their factories more effectively. The program provides valuable training focusing on key outcomes such as empowering workers and developing effective communication with factory management.
In 2012, we partnered with approximately 100 new suppliers and worked with our suppliers who graduated in 2011 to bring additional factories into the program. As we go forward, we'll continue as guides and advisors for these graduated suppliers as they embed systems into their other factories, taking the program to a sustainable position.
This program continues to promote improved working conditions around the globe with more than 300 suppliers having participated in the program to-date, touching the lives of thousands of workers in our supply chain.
Supplier Round Table
The Supplier Round Table program is a forum for our suppliers, factories and stakeholders within sourcing regions to come together to discuss concerns that impact social, economic and environmental aspects of their operations and to learn best practices from each other. In general, round-table meetings focus on Responsible Sourcing goals and objectives and current issues that are relevant to that region. Previous topics have included: management of contract and migrant labor, fire safety, environmental requirements and best practice sharing on energy efficiency.