Our suppliers and business partners are vital to our continued success .They provide our system with materials, including ingredients, packaging and machinery, as well as goods and services.
Having a sound, stable and ethical supply base is important for our growth and the footprint we leave in local communities around the world. Our suppliers provide our system with materials, including ingredients, packaging and machinery, as well as goods and services. As a Company, we have a responsibility to hold our direct suppliers and bottling partners to standards commensurate with our own operations. Our suppliers are expected, at a minimum, to conduct business in an ethical manner and comply with all applicable laws and regulations. Our Supplier Guiding Principles (SGPs) communicate our values and expectations for our bottling partners and business partners. They are the foundation of our commitment to promote the respect of labor rights among our business partners. The SGPs are a requirement for all direct suppliers of goods and services to the Coca-Cola India System and all suppliers of materials that are specifically authorized by The Coca-Cola Company for use by our suppliers. The SGPs are included or where necessary, incorporated by reference in all supplier contracts, and many suppliers receive training to facilitate implementation. Global policy requires that suppliers be assessed for compliance at least once every three years by an authorized external auditing agency. If non-compliance is found, we provide a timeframe and offer expertise for corrective action by the facility. We also require follow-up assessments of non-compliant facilities as frequently as every six months. Suppliers have offered positive feedback on the SGPs program, including the observation that it supports the transition of their Human Resources teams from an administrative function to a professional department. Following the implementation of the new Labor Contract Law, we’ve also received feedback on the value of offering support and education regarding the relevant laws and compliance. We do recognize that some suppliers may view the audit process as time- and resource-intensive. To alleviate inefficiencies for suppliers who sell to ours and other companies, we are willing to review and accept results of third-party audits completed for other companies with comparable supplier codes, and we encourage our suppliers to share our audit results with their other customers.