California Transparency in Supply Chain Act
On January 1, 2012, the California Transparency in Supply Chains Act of 2010 (the "Act") went into effect in the State of California in the United States. This law aims to increase the amount of information made available by manufacturers and retailers regarding their efforts to address the issue of slavery and human trafficking. Firmenich supports the goals of the California Transparency in Supply Chains Act of 2010 and strives to be a model company, evidencing strong support of human rights and labor practices throughout our business activities.
The Firmenich Fundamentals delineate the values that have been the basis of our company’s culture over our 125 year history. The Fundamentals are supported by the Firmenich Code of Ethics and the Firmenich Human Rights Policy .
It has always been important that materials used by Firmenich in our products are obtained through ethical and fair labor conditions. In all countries where we manufacture products, our products are produced in facilities that comply with existing local laws.
As stated in our Code of Ethics our employees are our greatest asset and key drivers of our success. Firmenich provides an inclusive working environment in which everyone can grow and where relationships are based on respect and professionalism, prioritizing at all times the safety, health, wellbeing and security of our employees, their families and our business partners. Our Code also makes clear our commitment to only do business with those who respect the law, share our values and adhere to the principles of our Code of Ethics.
Firmenich takes responsibility for continually improving our processes, practices and actions to maintain high standards in the responsible and ethical sourcing of all commodities and materials associated with the manufacturing of our products. Firmenich Responsible Sourcing Policy is designed to engage our suppliers and partners on this journey whereas Firmenich’s Supplier Excellence Program encompasses verification, audit, certification, internal accountability standards, and training.
We seek to ensure that quality, safety and employment standards are maintained throughout our supply chain and we review our supplier base to determine if corrective actions are needed. Our efforts in aligning with the Act's requirements include the following:
Verification and audit of product supply chains
Firmenich has designed a risk-based assessment process to identify high-risk suppliers and additionally audit suppliers based upon this risk analysis.
Firmenich’s actions in this area include the following:
1. Product Supply Chains / Suppliers
Through its Human Rights Policy and Responsible Sourcing Policy, Firmenich commits to foster and maintain responsible practices in our supply chain. The Policies help to implement this commitment and establish non-negotiable minimum requirements for Firmenich suppliers in the areas of health and safety, labor standards, and business integrity.
Firmenich is also a member of Sedex (Supplier Ethical Data Exchange), a not for profit membership organization dedicated to driving improvements in responsible and ethical business practices in global supply chains. More information can be found at www.sedexglobal.com. Firmenich encourages all its suppliers to register audit results with SEDEX.
2. Supplier Audits
Firmenich reserves the right to verify our Supplier’s compliance with the Firmenich Code of Ethics and the Firmenich Responsible Sourcing Policy and Firmenich Human Rights Policy. In the event that Firmenich becomes aware of any actions or conditions not in compliance with our Code or policies, and that a supplier has not met the expectations set by these policies and/or fails to meet contractual obligations, Firmenich reserves the right to take appropriate measures that may include termination of the business relationship.
3. Human Rights in our business activities
As indicated in the Firmenich Human Rights Policy, Firmenich fully supports the United Nations Global Compact’s (UNGC) guiding principles on human rights and labor, and is involved in the Action Platform on Decent Work in Global Supply Chains which supports implementation of our commitments.
4. Code of Ethics
Our Code connects us with Firmenich Fundamentals, our guiding values towards our Customers, our People, our Creativity, Sustainability, and our Legacy. The Code is an outline that sets clear expectations about how to do the right thing, the right way, every day.
5. Employee Training
The Firmenich Code of Ethics applies to all Firmenich employees around the world, including all members of the Board of Directors, as well as external staff, such as temporary personnel.
Firmenich conducts regular training on its Code of Ethics to all employees.