The SEDEX (Supplier Ethical Data Exchange) database is a world-renowned platform that enables information sharing on ethically sustainable production in the supply chain. The SEDEX database helps members support supplier management and reduce risk through information exchange. In this way, improvements are achieved in ethically responsible business practices.
What Are the SEDEX Membership Categories?
Companies register in the SEDEX database as an A, B or AB Member, depending on their type.
A Members: These sit at the end of the supply chain, typically retailers who want to manage their suppliers through SEDEX.
B Members: These are generally manufacturers at the beginning of the supply chain, and are asked to share data on their sustainability performance with their buyers.
AB Members: These are processors and traders in the middle of the supply chain. They receive information from their suppliers while also informing their customers about their sustainability performance.
By joining the SEDEX community, which has more than 30,000 members worldwide, you give your suppliers and/or customers assurance that you meet the best-practice requirements of the SMETA catalogue in terms of sustainability in the supply chain.
Companies that pass a SEDEX audit in accordance with the SMETA guidelines and share this information in the database can show their customers that they respect the principles of ethical and social sustainability in production. Customers, in turn, have the opportunity to manage their supply chains effectively in line with these principles and thereby reduce their risk.
The Benefits of a SEDEX Audit Can Be Listed as Follows;
- SEDEX audit reports provide a single, widely accepted format for Social Compliance Audits, reducing duplicated audits across the supply chain.
- Social Compliance Audits under the SMETA Standard enable companies to share and manage supply chain information effectively.
- SMETA audits strengthen ethical trade programmes in the supply chain.
- Social Compliance Audits under the SMETA Standard reduce social responsibility and sustainability risk.
- Brands and buyers can view and share suppliers' social compliance audits in the SEDEX database.
SMETA Provides a Standard Audit and Reporting Protocol to Consider the Following Points:
SMETA 2-Pillar Audit
- Labour standards
- Health and safety
- Additional elements:
- Environmental assessment (basic)
- Management systems
- Right to work
- Subcontracting and home working. The SMETA 4-pillar audit covers the above and the following
- Environmental assessment (detailed)
- Business ethics
SEDEX Consultancy
Very serious preparation is needed before SMETA audits can be passed. It is hardly possible to be ready for these audits without SEDEX consultancy. As mentioned above, these audits involve a large number of criteria that must be met and very important details that must be observed. All of these are explained within the scope of SEDEX training, enabling the company to go through a fast and easy audit process.
SEDEX Audit
To obtain the SEDEX Certificate, there are certain criteria that companies must meet, regardless of whether they are the supplier or the purchasing party. The general name for these criteria is SMETA.
SMETA (Sedex Members Ethical Trade Audit) is one of the most widely used ethical audit formats in the world. This is because SMETA brings together best practices in the field of Corporate Social Responsibility. Accordingly, the SMETA concept is based on the universal criteria known as the Ethical Trading Initiative (ETI) Base Code. In audits carried out under SMETA, the focus is on working conditions, occupational safety, ethical business practices and ecological standards.
SMETA, which forms the basis of the SEDEX Certificate, continues to evolve in line with its purpose. In this way, it is updated according to the problems brought by changing times and emerging developments. The latest version of SMETA is SMETA 6.1. While the core principles are preserved in the updates, some changes have been made in areas such as human rights and temporary work.
SEDEX audits are generally carried out as 3-4 week, semi-announced, third-party independent audits. ETI uses the Sedex platform. The audited business is assessed against the ETI criteria mentioned above and local laws, and is given a detailed report and a corrective action plan. It is valid for 12 months.
How Is the SEDEX Certificate Obtained?
To obtain the SEDEX Certificate, an audit process consisting of 3 main steps must be successfully completed in accordance with the SMETA criteria.
Self-Assessment Questionnaire
Before the audits for SEDEX and SMETA begin, applicant companies are asked to complete various self-assessment questionnaires.
Establishing the Audit Scope
In the audits carried out for the SEDEX Certificate, an audit team will check the company's social management documentation for compliance with SMETA requirements. At this point, the duration of the audits may increase in direct proportion to the number of people employed by the company and the size of the company.
Reporting
After the SEDEX/SMETA audits are completed, the auditors present the company with an action plan and detailed reports. In line with this guide, called the Corrective Action Plan (CAPR), the company learns which steps are needed to improve its shortcomings.
These steps, determined by the relevant SEDEX committees, are carried out by pre-audit companies authorised by SEDEX or by independent auditors.
