During FY22, we strengthened our due diligence process by partnering with EcoVadis. We work with EcoVadis to enable our responsible sourcing programme and monitor compliance with our Global Sourcing Code.
We require suppliers to complete self-assessments through the EcoVadis platform, which will help to assess a supplier’s performance in various areas, including ethics; environmental management; labour practices; and human rights. The EcoVadis score card will help to inform our own due diligence process, highlighting good practice and where there may be greater need for auditing, remediation or corrective action.
We currently apply a risk-based (or tiered) approach to assessing and auditing our suppliers. For Tier 1 suppliers, which are those operating in higher risk countries, we conduct in-depth audits, including in person factory visits, confirming compliance every two years as standard, and every year for bike suppliers.
Tier 2 suppliers are generally own-brand manufacturers operating in low-risk countries. For these, we may accept an alternative audit report as a means of validating compliance, and we will accept a reduced frequency of audit. Tier 3 suppliers are proprietary branded goods for resale. Our standard terms include conditions to explicitly reference our Global Sourcing Code, which all suppliers must sign up to.
During the year, no modern slavery concerns were raised regarding the Group or any of its suppliers. It is recognised that whilst no incidents were raised (through contractual mechanisms) this does not mean issues do not potentially exist. The Company, therefore, remains committed to further enhancing its approach and understanding and enhancing its due diligence process.