Responsible Sourcing and Sustainable Development

 

Following the motto of, “Communication, Honesty, Delivery and Quality,” our CEO- Mr. Roger Zhong always strives to install these values at HUACI Asia Sourcing. He takes pride in being very hands on with all of his divisions. His key to a successful company includes both “open door” policy and involvement from conception to execution.

 

Communication is the most important essence kept in our HUACI Asia Sourcing’s mind. Normally, our communication base on the situations as: we proactively work with factories when innovation and improvements are needed in order to have a more harmonious long-term development between factories and our company. When it comes challenges or issues with our products, we would work with our customer and factory to cope with it accordingly in the first place. When there is any inquiry from customers, we will cooperate with factories to resolve it right away. Thereafter, we make the systematic communication procedure document, we update and share market feedback and production solution with our customers periodically and proactively. We closely keep in touch with factories to identify, prevent and control the potential issues. We would solve issues properly and efficiently and prevent it from happening again.

 

We also have the team members whom are diligently performing the Responsible Sourcing & Sustainability. They provide various training sessions to factories and help them make improvement, such as: Supplier Ownership (Introduction, Build, Assess and Continuous Improvement), Supply Chain Transparency and Traceability, Women in the workplace, Fire Safety, Managing Air Emission, and training the next step – Climate Change and Greenhouse Gas Emissions. Textile, Garment and HOME manufacturers will learn the impact of climate change, how to account for greenhouse gas emissions and implement measures to cut the emissions. It consists of following topics: Climate change and action in the industry, Introduction to GHG emissions (Scope 1, 2 and 3 emissions), Principles of GHG accounting, Target setting, and Low-carbon solutions (Energy Efficiency and Renewable technologies).

 

 

After then, to measure, manage and report the sustainable development factors that can create value and have substantial impact on financial effect, moreover, to identify the opportunity for creating the long-term value, the other relevant long-range planning will be mapped out carefully. In addition, we will get a second opinion from factories and do some reasonable adjustment before the detailed training sessions going ahead. Besides, we collect the requirements from different customers and do the vendor self-assessment on site, such as: Social compliance and Labor, Quality, Anti-terrorism and other assessments. And to the discrepancies which is reflected through the assessment, we would discuss and analyze the root causes; make long-term and short-term corrective action; do preventative action to prevent the similar issues in the future. With all the assessments till now, almost 50% factories achieved outstanding rating, and others can get acceptable rating.

 

Among our cooperated Chinese factories, it’s 100% completed digital payments for employee’s wage, Gender and payment Equity. Meanwhile, we connected with our factories to promote various kinds of employee’s well-being activities. Additionally, some factories are willing to take part in the Social Compliance actions. One of our socks factory – Jiangyin ChaoYu Knitting Co., Ltd., has always been patrons of charities pulling in large donations.

 

 

To environmental protection, solar power electricity generations installed 10% of our factories. Some factories are planning to complete this program as next step. We will continue to promote sustainable programs in our factories. Compared with previous years, in terms of water and steam resources, factories are in the process of resolving from two aspects of saving energy and equipment maintenance, and arrange the production reasonably according to the capacity, which also decreased by about 11%. To the development of product design and new raw material, the certified recyclable materials is to be preferred.  It’s nearly 70% of our products have used recyclable plastic packaging.

 

 

We have carried out these actions at this stage and are pushing the programs forward, but these are not enough. We still need to accelerate, not just us and factories, but everyone in the supply chain, towards to the target of limiting the global temperature rise to 1.5 ℃, act for a climate positive world, be efficient with resources, create equal opportunities, provide an inclusive working environment, pave the way for a better tomorrow!