Supply chain transparency
The California Transparency in Supply Chains Act of 2010
California Transparency in Supply Chains Act of 2010 requires companies doing business in California to disclose their efforts to eradicate slavery and human trafficking throughout their supply chain. SKF USA Inc. (“SKF”) has implemented responsible sourcing policies and programs for our employees, suppliers, and subcontractors to eliminate unethical supply chain practices, including slavery, forced labor, human trafficking, and other human rights violations.
Audit & Verification
Supplier and subcontractor audits are an important component of SKF’s Responsible Sourcing Program. SKF conducts supplier and subcontractor audits on a continuous basis and publishes audit findings in our Annual Report.
- The audit procedure includes a detailed checklist for every supplier audit with questions focusing on a wide range of aspects such as environment, labor, human rights, and general code of conduct issues.
- Additionally, SKF engages the services of third party auditors to conduct audits (particularly in higher risk countries) to verify supplier compliance and the effectiveness of SKF’s audit model.
The SKF online supplier portal is available on SKF’s global websites featuring the SKF Code of Conduct for Suppliers and Subcontractors.
- SKF’s Terms and Conditions of Purchase require that all of SKF’s suppliers and subcontractors comply with all applicable laws and regulations. Further, SKF’s suppliers and subcontractors must abide by the Code of Conduct and are expected to develop their own code of conduct by which they, their suppliers, and their subcontractors, shall abide.
- SKF direct suppliers certify that materials incorporated into their products comply with laws regarding slavery and human trafficking by formally accepting the SKF Code of Conduct for Suppliers and Subcontractors.
When suppliers or subcontractors fail to meet SKF standards, SKF employs remediation programs. Suppliers and subcontractors who fail to improve their performance within a reasonable period of time are terminated. Details regarding these efforts may be found in our Annual Report.
Business Ethics, Work Ethics, and Social Ethics are the foundations of the SKF Code of Conduct. All SKF employees receive training featuring the SKF Code of Conduct and all SKF Group Purchasing employees receive additional training on the SKF Code of Conduct for Suppliers and Subcontractors (referred to collectively as the “Code of Conduct”). Live training is supplemented by mandatory online training modules issued several times per year.