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Brazil – Arno factory<br />

GROUPE <strong>SEB</strong> commitment...<br />

“WE CROSS-CHECK A WHOLE RANGE OF FACTORS”<br />

CORPORATE AND SUSTAINABLE DEVELOPMENT REPORT 2007<br />

56<br />

CONTROLLING STRUCTURAL COSTS<br />

The logistics function is vital to <strong>the</strong> efficiency of<br />

<strong>the</strong> Group if it is to achieve goals such as faster<br />

time-to-market for products, rapid global<br />

expansion, greater use of sourcing and<br />

development of alternative retail channels.<br />

To guarantee impeccable client service,<br />

we must optimize stock flows between our<br />

factories (or those of outside suppliers for<br />

sourced products) and retailer warehouses,<br />

while maintaining tight inventories despite <strong>the</strong><br />

greater distances covered. Beyond <strong>the</strong> use of<br />

freight and logistics clusters* and centralized<br />

warehouses (Belgium is supplied since 2007 by<br />

<strong>the</strong> French platform) <strong>the</strong> Group uses leading<br />

international logistics operators to ensure freight transfer in <strong>the</strong><br />

best possible conditions. The Group also recently added an<br />

environment clause to its freight contracts.<br />

Pierig Vezin, Managing Director of Wethica, social audit consultants, Shenzhen, China.<br />

“At <strong>the</strong> request of <strong>Groupe</strong> <strong>SEB</strong>, we carried out 17 social audits of suppliers in China during 2007. The object was<br />

to verify application of <strong>the</strong> labour rights statement <strong>the</strong>y signed, with particular attention<br />

to points based on <strong>the</strong> CECED* Code of Conduct, <strong>the</strong> Global Compact* and local labour<br />

regulations. We were particularly vigilant in <strong>the</strong> areas of under-age hiring, health and<br />

safety, working hours and pay scales. For our studies, we spend a minimum of two days<br />

on <strong>the</strong> spot, during which we ga<strong>the</strong>r a whole range of information which is<br />

double-checked to verify its accuracy. This involves presentation of <strong>the</strong> factory by<br />

its management, a detailed visit of<br />

all departments – workshops, offices,<br />

catering facilities, dormitories – scrutiny<br />

of administrative documents and<br />

interviews with members of staff. The 17 audits carried out last<br />

year gave rise to a few warnings, including one on <strong>the</strong> risk of<br />

employing under-age workers due to inadequate verification of<br />

personal identity. On <strong>the</strong> basis of <strong>the</strong>se audits, <strong>Groupe</strong> <strong>SEB</strong><br />

decides on appropriate action depending on <strong>the</strong> circumstances.<br />

While <strong>the</strong>re are still many areas for improvement, I note that<br />

<strong>the</strong>re is a generally positive trend in working conditions<br />

in China.”<br />

* see Glossary.

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