What is BSCI?
BSCI (Business Social Compliance Initiative) is a code of conduct on social responsibility in business. The BSCI Code of Conduct sets out 11 requirements that companies participating in BSCI commit to gradually implementing throughout their supply chains. The BSCI Code of Conduct reflects the most important international labor standards aimed at protecting workers’ rights, such as those established by the International Labour Organization (ILO) and other key declarations of the United Nations, the OECD Guidelines for Multinational Enterprises, standards on occupational health, safety and environment, and the United Nations Global Compact.
The current BSCI Code of Conduct version 1/2014 establishes the values and principles that BSCI participants strive to implement in their supply chains. This Code of Conduct was approved by the Foreign Trade Association (FTA) on November 28, 2013, and replaced the BSCI Code of Conduct version 2009 in all translations.
BSCI operates based on the following principles:
BSCI Implementation Consulting
Commitment:
- Participants commit to implementing the BSCI Code of Conduct as part of their business relationships with manufacturers, demonstrating their willingness to improve working conditions within their supply chains.
- Consistency:
- We provide a single and unified system for manufacturers worldwide, including a code of conduct and an implementation process, ensuring consistency and comparability in assessments.
- Comprehensive:
- The BSCI compliance system applies to both large and small companies and covers all industrially manufactured products originating from any country.
- DevelopmentOriented:
- BSCI is not a certification program. It provides a stepby-step development approach that helps manufacturers gradually implement the code of conduct. Manufacturers that meet all BSCI requirements are encouraged to go further and achieve our best practice system, the SA8000 Social Management System, with certification developed by Social Accountability International (SAI).
- Reliable:
- BSCI only uses experienced and independent external auditing companies to conduct assessments.
- Focus on HighRisk Countries:
- BSCI focuses on highrisk countries where violations of workers’ rights occur frequently, such as China, Bangladesh, India, Turkey, etc.
- Efficient:
- A database system of manufacturers is available to avoid duplicate inspections at factories already in the system.
- KnowledgeBased:
- Integrates research at the production level to develop knowledge and skills on how to improve working conditions in factories.
- Cooperation:
- BSCI encourages the participation of stakeholders in Europe and in producing countries.
BSCI Consulting – Which Organizations Should Apply and Be Assessed for BSCI
- The BSCI Code of Conduct applies to all organizations, regardless of business type, location, or size.
- It is applied voluntarily, focusing on developing management systems for social responsibility, occupational health and safety, and environmental protection.
- Businesses participating in the global export market and supply chains are often required to comply with the BSCI Code of Conduct.
BSCI Factory Audit and BSCI Rating System
The BSCI Code of Conduct does not provide certification like ISO standards; instead, it provides an audit result report with ratings (A, B, C, D, or E) as follows:
- Rating A–B: Valid for 2 years
- Rating C–D: Valid for 1 year
- Rating E: Valid for 6 months
Rating for each performance area in the BSCI audit:
The scores of individual questions are added together and converted into a percentage of completion for each performance area. This completion rate determines the rating for each performance area.
BSCI Audit
Overall Rating of a BSCI Factory Audit:
Based on the ratings obtained in the different performance areas mentioned above, the auditee (factory) will receive the final result of the BSCI factory audit.
Important Note:
If a BSCI factory audit discovers child labor, forced labor, imminent risks to workers’ health and/or lives, or unethical behavior, the auditor must immediately issue a warning. In this case, the factory will not receive a complete BSCI audit rating but instead will receive a Zero Tolerance statement.
BSCI Audit Rating System
(1) Level A or B:
Unless a follow-up audit is required, a full BSCI audit is normally valid for 2 years. In this case, the manufacturer’s overall rating is A or B. Manufacturers rated A or B may still undergo random audits within the two-year period.
(2) Level C, D, or E:
When the auditee (manufacturer) receives an overall rating of C, D, or E after a full audit, the audit result remains valid until the next audit. The follow-up audit should be conducted according to the dates specified in the improvement plan, but within 12 months after the most recent audit.
- If the follow-up BSCI audit shows improvement (for example, the rating improves to A or B), the latest audit result will remain valid until the expiration date of the original audit.
- If the follow-up audit result remains C, D, or E, the result will remain valid until the next audit cycle, provided that the time between two full audits does not exceed 2 years.
BSCI Consulting Services
Instead of spending time, effort, and money to gain the knowledge and experience required to build a management system, you can contact NAPHA Consulting. Our consulting and training experts already have the knowledge and experience you need.
From the perspective of a manager or leader who wants their company to continuously develop and enhance its brand value, NAPHA Consulting understands your needs—and will help you successfully establish and implement a social responsibility management system according to BSCI.
CONTACT FOR FREE CONSULTING VIA HOTLINE: 0938.161.564
NAPHA CONSULTING CO., LTD
Địa chỉ: 3 Floor, An Phu Plaza, 117 - 119 Ly Chinh Thang Street, District 3, HCMC
Email: tuvannapha@gmail.com
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