2005 SUSTAINABLE DEVELOPMENT REPORT

More documents

Recommendations

Info

INFORM AND COMMUNICATE AUDIT FOLLOW UP MONITOR IMPLEMENTING OUR SOCIAL RESPONSIBILITY PROGRAMME WITH OUR SUPPLIERS Procedure for buyers Training: managers and buyers Audits conducted by external audit company Audit process Audit report ■ Pictures ■ Corrective action plan Audit results classified according to a rating scale Audit database THE PLATFORM WE HAVE BUILT General Terms of Purchase – a contract ➔ ➔ ➔ ➔ ➔ Sustainable Development Report_L’ORÉAL <strong>2005</strong> Standard letters to inform suppliers NO FORCED LABOUR NO CONCEALED LABOUR NO DANGEROUS LABOUR NO CHILD LABOUR UNDER THE AGE OF 16 ➔ COMPLIANCE WITH APPLICABLE LAWS AND REGULATION OF THE COUNTRY Our requirements to suppliers in terms of social responsibility and labour standards OBJECTIVES ■ INFORM OUR SUPPLIERS ABOUT: - our requirements on labour standards - social audit objectives and programme EQUALITY/ NO DISCRIMINATION FREEDOM OF ASSOCIATION ■ External auditors —independent and impartial experts on labour issues, with a worldwide network ■ Auditors chosen after survey, meetings with several companies, benchmark based on a precise specification ■ Audit check list, based on main principles of SA 8000 standard ■ Audits steps: - preliminary questionnaire - on the day of the audit: open meeting, interviews, visit, documentation review, meeting with manage- Reports sent to L’Oréal and suppliers in full transparency, same day, same format... ment to share and validate issues before ending audit - follow-up of the corrective action plan, together with suppliers Definition of report format: 10 major chapters, findings and rating for each chapter, best practices/pictures of plants, work shops, findings, etc. Suggested corrective action plan AUDIT RESULT RATING SCALE NON-CONFORMITY ACTIONS ■ GET SUPPLIERS COMMITMENT ON: - our requirements - social audit principles “SATISFACTORY” No non-conformity/best practices Both commercial and production relationship go on “NEEDS IMPROVEMENT” Isolated issues/continuous Both commercial and production improvement relationship may go on Re-audit to be planned “NEEDS MAJOR Major and recurrent issues Interruption of commercial relationship IMPROVEMENT” Re-audit under 60 days maximum “ZERO TOLERANCE” Child labour
➔ ➔ ➔ ➔ OUR OBJECTIVES FOR 2006 ■ Worldwide internal communication to managers and directors who deal with suppliers, from development of new products to production, e.g. at international meetings of: - Packaging Development Managers - Industrial Technical Directors - Purchasing Managers - Quality Managers - Logistics Directors - L’Oréal Executive Committee ■ Create a intranet platform to share real time information worldwide within all teams involved in the programme ■ Communicate and share our values to suppliers worldwide: translation into 5 languages of our documents for communication to suppliers Since 2002, 152 audits conducted, including 33 follow-up audits, in 8 different countries. Group decision to extend our social audit programme of our suppliers and subcontractors in 2006 to cover: ■ suppliers of packaging components, raw materials, and promotional items based on a list of high risk countries ■ 100% of our factories and distribution centres and 100% of our subcontractors L’Oreal aims to commission at least 200 social audits in 2006 L’Oreal is committed to progress on labour and social standards at all stages of the production process —at our own sites, and in our supply chain— at suppliers of our packaging, raw materials and promotional items. SUPPLIER SOCIAL AUDITS ENCOURAGING CONTINUOUS IMPROVEMENT OF OUR SUPPLIERS, WITH FOLLOW-UP AUDITS... 250 200 150 100 50 0 Number of audits 2002-<strong>2005</strong> 2006 SOCIAL AFFAIRS ➔ ➔ ➔ ➔ Raw materials Packaging Production Finished product Promotional item 38 l 39
Page 1 and 2: 2005 SUSTAINABLE DEVELOPMENT REPORT
Page 3 and 4: SUSTAINABLE DEVELOPMENT REPORT L’
Page 5 and 6: correspond to an ingrained need, as
Page 7 and 8: Management Committee 1 SIR LINDSAY
Page 9 and 10: Owen-Jones, Chairman and Chief Exec
Page 11 and 12: care and attention, while having co
Page 13 and 14: ECONOMIC AFFAIRS As an internationa
Page 15 and 16: DIVISION TURNOVER MISSION BRANDS (
Page 17 and 18: CREATING VALUE FOR SHAREHOLDERS Div
Page 19 and 20: 16 l 17 RESEARCH AND DEVELOPMENT L
Page 21 and 22: The L’Oréal Research Institute f
Page 23 and 24: Episkin: reconstructed skin kits as
Page 25 and 26: RAW MATERIAL SELECTION AND SUPPLIER
Page 27 and 28: and extending knowledge of the raw
Page 29 and 30: In particular, L’Oréal research
Page 31 and 32: SOCIAL AFFAIRS 28 l 29 L’Oréal b
Page 33 and 34: Case study - The United States L’
Page 35 and 36: 515,500 applications received world
Page 37 and 38: Apprenticeship facts and figures in
Page 39: Promoting social dialogue at the Eu
Page 43 and 44: SUMMARY OF ACHIEVEMENTS AND GOALS
Page 45 and 46: Shampoo packaging line, Rambouillet
Page 47 and 48: 18001 H&S system. The others are in
Page 49 and 50: ■ our Safety, Industrial Hygiene
Page 51 and 52: No L’Oréal employee has experien
Page 53 and 54: 3,300 3,100 2,900 2,700 WATER CONSU
Page 55 and 56: WASTE In thousands of tonnes Sludge
Page 57 and 58: PACKAGING The packaging of a produc
Page 59 and 60: COMMUNITY AFFAIRS 56 l 57 As a comp
Page 61 and 62: Françoise Rivière, General sub-ma
Page 63 and 64: Jean-Philippe Charrier, General Man
Page 65 and 66: Statutory Auditors’ statement on
Page 67 and 68: Published by the Corporate Communic

2005 SUSTAINABLE DEVELOPMENT REPORT

You also want an ePaper? Increase the reach of your titles

Delete template?

Save as template?