Sustainable procurement and assortment

Social audits relating to own imports by METRO Sourcing and non-food own brand products of the METRO sales lines

 Thereof with passed audit in %

1 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 financial year 2015/16.

Definition: Status of all the producers in defined risk countries in which METRO Sourcing 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 sales lines. 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.

Explanation: Producers that do not pass the audit must demonstrate improvement through a follow-up audit within 12 months. Since 1 January 2017, METRO Cash & Carry and Real are imposing more stringent requirements on suppliers: new suppliers are accepted only if they can show at least one passing audit result. For current suppliers, a transition period of 2 years applies.

The key performance indicator relates to all the factories of which we are made aware by our suppliers.