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Supply Chain

Huawei takes effort to ensure that its suppliers are also responsible corporate citizens by establishing a Social Accountability Management System (SAMS) based on the SA8000 standard.

At Huawei India, we have developed a complete system for supplier CSR management. There are multi-layered risk control measures in place. Huawei India has signed EHS/CSR agreement and commitment with suppliers, and hasdeployed EHS on-site audit, added the EHS/CSR clause on Supplier Performance Assessment, and deployed SCAR tools to manage the suppliers EHS issue on regular basis. Huawei India has passed the ISO 14000 & OHSAS 18001 certification. We also routinely organize partnership summits for suppliers to enhance the EHSCSR awareness and capability.

Requirements for Suppliers

We revised the supplier certification process by incorporating social responsibility and environmental protection requirements into our criteria for choosing, certifying and managing suppliers.

We have a Social Accountability Management System in place, and provide SA8000/TL9000/ISO14000 training for our procurement staff and suppliers so that certification can be carried out effectively.

Certification Implementation

The Supplier Social Accountability Certification Plan is implemented in three phases:

Phase I: Encourage, Promote and Train

  • In March 2004, we held a conference for our suppliers to introduce the basics of social accountability and the requirements Huawei had for our suppliers.
  • In September 2004, we conducted a SA8000 training session for suppliers.

Phase II: Trial Phase

  • By September 2004, we conducted a trial of the certification and performance assessment process, during which problems identified were corrected.

Phase III: Certification Performed for all Suppliers

  • From October 2004, new methods were used to assess and certify suppliers' performance.
  • In 2005, 20% of our key suppliers met our social accountability certification requirements.
  • In 2006, 60% of our key suppliers met our social accountability certification requirements.
  • In 2007, 60% of our key suppliers received the OSAS18000 certification, and 100% of our key suppliers met our social accountability certification requirements.


Training

A professional third party organization provides training for our procurement staff so that they are well-qualified to certify our suppliers.

June 2004

55 TQC engineers attended the ISO14000 training, of whom 53 trainees passed the internal auditor qualification exam, and became qualified ISO14000 internal auditors.

July to August 2004

129 SCM administration staff received an introductory training on the SA8000 standard.

35 TQC engineers underwent an internal auditor certification training, of whom 32 trainees passed the internal auditor exam and became certified SA8000 internal auditors.

August 2004

55 TQC engineers attended TL9000 internal auditors training courses, of whom 51 trainees passed the internal auditor exam and became certified TL9000 internal auditors.

55 TQC engineers have been trained for OSAS18000.