Sustainable procurement and assortment
Social audits relating to own imports by MGB Hong Kong and non-food own brands of the METRO GROUP sales lines
Producers with valid audit
Thereof with passed audit in %
Producers that have passed the audit can demonstrate their successful compliance with the BSCI standard or an equivalent social standard system by presenting a certificate awarded by an independent third party.
1 Adjustment of the 2014/15 figures for social audits at producers relating to own imports through MGB Hong Kong; in addition, the 2014/15 figures include producers relating to non-food own brands of the METRO GROUP sales lines.
2 Adjustment of the 2015/16 figures due to the sale of the former METRO GROUP sales line Galeria Kaufhof.
3 From 2015, adjustment of BSCI rating system from three rating categories (good/improvements needed/non-compliant) to five rating categories (A/B/C/D/E). The result “improvements needed” was understood as a passed audit. Under the new measurement system, a portion of the previous “improvements needed” results was assigned to the categories “C” (passed audit) and “D” (failed audit). This adjustment resulted in a lower share of producers with a passed audit in the last financial year.
Definition: Status of all the producers in defined risk countries in which MGB Hong Kong has import goods manufactured based on the assessment of the Business Social Compliance Initiative (BSCI), and of producers that manufacture own brands or own imports in the areas of clothing, shoes, toys and consumer durables for the METRO GROUP sales lines. Producers that have passed the audit can demonstrate their successful compliance with the BSCI standard or an equivalent social standards system by presenting a certificate awarded by an independent third party.
Explanation: 1,632 producers were audited as of 30 September 2016. Of these, 86 per cent (1,405 producers) passed the audit. Producers whose audit results identified a need for improvement have twelve months to provide proof of those improvements through a follow-up audit. As of 1 January 2017, METRO Cash & Carry and Real will tighten the requirements for suppliers such that new producers will only be used if their audit results are at least acceptable. A two-year transitional period will apply to current producers..
The key performance indicator relates to all the factories of which we are made aware by our suppliers.