The Challenge:

A publicly listed electronics producer faced a significant challenge when preparing to publish its sustainability report. The company, with extensive sales operations in China and a large portion of its sourcing from both China and Taiwan, lacked crucial data on its supply chain practices. This gap in transparency was a concern for the board of directors, who required a comprehensive solution to ensure better visibility and compliance for both internal assessments and external stakeholders.

The Solution:

The electronics producer chose Scandic Sourcing as its trusted partner, leveraging our expertise in the Chinese market and supply chain management. We initiated the project by conducting a detailed stakeholder analysis, which involved consultations with key personnel including the board of directors, supply chain managers, production heads, corporate affairs, and the CTO.

From the insights gathered, we performed a materiality analysis to pinpoint the critical areas requiring attention. Scandic Sourcing then developed a thorough audit program to evaluate suppliers in China and Taiwan. These audits focused on compliance with the Scandic Sourcing Supplier Code of Conduct, ensuring that key sustainability aspects were addressed.

The Results:

Six years into the audit program, the collected data has become a vital part of the company’s sustainability reporting process. Over time, the audits have led to a consistent and positive trend in supplier compliance, improving areas such as contractual salary conditions, environmental performance, and the management of restricted materials. Additionally, the program has been continuously refined, now including a greater emphasis on greenhouse gas management to align with the CSRD reporting standards.