PA01: Management System & Cascade Effect

Social Management System → set of policies, processes and procedures → office, management, staff members, etc.

Cascade Effect → systems, procedures and competences → to live up to the amforiBSCI Code of Conduct

Business Partners → businesses connected to business partners by commercial relationship → farms, service providers, sub-contractors, sub-suppliers, recruitment agencies

PA01: Management System & Cascade Effect

1.1 The Auditee has set up an effective Management System to implement the amforiBSCI Code of Conduct

... develop policies and procedures, and recognize:

• content of amforiBSCI
• importance of social responsibility
• benefit of social management system
• importance of open communication with customers and stakeholders

PA01: Management System & Cascade Effect

1.2 The Auditee appoints a Senior Manager to make sure the amforiBSCI Values and Principles are followed in a satisfactory Manner

... understand:

In addition, ... assigns the staff responsible for:

• following up on the grievance mechanism and remediation activities, including possible zero tolerance cases
• human resources, including managing recruiting agencies if applicable
• training on relevant amforiBSCI Values and Principles
• continuous Risk Assessment of OSH

PA01: Management System & Cascade Effect

1.3 Is there satisfactory Evidence that the Auditee has identified their significant Business Partners and their level of Alignment with the amfori BSCI Code of Conduct?

Mapping: price, quality, and delivery time, volume, nature of relationship, level of trust and reliability, including social performance

Supply chain mapping may include: sub-contractors, recruitment agencies, catering services, security services, suppliers

Selection: ...

Monitoring: ...

see Guide 2: Supply Chain Mapping of Business Partners

PA01: Management System & Cascade Effect

1.4 The Auditee organises its Workforce Capacity to meet the Expectations of the Delivery Order and/or Contracts

... has control over the production planning

• understanding volume and frequency
• quality checks and delivery time
• workforce capacity
• contingency plan
• organizing overtime according to business needs
• cost calculation (including overtime premium paid)
• Growth expectation and human resources needed

PA01: Management System & Cascade Effect

1.5 The Auditee monitors how its Business Partners observe the amforiBSCI Code of Conduct

Auditee → business partners → share & sign BSCI CoC (mandatory if Farm) → provide information regarding their social performance

Clear procedures:

• monitoring the social performance of business partners
• training staff that oversees the monitoring of business partners
• set consequences in case business partners breach trust

E.g., the auditee should decide which circumstances lead to termination of contracts or commercial relations with a business partner due to disregard for workers' rights or unethical business behaviour.

see: amforiBSCI System Manual Part 1

PA01: Management System & Cascade Effect

1.6 The Auditee develops the necessary Policies and Procedures to prevent and address any Harm done to Workers in its Supply Chain (gender-based, physically, financially or psychologically)

Prevention: conduct risk assessment, create steps, grievance

Remediation: decision-maker and available means, budget and procedures, system to follow up on remedial actions

PA01: Management System & Cascade Effect

1.7 The Auditee Manages its Business Relations in a responsible Manner

... business relations with other business partners are as responsible as the auditee would like to be treated.

... not need to stop business or contracts with business partners if they have difficulties in following the amforiBSCI Code of Conduct. To manage these difficulties:

• Communication channel: let them explain
• Clear procedures: to decide when a contract is terminated
• Specific clause: possibility of ending a business relations or cancelling a contract

PA01: Management System & Cascade Effect

Required Documents

• Job descriptions that include the implementation of the amfori BSCI system
• Documents describing the production capacity planning
• Evidence that the amfori BSCI Code of Conduct has been given to significant business partners
• Signed amfori BSCI Code of Conduct (if farms are part of the scope of the audit)
• Evidence of business partners' social performance (e.g., quarterly reports, audit reports, and valid certificates)
• Evidence that the person in charge of implementing amfori BSCI is qualified
• Copy of the social policies including human rights policy and procedures to implement amforiBSCI
• Evidence of budget allocated to social performance and improvements

PA01: Management System & Cascade Effect

General Discussion: